Issued by The MEC Finance & Economic Affairs Gauteng
25 May 2000
The budget vote of the department of Finance and Economic Affairs comes up for discussion in the Provincial Legislature later today.
Gauteng closed financial year 1999/2000 on a high, exceeding the targets set. The province had a surplus of approximately R584 million for the 1999/2000. All departments have come in on budget. The net position of the provincial bank balances held at Standard Bank as at 31 March 2000 was a positive R94 million. In achieving a positive balance, the Treasury has kept to the undertaking of the Premier to the NCOP that Gauteng would have wiped out its overdraft by the end of March.
The cash management systems put in place have also begun to pay dividends in the new financial year as well. Prudent investment in call deposits has netted the province R1 million additional revenue in just 3 weeks of operations. The target is to raise R50 million in interest revenue during the year.
The key initiatives of the department are well under way. The managing director of the Strategic Economic Infrastructure Investment Programme, tasked with delivery of the 10 SDI projects covered in the main budget speech, has been appointed. Lumkile Mondi, the Chief Group Economist at Transnet will be joining the province in June to head up the SEIIP. Work on each of the 10 projects is progressing at a rapid pace with tenders already prepared for some of the infrastructure needs identified.
A 50 strong team has been assembled to take forward the Shared Services Centre project. The team has just completed an intensive 2-week training session and is now proceeding with the due diligence phase of the project.
The internal auditing component of the SSC is expected to begin the risk assessment of all departments in July. The SSC project has elevated Gauteng to the forefront of public sector reform internationally, with enquiries received from countries such as New Zealand and Australia. The department is certainly on track in delivering on the targets set out for the year. The initiatives and innovations has set the pace in changing the face of the public sector in Gauteng and has the potential to change Gauteng profoundly over the coming years.
For more information contact Phetole Kubjane at (011) 355 8481/082 564 7787