ABOUT ITHALA SOC LIMITED
Ithala SOC Limited is a 100% owned subsidiary of Ithala Development Finance
Corporation Limited (IDFC), which is governed by Ithala Act 2 of 1999 (Ithala
Act) of the KwaZulu-Natal Legislature.
Ithala SOC Limited was ring-fenced from IDFC in 2001 in line with the
recommendation from the South African Reserve Bank. It has been operating under
exemption from Banks Act 94 of 1990 (“Banks Act”) although it has had to comply
with most requirements of the Act.
Ithala traditionally offered home loans and banking services to black areas
ie. townships and rural areas of KwaZulu-Natal during apartheid South Africa.
The branch network is mainly spread along the abovementioned areas. Although the
other banks have been slowly moving to these areas, Ithala has not been able to
move speedily into the traditionally urban and profitable areas.
Ithala has 51 branches and one agency throughout the KwaZulu-Natal province.
The branches are mainly used to raise deposits from customers and also to
provide transacting facilities. The customers are mainly from LSM2 – LSM6.
Ithala SOC Limited's Board has six non-executive directors (two from IDFC and
two executive directors), five committees to help it discharge its duties, and
convenes four times a year. The Board is primarily responsibility for setting
the direction for Ithala SOC Limited and is ultimately responsible for the
The Executive Management is responsible for the day-to-day running of the
business and meets twice a month to monitor performance of various business
units and discuss various issues affecting the organisation at that particular
moment, and consider appropriate action.
The Executive Committee has five Management Committees that look at various
Ithala has about 450 staff members based in the branches throughout the
province and at its Head Office in Durban, where all centralised business units
are based. There are about 35 people seconded to Group Head Office, because of
the Group structure, where some functions are centralised at group level.