South African municipalities fail to spend capital budgets
66 percent of municipalities spend funds but miss quality and audit standards.
No municipality in South Africa has consistently achieved a 100% expenditure rate for capital budgets and conditional grants between 2021 and 2026.
While 66% of municipalities spend their fully funded capital budgets, they struggle with quality standards and accounting, with 63% facing financial distress or non-compliance.
The National Planning Commission shows the municipal sector failed to meet NDP targets from 2021 to 2026, citing a general lack of political will to implement credible, fully funded IDPs.
Why it mattersSouth African municipalities are failing to meet national development targets and maintain financial compliance.