Thirty-eight
out of South Africa’s 257 municipalities received a clean audit.
This
was revealed by the Auditor-General of South Africa, Tsakani Maluleke, who presented
the Local Government audit outcomes for 2021/22 financial year.
PICTURE: Auditor-General SAShe
further told the Standing Committee that 104 have credible financial
statements, 78 received a qualified audit, six received adverse findings, 15
have disclaimers and 16 have outstanding audit outcomes due to late submission
of financial statements.
‘’There
is no improvement to address the deterioration in municipalities’ internal
financial controls. The accountability of local government need to be active to
institutionalise key control instruments consistently over time,’’ said Tsakani
Maluleke, Auditor-General of
South Africa.
“Local Government’s poor implementation of its
delivery mandate relates directly to poor financial management and planning.
The absence of these instruments often leads to an unfunded budget and
unauthorised expenditure,’’ she added.
The AG
blamed local government’s poor financial and performance management on a lack
of the requisite skills, which contributes to poor record keeping and audit
outcome controls and compliances.
The
best-run municipality in the country is the West Coast District Municipality,
which has achieved a clean audit for 12 consecutive years
Meanwhile,
Cape Town Mayor, Geordin Hill-Lewis, received the City’s clean audit award for
the 2021/22 financial year from the Auditor General (AG) at a ceremony in
Saldanha on Friday.
Hill-Lewis
said the City is currently driving an ongoing culture change campaign inside
the City administration to cut red tape.
Cape
Town has received unqualified audits every year since 2006.
Done By: Esobusi Mkangelwa
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