COVID-19 shrinks BDC’s dividend income

The BDC invests via debt and equity across several companies in sectors such as agriculture, industry, services and property management. Equity returns from many of these investments fell during the reporting period as the companies held back their dividend declarations to preserve cash for operational needs.

BDC managing director, Cross Kgosidiile recently told the Parliamentary Committee on Statutory Bodies and State Enterprises that despite operating in the background of a turbulent COVID-19 trading environment, the group’s income from dividends however remained well-diversified with contributions across the portfolio.