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Public spending must place people at the centre
Cape Times
|July 04, 2025
WHEN President Cyril Ramaphosa recently labelled the return of unspent service delivery funds to the Treasury as “treason against the people”, he touched a nerve in a country hungry for effective governance.
His strong condemnation reflects a growing national frustration: billions meant to address urgent needs like healthcare, education, water, and infrastructure lie unused, forfeited back to Treasury coffers. In a nation with chronic service delivery shortfalls, this feels like betrayal.
Yet the president's rebuke also invites a deeper question: does spending every allocated rand automatically lead to better outcomes? Or could a singular focus on budget absorption, without regard to quality and planning, result in waste, corruption, and public disillusionment?
Let us explore why underspending is a symptom, not the root of deeper governance and capacity issues. Rather than rush to meet spending targets, government leaders must focus on spending strategically, accountably, and transparently to deliver long-term impact.
Ramaphosa's comments to the National Council of Provinces spotlight a longstanding issue: municipalities and provinces frequently fail to spend their full budgets, especially for infrastructure and basic services.
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