south africa funding cuts

Navigating the Fiscal Storm: Cape Town Battles Nationwide Funding Cuts

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Cape Town is facing a significant reduction of R540 million in funding over the next two years due to nationwide cuts announced by Finance Minister Enoch Godongwana. The decision threatens to disrupt the operational budget and resources devoted to housing, basic services, and upgrading informal settlements. Despite these challenges, Cape Town remains committed to advocating for the preservation of vital grant funding and a larger equitable share of national funding. Mayor HillLewis criticized the national government’s decision and proposed exploring other options such as reducing wastage in national departments or trimming VIP security expenses.

housing projects funding cuts

Cape Town’s Battle against Funding Cuts for Housing Projects

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Cape Town’s Mayor, Geordin HillLewis, has spoken out against the national government’s plan to cut R107m from the city’s housing funding. These cuts are part of a nationwide reduction of grantfunding for provinces and municipalities, potentially reaching hundreds of millions. Mayor HillLewis criticized the government’s failure to prioritize essential services and instead transferring the cuts to provincial and local governments responsible for providing basic services. The city is committed to using all legal avenues to resist further deductions from its equitable share funding.