21 August 2019
George Financially Sound
Ranked third in South Africa, Second in Western Cape
George Municipality officially ranked third in list of most financially healthy cities in SA and second in the Western Cape
South Africa’s 27 municipalities with the largest budgets include the country’s eight metros and 19 secondary cities. Drakenstein Municipality is first, with Steve Tshwete Municipality (Mpumalanga) in second place, and George Municipality (Western Cape) and Emalahleni Municipality (Mpumalanga) jointly in third place.
In the Western Cape – the top-performing province - Drakenstein Municipality achieved first place with George Municipality claimed the second place, while the City of Cape Town and Stellenbosch Municipality share the third place.
Executive Mayor Melvin Naik. "This is a huge accolade for us as municipality which has been heavily criticized the past 12 months in the media for various reasons. As Mayor I can say that we attribute this accolade to constant hard work, following due processes with regard to procurement and adhering to governance principles to ensure the delivery of quality basic services. It really is a combination of hard work and dedication."
This is according to The State of Local Government Finances and Financial Management as at 30 June 2018
report, just released by Treasury. This report evaluates the state of municipal finances in South Africa, using eight key measures:
1. Cash as a percentage of operating expenditure;
2. Persistence of negative cash balances;
3. Overspending of original operating budgets;
4. Underspending of original capital budgets;
5. Debtors as a percentage of own revenue;
6. Year-on-year growth in debtors;
7. Creditors as a percentage of cash and investments; and
8. Reliance on national and provincial government transfers.
Treasury has rated South Africa’s metros and secondary cities, as well as 186 local municipalities and 44 district municipalities - in total 257 municipalities - on the eight abovementioned indicators.Last published 21 August 2019