CAPE TOWN – The Western Cape has once again established itself as the leading province in municipal financial management, with an impressive 20 out of 30 municipalities achieving clean audit outcomes for the 2023/24 financial year, according to a report released by the Auditor-General of South Africa (AGSA) on Friday.
In total, 26 Western Cape municipalities received unqualified audits, with 20 achieving the coveted clean audit status, reflecting exceptional standards of financial governance at the local government level.
“We are immensely proud that 20 out of our 30 municipalities once again achieved clean audits. This is a welcomed feat,” said Anton Bredell, Western Cape Minister of Local Government, Environmental Affairs and Development Planning. “We will, however, continue to support those that have regressed or that have not yet been able to achieve a clean audit.”
The municipalities that earned clean audits include major centers like the City of Cape Town and Stellenbosch, along with Bergrivier, Breede Valley, Cape Agulhas, Cape Winelands District, Drakenstein, Garden Route District, George, Hessequa, Langeberg, Matzikama, Mossel Bay, Overberg District, Overstrand, Saldanha Bay, Swartland, Swellendam, West Coast District, and Witzenberg.
Notable improvements were seen in Matzikama and Swellendam municipalities, which upgraded from unqualified audits with findings in the previous year to clean audits in the 2023/24 financial year.
Deidré Baartman, Western Cape Minister of Finance, emphasized the broader significance of these results. “This achievement represents the sustained excellence in financial management on a local government level in the Western Cape. These outcomes also highlight that audits are not just about money, they are also about building trust with our residents, demonstrating that their money is being managed responsibly.”
However, not all municipalities in the province met the required standards. Beaufort West, Kannaland, Theewaterskloof, and Laingsburg were highlighted as problematic cases, receiving qualified, disclaimer, qualified, and adverse audit opinions respectively.
“Strong and ethical political leadership is crucial, as the example is set at the top. It is simply impossible to provide services if your financial management and reporting is in such disarray,” Minister Bredell stated regarding the underperforming municipalities.
Six municipalities – Bitou, Cederberg, Central Karoo, Knysna, Oudtshoorn, and Prince Albert – received unqualified audits with findings, indicating room for improvement despite their generally sound financial management.
The provincial Department of Local Government, together with Provincial Treasury, has committed to providing continued support to all municipalities that have not yet achieved clean audit status.
“Good financial management is the foundation for quality service delivery and clean audits reflect this commitment. A clean audit is about trust. I want to congratulate municipal officials and leaders who continue to uphold this standard,” Minister Baartman concluded.
