Teoretiese verklaring van finansiële beheer en verantwoording by munisipaliteite in die Republiek van Suid-Afrika

Abstract

At present municipalities in the Republic of South Africa are under pressure as a result of poor financial control and accountability that give cause to extensive corruption and financial mismanagement with the subsequent detrimental consequences for effective and efficient rendering of goods and services to inhabitants. Hence, it is of the utmost importance that serious attention be given to the implementation of effective and efficient financial control and accountability at municipalities. Financial control and responsibility are definitely of the utmost importance in determining either the success or failure of local government in the Republic of South Africa. Sound financial management will enhance a positive attitude and trust among the inhabitants towards the municipal council. Statutory financial control in the local government sphere consists of two components, viz. an external component (preparation of the budget, control over loans, expenditure, revenue, and external auditing) and an internal component (internal auditing, reporting, ethical conduct, and financial regulations).