Saldanha Bay Municipality (SBM) and Midvaal are in joint first place as the most financially sustainable municipalities in South Africa for the financial year ending June 2022.
The scoring model used by Ratings Africa, which is independent and apolitical, evaluates six financial components, namely operating performance, liquidity management, debt governance, budget practices, affordability and infrastructure development.
Ratings Africa found that it is only Western Cape municipalities “that demonstrate adequate levels of financial sustainability, which gives financial capacity to deliver services and develop infrastructure while at the same time building the reserves to absorb financial shocks. This in spite of the drought experienced a few years ago, the adverse impact of Covid-19 and the ongoing load shedding by Eskom that affects the operations of municipalities.”
The Western Cape is the only province in South Africa over 50% and Saldanha Bay is more than 20% above the provincial average.
André Truter, Mayor of Saldanha Bay, said the municipal area can therefore rest assured it is performing exceptionally well, and with commitment to sound financial management and dedication the municipality aims to continue to run a tight ship and maintain a high level of financial sustainability. “We will continue to endeavour to do even better, there is always room for improvement,” he said.
Truter would like to thank every employee of the Saldanha Bay Municipality from the street sweeper to the Municipal Manager for the excellent work they do. “I am indeed super proud to be part of this amazing team who run a financially sustainable municipality. I would also like to pay tribute to our predecessors in Council for setting the foundation.”
He also expresses his appreciation to the communities for paying their accounts. “It is because of your continued support SBM is the most financially sustainable municipality in South Africa and is able to supply services, even when other municipalities are falling apart.”
Truter also congratulated Midvaal Executive Mayor Peter Teixeira, his council and administration on their achievement in joint first place.
