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The best and worst financial performers across eight South African metros have been revealed this week. Here’s what you need to know.
Photo: Adobe Stock
We have to pay a fair whack to keep our metropolitan regions running, and citizens can often feel a little short-changed at times. Whereas some residents may be justified with their underwhelmed reactions, others will have to realise that their money is being well spent.
National Treasury have this week revealed figures for the eight Metros of South Africa, detailing how much money has been collected and how much then gets spent. Essentially, this is an audit into who spending their money in the wisest fashion.
Top of the pops is the City of Johannesburg. They have come first in revenue collection (98.5%) and second in terms of expenditure (97.5%). These impressive figures have been lauded by DA Provincial Leader John Moodey, who dedicated this success to the locals of Gauteng:
“I want to commend Mayor Mashaba and his team, but most of all, I want to commend the people of Johannesburg. We have a lot of work ahead but we have done good work up to this point and we could not have come this far without the support and help of the people.”John Moodey
However, things aren’t so cheery down in the Eastern Cape. Nelson Mandela Bay is officially the worst performing of the eight Metros in South Africa in terms of aggregate revenue collection (at 85% of budgeted revenue) as well as worst performing in terms of expenditure (at 83.2% of budgeted expenditure).
This double-whammy comes just a year after UDM Mayor Momgameli Bobani took office. His performance has been criticised by local councillor Leander Kruger, who has explained that this careless management of finances could see NMB miss out of R500 million for the next fiscal term:
“The sad state of affairs is compounded by repeated warnings from National Treasury that no roll-over of grant funding to the Metro will be approved unless there is a permanently appointed Chief Financial Officer.”
“As a result, the Metro stands to lose about R500 million in roll-over Grant Funding. Instead of calling a council meeting to appoint a Chief Financial Officer, the Speaker of Council placed the Council in recess for an unprecedented five-week period.”Leander Kruger
The National Treasury also went on to state how all of our Metros are performing combined:
“Metropolitan municipalities achieved 94.8 per cent or R245.5 billion of billed and other revenue of the total adjusted revenue budget of R259 billion. When billed revenue is measured against their actual expenditure, the performance of metros shows surpluses for all trading services for the fourth quarter 2018/19. This does not take into account actual collections.”National Treasury