Budget reveals more bad news for KZN NPOs

11th March 2024

The 2024/25 KwaZulu-Natal (KZN) budget, tabled last week by Finance MEC, Peggy Nkonyeni, has revealed more bad news for the province’s NPOs which do not receive any increase in subsidies.

According to KZN’s Department of Social Development – under MEC Nonhlanhla Khoza – the National Treasury and budgetary constraints are the reasons behind the failure to provide subsidy increases. This while the department will receive an overall increase, allocated purely towards paying salaries.

After an already challenging year for our NPOs, the 2024/25 provincial budget shows increasingly difficult times ahead.

To add insult to injury, DSD is also embarking on an NPO rationalisation programme, supposedly aimed at eliminating the duplication of similar services within the same area. The programme will also assess which services can be offered by the department directly.

With the DSD already struggling to provide proper services, this is a big undertaking. It could also lead to job losses within the sector, ultimately increasing poverty levels within the province.

In short, what DSD is saying is that it will not be funding NPOs that offer similar services. This despite the vast need in our province.

NPOs provide vital services to KZN’s communities, many of whom are desperate for help. They all serve a valuable purpose and the department should budget adequately in order to mitigate any negative outcomes.

The MEC needs to come clean and advise whether KZN’s NPOs have been sufficiently consulted and informed of the elimination process and what the plan is for those that will be affected.

The DA will be submitting written parliamentary questions to her in this regard. We will also call for a plan from her department – one that does not involve the wholesale elimination of functioning NPOs and their services.

The DA remains committed to fighting on behalf of our hardworking NPOs that provide much-needed services to communities. The people of our province will have the opportunity to rescue KZN when they head to the polls on 29 May, and vote for a government that cares.

 

Issued by Mmabatho Tembe, MPL - DA KZN Spokesperson on Social Development