Linda Ensor writes that Parliament’s finance and trade and industry committees have resolved that banks be majority black-owned, and also black-managed at all levels, and that fines be imposed to enforce this (Support financial entrants to reduce banks’ monopoly, say MPs, November 28).
Is the ANC sane (I cannot believe the DA would support this)? In the private sector, market competition allocates capital and management talent. Banks and other large companies are owned by funds. They are not owned by individuals, of whatever colour.
If the Financial Sector Charter were to be so amended, this would be tantamount to the nationalisation of banks.
It appears the governing party has learnt nothing from the parlous state of state-owned enterprises such as Eskom and South African Airways. They are fully transformed, and yet in dire straits. Without an effective private sector they would promptly collapse. Tax revenue from the private sector is keeping them afloat. Has the ANC an economic death wish? Or does it lack understanding of how the economy functions?
When will our leaders realise that the only way to achieve a prosperous, peaceful nation is via competition in the market? Competition against allcomers will advance blacks far faster than race quotas. I can only conclude that the ANC believes black people are unable to compete against the world’s best.
The party appears to support some form of virtual apartheid, where blacks only compete against blacks. We will never become a world-class country that way.
All our economic players must compete against the best in the world. The colour of a player must never count for, or against, that person. True, whites have deep reserves of social and human capital, and such capital is the real wealth of any nation. True, blacks have historically been excluded from opportunities to acquire such wealth. However, race quotas will only set these inequalities in concrete.
Willem CronjeVia e-mail