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The ANC wants to open a bank for the poor

The ANC wants to open a bank for the poor

The African National Congress in Limpopo has called on the provincial government to establish a pro-poor bank because poor people struggle to secure finance at major banks.

“We think we must establish a provincial bank, it has been a long-standing issue at national, and it was affirmed by the national lekgotla that we need a state bank to make sure that our poor communities are covered,” said party provincial secretary Knocks Seabi.

Seabi said the big four banks’ conditions to secure loans favour the urban rich.

“If we have a provincial bank it will be easy for our people to access financial assistance, it is difficult to go to the four main banks: Absa, FNB, Standard Bank and Nedbank,” he said.

This comes weeks after Co-operative Governance Minister Des Van Rooyen called for the establishment of a local bank.

Seabi said major banks marginalise poor communities even further.

Lobbying denied

Members of the ANC Youth League have recently launched a campaign against Absa demanding that the bank pay back money it was given as a bailout by the apartheid government two decades ago.

VBS Mutual Bank, whose operations made news headlines after it offered President Jacob Zuma a loan to pay his Nkandla bill, is Limpopo’s only provincial bank.

Asked if the decision was influenced by Van Rooyen’s call made during a recent provincial water summit, Seabi vehemently denied and argued that the matter was discussed at an ANC meeting.

“The minister did not lobby us. Maybe because we belong to same ANC we are of the same mind.”

However, Seabi failed to outline how the bank will be established, funded and operated differently from other banks.

He said a study would be conducted to determine this.

News24


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  • koos

    good luck – i certainly will not deposit any money here

  • Blapartheid Zulu

    There’s already capitec…. what more do you need?

    • Bushy Harvey

      And Ithala and African bank and the one in the bush who paid the 8bar to zuma for the upgrades at Inkhandla. there are many just not functional to the public at large.

  • Jacob Zupta

    Whahaha just another f kup from the anc.

  • the-TRUTH

    The ANC must lose in big numbers during 2019 national elections – #VoteOutANC or the ANC is going to turn South Africa into the new Zimbabwe…

  • Teresa Williams

    Do they have any understanding of how banks work?

  • Ubaba meet Baba

    Uummm, have you forgotten the reason for the 2008 banking crises already?

  • Madimetsha

    and make them more poorer, while making the comrades more richer

  • Lone Stranger

    Firstly, how are they going to build a bank? With tax payer money? Pension money? If they run companies into the ground that was once profitable, how on Earth are they going to run a successful one from scratch. Look at what a disaster African Bank has become.

    Secondly, I know that Capitech already focuses a lot on banking for the poor with very low bank fees and FNB also has a R5 p/m account as well. What more do they want?

    If they say that want to make loans or credit more available to the poor, they can expect the their doors not to stay open for very long.

    Let me not even get started with the regulations and compliance factors. They will lose their banking licence very quickly (if they even get it at all).

    With all of this I am pretty sure they will drop this topic like a hot potato.

  • Jonathan Snyman

    Wasn’t Postbank set up for this exact reason? Shame the ANC are so quick to forget about the half arsed ideas they’ve already implemented.

  • Munchkin

    For zuma loved the poor so much, he made millions more poor people…

  • david

    Didnt the post office used to fill this hole?

    • Dr_Zeek

      PO not a bank – has applied for bank license tho

  • Clarens

    ANC WANTS TO OPEN A BANK FOR THE POOREST OF THEM ALL.

    I.E. THE GUPTA’S

    POOR THEM EVEN THE CHINESE DO NOT WANT THEM AS CUSTOMERS.

  • Dr_Zeek

    well, they won’t be able to lend to “the poor” without complying with the National Credit Act, will they?
    Every credit provider out there is bending over backwards to provide credit to ANYONE that can afford it.
    the problem is AFFORDABILITY, not willingness to lend

  • victory

    VBS bank is already there? we don’t want anything associated with Guptasss

  • Khalsa S

    The poor are precisely the people who should not be allowed to borrow.
    Almost every banking crisis was due to either ignorant or gullible customers being duped by banks, who usually rely on taxpayer bailouts when they mess up.

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