Premier disappointed looming fiscal crisis has not been placed on PCC agenda

Media Release: Premier Winde disappointed looming fiscal crisis has not been placed on agenda of PCC

Premier Alan Winde has expressed his deep disappointment that President Cyril Ramaphosa has not placed the urgent matter of the pending fiscal crisis in the 2023 medium term expenditure framework (MTEF) on the President’s Coordinating Council’s (PCC) agenda, to be held today, 1 September.

The Premier had recently written to President Ramaphosa requesting that this matter of national importance be given the priority and urgency it deserves at the PCC. The Presidency has acknowledged receipt of the letter, but the matter  has not been put on the agenda as requested.

“If President Ramaphosa will not take the initiative by raising this issue at his PCC, then I will do so,” the Premier continued. “It is incumbent on us as public representatives to show leadership and face these challenges, no matter how dire they are, and find ways to address them,” he stressed.

“I am deeply concerned,” said Premier Winde, adding, “This is an issue that affects all provinces and the whole government. Critically these anticipated fiscal cuts will hit frontline government services the hardest, such as education, health care and social development. It is the most vulnerable in society who will feel the impact most acutely,” he lamented.

The PCC is a crucial consultative platform where the President has an opportunity to be upfront and transparent with Premiers and other key officials about this looming fiscal emergency. This is essential to assist the Western Cape Government (WCG) and other provincial governments to plan accordingly.

This fiscal crisis was exacerbated by the conclusion of the 2023/24 and 2024/25 public service wage settlement without the necessary funding to sustain such a deal. Premier Winde concluded, “National Government has placed provinces in this position and, therefore, it is President Ramaphosa and his Finance Minister who should be prioritising this pressing matter. This issue cannot be ignored or downplayed in much the same way National Government has done with the energy crisis.”