Provincial Treasuries (Limpopo, KZN, and Mpumalanga) quarterly reports

Video The Select Committee met to receive briefings from the KwaZulu-Natal, Mpumalanga, and Limpopo Provincial Treasuries on their quarterly reports. KwaZulu-Natal (KZN) reported a forecast gross domestic product (GDP) growth of 0.9% for 2024, hampered by logistical and energy supply issues, with a projected R9 billion overspend primarily due to rising costs in education and health. The province highlighted its high unemployment rate, with 30% of the population reliant on social grants. Mpumalanga reported slow economic growth of below 1% and a poverty rate of 51.2%, with youth unemployment at 51.3%. The province aimed to create 100 000 sustainable jobs annually, focusing on agriculture and construction, supported by the Mpumalanga Economic Reconstruction and Recovery Plan. Limpopo outlined a challenging economic landscape, with a GDP growth of only 0.2% in 2023 and an unemployment rate of 36.3%. Key projects such as the Musina Makhado Special Economic Zone were aimed at stimulating industrialisation and job creation. During the discussion, Members raised concerns about the Provincial Revenue Development Reserve and irregular expenditure, emphasising the need for effective management and accountability. They criticised the leadership for underspending and corruption, calling for a clear vision for innovation, and sought clarity on fiscal consolidation impacts and disaster management strategies. The provinces’ dependence on grants and revenue generation challenges were highlighted, and the importance of job creation was stressed. There was also a call for better planning and monitoring of public entities. The Chairperson requested written responses from the provinces by Thursday, and indicated that a report with recommendations would be compiled and debated in the National Council of Provinces (NCOP) before implementation.