The potential of public banks to fund local quality public services
Apr 26, 2023
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PSI has published a new policy brief for workers and trade unions about “The potential of public banks to fund local quality public services for all”.
Authored by Dr. Thomas Marois, Reader in Development Studies at SOAS (University of London), the paper can be used by PSI trade unions to build an understanding of what public banks are, how they operate (or should operate), where they can be found in their local communities, what good governance could look like (including workers and community participation), and how they can be mobilised in the public interest.
The potential of public banks to fund local quality public services: A policy brief for workers and trade unions
Accessing a regular stream of public resources to provide access to local quality public services remains a major challenge for most local and regional governments (LRGs) worldwide. Regular, adequate and appropriate funding for LRGs goes hand in hand with LRG workers’ employment and decent working conditions, as well as with equitable access to quality local public services in communities and territories. Covid has sharpened this LRG funding crisis. Within this context, the temptation for LRGs to resort to quick patches and short-sighted solutions to attract private capital is strong.
Public banks are among the policy levers that PSI has identified to explore to strengthen subnational financing systems to fund local quality public services and jobs. A 2020 estimate by the author counts 910 public banks worldwide with total combined assets of 48.71 USD trillion. This is an incredible amount of public resources that could be put to good use to work towards common goals, including boosting local public service provision, de-carbonisation, active employment policies, and inclusive socio-economic development. This is why public banks - and their democratisation - should be a key concern for trade unions globally -but also for local authorities and progressive civil society groups.
The junction of multiple crises – pandemic, climate, social, economic, displacement and war - calls on LRG workers and their unions to review existing public funding options and explore new opportunities available to collectively strengthen public funding to boost the equitable provision of quality local public service for all.
The paper was released on 20 April during the first 2023 Session of PSI Global LRG Workers’ Network.
Video
This video of Thomas Marois introduces "The Potential of Public Banks to Fund Local Quality Services". Thomas Marois is a Reader in Development Studies, SOAS University of London, who specialises in political economy.
Why should public service unions engage with public banks? – Thomas Marois
PSI is organising a live conversation with Thomas Marois about the potential of public banks to fund local quality public services that will take place on
14 September 2023 - 9.30-11am EST //11.30-13am GMT-3// 3.30-5pm CEST
(find your local time here).
Interpretation will be available in English, French and Spanish.
