NDB Expects To Cut Loses By 50%
Monday, October 05, 2015
Despite tight liquidity, NDB remains self-sustainable and continues borrowing from the capital market which is still under a constrained interest rates environment.
Updating the media on their current business environment recently the CEO of NDB Lorato Morapedi said that an interest constrained environment and high cost of funding immensely affects the Bank’s profitability. The CEO further reflected that despite all these challenges, the Bank intends to break through the ceiling and shrink the Bank’s 2013/14 comprehensive loss by at least 50 percent during the year 2014/15 to ensure that the NDB tracks back to profitability.
Whilst celebrating milestones in inclusivity, with notably P5 billion awarded to vulnerable groups, the report sounds a 'siren' on a dangerous and growing trend: the ballooning use of micro-procurement. That this method, designed for small-scale, efficient purchases, now accounts for a staggering 25% (P8 billion) of total procurement value is not a sign of agility, but a 'red flag'. The PPRA’s warning is unequivocal and must be...