Joburg mayor Gwamanda assures residents 'city remains financially stable'

JOHANNESBURG - Joburg Mayor Kabelo Gwamanda has assured residents that the city’s coffers are intact following a two-year financial crisis.  
 
The municipality recently reduced its R80 billion budget due to the lack of revenue collection and poor performance of entities.
 
Speaking during his second State of the City address on Thursday, Gwamanda said the city’s unqualified audit opinion for the 2022/23 financial year is proof that progress has been made.
 
Over a year ago, the City of Joburg took out a R2 billion short-term loan from the Development Bank of Southern Africa to assist the cash-strapped municipality with operational costs.
 
The city has also been struggling to recoup revenue from residents and businesses that have failed to pay municipal rates and taxes for months.
 
But Gwamanda said the city is making significant strides to recover from its financial crisis.
 
“The city has adopted an intensive revenue collection and enhancement initiative to assist us recoup revenue outstanding to the city… we are also pleased to assure residents that their city remains financially stable.”
 
Opposition parties have told Eyewitness News that Gwamanda has failed to paint a realistic picture of where Johannesburg stands financially.

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