Chair, local government is to a large extent dependent upon national and provincial treasuries in order to fulfil their constitutional mandate and to speak to the objects of the Municipal Finance Management Act, that is, by ensuring transparency, accountability and appropriate lines of responsibility in their fiscal and financial affairs. It is also to ensure that their budgetary and financial planning processes are co- ordinated with the processes of the organs of state in other spheres of government.
Achievement will remain a mirage unless there is monitoring of their budgets to establish whether they are consistent with the fiscal and microeconomic policy of the national government. Municipalities must be monitored to assess compliance with applicable standards of generally recognised accounting practice and uniform expenditure and revenue classification systems. In order that local governments must deliver on their constitutional mandate, the national and provincial governments must help build their capacity for proper financial management. Co-operative governance will also remain lip service unless ... [Time expired.]