BANKSETA AR 31 AUGUST

ANNUAL FINANCIAL STATEMENTS NOTES TO THE ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2022

27. COVID-19 IMPACT ON THE 2020/21 FINANCIAL YEAR RESULTS

The country moved through several Covid-19 alert stages during the financial year, ending up at adjusted alert level one. Lighter restrictions were imposed in the 2021/22 financial year, compared to the previous year, however there were still some workplace and education capacity restrictions. The BANKSETA was impacted materially by the effect of restrictions within the banking and alternative banking sector in 2021/22 financial year. The BANKSETA and its stakeholders adopted a hybrid approach to work. BANKSETA had to incorporate hybrid delivery models into all its programmes.

27.1 Skills development levy suspension There was no skills development levy holiday in the 2021/22 financial year.

In the prior financial year, 2020/21 the government gazetted a 4 month skills development holiday whereby all stakeholders were exempted from paying skills development levies. This was part of government’s efforts to ease the economic hardship brought about by lockdown restrictions due to the Covid-19 pandemic.

The banking sector has rebounded from the economic downturn since then.

27.2 Impact of Covid on BANKSETA’s ability to deliver skills development services The late completion of the 2020 academic year, led to the late start in the 2021 and 2022 academic years. Learning at higher education institution was restricted to online basis for most of the year. This led to some BANKSETA program having to incorporate learning tools as well as delays. Work placed based learning was restricted for most of the year, as employers could not commit to take on learners as they could not operate with full staff capacity at their office

All the above resulted in decreased discretionary grant expenditure in 2021/22 financial year.

27.3 Impact of Covid on BANKSETA’s administration expenditure The BANKSETA provided staff with personal protective equipment and provided sanitisation facilities at all its offices. In addition appropriate cleaning was done whenever there was a Covid case. The additional administrative costs were minimal.

28.

GOING CONCERN

The Annual Financial Statements have been prepared on the basis of accounting policies applicable to a going concern. This basis presumes that funds will be available to finance future operations and that the realisation of assets and settlement of liabilities, contingent obligations and commitments will occur in the ordinary course of business.

The SETA has a licence till 31 March 2030. There are no legislative and regulatory changes known that would impact BANKSETA’s ability to operate as a going concern within the next 12 months.

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PART E: FINANCIAL INFORMATION | BANKSETA ANNUAL REPORT 2021/22