MINISTER OF FINANCE’S POSITION ON SACC REPORT AND ANN7 NEWS REPORT

 The Minister of Finance Malusi Gigaba has noted the report by The State Capacity Research Project, commissioned by the South African Council of Churches (SACC), which was released last week. He acknowledges and shares the serious concerns about corruption that were raised in the report.

The interest of the people should always be central in the decisions of public officials. Notwithstanding these concerns, there are conclusions made in the report that he does not agree with. Given the serious nature of the issues raised, he will engage with the SACC to address the areas of disagreement.

“We have great appreciation for the unique role that faith-based organisations such as the SACC have to play in building a united front to defeat the malaise of corruption,” said Minister Gigaba. Institutions of the state should be used for the benefit of all within the South African society, and not for self-enrichment.

Transformation of our society to create a more inclusive economy has to be done while observing the highest standards of corporate governance. Inclusive growth is meant to achieve broad-based transformation, mobilise investment, and create jobs for the benefit of all South African citizens.

Minister Gigaba wholeheartedly supports the ANC National Executive Committee decision on the establishment of a Judicial Commission of Enquiry into allegations of state capture to do thorough investigations, get to the bottom of the allegations and put the matter to rest.

The Minister has also noted with concern an ANN7 television channel news report claiming that an internal Treasury audit into government's Integrated Financial Management System had revealed financial mismanagement. The Minister is, together with National Treasury leadership, looking into the issues raised in the news report. “It is in the interest of clean governance and the fight against corruption that we closely examine any report that is brought to our attention that relates to any claims of irregularity. Building and maintaining public confidence is key in the work of the National Treasury”, said Minister Gigaba.

An investigation into the matter has not yet been concluded. Once the investigation has been concluded, National Treasury will brief the public about the outcome. While National Treasury leadership will be looking into claims made in the news report, Minister Gigaba would like to reiterate his confidence in the integrity of his predecessors as well as the Directors-General who have served the department.

Statement issued by Mayihlome Tshwete, Ministry of Finance, 31 May 2017