South African Postbank Bill [B14-2009]
The South African Postbank Bill was tabled in Parliament on 9 November 2009. The Bill intends to establish a financial institution mainly directed at the rural, poor and ‘unbanked’ communities of South Africa.
The South African Postbank Bill [B14-2009] was tabled in Parliament on 9 November 2009. The aim of the Bill is to provide for the incorporation of the Postbank Division of the South African Post Office and the establishment and incorporation of the South African Postbank Limited (the “Postbank Company”). The Post Office will be the sole member and shareholder of the Postbank Company. Furthermore, the legislation will provide for the legal framework, governance and functions of the Postbank Company.
The primary objectives of the Bill are to establish the Postbank Division of the Post Office as a separate legal entity with the aim of:
- conducting the business of bank and attracting savings from principally the rural poor communities of South Africa;
- rendering services, including transactional and lending services through the existing wide-spread infrastructure of the Post Office; and
- developing the Postbank Company into a bank of first choice for the rural, poor and ‘unbanked’ communities of South Africa who do not have access to commercial banking facilities or services.
According to Government, the Postbank is the best suited institution for the abovementioned purpose and will need to balance developmental objectives with financial viability.
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