Black firms can again ask for loans from bailed-out NEF, Mg.co.za – Mail & Guardian
The National Empowerment Fund has once again thrown open its doors to would-be investors after halting the granting of any loans for a year.
The government-mandated development financier announced that R950-million will immediately be made available for loans to black-owned and -managed businesses.
The NEF anticipates receiving another R2.3-billion from the national treasury over the next three years, and a possible R1-billion through a “loan facility” from the development finance sector.
“In May 2013 the NEF was compelled by declining resources and unrealised recapitalisation initiatives to declare a temporary moratorium [on the granting of loans],” said Rakesh Garach, the recently appointed acting chairperson of the NEF’s board of trustees.