MEC Sikhumbuzo Kholwane: Finance, Economic Development and Tourism Prov Budget Vote 2016/17

  • Honourable Speaker and Deputy Speaker;
  • Honourable Premier, Mr. DD Mabuza;
  • Honourable Members of the Executive Council;
  • Honourable Members of the Provincial Legislature;
  • Members of Mayoral Committees;
  • Chairperson of the House of Traditional Leaders, Kgoshi ML Mokoena;
  • Director-General, Mr. Thulani Mdakane;
  • Head Official of the Provincial Treasury, Ms. Nombedesho Nkamba and other Heads of Departments;
  • Chairpersons of Boards and Chief Executive Officers of the Public Entities;
  • Business Executive of the Office of Auditor-General in Mpumalanga;
  • Chairpersons of Audit Committees and Risk Committees;
  • Representatives of Labour, Business, Civil Society and the Media;
  • Esteemed guests;
  • Ladies and gentlemen;

Policy context

I am greatly honoured and humbled by the opportunity to table the 2016/17 Policy and Budget Vote of Provincial Treasury on the eve of the Freedom Day Celebration. April is a month of special historical significance to the people of South Africa.

It is a month which marks an irreversible political process set in motion to liberate our country and its people from the bondage of colonial apartheid misrule.

We are celebrating a day and a month on which both the oppressor and the oppressed were liberated. We celebrate the gallant efforts and sacrifices of heroic men and women who laid down their lives on behalf of the oppressed masses.

It is worth refreshing that on this historic day, the 27th of April 1994, the ANC led government was installed by an overwhelming majority of the electoral vote.

In celebrating the 22nd anniversary of our freedom we remain alive to the reality that millions remain unemployed, and go to bed hungry with little prospect of food the following day.

The clarity and correctness of our fiscal policy in responding to this historical context remains central to our Programme of Action.
Honourable Speaker, this month reminds us to pay homage to the life and revolutionary contributions of the fallen stalwarts who passed on during the month of April, let the nation take a bow for:

  • Oliver Reginald Tambo;
  • Chris Thembisile Hani; and the
  • Former Minister of Safety and Security Steve Tshwete;

Lastly, this month also marks the 47th Anniversary of the historic Morogoro National Consultative Conference which at the time helped to correctly assess and accelerate our struggle for national liberation declaring that “The people shall share in the Country’s Wealth, and there shall be work and security.”

The ANC led-government is indeed making great strides in progressively accomplishing the glorious tasks of the National Liberation Struggle and subsequently socio-economic injunctions from the Constitution of the Republic of South Africa.

Overview of performance outcomes

Honourable Speaker, the report of the World Economic Forum titled “CPI bias and its implication for poverty in Sub Saharan African countries” notes a “surprising” decline in poverty in Africa and South Africa.

Well, we are not surprised. The report only confirms what we have already stated – that effective implementation of our pro-poor policies has contributed in improving the socio-economic profile of our people.

We must continue to work together with all stakeholders to address the high level of unemployment and inequality as a matter of priority.

As the ANC led government we will continue to maintain a prudent fiscal stance with the intention of placing the economy on a path to sustainable growth and job creation.

The system of intergovernmental relations on fiscal management shows encouraging signs of improvement.

We have put in place reforms for uniform budget processes, a single procurement system and public accounting framework to improve the delivery of quality services to all our people.
Siyaqhuba. Sishodangawe nje kuphela!!!!

The Honourable Premier, Mr. DD Mabuza in his 2016 State of the Province Address provided further context for the programme of action of the Provincial Treasury when he said, and I quote
“We are entering a phase where we are called upon to do more with less, where the burgeoning demands of a growing population are juxtaposed with a shrinking pool of resources”. (Close quote)

This Policy and Budget is an expression of our commitment to use the budget in the right areas and to respond to the impact of budget reductions by strengthening efficiencies; improving revenue collection; and implementing cost containment measures in the Province.

Improve efficiencies and reduce wastage

Honourable Speaker,

There is no better time to demonstrate one’s strength than during trying times. The budget cuts in the 2016/17 and 2017/18 financial years challenge us to improve efficiencies by fostering innovative problem solving techniques.

We must heed the advice of the Honourable Premier when he said, and I quote “…scaling down of costs must be strategically balanced with the scaling up of growth and delivery.” (Close quote)

To this end, the budget for non-core activities in the Provincial Treasury has been reduced and the savings redirected towards the priority programmes such as the Integrated Municipal Support Plan, amongst others. Read more [PDF]

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