Limpopo MEC for Finance, Kgabo Mahoai, has stressed to government officials that fiscal planning must deliver visible improvements in service delivery and in the daily lives and well-being of citizens.
The MEC was addressing the Medium-Term Expenditure Committee (MTEC) hearings currently underway at the Ranch Hotel in Polokwane, where he reaffirmed the provincial government’s vision of building a better Limpopo by 2030, with a focus on accelerating infrastructure development, reducing unemployment, supporting economic growth and improving service delivery.
The engagements enable the Provincial Treasury to interrogate departmental funding requirements and assess whether proposed allocations are supported by realistic implementation plans, have measurable outputs and demonstrate value for money.
“Allocations entrusted to departments during the current Medium Term Expenditure Framework (MTEF) must demonstrate results towards achieving the priorities of our province, as enshrined in the Limpopo Development Plan,” Mahoai said.
The plan aims to drive inclusive economic growth, job creation and poverty reduction in the province.
“Departments and entities still need to provide credible evidence of implementable and measurable outcomes, value for money and developmental impact,” he said.
According to National Treasury, the MTEC process is an important component of South Africa’s public financial management and budgeting framework.
“It provides a technical mechanism for assessing three-year rolling budget submissions and proposed funding requirements, while ensuring that the allocation and management of public resources are undertaken in accordance with the Public Finance Management Act (PFMA),” the department said.
The PFMA promotes sound financial management, accountability, transparency and the effective and efficient use of public resources.
In this regard, the MTEC hearings support efforts to ensure that provincial budgets are credible, affordable and aligned with government priorities.
“The Provincial Treasury Budget Analysts team presents expenditure and financial performance trends, including departmental spending patterns, variances, under-expenditure, spending pressures and implementation constraints.
“The analysis is being used to assess departmental spending capacity and the credibility of funding requests, while supporting evidence-based decisions on resource allocation over the 2027 MTEF,” the department said.
The hearings are also considering the province’s revenue collection and expenditure performance for the 2026/27 financial year, as well as the provincial economic outlook and the performance of key economic sectors.
The engagement further provides an update on the Provincial Treasury’s first draft budget and progress on budget reforms aimed at strengthening expenditure controls, improving budget planning and enhancing programme effectiveness.
The hearings started on Tuesday and will conclude on Thursday. -SAnews.gov.za
