Municipalities are living beyond their means, Treasury says
Expenditure is almost 10% higher than the adopted budget
SA’s local government sector, buffeted by crises of fiscal pressure, is living beyond its means, with expenditure exceeding revenue though the situation is projected to improve in due course, the National Treasury said on Wednesday.
Local government is at the coalface of service delivery but poor governance in the sector resulted in most municipalities being run into the ground due to maladministration, looting and corruption. Others struggle to pay staff salaries and employment benefits, deliver basic services such as refuse collection, or provide drinkable water and sanitation. Of the 257 municipalities, 123 have cases of corruption under investigation by the Hawks. ..
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