MTBPS: Madlanga Commission, municipal elections set for additional funding as Treasury increases contingency reserve

The Madlanga Commission of Inquiry and next year’s municipal elections will receive a big chunk of additional funding, as Treasury increases its contingency reserve to a whopping R13.5 billion.

Treasury sourced additional funding through increased revenue and debt savings, as it revises its spending priorities over the medium-term to cater for infrastructure and other contingencies.

The adjustments contained in the medium-term budget policy statement also include funding disaster relief backlogs that were not funded in the last financial year.

While Treasury hasn’t finalised the spending amounts for each of the items, the funds it set aside for a rainy day have increased substantially thanks to a primary surplus.

According to the Treasury, the contingency reserve is revised upwards from R5 billion to R13.5 billion, mostly for various infrastructure projects such as Parliament’s reconstruction, freight rail and the 2026 local government elections.

The 2025 adjustments also include rollovers of R5.2 billion from the previous year and unavoidable expenditure of R1.6 billion, mostly for disaster relief and R147 million for the Madlanga Commission of Inquiry.

Finance Minister Enoch Godongwana has now come through with some of the undertakings made in his May budget.

"Amongst the in-year adjustments is also R2 billion for the rebuilding of Parliament and R1 billion for the Independent Electoral Commission for the 2026 municipal elections. In addition, the spending announced in the May budget for the National Dialogue, as well as its carry-through costs, are catered for."

The budget adjustment also includes spending for Statistics South Africa, as well as the Office of the Chief Justice.

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