IFP expresses grave concern over expenditure patterns pursued by
the ANC administration in the face of a sizeable provincial
deficit and gradual erosion of fiscal discipline.
IFP urges fiscal prudence for a number of reasons. "Historically,
this province has been at the short end of the stick in that the
equitable share has been outstripped by the high population
growth rate, birth and HIV/Aids prevalence rates, all of which
have been higher than the national average," said Dr
Lionel Mtshali, leader of the IFP parliamentary caucus in
KwaZulu-Natal in the budget debate. In this context, Dr Mtshali
also quoted migration, high disability rate and rising
is against this background that I humbly submit that careful
planning and frugality should guide the allocation and
expenditure of meagre resources placed at the disposal of each
Ministry and Department. Injudicious and wasteful expenditure
rob those in dire need," said Dr
Mtshali in the speech.
particular, the IFP expresses concern over the ANC
administration's treatment of the R550m provincial growth fund
as a "slush fund". "The
establishment of this fund followed the principle of robbing
Peter to pay Paul in that such departments as Education, Health,
Social Welfare and Population Development and Transport had to
contend with a cut in their respective budgets,"
said Dr Mtshali. The IFP protests against further allocation
of this funding without parliamentary approval.
Mtshali also wonders whether the provincial expenditure incurred
in respect of the charter of helicopters is matched by efficient
service delivery. "An
analysis of the cost implications will indeed make interesting
reading to the KwaZulu-Natal taxpayers," said Dr
Mtshali. In the same breath, Dr Mtshali criticised the sale of
provincial aircraft and dismissal of long-serving civil
is alarmed at the high attrition rate of skilled persons who
have served this administration admirably over the past ten
years or more. It will be interesting to know the reasons for
this haemorrhage. We need honest replies to the question of the
exodus of Heads of Departments,"
said Dr Mtshali.
addition, the IFP promotes a clear separation of competences
between the provincial Department of Economic Development and
the Treasury. "We
note with serious concern that the placement of Economic
Development in the same Ministry as provincial Treasury has
tended to encourage high expenditure on ministerial izimbizo to
promote co-operatives in the different Municipality
Mtshali quoted the ANC national Minister of Finance, Trevor
Manuel, who has "always
wisely advised that the two departments should not reside under
the same ministry".
Contact: Dr Lionel Mtshali, 083 256 4902
Full text of Dr
Mtshali's speech can be retrieved at http://www.ifp.org.za