Treasury: Provinces increase spending

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Nhanhla_Nene Independent Newspapers Finance Minister, Nhlanhla Nene. Photo: Sam Clark.

Cape Town - Provinces increased their spending by over seven percent for the 2013/14 financial year, Treasury said on Friday.

“In aggregate, provinces spent R424.9 billion, or 98.6 percent, of their adjusted budgets of R430.9bn in 2013/14,” according to the National Treasury's fourth quarter year-to-date provincial budgets and expenditure report.

“This represents a spending increase of 7.6 percent or R30bn compared to the 2012/13 financial year when provinces spent R394.9bn.”

The information from the report comes from Public Finance Management Act reports submitted by heads of provincial departments.

The expenditure trends shows education spending increasing by 6.3 percent in 2013/14.

“The preliminary outcome for education expenditure is R176.6bn or 99.6 percent of the R177.2bn combined education adjusted budgets,” Treasury said.

Provincial health departments spent 98 percent of the R132.6bn combined health adjusted budgets.

“This is 6.6 percent or R8.1bn more than the 2012/13 financial year.”

Spending on social development totalled R13.8bn, or 98.5 percent of the R14bn social development adjusted budgets.

Spending on staff totalled R254.6bn, while capital spend came to R30bn.

Revenue collection in provinces came to R14.7bn, or 113.6 percent of the budgeted own revenue of R13bn.

“National government transferred R338.9bn of the equitable share and R76.7bn of conditional grants to provinces.” - Sapa

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