Joburg municipalities commit to stronger financial reporting

Johannesburg and municipalities across Gauteng are taking steps to strengthen financial oversight by moving towards more consistent reporting throughout the financial year.

The City of Johannesburg hosted Gauteng municipalities, the MEC for Cooperative Governance and Traditional Affairs, the Auditor-General, Provincial Treasury and the South African Local Government Association (SALGA) at the Brixton Multi-Purpose Centre for the signing of a protocol on interim financial statements.

The protocol aims to change how municipalities approach financial reporting by placing greater emphasis on quarterly and half-yearly reporting instead of concentrating financial preparations around the end of the financial year.

For Johannesburg, the initiative is being positioned as part of the City’s broader efforts to strengthen financial management and accountability.

The City said that regularly closing and reviewing its financial records can help identify challenges earlier, while also giving oversight structures more opportunities to scrutinise municipal finances during the year.

The approach is also intended to support efforts to ensure public funds are properly accounted for and directed towards service delivery.

Under Executive Mayor Cllr Dada Morero, the City has linked the initiative to its longer-term objective of becoming a high-performing metropolitan government through its Growth and Development Strategy.

The protocol also brings Gauteng municipalities together around a shared commitment to improving financial management, including efforts to address irregular expenditure and strengthen internal financial capacity.

For residents, stronger interim reporting could provide greater transparency into how municipal finances are being managed throughout the year, rather than waiting for annual financial processes to reveal problems.

The City said the initiative reflects a broader commitment to financial responsibility and transparent local government, with municipalities expected to take greater ownership of their financial management responsibilities.

The signing forms part of efforts across Gauteng to strengthen municipal financial systems and support more reliable governance and service delivery.