BusinessLIve reports that only 18 municipalities managed to obtain clean audits for the 2017/2018 financial year, according to auditor-general Kimi Makwetu.
This was a regression from the 33 municipalities that received clean audits in the previous year. Makwetu indicated on Wednesday at the release of the municipal audit results that the outcomes of 63 municipalities of those audited for the 2017/2018 financial year had regressed, while only 22 had improved. He said credible financial statements and performance reports were crucial to enable accountability and transparency in government, but that most municipalities continued to fail in such areas. There was material noncompliance with key legislation at 92% of municipalities, which was an increase on 85% in the previous financial year. While irregular expenditure remained high, it was down to R25.9bn in 2017/2018, in comparison to the R29.7bn in 2016/2017. Makwetu observed that there was a lack of consequences for transgressions and irregularities, which included a failure to investigate findings made, as well as take action on those findings. He also raised his concern about the increasingly hostile environment the auditor-general's auditing teams faced and emphasised that that the accountability failures in local government had had a negative effect on the lives of citizens.
- Read the full original of Claudi Mailovich’s report in the above regard at BusinessLive
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