Close out reports show R605m underspend by government departments
17 August 2016
KZN’s unaudited 2015/16 departmental budget close out performance reports once again confirm that when it comes to financial management and budget implementation the ANC staggers from one extreme to another, unable to find the capacity to deliver its mandate to the people, unable to create jobs and stimulate economic growth and ultimately improve the lives of all it citizens.
This as the province reports a massive under expenditure of more than R605 million for the past financial year with the main transgressors being Education with R274 million, Social Development with R98.9 million, Agriculture with R93 million and CoGTA at R63 million.
Only Health over-spent against their Compensation of employees budget (by R167.216m) mainly due to an under-estimation of the costs of the housing allowance adjustment, as well as an increased take-up of the allowance following the increase. The increase in this allowance formed part of the 2015 wage agreement
The DA finds it inexcusable that budgets allocated to departments are not being spent while unemployment rates increase and growth rates stagnates.