Big fall in DBSA disbursements partly attributed to renewables stand-off

The Development Bank of Southern Africa (DBSA) recorded a sharp fall in disbursements to R12.4-billion in 2017, from a record R17.1-billion in 2016, but has promised to "step up" its role as a catalyst of development in 2018, setting a R20-billion disbursement target for the year. The development finance institution (DFI) had been targeting disbursements of around R16.5-billion in the year to March 31, 2017, and CEO Patrick Dlamini attributed the lower figure partly to a refusal by Eskom to sign power purchase agreements (PPAs) with renewable-energy independent power producers (IPPs). The DBSA had, until the PPA impasse emerged last year, played a leading role in funding black ownership and community participation in the IPP projects and had been injecting around R3-billion a year into the programme.