Home PoliticsANC NEWSANC KZN: Ithala Bank Saved, Regional Task Teams Deployed, and Municipal Renewal Underway

ANC KZN: Ithala Bank Saved, Regional Task Teams Deployed, and Municipal Renewal Underway

by Central News Online
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ANC KZN

ANC KZN

The African National Congress (ANC) in KwaZulu-Natal (KZN) held a media briefing on Tuesday, 24 June 2025, at the ANC Provincial Office in Dr Pixley KaSeme House, Durban, to announce bold decisions and strategic interventions set to reshape the political and developmental landscape of the province. The party’s leadership, led by provincial convenor Jeff Radebe and coordinator Mike Mabuyakhulu, outlined key developments regarding the future of Ithala Bank, the deployment of Regional Task Teams (RTTs) across all 11 regions, and the outcomes of a recent summit on local government and service delivery. These moves come as part of the ANC’s broader plan to rebuild and renew its presence in KZN after a sharp decline in support during the 2024 general elections, where its vote share dropped from 54% to 17%. With the 2026 local government elections on the horizon, the ANC is working hard to reconnect with communities and tackle pressing issues affecting the people of KZN.

Saving Ithala Bank: A Lifeline for Vulnerable Communities


Ithala Bank, a state-owned financial institution, has been a cornerstone for many in KZN, especially in rural and township areas. For decades, it has provided banking services, supported small businesses, and empowered communities excluded from mainstream banks. However, recent years brought serious challenges, including governance failures and regulatory issues flagged by the Prudential Authority and the South African Reserve Bank. These problems led to legal action that threatened to shut down the bank, a move that would have hit thousands of families and small businesses hard.
Faced with this crisis, the ANC in KZN sprang into action. Provincial leaders, including Radebe and Mabuyakhulu, held talks with Finance Minister Enoch Godongwana to find a lasting solution. Their efforts paid off, and during the briefing, Radebe announced a major win: “Ithala will not be liquidated”. This decision, hailed as a “victory for the people of KZN,” ensures the bank can keep serving its vital role in the province’s economy.
The breakthrough includes a guarantee from the Finance Minister for all depositors, no matter how much they have in their accounts. Initially, only deposits up to R100,000 were set to be protected, but the new deal covers everyone. This move stops the Prudential Authority’s liquidation push in its tracks, making any ongoing appeals—such as one pending in the Supreme Court of Appeal—largely irrelevant. It’s a game-changer for rural women, small farmers, savings clubs, and township dwellers who rely on Ithala.
But the work isn’t done.

The ANC outlined a clear plan to secure Ithala’s future, including:

  • Improving governance and internal controls to fix past mistakes.
  • Ensuring compliance with national banking rules.
  • Exploring partnerships that keep Ithala’s focus on development.
  • Launching a turnaround strategy built on transparency and accountability.
  • Keeping talks going between provincial and national government to reposition Ithala as a strong developmental finance institution.
    This effort was also spurred by a directive from King Misuzulu kaZwelithini, who, during a meeting with the ANC in March 2025, urged the party to save Ithala. Radebe called this an “instruction,” noting the deep ties between the ANC and traditional leadership in KZN, dating back to King Dinuzulu kaCetshwayo, an honorary president of the ANC at its founding in 1912. With this win, the ANC is showing it’s committed to protecting institutions that matter to the people.

Regional Task Teams: Rebuilding the ANC from the Ground Up


To strengthen its roots in KZN, the ANC has rolled out Regional Task Teams (RTTs) across all 11 regions of the province. These teams, made up of experienced and loyal party members, are tasked with rebuilding the ANC after its poor showing in the 2024 elections. The RTTs follow the dissolution of all 11 Regional Executive Committees (RECs) earlier this year, a bold step to reset and renew the party ahead of the 2026 local government elections.
During the briefing, Radebe named some key figures leading the RTTs:

  • Comrade Don Gumede from eThekwini, a respected organiser with years of political experience.
  • Comrade Belinda Scott, former MEC for Finance and deputy mayor of eThekwini, known for her clean governance record.
  • Comrade Zet Luzipho from the Moses Mabhida region, a trade unionist tied to workers’ struggles.
  • Comrade Nathi Mthethwa, a veteran ANC activist with a strong history in the liberation movement.
    These leaders will focus on restoring stability, unity, and purpose within the ANC and its alliance partners. The provincial task team, appointed by the ANC’s National Executive Committee in February 2025, has a nine-month mandate to get the party back on track. This includes making sure all branches are active and members are in good standing under a new membership system led by national organiser Dr Zweli Mkhize and provincial organiser Jabulani Sibiya. The goal? To rebuild the ANC “root and branch, brick by brick,” as Radebe put it, and make it a force in every community again.

Municipal Renewal: Fixing Local Government


Over the weekend of 21-22 June 2025, the ANC and its alliance partners—including the SACP, COSATU, and progressive groups—held a Local Government and Service Delivery Summit in Durban. More than 500 delegates from KZN’s 54 municipalities attended, representing ANC-led councils, coalition governments, and areas where the ANC is in opposition. The summit tackled the crisis in local government, where financial mismanagement, poor service delivery, and eroded trust have left communities frustrated.
Key problems raised included:

  • Financial mismanagement: Cases like a district municipality selling water tankers to a local mayor, who then supplied them back to the same council, raised red flags about conflicts of interest.
  • Selective targeting: Delegates pointed to what they see as bias by the KZN Department of Cooperative Governance and Traditional Affairs (COGTA), claiming ANC-led municipalities are unfairly singled out for scrutiny.
  • Unspent grants: Money meant for services is often returned to the national treasury unused or misused, a “betrayal” of the people, as coordinator Mabuyakhulu described it.
  • Inconsistent grading: Uneven pay and grading of municipal officials and councils cause instability and demotivation, sometimes sparking labour disputes.
    The summit came up with solid resolutions to turn things around:
  1. Restoring stability: By August 2025, all 54 municipalities must take steps like filling vacancies, aligning development plans, and improving labour relations.
  2. Better financial management: The ANC will push for accountability, reject wasteful spending, and ensure suppliers are paid within 30 days unless there’s a valid issue.
  3. Faster service delivery: A provincial plan will prioritise water, sanitation, electricity, housing, and waste services, with a special water summit planned to address KZN’s water woes.
  4. Boosting local economies: Municipalities will partner with national and provincial departments to create jobs and drive sustainable growth.
  5. Reviewing the White Paper: The ANC and its allies will submit ideas to the ongoing review of the 1998 White Paper on Local Government by the 30 June 2025 deadline, pushing for a funded, accountable local government system.
    The summit stressed clean governance, vowing to fight corruption and nepotism across all municipalities—whether ANC-led or not. It’s about rebuilding trust through action, not just promises.

Reconnecting with the People


The ANC insists these steps aren’t just about winning votes but about serving KZN’s people. Radebe highlighted how saving Ithala protects rural women, small farmers, and township residents who depend on it. Still, he admitted the 2024 election results were a “wake-up call.” Since February, the provincial task team has met with traditional leaders, religious groups, civil society, and academics to rebuild ties. Events like the ANC Youth League gathering on 15 June 2025 at Kings Park Stadium in Durban showed strong community support, with Radebe noting the “enthusiastic turnout” as proof people still believe in the ANC.

Challenges Ahead


Despite the optimism, hurdles remain. Ithala needs reforms to meet banking standards and possibly secure a full license—it’s been operating under an exemption from the Finance Minister. The ANC must also win back voters in a competitive KZN political scene, where the Inkatha Freedom Party (IFP) and Democratic Alliance (DA) are strong players. Plus, tensions with COGTA over alleged bias could strain the Government of Provincial Unity (GPU), a coalition arrangement in the province. Radebe called for “consistency in the application of the law” to keep things fair.

ANC KZN
ANC KZN

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