In February 2002, Saambou bank, then South Africa’s seventh largest bank, collapsed. It all started with an announcement by ABSA, on 15 January, of significant losses in its microlending subsidiary Unifer. Saambou had a similar clientele to Unifer and a run on Saambou started that wiped out 20 percent of Saambou’s deposits within five weeks.
Bank failures and the lessons they offer
Bank failures and the lessons they offer
Bank failures and the lessons they offer
In February 2002, Saambou bank, then South Africa’s seventh largest bank, collapsed. It all started with an announcement by ABSA, on 15 January, of significant losses in its microlending subsidiary Unifer. Saambou had a similar clientele to Unifer and a run on Saambou started that wiped out 20 percent of Saambou’s deposits within five weeks.