Limpopo on report of expenditure trends

Limpopo Provincial Government cut on spending and channel more
resources to delivery of services

15 November 2007

Limpopo Provincial Executive Council (Exco) held its routine meeting on 14
November 2007. The meeting amongst others received a detailed report from the
Provincial Treasury about the expenditure trends in the provincial government.
The report confirms a remarkable improvement with regard to the performance of
provincial government departments and institutions.

The figures show that last year this time the expenditure of the provincial
government was at 44,4% and this year around the same time the departments have
spent 46,5% of their budget, a marked improvement of 2,1%.

"This improved performance is largely attributed to proper and focused
planning on the part of provincial departments and other institutions of
government," remarked the MEC for Provincial Treasury, Saad Cachalia. "The
provincial departments are also performing well in terms of implementation of
infrastructure development projects, and the indications are that if this
expenditure trend continues we may be running the risk of overspending come
March next year," MEC Cachalia remarked further.

In the light of this expenditure trend, the Exco took a decision to
reprioritise by cutting spending on other non-core items so that more resources
could be channelled towards service delivery. To that effect the Executive
Council has placed a moratorium on the filling of all non-core posts in the
provincial government.

"The only posts that will be filled are those commensurate with the core
function of a department, these would include professional posts such as
doctors, nurses, educators, police and engineers emphasised," explained Mogale
Nchabeleng, Limpopo Provincial Government Spokesperson.

The other austerity measures put in place include cut on the international
missions, purchase of state vehicles and Information Technology (IT)
consumables such as computers. The workshops, conferences, symposiums,
seminars, and year-end functions are not exception.

The Premier of Limpopo, Sello Moloto said, "These austerity measures are put
in place to ensure that more resources are available to enable us accelerate
the delivery of services and, more importantly, improvement of the lives of our
people." The Provincial treasury has also been tasked to work out an improved
management system for such important assets of government as vehicles,
computers, etc.

It is also worth mentioning that after consultation with the national
government a decision was taken to postpone both the celebration of reburial of
Mapungubwe human remains and the African Leadership Exposition dialogue that
were scheduled for the 20 to 22 of November 2007. This is largely on account of
outstanding logistical arrangements that are still to be finalised and the new
dates will be announced in due course.

Contact:
Mogale Nchabeleng
Provincial Government Spokesperson
Tel: 015 287 6474
Cell: 072 632 8984

Issued by: Office of the Premier, Limpopo Provincial Government
15 November 2007
Source: Limpopo Provincial Government (http://www.limpopo.gov.za)

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