Gloria Motsoere19 February 2024 | 6:10

Tshwane optimistic of favourable Treasury decision after submitting plan to avoid R629m funding withdrawal

The cash-strapped capital was given seven days to submit a motivation to explain why it should continue receiving the grants from National Treasury after failing to spend it previously.

Tshwane optimistic of favourable Treasury decision after submitting plan to avoid R629m funding withdrawal

Jacaranda trees in the City of Tshwane. Picture: South African Tourism/Flickr

TSHWANE - The cash-strapped City of Tshwane said it had submitted a plan to National Treasury to avoid the withdrawal of R629 million in funding.

The capital city was given seven days to motivate why it should continue receiving the grants, as it failed to spend the money.

ALSO READ: Tshwane mayor says city's recovery plan could turn finances around in 6 months

The funds were earmarked for urban development, including improving public transport and upgrading informal settlements.

City spokesperson Selby Bokaba said the metro detailed its reasons and it believes a compelling case has been made to Treasury.

“The city informed National Treasury that it has developed recovery plans to ensure accelerated expenditure of the grant funds and explained what had contributed to unsatisfactory performance as of 31 December 2023. The city is optimistic that National Treasury will make a favourable determination based on the city’s case it has presented.”