THE Development Bank of Southern Africa (DBSA), which is heavily reliant on third-party investors to fund its projects, is confident Moody’s and Futuregrowth Asset Management’s decisions will not affect its plans to invest R120bn over three years to infrastructure projects.After the release of the development finance institution’s 2016 annual results on Thursday, DBSA CEO Patrick Dlamini indicated Futuregrowth’s decision to suspend R1.8bn to six state-owned entities (SOEs) including the DBSA, and Moody’s subsequent decision to place the credit ratings of most of the SOEs under review did not damp investor sentiment."Demand for our bonds and commercial paper is rising," he said."We have given assurances to funders, commercial banks … to say the money is in good hands," he said.Yields on all but four outstanding bonds fell after the Futuregrowth decision, showing that investors still believed the quality of the bank’s debt was good. Nevertheless, the DBSA has held "very good discussio...
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