UNPACKING THE KZN BUDGET 2020/21

On Tuesday, 10 March 2020, Provincial Treasury briefed Members of the Finance Portfolio Committee on the KZN Budget for 2020/21.

The KZN Budget is appropriated to all KZN Government departments through the KZN Appropriation Bill which is tabled by the MEC for Finance annually.

Money Bills are the Bills defined by Section 120 of the Constitution and usually appropriate money, impose taxes, levies, duties or surcharges in the Province. They also abolish or reduce , or grant exemptions from provincial taxes, levies duties and surcharges. Money bills also authorise direct charges against a provincial revenue Fund and they are processed by the Finance Portfolio Committee.

The Chairperson of the Finance Portfolio Committee, Honorable KK Nkosi said, “The briefing by Provincial Treasury is welcomed by all Members of the Committee. It offers us all the opportunity to unpack the budget and allows Members of the Legislature the opportunity to clarify any issues they might have directly with the KZN MEC of Finance, Hon Ravi Pillay, and his senior officials.”

The next step in to process before the budget is passed by a Vote of the Full Sitting of the House in the KwaZulu-Natal Legislature is that each Department and each Portfolio Committee will appear before the Finance Committee.

The Chairperson of Chairpersons of Committees, Honorable Themba Mthembu (MPL) said, ” This briefing by Provincial Treasury is attended by all Members of the Legislature in preparation for their meeting with KZN Departments who will outline their budgets. These budgets will be studied by Members of portfolio committees who will in turn draw up a report. This Committee report is then tabled at a Sitting of the House by the Chairperson of each committee.”

“The IFP welcomes the briefing on the 2020/21 budget. The cuts on budget emanating from cuts by the National Treasury, indicates the state of finances in our country. Our priorities should be on service delivery than the nice to have. It is important that the money we have for this financial year must be spent on time and correctly for the benefit of our people! ” says Honorable VF Hlabisa (MPL), who is the Leader of the Opposition in the Legislature.

Hon Ravi Pillay, the KZN MEC For Finance emphasised,” We find ourselves in a situation where the economy of KwaZulu-Natal is under strain by various international and local factors and despite the budget cuts, we have geared the KZN Budget for 2020/21 to protect government’s key priority programmes so that we do not lose sight of our vision of ensuring a better life for all. Our focus in all decisions taken was to protect the funds allocated to departments for the improvement of the lives of our people.”.

He added, “This challenge we face today is different from that of Luthuli and OR Tambo and Mandela. We are not required to face bullets or go to jail. We are simply asked to be sober, determined, disciplined and focussed and work hard every day for as long as we are called upon to do so.”

For any Enquiries please contact the Finance Committee coordinator: Mr Siphamandla Chili on 063 251 8538.