The Gauteng Department of Health and Social Development is processing payments of over R200 million for the month of January 2012 in an effort to clear supplier debts.
For this month, R202 million has been allocated to payments of suppliers. The payments are being managed through cash flow allocation that the department receives from the provincial Treasury.
The department met with South African Medical Device Industry Association (SAMED) this morning and a follow up meeting is scheduled for 26 January 2012. Up to November 2011, an amount of R108 million has been paid to members of SAMED.
MEC Ntombi Mekgwe also met with suppliers late last year where she assured them that the department is committed to ensuring that they receive all monies owed to them for services offered to the department.
In an effort to reduce accruals, a team has been set up between Gauteng Department of Finance and the department to attend to the issue of accruals of the department.
The issue of reducing accruals will be dealt with in phases with the intention that most accruals will be cleared by 30 June 2012.
During the month of December 2011 an amount of approximately R600 million was paid out to suppliers for goods and services rendered to the department.
As the department we are hopeful that through these initiatives, we will be able to bring relief to suppliers.
The next payment run is scheduled for February 2012 based on the amount of funds made available from the Provincial Treasury.
We would like to reiterate that the department is fully aware and committed to meeting all its past and future obligations to suppliers.
Service providers can call the department’s contact centre to enquire about payments on 011 355 2222/7633/7650/7636 or 7633.
Enquiries:
Simon Zwane
Cell: 082 551 9892
