Pretoria - Government on Tuesday released a framework to guide its programmes over the next five years, providing with it a fiscal posturing of how and where it would spend its money over this term.
The Medium Term Strategic Framework (MTSF), adopted by Cabinet a few weeks ago, outlines government's policy and programmes to improve the conditions of life of South Africans and serves as a guide to planning and resource allocation across all spheres.
Government has pritoritised over the next five years that areas of fastest expenditure would lie in economic services, social infrastructure including basic services and housing, infrastructure and personnel for education and health; as well as infrastructure and personnel to render the criminal justice system more integrated and effective.
However, the document makes it clear that while all priorities will be given the attention it deserves, the strategic focus of the MTSF as a whole is the understanding that economic growth and development, including the creation of decent work on a large scale and investment in quality education and skills development are at the centre of government's approach.
The document also states that while the priorities will be given adequate attention, it might be necessary for government to phase them in and sequence their implementation taking into account the availability of resources - infrastructure, human and financial.
Head of the policy unit in the Presidency Joel Netshitenzhe said it was necessary that a comprehensive review of the expenditure patterns of departments be undertaken.
"This should open up areas of savings and reprioritization. We need such a review to ascertain our reprioritisation," he said.
This is in line with the revitalization and renewal of the new administration and its constant search for new and more effective ways of doing things.
The expected slowdown of public spending for the next two to three years, as a result of the global economic crisis, brings with it a set of challenges and opportunities for government. And this will require government to make some tough choices and serious trade-offs.
"For example, despite the serious economic climate, we won't cut expenditure on infrastructure," Mr Netshitenzhe said.
In principle, government has decided that in the early years of the five year period, it will maintain the steady increase in expenditure especially in areas that will protect society from the worst effects of the global and domestic economic crisis, and prepare the country to take advantage of an upturn.
This fiscal posture could however lead to large budget deficits, and therefore it would be a necessity that government embarks on tough decisions that would lead to a reversal of the deficits.
How the new administration goes about its tasks, doing more with less, and a constant search for new, effective ways of doing things, central to which is the review of the expenditure trends of departments - will form a large part of unleashing the money that is required to fund government's programmes over this period.
Meanwhile, Mr Netshitenzhe said the priorities outlined in the MTSF are to translate into the Key Performance Indicators (KPIs) of government ministers, against which their performance over this term will be measured.
"The President will use the KPIs to assess the performance of the ministers and they will in turn use this to assess the performance of their Directors General," said Mr Netshitenzhe.
