By Antony Sguazzin
Johannesburg’s mayor has been asked to explain how South Africa’s richest city will recoup R24.4 billion ($1.4 billion) of funds squandered in “unauthorised, irregular, fruitless and wasteful expenditure.”
Minister of Finance Enoch Godongwana has given Dada Morero 14 days to explain how he plans to fix the city’s finances, according to a letter dated July 30 seen by Bloomberg.
The city may lose part of the funding it receives from the central government if Morero doesn’t comply with the request.
Home to some of the continent’s biggest companies and its largest stock exchange, Johannesburg has been struggling to maintain basic services.
Losing financing will further hit the city — poised to host leaders from the world’s biggest economies in November — where roads are riddled with potholes and its 5 million inhabitants have to suffer regular water and power outages as well as high levels of crime.
“The
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