Land Bank Creditor Urges South Africa to Speed Up Rescue Efforts

South Africa’s National Treasury and the state-owned Land and Agricultural Development Bank are being accused of dragging their heels in negotiating a rescue package for the stricken lender, leaving creditors in the dark as debt repayments loom, Bloomberg News reported. Asset managers and other lenders are yet to receive a response to their queries about financial covenants and the mechanism of a new bond program that will be 60% backed by the government, according to the country’s biggest specialist fixed-income money manager. The state-owned bank missed a repayment in April that triggered a cross-default event under its 50-billion rand ($3.2 billion) bond program. Read more