‘Gauteng not facing bankruptcy’ – Maile

Maile outlined the province's financial status at a media briefing in Johannesburg on Tuesday.

“The issue of possible bankruptcy by June 2025 has no merit as the budgets for the 2025/26 financial year have not yet been finalised. The Roadmap to the Finalisation of the 2025 MTEF Budget The approach for finalising the budget builds on key events in the provincial planning and budgeting processes to work towards optimally funding government priorities,” he said.

Maile says as at the end of November 2024, the province spent 68% (R115,238 billion) of the over R169 billion from the adjusted budget. This leaves an estimated R53 billion available to spend until the end of the current financial year in March.

The MEC pointed to the health and education departments were the big spenders, accounting for 80% of the total expenditure.

“The Gauteng Department of Health expenditure is R46.1 billion or 69.8% against the adjusted appropriation of R66.017 billion. This is attributed to the main programmes; Central Hospital Services, District Health Services, and Provincial Hospital Services. The department received an additional R600 million during the recently adjusted budget to partially offset pressures in the Compensation of Employees.

“The Gauteng Department of Education expenditure is R45.9 billion or 69.5% against an adjusted budget of R66.142 billion, with high spending emanating from the Public Special Schools and Early Childhood Development programmes. Expenditure for Goods and Services at the end of November 2024 amounts to R5 billion of the adjusted allocation, on account of accruals from the previous financial year.”

Maile reiterated that while the Gauteng Provincial Government is operating under a strained fiscus environment, the province is not facing bankruptcy.

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