Treasury proposes personal liability for municipal officials over wasteful spending

South Africa’s National Treasury is proposing legislation that could make municipal officials, political office-bearers and board directors personally liable for unauthorised, irregular, fruitless and wasteful expenditure. The draft fiscal anchor legislation was released for public comment as Finance Minister Enoch Godongwana delivered the medium-term budget policy statement on Wednesday, and is expected to go before Parliament next year. The broader reforms aim to strengthen municipal financial controls and revenue collection, including by expanding Treasury’s role in municipal financial systems and the appointment of chief financial officers.