The Gauteng Provincial Government has reported an underspending of R1.8 billion at the end of the 2024/25 financial year. The Departments of Health and Education accounted for 58% of the unspent funds, with the remaining 42% spread across other departments.

Gauteng Finance MEC Lebogang Maile says that of the total underspending, more than R380 million came from conditional grants allocated by the national government, while R1.4 billion was from the Provincial Equitable Share.

“Of the R381.510 million in conditional grant underspending, a total of R295.665 million was the subject of an application to the National Treasury, while the relevant departments could not motivate and provide evidence for the balance of R85.845 million, which will revert to the National Revenue Fund (NRF),” says Maile.

He adds: “The R1.418 billion in Provincial Equitable Share funding will also be subject to an internal Gauteng Provincial Government process led by Gauteng Provincial Treasury and subject to intense scrutiny.”

Maile says that the National Treasury would only consider rolling over unspent funds if supported by proper documentation and justification.

On the matter of the provincial budget, Maile says it is unclear whether Gauteng’s budget will be adjusted or withdrawn ahead of the national budget announcement expected next week.

“Are we going to withdraw the budget or not? …There is what we call a Budget Council where the Minister of Finance and all MECs of finance will be meeting… whether there’s going to be any changes… will determine whether we leave this Budget as is or we amend it to the legislature, but the legislature has already been informed by National that they should be ready if we have to withdraw and present a new Budget.”

Meanwhile, the province confirmed that most departments are meeting the 30-day payment deadline for service providers. However, the Department of Health paid only 21% of invoices within the required period.

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