By KEDIBONE MOLAETSI
30 June 2025- In a decisive move to transform municipalities’ audit reputation, the North West Provincial Treasury convened a high-level stakeholder engagement session on Municipal Finance Management Act (MFMA) Audit Cycle Readiness ahead of the 2024/25 Annual Financial Statements (AFS) submission deadline at the end of August 2025.
The session which aimed to strengthen municipal compliance and improve audit outcomes brought together key stakeholders such as National Treasury, the Department of Cooperative Governance and Traditional Affairs (CoGTA), the South African Local Government Association (SALGA), the Office of the Auditor-General (AG), and representatives from 22 provincial municipalities.
Delivering a compelling address, Auditor-General Mthokozisi Sibisi, called for a collective commitment to change the province’s reputation for poor audit outcomes.
Sibisi said the AG has issued a clear call to action.
“Enough is enough. It is time to rebrand the North West Province by turning the tide on poor audit outcomes. Communities are weary of negative perceptions, and municipalities must confront the gaps head-on.
“This proactive engagement before the audit cycle begins. It is a critical step toward credible financial reporting and improved service delivery. Support mechanisms like today’s session will help municipalities to compile credible financial statements timeously, which may significantly improve audit results and municipal functionality,” he said.
Sibisi further said they welcome the province’s development of an Audit Improvement Strategy for 2024/25–2028/29 financial years as a bold framework for long-term transformation and highlighted the importance of the Quadrilateral Consolidated Support Plan, which outlines coordinated support to municipalities focused on key drivers of audit opinion enhancement.
He added that officials from top-performing municipalities, including the City of Ekurhuleni and Capricorn
District Municipality, shared best practices, emphasizing financial discipline, minimal reliance on consultants, robust internal audit processes, and a culture of compliance as key to their success.
The North West Provincial Treasury’s Head of Department, Ndlela Kunene, described the session as unprecedented and pivotal. Kunene said for the first time, they are creating a platform for all key role players to engage directly on overcoming barriers to credible financial reporting.
“The time for reactive responses is over. Municipalities must now implement tangible post-audit action plans that
address root causes, establish steering committees, and meet regularly to drive progress toward clean audits.
“We urge municipalities to demonstrate commitment by working closely with the North West Provincial Government and ensuring that the right personnel are allocated to implement agreed support interventions,” he said.
Kunene said the Provincial Treasury reiterates its unwavering support for municipalities in this endeavour and remains committed to fostering a culture of accountability, compliance, and improved governance across the province.
He said the session concluded with a unified pledge to sustain this momentum and transform the North West into a benchmark for good governance and fiscal accountability.
The Guardian 