BUSINESS MAVERICK – 2019 ELECTIONS: What the manifestos reveal about the parties’ economic policies (Part 1)

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2019 ELECTIONS: What the manifestos reveal about the parties’ economic policies (Part 1) By Reg Rumney

You could probably have guessed that the EFF’s economic policies are strongly interventionist, contradictory, and would soon lead the country to land in the unforgiving arms of the foreign financial rescue, in the form of the International Monetary Fund.

The EFF both agree on the need for policies that encourage the government and the private sector to buy local products. The EFF would nationalise mines, banks, and “other strategic sectors” of the economy, all without compensation and, for some unknown reason, game reserves. It would renationalise Sasol and Iscor and increase the State’s stake in Telkom to 60%.

The VBS was a mutual bank, which is a form of financial institution supposedly ultra-cautious in its lending practices and. The ANC wants to start more mutual banks, and to foster the growth of not-for-profit co-operative banks to diversify the banking sector. That the ANC is reticent about BEE in its manifesto, mentioning it once, shows how the party now views this policy, which was one of the defining features of the Mbeki era. The ANC does not have much to say about BEE, except to confirm it is still policy.

 

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