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Makwetu: Municipalities need to plan better, stop spending money they don’t have

Makwetu joined the likes of Cooperative Governance and Traditional Affairs Minister Nkosazana Dlamini-Zuma on Tuesday to address the National Council of Province (NCOP)’s local government week virtual session.

Auditor-General Kimi Makwetu. Picture: @AuditorGen_SA/Twitter

CAPE TOWN - Municipalities need to plan better and stop spending money they don't have.

That’s the simple message from Auditor-General Kimi Makwetu to local governments.

Makwetu joined the likes of Cooperative Governance and Traditional Affairs Minister Nkosazana Dlamini-Zuma on Tuesday to address the National Council of Province (NCOP)’s local government week virtual session.

Makwetu said when money was transferred to local government, municipalities just spend and hope for the best.

He said this was the main reason why many municipalities find themselves in a dire financial situation.

Makwetu said disciplined project planning should be used to prevent wasteful expenditure: “The plans on the articulations of a proper planning system in local government ought to be raised because, without it, it is very difficult to answer to some of the COVID findings.”

Makwetu has also told NCOP delegates another serious problem in local government is how many municipalities have difficulties in generating their own revenue.

“I have already learnt from the earlier presentations that there are many difficulties with regards to generating their own revenue due to various economic constraints.”

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