1. Welcome 3 rd BANKSETA Annual General Meeting 23 September 2003

2. BANKSETA Annual General Meeting 23 September 2003 1.Annual Financial Statements 2002/2003 2.Challenges 3.Future Focus

3. Annual Financial Statements 2002/2003 Year 2002 2003 Income Total: R132,875m R171,632m Operational income (10% allowed): R13,933m R16,160m Interest earned: R3,305m R12,175m Operational savings: R3,399m R3,985m

4. Annual Financial Statements 2002/2003 (Grants) Year 2002 2003 Grants paid/payable: R106,74m R107,741m Grants paid/payable %: 96% 97% Project grants paid R3,84m R16,267m NSF grant received 0 R78,m

5. Annual Financial Statements 2002/2003 ( Operations) Year 2002 2003 Operational income (10% allowed): R13,933m R16,160m Operational expenses: R10,534m R12,254m (7,6%) (7,6%) % change Operational exp.: 27,6% 16,3% Operational savings: R3,399m R3,985m (24,4%) (24,7%) Interest earned: R3,305m R12,175m

6. GRANT DISBURSEMENTS Remains consistently high : +95% average Disbursement of over R100m (2003) to 273 companies Over R243m allocated over last three years

7. Audit of financial statements In my opinion, the financial statements fairly present, in all material respects, the financial position of the Banking Sector Education and Training Authority at 31 March 2003 and the results of its operations and cash flows for the year then ended in accordance with South African Statements of Generally Accepted Accounting Practice and in the manner required by the Public Finance Management Act, 1999 (Act No. 1 of 1999) as amended. N MANIK for Auditor-General

8. Approval of 2002/2003 Annual Financial Statements of the Banking Sector Education and Training Authority (BANKSETA)

9. Challenges Serving diverse needs from an increasing range of stakeholders Balancing Sector and national needs Expected changes to the seta landscape Skills Development Amendment Act Levy/grant machine as mechanism in the sector to create value and buy-in Future employment opportunities in sector: need for higher level skills and shedding of lower skills category jobs

10. BANKSETA Future Focus Transformation Legislative Compliance Advocacy Seta landscape Strategic projects

11. Questions ?