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Johannesburg - South Africa should have a state bank, trade federation Cosatu said at the launch of its growth path proposals document on Tuesday.
The document gives Cosatu's perspectives on macroeconomic policies, including monetary and fiscal policies.
Cosatu said that a state bank was another way in which development could be financed. "A state bank will ensure that interest rates are low enough to finance productive economic activity," it said its document A Growth Path Towards Full Employment.
According to Cosatu, a state bank would "discipline financial markets" and reduce volatility. It has previously called for more and direct state intervention and participation in the local economy.
Cosatu is supporting calls for state ownership of some of the country's mines and mineral resources.
"Another way to generate resources for development is through public ownership of gold mines," Cosatu suggested.
It said that if a percentage of the gold produced is used as a reserve through which critical inputs can be acquired from abroad, this would lessen the pressure for foreign exchange.
Current debate around the nationalisation of the country's mines has unsettled some investors, but government has continued to publicly state that this was not policy.
The document gives Cosatu's perspectives on macroeconomic policies, including monetary and fiscal policies.
Cosatu said that a state bank was another way in which development could be financed. "A state bank will ensure that interest rates are low enough to finance productive economic activity," it said its document A Growth Path Towards Full Employment.
According to Cosatu, a state bank would "discipline financial markets" and reduce volatility. It has previously called for more and direct state intervention and participation in the local economy.
Cosatu is supporting calls for state ownership of some of the country's mines and mineral resources.
"Another way to generate resources for development is through public ownership of gold mines," Cosatu suggested.
It said that if a percentage of the gold produced is used as a reserve through which critical inputs can be acquired from abroad, this would lessen the pressure for foreign exchange.
Current debate around the nationalisation of the country's mines has unsettled some investors, but government has continued to publicly state that this was not policy.
