Parliament, Tuesday 20 June 2023 – The National Council of Provinces (NCOP) has, during its hybrid plenary this afternoon, passed the South African Postbank Limited Amendment Bill and the Financial Matters Amendment Bill.
The first bill, known as the South African Postbank Limited Amendment Bill, aims to make changes to the South African Postbank SOC Limited Act. This is being done to address risks associated with the current structure of the Postbank, where the South African Post Office (SAPO) is the sole owner and shareholder. The Bill also seeks to amend other sections of the Act affected by the changes in the reporting structure and to establish a new holding company for the Postbank. These changes will facilitate the Postbank's registration as a Bank Controlling Company, allowing it to operate as a full-fledged bank.
The second Bill, called the Financial Matters Amendment Bill, includes technical modifications to various Acts related to financial matters. These Acts include the Associated Institutions Pensions Fund and Temporary Employees Pension Fund Act, Military Pensions Act, Government Employees Pension Law, Financial and Fiscal Commission Act, Agricultural Development Bank Act, and Auditing Profession Act. The purpose of these amendments is to align the provisions with the administration by the Minister of Finance, make necessary consequential changes, and update references to other ministers.
Some notable amendments in the Financial Matters Amendment Bill address issues in the Military Pensioners Act, aiming to rectify past discrimination against life partners of military pensioners. The changes will allow life partners to claim benefits retrospectively from the date the amendment took effect. The bill also includes an amendment to the Government Employees Pension Fund (GEPF) to simplify administration and apply the "clean-break" principle to members of the Associated Institutions Pension Fund (AIPF). This principle ensures that a spouse of a GEPF member can claim their pension interest immediately upon divorce or dissolution of a customary marriage, without having to wait for the member's entitlement to a portion of the pension.
Both Bills have been agreed upon by the Parliament and will now be sent to the President for final approval.
Once signed into law, the South African Postbank Limited Amendment Bill will enable the Department of Communication and Digital Technologies to position the Postbank as a State Bank and the Financial Matters Amendment Bill will improve the administration and provisions related to financial matters in various Acts.
ISSUED BY THE PARLIAMENT OF THE REPUBLIC OF SOUTH AFRICA
Enquiries: Moloto Mothapo
Arrange a tour