City of Joburg finances in healthy state‚ says finance MMC

The City of Johannesburg has refuted allegations by the ANC that the city’s financial stability has been in a state of perpetual decline or precarious under Mayor Herman Mashaba’s tenure.

The city’s MMC for finance Rabelani Dagada said the city’s finances were in a sound position and that the Democratic Alliance-led administration had made tremendous progress since taking office to ensure that it ran a clean administration‚ following acceptable governance practices.

He said the City of Joburg was the least dependent on national government grants and the highest spender – proportionately – on social housing‚ community facilities and equipment to enable frontline services.

“We have increased access to basic services‚ including electricity‚ to unprecedented levels‚ including through our new micro-grids in informal settlements. We have increased investment in roads and traffic signals which are the arteries of life and commerce in this great city‚ upgrading our key bridges and highways as we go.” Dagada added that the city had commissioned a forensic accounting investigation to determine the root cause of the liquidity degradation at City Power.

“The results of the investigation will empower us to implement administrative controls that will improve the MOEs’ finances.” A number of revenue enhancement interventions were under way to improve the completeness of revenue and consequently the liquidity position of the city. The city’s financial state of affairs would be revealed by the auditor-general when he issues his report in November 2017‚ Dagada added.