PRESIDENT Cyril Ramaphosa has provided further details around the government’s planned District Development Model and how it will be implemented to improve the country’s municipalities.
Speaking at a South African Local Government Association (Salga) event on Wednesday, Ramaphosa said that only 5% of the country’s municipalities are financially stable. Several others are in financial distress, with insufficient revenue to meet their expenses.
“Some 64 municipalities are considered to be dysfunctional. This dysfunction is rooted in poor governance, weak institutional capacity, poor financial management, corruption and political instability.
“By June last year, some 26 municipalities had been placed under administration. This number has now risen to 31 municipalities under administration. We continue to hear about municipalities under threat of administration.”
Based on these failings, many residents have lost faith in the ability of local government to meet their needs, as have many investors, the president said.
Several municipalities have been successfully
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