Western Cape urges Minister Gordhan to convene Budget Council Meeting
The Western Cape Government has urged Finance Minister Pravin Gordhan to convene a Budget Council Meeting without delay.
The meeting is a high-level forum of MEC’s and the Finance Minister. Western Cape Finance MEC, Ivan Meyer, said:
“I wrote to Minister Gordhan today asking that the Budget Council be moved forward. It has become urgent to discuss the fiscal and economic implications of the crisis facing Treasury. It will impact the fiscus of the National Government, all Provinces and Municipalities.”
The Western Cape’s request is in line with the provisions of Section 3 of the Intergovernmental Fiscal Relations Act (97 of 1997)
Minister Meyer: “It is my belief that any perceived attack on the National Treasury will bring about an extreme loss of confidence in our capacity to deliver on the goals of the National Development Plan, and on our objective to grow the economy and create decent employment opportunities.”
“I believe that we cannot sit back and watch the National Treasury being systematically attacked, its authority eroded and our fiscal sustainability undermined. This is an organisation which finds its existence in this country’s Constitution and the Public Finance Management Act – we must uphold the rule of law.”
Minister Meyer further called on fellow MEC’s of Finance to support and protect the integrity of National Treasury during this time of crisis.
“Provincial budgets are being squeezed by austerity brought on by financial mismanagement. The impact on frontline service delivery will be hard to avoid if we allow the economy to be downgraded, or fall into a recession that takes us off the fiscal cliff. We need to do the responsible thing and show a united front against attacks on Treasury.”
The provincial government looks forward to a positive response from the Minister, and an urgent convening of the Budget Council.
Dr Ivan Meyer
Minister of Finance
Western Cape Government