Bank crisis: Why every Saffer should hope the Land Bank is rescued – Futuregrowth analyst

The Land Bank, a South African state entity, is in trouble, warning in late April that it might default on payment. Not as well known as the big listed retail and commercial banks, the Land Bank is a vitally important national institution as it props up the commercial agriculture sector. If it disappears, food inflation could soar. That's the message from one of South Africa's top developmental and fixed interest investment experts, Ms Tarryn Sankar of Futuregrowth, which has funds that hold Land Bank debt. In this podcast, the head of listed credit speaks to Jackie Cameron about what has been happening behind the scenes of this bank crisis.

I'm Jackie Cameron from Biznews.com. Last week the Land Bank warned via the Stock Exchange News Service that it might default on payment. Ms Tarryn Sankar is the head of listed credit at Futuregrowth and a credit analyst at Futuregrowth. Futuregrowth is an asset manager with not far off two hundred billion rand under management and it includes Land Bank debt in its funds. Ms Sankar, let's first talk about the role of the Land Bank in the economy. Who owns it? How does it get its funds? And which parties are affected when it gets into a situation like this?

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