Tag: financial mismanagement

South Africa’s 257 municipalities, the bedrock of local governance, are currently grappling with a severe trifecta of challenges. These challenges include worsening financial mismanagement, decaying infrastructure and rapidly eroding citizen trust. Restoring trust and performance has become a national priority.

Chief Financial Officers (CFOs) not only have a serious fiduciary duty to themselves as individuals, but they also have a responsibility to their employer to ensure that every step of every financial process is in order and above board. The consequences of financial mismanagement are multiple – again, individually as well as for the company.

We urge government to fast track professionalisation of local government finance units. This follows the Auditor-General (AG), Tsakani Maluleke’s presentation on the 2021-22 Local Government Audit Outcome to the Standing Committee of the Auditor-General (SCOAG) on Wednesday, 31 May which continues to reflect poor audit outcomes as a result of poor financial planning, inadequate financial controls, skills and capacity, governance and accountability.

In March this year, in a much-publicised interview (Neal Froneman gets frank about the lows, and highs, of doing business in South Africa), Sibanye-Stillwater CEO Neal Froneman heavily criticised the state of South Africa’s economy and government, citing a lack of leadership.

National Treasury has indicated that it will assess the viability of a future wealth tax, as it collects more data in the coming months following the recommendations of the Davis Tax Committee. South African Revenue Service (SARS) will focus on consolidating wealth data for taxpayers through third-party information, Treasury said in its 2021 budget review.

On a worldwide basis, criminal activity in the workplace - detected or undetected - is at an all-time high. Fraud, corruption and other forms...