FINANCE
No plans for second state bank, Malusi Gigaba confirms
State is just consolidating development finance institutions
Finance Minister Malusi Gigaba says that apart from helping to establish the Postbank, the Treasury is not planning to establish another state bank. The proposal that the government create a state bank emerged from the ANC policy conference in June, but this will have to be ratified at the party’s December conference for it to become official policy. Gigaba’s spokesman Mayihlome Tshwete confirmed that the only “state bank” that the Treasury was involved in creating was Postbank, which needs to get a licence from the Registrar of Banks to operate as a fully fledged bank. The Treasury was reviewing and could possibly consolidate some of the development finance institutions, Gigaba said on Monday in reply to a parliamentary question. Gigaba noted that a number of state banks were already operating, including the Land Bank, Development Bank of Southern Africa, Postbank and many other development finance institutions. “Whilst there is an initiative to review and possibly consolidate some...
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