Budget 2022

Gordhan promises value for tax money

Pretoria - Finance Minister Pravin Gordhan has started a drive for value for money in public expenditure, revealing that a whopping R12.4bn budgeted for capital projects in 2009/10 went unspent.
The medium-term budget policy statement (MTBPS) said wasteful patterns of organisation and use of resources must be reversed.

The balance between administrative and service delivery capacity was a specific focus of budgetary planning for the period ahead, especially in health and education departments, and in the protection services.

Excessive or inefficient administrative capacity characterised too many departments and agencies.

Funds set aside for training or skills development remained unspent in many departments.

A new initiative was needed to ensure that effective training programmes were in place across the public service.
During 2009/10, some R12.4bn budgeted for capital projects was unspent.

Government was adopting a new approach to budgeting and planning for major projects, together with dedicated technical support for underspending departments, agencies and municipalities.
There had been a proliferation of quasi-independent agencies, regulatory bodies and special-purpose service delivery entities over the past decade.

Non-departmental agencies and accounts would come under comprehensive scrutiny over the period ahead, with special focus on staff establishments, remuneration, governance and functional mandates.
Procurement of goods and services and supply chain management, even when compliant with regulations, were frequently neither competitive nor transparent.

Under the guidance of an interdepartmental team, strengthened capacity is in place to deal with wrongdoing.

Improved rules and procedures to ensure transparency throughout the supply chain process will be phased in.
Information technology systems and management of consulting services would be subject to additional scrutiny within the supply chain regulatory framework.

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