EMPOWERMENT
Co-op in bid to get banking licence
A tough economic environment and fears that it could be yet another pyramid scheme have led to the delayed registration of Khanya Co-operative Bank (KCB), a financial institution with aspirations of becoming a fully black-owned bank. "We have resolved to the goal of applying for a co-operative financial institution licence in March 2018 and then work towards registering a co-operative banking licence," said KCB steering committee member Sibonelo Radebe. The idea of a black bank was met with enthusiasm in 2016 but has since lost steam, with prospective members being concerned about returns. Radebe said the organisation fell short of 50 members to meet the 200 minimum member and R100,000 equity requirement for the co-operative financial institution registration. "SA is tainted with a legacy of pyramid schemes, which makes it hard to recruit members at R2,500 each.... We are now growing through a one-on-one recruitment basis." KCB was started in 2016 with the goal of facilitating the f...
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