National govt holding discussions to remedy CoJ's financial health - Godongwana

A national government intervention into the finances of the city of Johannesburg is imminent.

Speaking to journalists on the sidelines of Parliament on Wednesday, Finance Minister Enoch Godongwana said discussions are already underway while a strategy is being considered.

The finances of the country’s economic hub have been in disarray for several years as it struggles to provide basic services and to fix aging infrastructure.

Delivering the 2026 budget, Godongwana warned of a crackdown on municipalities who can’t manage their money.

In a local government election year, a lot is riding on who will take charge of the cash-strapped city of gold.

But Godongwana said even before then, the National Treasury must step in.

“What form that will take is a matter of detail. But going to Johannesburg, we have no option, but to go.”

Godongwana said while the correct legal path for the intervention is still under consideration, talks have already begun between the city’s management and the Treasury’s intergovernmental team.

“My view is that national government has got to find a way to get closer to the Johannesburg situation.”

Last August, Godongwana put the city to terms that its grant funding would be withheld, if it did not get its unauthorised, irregular and wasteful expenditure under control.

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