Gauteng Premier David Makhura
THE provincial cabinet led by Premier David Makhura yesterday approved a plan to establish a Gauteng state bank to support township economy as part of its bigger mandate.

Makhura spoke to the Pretoria News about the proposed bank, on the sidelines of a provincial cabinet meeting hosted behind closed doors at Tshwane South College in Mabopane.

“We approved a plan for a provincial bank. There is significant work done by the provincial government team to say that a Gauteng state bank is indeed feasible and we need other role-players - private sector investors.”

He said the bank would focus on supporting township businesses.

“It will also support the township people who have land and want to build themselves decent houses on the back of the rapid land release programme,” Makhura said.

The rapid land release programme was a provincial initiative meant to hand over parcels of land to people who wanted to build houses for themselves instead of waiting for government to build them RDP houses.

“The release programme needs some follow-through to support those who want to build houses for themselves,” he said.

The next steps for starting a government bank would include the application processes of a banking licence.

“One of these processes will include talking to investors,” he said.

Makhura said the bank would cater for township people who were often told they could not be funded by the mainstream banks.