Land debate statement
Published - 12 December 2018
The land reform process, which is currently before Parliament, has sparked much debate locally and globally. As a matter of national significance, Nedbank has an important role to play in this process and how it unfolds.
A pragmatic and sustainable approach to land reform is necessary to address the inequalities owing to our country’s history. Nedbank believes that it is vital that this sensitive and important issue is handled appropriately to ensure that there are no adverse impacts on our economic growth and food security.
President Cyril Ramaphosa clarified in the Financial Times on 24 August that “This is no land grab. Nor is it an assault on the private ownership of property. The ANC has been clear that its land reform programme should not undermine future investment in the economy or damage agricultural production and food security.”
Currently, the Constitutional Review Committee is investigating proposed changes to Section 25 of the Constitution, which still needs to be fully debated and will have to pass constitutional and legal muster on multiple fronts.
We believe that it would be wise to wait for this process to be finalised, rather than pre-empt this without the detail. We urge our clients to be patient as this process unfolds. Until there’s further clarity on this process, it is business as usual at Nedbank.
We continue to assess and grant new mortgage loans as per our usual rules and processes. Bond repayments, which are the subject of a contractual agreement, remain due and payable.
Nedbank supports the need for successful and sustainable land reform and we will play our part in the Parliamentary process in positioning an approach that is in the best interests of our country.
