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Treasury releases Q2 report on local govt revenue and expenditure

Source: South African government National Treasury (NT) has released the local government revenue and expenditure report for the second quarter of the 2023/24 financial year. The report, which applies to the second quarter of the municipal financial year ending on 31 December 2023, covers the performance against the adopted budgets of local government and includes Read more >

AG offers little comfort to long-suffering municipal residents

By Kwazi Dlamini Lack of accountability in local government continues to impede on service delivery and leads to the deterioration of municipalities, says Auditor-General (AG) Tsakani Maluleke in her recently released  2021/2022 audit outcomes of the Municipal Finance Management Act. Reporting to Parliament on 31 May 2023, Maluleke said that most municipalities are struggling to Read more >

Ditsobotla is a symptom of SA’s ignored local govt problem

The local municipality of Ditsobotla in the North West’s Ngaka Modiri Molema District has made news headlines over the past few months for the wrong reasons. From being placed under administration in September 2022, to its financial challenges leading to failure in paying contract workers’ salaries – the latter problem led to said workers invading Read more >

Auditor-General: 2020-2021 MFMA outcomes show continuing decline

Capable leaders should demonstrate change by strengthening transparency and accountability. This is the call from Auditor-General (AG) Tsakani Maluleke, who earlier today tabled the 2020-21 Municipal Finance Management Act (MFMA) audit outcomes in the National Assembly. The usual five-year comparison period encompasses the entirety of the administration that took office in 2016, with local government Read more >

NW treasury launches action plans for municipalities in financial distress

In a bid to improve the running of municipalities in the province, the North West provincial treasury is rolling out financial recovery plans for 14 particularly troubled entities.  Finance MEC Motlalepula Rosho announced the move in June 2021, while tabling the 2021/22 provincial budget. The targeted municipalities all have serious financial management and capacity challenges.   Read more >

Auditor-general: local government on the brink of collapse

By Kwazi Dlamini Auditor-General (AG) Tsakani Maluleke has called on leadership at both political and administrative level to make a determined commitment to tackling the scourge of corruption and irregular expenditure in local government. The consequences will be dire otherwise. Delivering her consolidated annual Municipal Finance Management Act (MFMA) report on local government for the Read more >

Poor planning for Covid-19 relief funds left municipalities vulnerable to fraud

By Kwazi Dlamini  Auditor-General (AG) Tsakani Maluleke continues to raise concerns with the way local governments have handled the Covid-19 relief funds. Maluleke released the third special audit report on Covid-19 related initiatives, together with the 2019/20 Municipal Finance Management Act report – which we cover in an upcoming article – and 43 municipalities were put under the microscope for several reasons.  They include municipalities which contributed the highest amount for irregular Read more >

SIU on the trail of govt officials abusing Covid-19 procurement

On Friday 5 February the Special Investigating Unit (SIU) released a report on its finalised investigations into ‘the procurement of, or contracting for, goods, works and services, including the construction, refurbishment, leasing, occupation and use of immovable property, during, or in respect of the National State of Disaster …’ The investigation was established in terms Read more >