Godongwana tables mini budget as parties demand municipal reform

The Medium-Term Budget Policy Statement (MTBPS) sets out government's revised economic outlook and adjusted spending estimates. Section 28 of the Public Finance Management Act requires National Treasury to table it. Parliament calls it the mini budget, and says it lets departments apply for adjustments and request extra funds for unforeseeable and unavoidable spending.

Parliament says the statement also lets Parliament and the public engage with budget plans before the national budget in February. The national budget follows about three months after the October tabling.

Before the tabling, opposition parties pushed for stronger municipal accountability. DA finance spokesperson Kingsley Wakelin said municipal failures are an economic and fiscal risk that affects business and job creation. He said debt relief should come with strict conditions and consequences.

The DA said municipalities must do more to recover water and electricity costs so they can pay bulk suppliers. Rise Mzansi said falling household income erodes municipal revenue. ACDP representative Steve Swart said citizens deserve value for the taxes they pay. Godongwana said Treasury plans to clamp down on how municipalities spend their grants.