BANKSETA AR 31 AUGUST

PERFORMANCE INFORMATION

Alternative Banking The Alternative Banking Department facilitates skills development for BANKSETA small employers, rural communities, cooperatives and stokvels. Its overall objective is the development of small business, entrepreneurship, rural community development and cooperative finance. The department achieves this objective by promoting the interests of employers who belong in the banking sector by description of their SIC code, such as banking intermediary and related services, cooperative financing and development finance institutions. It also has an interest in small business enterprise (SME) and rural economy development. The economic recovery and reconstruction programme (ERRP), developed post Covid-19 as a national priority, also falls in the ambit of this department as it involves small business support and entrepreneurship development. Stakeholders of the Alternative Banking Department include, employer groupings, industry associations, micro finance organisations and entities with which BANKSETA forms partnerships that contribute to government’s 9-point plan for economic growth. These can include Section 3A entities and municipalities, for example. During the year under review, BANKSETA implemented a partnership with the South African Local Government Association (SALGA) as part of its Rural Development Project. This highly successful partnership trained 1 946 beneficiaries, estimated to have come from more than 1 000 businesses, in rural municipalities in nine provinces (target: 1 500 beneficiaries) and achieved a high level of recognition by several stakeholders. A partnership with an organisation such as SALGA gives great benefit as a conduit to struggling rural municipalities. The project concentrated on financial management skills through traditional classroom training, as many people in rural areas have limited access to data and laptops. The highly credible research component of the project was conducted by an external service provider and included representatives from institutions across the globe responsible for spatial planning. This three

year partnership will continue in the same format in 2022/23. The Executive Development Programme (EDP) is a content-based project focused on development finance and involving a cohort of twenty executives from the alternative banking sector. The programme was conducted through Regenesys Business School and included an international component in the form of speakers from Europe, Africa and the Far East. While it was not possible to include travel to different countries for experiential learning because of the Covid-19 pandemic, it is hoped that this element can be configured differently in the coming year. The programme is intended for the transformation of middle management to executive level and is an NQF level 8 programme. The Entrepreneurship Development Project has evolved to support businesses holistically, rather than the training component only. The target audience for entrepreneurship funding window was government agencies (for example, municipalities running entrepreneurship programmes), NGOs and CBOs who are playing an excellent role in rebuilding the economy, BANKSETA employers (for example, corporate social investment programmes) and public higher institutions of learning. Such was the interest in this project that it is clearly fulfilling a need to accelerate the economic growth. Specific categories of business were targeted, including the green economy, food creation, digital enterprises and women in business. Training of SMEs continued through the SME funding window, with the BANKSETA meeting its target of supporting 101 businesses. This programme always has a positive impact on skills training. BANKSETA’s employers will always apply for critical skills training that they need; it might change its training content, but employers will always have a need for it. Another partnership, with the Cooperative Banks Development Agency (CBDA), continued with some roll over funding from the previous financial year and remains an important project to promote and advance the social and economic welfare of all South Africans by enhancing access to banking services This has been a critical partnership in supporting and

83

PART B: PERFORMANCE INFORMATION | BANKSETA ANNUAL REPORT 2021/22