Time for financial institutions to come clean with clients – IRR
4 November 2020
Institutions presiding over the multi-billion rand savings and pensions of ordinary South Africans need to come clean on whether they are party to talks with the government on making these resources available for government or government-run projects, and whether they have informed their clients of any such discussions.
In light of the statement this week by Dr KgosientshoRamokgopa, head of the Investment and Infrastructure Office in the Presidency, on talks with the financial sector on exploiting the ‘big pool of liquidity’ of private funds for government projects, the IRR will today write to leading institutions to ask them to spell out where they stand.
Letters will be sent to Absa Group Limited, First National Bank, Standard Bank, Nedbank Group Limited, Investec, Sygnia Asset Management, Old Mutual, Citadel, Coronation Fund Managers, Sanlam, Alexander Forbes, and Liberty Group Holdings to ask them to clarify their position.
Over the past several months, the IRR has embarked on a broad engagement with many of these institutions and entities to elicit answers on their willingness to make the savings or pensions of their clients available for government projects through the mechanism of prescribed assets.