Close to 20 KZN municipalities at risk of losing funding from National Treasury
The provincial finance department says it's considering recommending to the Finance Minister, Enoch Godongwana, to invoke Section 216 on some poor performing municipalities.
KwaZulu-Natal Finance MEC Francois Rodgers. Picture: @KZNTreasury/X
JOHANNESBURG - At least twenty municipalities in KwaZulu-Natal are at risk of losing their funding from National Treasury due to poor financial management.
The provincial finance department says it's considering recommending to the Finance Minister, Enoch Godongwana, to invoke Section 216 on some poor performing municipalities.
The minister recently threatened a similar action against the Johannesburg municipality.
In a statement, the department says high levels of unauthorised, irregular, fruitless and wasteful expenditure cannot continue unabated.
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Department spokesperson, Nkosikhona Duma said municipal managers must implement consequence management and deal with errant officials or face the consequences of losing their grant funding.
"Municipalities are the closest sphere of government to citizens; they are key to service delivery. Failure to comply with financial management prescripts does not bode well for the agenda of developing an ethical and capable state."