Addressing the deep-seated issues plaguing municipal finance is not only essential for improving service delivery and infrastructure but also for restoring public trust in local governance and our very democracy itself.

As our newly sworn-in 7th administration executive settles into their portfolios, we must remember the hand-in-glove relationship they need to forge in working within and supporting the local government sphere in South Africa.

The national and provincial governments have the challenging task, as required by the Constitution, of supporting approximately 257 municipalities across the country in meeting their mandates.

The current state of the local government sector in South Africa can be characterised as being in a state of crisis. This not only threatens the delivery of essential services but also puts the very fabric of local governance at risk.

The financial health of municipalities remains a critical concern that requires immediate and comprehensive reform to prevent further deterioration and to foster sustainable development at the local level.

Municipalities in South Africa face significant financial challenges due to systemic inefficiencies, maladministration and insufficient revenue generation.

The 2023 Auditor-General's report revealed mixed performances in the local government sector. It found that 33 municipalities had better audit outcomes than in previous financial years, while 29 had worse outcomes. The report also indicated that many municipalities were in financial distress and unable to meet their obligations.

Consequently, some municipalities had experienced waves...