KZN Finance MEC Francois Rodgers Stresses Fiscal Discipline and Clean Governance

In a firm response to fiscal challenges and a history of financial mismanagement within KwaZulu-Natal's government structures, the province's new Finance MEC, Francois Rodgers, has firmly stated that clean audits and robust service delivery are critical targets that all municipal, departmental, and public entities must meet. On Wednesday, Rodgers declared that maintaining financial integrity and meeting service delivery commitments are non-negotiable benchmarks even as the province grapples with budget cuts and resource limitations.

Amidst the pressing fiscal environment, Rodgers, while presenting the provincial treasury's R680.901 million budget for 2024-25, outlined explicit commitments to implement a zero-tolerance policy on non-compliance with treasury regulations. The gravity of this position cannot be understated, as KZN works on restructuring its financial management in wake of a R27.88 million reduction to the treasury allocation—austerity measures reflecting the financial squeeze faced by the province's various departments.

Even with these constraints, Rodgers, who took office on June 18 after the ANC lost its majority, reaffirmed the motto of cutting coats according to fiscal cloth, committing to maintain high standards of governance and service delivery. The province aims to adapt through innovative approaches that will keep administration both economically and socially transformative, while staying 'financially afloat and cash positive.'

One of the immediate actions taken by Rodgers was the closure of the Durban secondary treasury office, which will save roughly R1.1 million a year, demonstrating his readiness to make tough decisions for cost-saving purposes. His past record as a proponent of financial stringency resonates with the closure move and his stance on minimizing extravagant spending on 'nice-to-haves,' like substantial cuts on subsistence and travel expenses.

Rodgers also spotlighted the treasury's historic records of under-spending, attributed to high vacancy levels. However, he noted that almost the entire budget had been utilized and most targets reached or exceeded for the fiscal year 2023-24. Despite the commitment to fill 146 positions within the department by the end of May 2023, a number of constraints have limited the fulfillment of this goal garnering only 89 finalized positions.

In tandem with financial management reforms, Premier Thami Ntuli presented a budget for the office of the premier, which included the implementation of a new forensic case management system aimed at bolstering the efficiency of investigative tracking in government. It was seen as an essential move, especially with prior ANC administrations being criticized for allegedly shielding party members from scrutiny.

With a slight decrement in the allocation to the Zulu royal household, the provincial budget reflects a trend of fiscal re-prioritization, wherein resources are being streamlined to service-delivery essentials and support mechanisms to reinforce procedural and financial compliance across the board.