ANC statement on 2016/2017 national and provincial government audit outcomes

2 November 2017

The African National Congress (ANC) has noted the release of the audit outcomes for national and provincial government by the Auditor General (AG) of South Africa  yesterday, 1st November 2017. 

Whilst the ANC welcomes the reported improvement in clean audit outcomes rising from 113 entities in the 2015/2016 financial year to 126 entities or 30% of the entire population in 2016/2017, regression in a number of key indicators are a cause for serious concern, notably matters raised by the AG of poor compliance with legislation particulary in supply chain management. Continuing deterioration in the audit outcomes of state owned companies requires decisive leadership and urgent action by the responsible ministries and departments. 

The African National Congress finds the increase in irregular expenditure to R45bn in the 2016/17 financial year shameless and demonstrating a brazen disregard for accountability and the commitment to clean governance from those tasked with prudent management of the public purse. Accordingly, the ANC calls for strong consequence management for the lapses and failures on the part of management and officials. 

Such measures must include taking all necessary steps to recoup from liable parties the irregular expenditure, the identification of serial offenders and the implementation of measures to withhold their budget allocations until internal controls are sufficiently tightened; finally ensuring the strict enforcement of legislated consequences for transgressions, including responsible officials reporting cases of irregular expenditure that constitute a crime to the South African Police Services.

The ANC commends the Auditor General for the work done to “assess the stewardship of public funds, the implementation of government policies and compliance with key legislation in an objective manner.” It is upon government, led by ANC cadres deployed to the state, to put in place and tighten the necessary controls so that the people’s resources are effectively and efficiently utilized to the benefit of the people as a whole.

Issued by Zizi Kodwa, National Spokesperson, the African National Congress, 2 November 2017