Media statement: Local Government Revenue and Expenditure, Fourth Quarter Local Government Section 71 Report

Key Takeaways

• National Treasury
• Fourth Quarter Local Government Section 71 Report
• Period 1 July 2025 – 30 June 2026
• 2025/26 financial year
• Adjusted total revenue budget R718 billion
• Total billed revenue R677.8 billion (94.4% performance)
• Total operating expenditure R587.3 billion (93.1% performance)
• Total capital expenditure R65.3 billion (77.8% performance)
• Capital underperformance R18.6 billion (22.2%)
• Salaries and wages budget R172.2 billion; expenditure R164.9 billion (95.7%)
• 55 municipalities with negative cash balances
• Collection rate actual 63.9% vs budgeted 72.8%
• Aggregate municipal consumer debt R484.5 billion
• Household debt R341.3 billion (70.4%)
• Commercial/business debt R107.7 billion (22.2%)
• Organs of state debt R26.2 billion (5.4%)
• Debt over 90 days R427.2 billion (88.2%)
• MFMA Circular No. 88 Metro Indicators
• National Treasury