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Central SA

FS government gets ball rolling on Mangaung recovery plan

───   OLEBOGENG MOTSE 14:52 Mon, 27 Jan 2020

FS government gets ball rolling on Mangaung recovery plan  | News Article

The five-person administrative team deployed to assist Mangaung Metropolitan Municipality in implementing its financial recovery plan has been appointed and introduced to the metro’s management.


Mangaung, which includes Bloemfontein, Botshabelo, Dewetsdorp, Soutpan, and Wepener was placed under provincial care in December 2019, following Deputy Finance Minister David Masondo’s call for Premier Sisi Ntombela’s intervention. The announcement comes mere days after the Democratic Alliance in the province criticised the provincial government for not acting swiftly in assisting Mangaung in a media briefing.

Party caucus leader, Hardie Viviers, targeted Cooperative Governance and Traditional Affairs MEC, Thembeni Nxangisa, in particular, accusing him of failing to bring stability to the metro, even after credit rating agency Moody’s downgraded the metro back in August 2019. The international rating agency moved the metro’s rating three levels down on the junk status scale, from Ba3 to B3, which was described as a reflection of the municipality’s weak and declining liquidity position.

The municipality has also been fending off threats to cut supply and a court challenge over its debts to Bloem Water and to Eskom.

The five-person team, which is led by Mzwakhe Mofokeng from the office of the Premier, includes Chartered Accountant (CA), Masechaba Sesing, and a Cogta official, Dineo Mokheseng. Of interest in the team is the current Acting Head of Public Works and Infrastructure, Ernest Mohlalo, who was formerly Mangaung’s Chief Financial Officer (CFO). Mohlalo resigned from the metro in 2018, leaving the municipality struggling to find a suitable replacement for more than a year.


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