<\/p>\n
Finance and Economic Development MEC Lebogang Maile has warned that Gauteng could find itself \u201cR6 billion in the red\u201d by June if urgent financial caution is not exercised.<\/p>\n
This comes after R15 billion in budget cuts, which has left the province\u2019s finances precarious.<\/p>\n
Maile has identified the Gauteng Department of Health as the primary driver of the province\u2019s financial problems.<\/p>\n
The department\u2019s persistent non-compliance with supply chain regulations has been cited as a critical threat to Gauteng\u2019s overall financial stability, with corruption being the root cause of the crisis.<\/p>\n
Despite these challenges, Maile has assured the public that the provincial government is taking every possible measure to steer clear of bankruptcy.<\/p>\n
However, Professor Mark Swilling, a sustainable development expert at Stellenbosch University, expressed scepticism about the province\u2019s ability to manage its finances on national television.<\/p>\n
Swilling has warned that Gauteng\u2019s bankruptcy warning comes as no surprise, given the province\u2019s financial troubles have been brewing for years.<\/p>\n
He also pointed out that Gauteng is at a point where bailouts from the national government may no longer be a viable solution.<\/p>\n
The implications of Gauteng\u2019s potential bankruptcy are severe. If the province were to go bankrupt, the national government would face a debt default, which would have far-reaching consequences for the country\u2019s economy.<\/p>\n
\u201cI find it hard to believe that he expects people listening to him to be rest assured that Gauteng is well run.<\/p>\n
\u201cWe have known for several years that that is not true, especially concerning certain key departments like the Department of Health, so what we need is a lot more than platitudes,\u201d Swilling reportedly said.<\/p>\n
As the province struggles to manage its finances, questions remain about whether Gauteng could truly face bankruptcy in 2025.<\/p>\n
The Department of Health has not responded to Independent Media at the time of publication.<\/p>\n
mashudu.sadike@inl.co.za<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"
Finance and Economic Development MEC Lebogang Maile has warned that Gauteng could find itself \u201cR6 billion in the red\u201d by June if urgent financial caution is not exercised. This comes after R15 billion in budget cuts, which has left the province\u2019s finances precarious. Maile has identified the Gauteng Department of Health as the primary driver […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[2442,9132,427,11569,807],"class_list":{"0":"post-227734","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-politics","7":"tag-billion","8":"tag-june","9":"tag-mec","10":"tag-shortfall","11":"tag-warns"},"yoast_head":"\n