In Herman Mashaba’s first year as mayor, the City of Johannesburg’s rating on financial sustainability has plummeted to just above that of lowly Mangaung in the Free State. Johannesburg is the industrial and economic powerhouse of SA, while Mangaung is regarded as the worst-run metro. Such a low ranking will have an effect on the metro’s ability to raise finance, according to a study released on Thursday. The 2016-17 municipal financial sustainability index was conducted by reputable governance ratings agency Ratings Afrika and Compuscan. The index was based on the results of the 2016-17 financial year to June 2017. It looked at how the 100 biggest municipalities and the eight metros performed in that timeframe. The index is a scoring model that evaluates the operating performance, liabilities, management, budget practices and liquidity position of a municipality and scores these components out of 100. The City of Joburg, which has the largest budget in SA, fell from a score of 41 o...
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