Issued by: SA Communication Service
PROJECT LIQUIDITY: WORKSHOP ON THE STATUS OF LOCAL GOVERNMENT FINANCE
The Department of Constitutional Development held a workshop on 17 - 18 April 1997 to boost the implementation of Project Liquidity. A nation wide programme of action is being co-ordinated in terms of a resolution taken by a Joint Finance and Local Government MINMEC meeting on 19 September 1996 and that meeting approved a Framework for an Intervention into the financial matters of identified municipalities.
The workshop with provincial officials, included participants from the provinces, the Department of Finance, the DBSA, the Finance and Fiscal Commission, the Institute for Municipal Treasurers and Accountants and members of the private sector banking community. The workshop developed mechanisms to provide managerial support to those municipalities which have been identified by Project Liquidity as possibly having financial problems.
Clear terms of reference were established for provincial task teams that will work with municipalities facing real financial difficulties and assist them, by means of a detailed financial analysis to put some remedial measures in place which will have a stabilising effect on the affected municipalities. National requirements and guidelines for a support plan to put these municipalities on a sound footing have also been formulated.
ENQUIRIES: Dr C Olver Tel.: (012) 334 3700