South African Banks

South African Banks

South Africa’s largest banks have extended loans and bonds to precarious SOEs, totaling some US$4 billion by 9M17, according to central bank data. Power utility Eskom Holdings SOC Ltd. and South African Airways are among  government entities indebted to banks. While the money invested is a little more than 1% of each lenders’ total assets, the amount at risk is a non-negligible potential hit to the bottom line.