Our clients
EMPOWERMENT FINANCING
TARGETED INVESTMENT AND BEE TRANSACTIONS
There are two categories of empowerment financing, namely targeted investment and BEE transaction financing:| 2008 industry- | ||||
| Description | agreed target | Weighted score | Achieved | Nedbank score |
| Institution’s target for | ||||
| targeted investment | R5 739 000 | 5 | R12 489 000 | 5 |
Targeted investment
The commitment to originate loans under the access pillar of the charter is mirrored by a commitment to hold a portion or all of the originated loans on Nedbank’s balance sheet. the only addition in targeted investment that is not mirrored in origination is transformational infrastructure.Although banks are scored on the collective targeted investment, the table on the right outlines the individual performance of each of the collective industry-agreed targets. Nedbank’s portion on targeted investment is 9,11% of the R63 000 million investments in 2003. this equates to R5 739 million by 2008.
BEE transaction financing
BEE transactions are defined in the charter as follows:- All transactions for the acquisition, by black people, of direct ownership in an existing or new entity (other than an SME) in the financial or any other sector of the economy.
- All transactions for the acquisition, by black people, of direct ownership in an existing or new entity (other than an SME) in the financial or any other sector of the economy.
Nedbank’s target is R4 555 million or 9,11% of the R50 000 million target.
