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Kimi Makwetu to deliver local govt audit results

Last year, Makwetu said only 13% of municipalities were producing quality financial statements.

A screengrab of Auditor-General Kimi Makwetu.

JOHANNESBURG – Auditor-General Kimi Makwetu was expected to deliver the local government audit results for the financial year 2017/18 on Wednesday.

Last year, Makwetu said only 13% of municipalities were producing quality financial statements.

If there was no improvement, this could present an uphill battle to new Minister of Cooperative Governance and Traditional Affairs Dr Nkosazana Dlamini Zuma

Makwetu found last year that irregular expenditure in municipalities had ballooned to R28 billion while service delivery protests had increased exponentially.

In 2017, the National Treasury said half of the 257 municipalities in the country were in financial distress and only 145 received clean audits.

National Treasury also said last year 40 municipalities had negative cash balances and only 13% managed to produce financial statements that complied with all key legislation.

This also followed a damning finding by South African Institute of Chartered Accountants that of the 218 chief financial officers across the country, only 79 met minimum competency requirements.

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