KZN projects R7.2bn reduction in over-expenditure, says finance MEC

The KwaZulu-Natal (KZN) Finance MEC, Francois Rodgers, reported that the province has projected a reduction of approximately R7.2 billion in over-expenditure since June 2024, while simultaneously enhancing crucial frontline services such as health, education, and infrastructure. Rodgers made this announcement on Thursday, emphasizing the advancements made by the Government of Provincial Unity (GPU) in the province.

He highlighted that KZN's government departments inherited a fiscal situation facing severe strain and an unsustainable spending pattern at the beginning of 2024. Rodgers explained that the province has subsequently implemented stringent expenditure controls, bolstered cash management, and executed a comprehensive provincial financial recovery plan to restore fiscal stability while safeguarding essential services.

At the end of June 2024, KZN forecasted an over-expenditure of R9.7 billion against their main budget of R150 billion. By the end of September 2026, this figure had dropped to roughly R2.5 billion, marking an improvement of R7.2 billion, or 74%. Rodgers noted that this financial enhancement occurred concurrently with significant advancements in frontline service delivery.

In education, KZN secured a 90.6% matric pass rate in the 2025 National Senior Certificate examinations, positioning the province at the top nationally. In health, more than 4,000 community health workers were officially employed on a full-time basis, and over 1.1 million patients received chronic medication closer to their homes through the Ikhemisi Eduze Nawe program.

Rodgers also announced the addition of 44 new ambulances and the appointment of more than 240 nurses and 238 doctors. Additionally, infrastructure delivery progressed, with the Department of Public Works and Infrastructure (DPWI) completing 70 out of the 100 planned capital projects, which supported around 5,000 jobs. The Expanded Public Works programme generated 128,906 work opportunities.

Rodgers stressed that the R7.2 billion projected improvement in over-expenditure indicates that stricter expenditure controls, improved cash management, and the recovery plan are effectively altering the province's financial trajectory, enabling responsible spending while protecting vital services. However, significant challenges persist.

Rodgers pointed out that the Department of Health, Public Works, and Education continue to face financial pressures, while prior-year accruals, employee costs, infrastructure commitments, and outstanding obligations continue to burden the provincial budget. These pressures have been exacerbated by historic cuts to the provincial fiscal envelope by National Treasury and unfunded or underfunded mandates.

Rodgers concluded by asserting that while measurable progress has been achieved, the recovery process is ongoing and requires sustained discipline, consistency, and institutional reform. He emphasized that spending less is not enough; spending better is essential, and they must strengthen accountability to ensure every public rand delivers maximum value to the people of KZN.