Abstract
This study examined the impact of financialisation on the IDC’s mandate to support industrial development in South Africa. While there is a vast literature on financialisation, a review of the literature in this study showed little understanding of how financialisation affects development banks. Thus, using a case study of the IDC and relying on a quantitative research design, the study sought to fill this above-mentioned gap. The findings indicate that the IDC shows signs of being a financialised development bank. Given its self-funding model, the development bank has prioritised financial maximisation over industrial development projects and goals. Results show that the IDC offers minimal concessionary finance, and through its equity, IDC forms part of shareholders that expect shareholder value maximisation. The implication is that South Africa is unlikely to achieve its industrial policy goals of diversifying away from primary commodities and capital-intensive industries.