SACP March Saturday 21 October 2000 - SACP Western Cape
17 October 2000
National Mobilisation to make Banking sector serve the people.
The SACP is organising a march and rally for Saturday 21st October 2000 commencing at
10am at Keisergracht, District Six, Cape Town. The march will proceed to hand in
memorandums to Ministry of Finance at Parliament, corner of Roeland and Plein Streets and
the Banking Council at First National Bank, Adderley Street. The march will be addressed
by SACP Deputy General Secretary, Jeremy Cronin, ANC Western Cape Provincial leader,
Ebrahim Rasool, and COSATU National Deputy President, Joyce Pekane. Thereafter th ere will
be a rally that will be addressed by the Alliance speakers.
The campaign is being supported by COSATU and its affiliated unions, the African
National Congress and a broad range of civic, community and non-governmental
organisations. The Cape Town march and rally is part of a national day of action in which
similar marches and rallies will take place in all the major cities and towns across South
Africa.
SACP Western Cape Provincial Secretary, Gwebs Qonde, says, SACP branches and alliance
structures have been working energetically to make the rally a great success. We have
encountered a tremendous amount of support on the ground, from working people and al so
Black business.
This National day of action takes place against the background of the following:
More than 15 million South Africans have no access to basic banking services, which
should and must be available to all. The reasons for this include the fact that the banks
insist that people must earn above a certain amount to open a bank account. In a country
where more than 2 million employed people earn less than R1000 per month some banks
require a minimum salary of R 3000 per month. In other words banks deny the right to
workers and poor people to open accounts and therefore save.
Those workers who are able to open accounts face exorbitant bank charges and
transaction fees, that are in fact higher than those charged to wealthier customers, who
often enjoy preferential charges and perks. Interest rates charged for loans are also more
favourable for those who have more money.
Red lining by banks, including in the provision of housing loans and loans for small
business, is widespread and chronic. Banks often refuse to provide such services simply
because a person is from a particular black industrial area or township. This amo unts to
racial discrimination against black people.
Millions of poor people collect money in the form of stokvels, burial societies and
savings clubs which is deposited with banking institutions. But individual members of such
societies cannot get loans or use this money for community development in many ca ses the
money is only available for the funerals. However banking institutions do not invest this
money which collectively exceeds R10 billion or even a small percentage of it in projects
in Black communities.
Denied access to credit from banks, many people are obliged to resort to micro lending
institutions where they face extremely exploitative interest rates in some instances up to
30% a month.
Added to this are the operations of the so-called Credit Bureaux. Thousands of people
have been blacklisted by these Credit Bureaux that operate without any effective
regulation. When someone is blacklisted by a Credit Bureau, for example after becoming u
nemployed, they often remain blacklisted even when they have settled their debts.
The SACP says that we must take action to make the banks serve the people.
We are calling for:
- Better banks which meet our needs
- Lower bank charges and interest rates
- No Red Lining
- Banks which invest in our townships and rural areas
- A NEDLAC Summit on changing the banks.
Socialism is the Future . Build it now .
Ubudlela ndawonye likamva . Bakhe ngoku .
Sosialisme is die Toekoms . Bou dit nou
For further comment, contact Gwebs Qonde, Provincial Secretary at 4487908 or 082
7059457.
South African Communist Party
Western Cape Provincial Office
Tel : 27 (021) 4487908 Fax : 27 (021) 4477167
Email : sacpwc@icon.co.za
Community House, 41 Salt River Road, Salt River 7925
PO Box 40, Woodstock, 7915
