Stop bank account folly

There are three provincial governments apparently considering transferring their government bank accounts (about R120bn) to a state bank. This triggers red lights.

The Public Finance Management Act states that these funds must be in a commercial bank. It goes against the spirit of the National Development Plan. Given the massive fraud and corruption at almost every state-owned entity, we can assume billions of rand will disappear in the state bank. A state bank will take us back to socialism. A state bank will be another South African Social Security Agency disaster — bringing to mind the words of Chief Justice Mogoeng Mogoeng: “How do you get to the level where your clients make themselves look like they are incompetent…. ”

Could ANC MPs and councillors please raise their hands so that we can see who will agree to have their salaries paid into a state bank? None will be so brave. Trade unions and legislatures should stop this ANC plan, because the poor will suffer as fewer funds will be available for education, schools, clinics, hospitals and much-needed service delivery. Let us stop it before it starts.

Dr Ivan Meyer Western Cape MEC for finance