On the final day of a three-day investor roadshow, spanning two cities and multiple investor engagements, the sentiment is unanimous: Johannesburg has good growth prospects and investor confidence is high.
This, after the City took the market into its confidence to explain the declining surplus and liquidity levels and the impact of this on its investment in infrastructure and other service delivery imperatives. We remain resolute on measures to improve our revenue base while reducing the debtors to generate cash-backed surpluses in order to continue closing the R170 billion infrastructure backlogs over a 10 year period.
This show of optimism and trust, despite malevolent messaging about the City’s finances being in a state of collapse, demonstrates that the City is making all the right moves.
Our revenue growth is supported by a broad tax base operating in a large, diversified economic market and underpinned by prudent and sophisticated financial management. Of our many achievements include the following:
• The City’s SMME Hubs assisted 7 374 SMMEs
• 2130 title deeds issued in various neighborhoods
• Unqualified Audit opinion with 5 Municipal Entities receiving Clean Audits
• Approved recruitment of 1500 JMPD officers
• Established and capacitated Group Forensic Investigations Services
• Improved transparency through open tender system
• Invested in road maintenance , M1
• Extended operating hours at Clinics and Libraries
• Additional cleaning shifts implemented in the Inner City
Johannesburg remains South Africa’s biggest and most regionally dominant city in terms of population, size and reach of the economy. While it is a dynamic and diversified city economy, these recognitions are not without challenges. Weakening economic performance and population growth in Johannesburg that has left unemployment and poverty levels high.
Our goal is to get the basics right and that means remaining focused on improved service delivery for all, particularly the City’s poorest. This means that we have set ourselves some non-negotiable targets to address:
• Our housing and infrastructure backlog;
• The security of supply and expansion of our network of electricity, water and sanitation ;
• The quality of our road network; and
• Public safety.
I am fully aware of our financial challenges which include the need to improve revenue billing, and the need to collect what is owed to the City through improvement to credit control process. Through the implementation of the Revenue Enhancement Projects which includes among others, a city wide verification of electricity and water meters, we will drive operational efficiencies throughout our revenue value chain.
It cannot go without mention that our City’s ability to collect revenue has been dogged by elements of deviance by certain unscrupulous members of the public and corrupt officials.
This administration will continue on its trajectory of combating corruption, and through the implementation of Operation #BuyaMthetho, we have managed to not only send a strong message against unlawful behavior, but also claw back cash collections to the tune of over R140 million since the operation began six weeks ago.
Achieving the goals we have set will not be easy, but the City remains committed to strengthening our financial position.
Cllr Funzela Ngobeni
MMC: Finance
City of Johannesburg
For Media queries and interview scheduling please contact:
Selma Lloyd
selmal@joburg.org.za
082 467 9226
