Fraught local election outcomes bode ill for municipal finances

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South Africa Headlines News

The medium-term budget policy statement highlighted the parlous state of councils as a risk to the fiscus

The outcome of SA’s local government elections, which have resulted in an unprecedented number of hung councils, comes as parlous municipal finances are deemed a clear risk to service delivery.

Academics have warned of the difficult road ahead for service delivery in local government, where, even before Covid-19 hit, 163 of SA’s 257 municipalities were deemed to be in financial distress, including four of its metros — Buffalo City, Mangaung, Tshwane and Ekurhuleni. ..

 

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