DA to fight ANC's attempt to nationalise private pensions
The Democratic Alliance (DA) on Sunday accused the African National Congress (ANC) government of resorting to exactly the same "desperate tactics" used by the apartheid regime when they could not raise capital in the international markets.
"Reports indicate that the African National Congress is still intent on gunning for South Africans’ hard-earned pensions and retirement funds by imposing prescribed assets," DA spokesman Alf Lees said.
ANC treasurer general Paul Mashatile was quoted on Sunday as having said the ANC “will investigate the introduction of prescribed assets on financial institutions' funds to unlock resources for investments in social and economic development”.
"Due to their failures in government, the ANC is now set on forcing the Government Employees Pension Fund (GEPF) and private pension funds, through legislation, to free up capital for bankrupt state-owned entities by using South Africans’ pensions and investments," Lees said.
"This is exactly the desperate tactics used by the apartheid regime when they could not raise capital in the international markets. The failing ANC’s 24 years of corruption, mismanagement, and their lack of political will has resulted in the public coffer running empty and investment drying up," he said.
The United States, the United Kingdom, Germany, the Netherlands, and Switzerland’s memorandum sent to the presidency recently raising concerns over corruption was proof of this. Even foreign investors recognised South Africa had an "ANC problem".
Prescribing how financial institutions and pension funds must invest the life savings of pensioners was not the solution to the country’s economic woes. It would only give the ANC another bite at the corruption cherry.
"The failing ANC government poses a great threat to South Africans’ pension funds and the Democratic Alliance will explore every avenue to fight for the protection of pensioners," Lees said.