MEC of Provincial Treasury, Kgabo Mahoai.
In an address at the Limpopo Legislature in Lebowakgomo recently, Kgabo Mahoai, MEC for Finance, announced the 2024 budget adjustments focused on improving infrastructure, education, and economic growth across the province.
The adjustments align with national priorities set by President Cyril Ramaphosa and Premier Dr. Phophi Ramathuba, including job creation, poverty reduction, and effective governance.
The province’s infrastructure budget sees a notable increase, rising by 6.2% from R7.8 billion to R8.3 billion. This boost primarily supports the Departments of Cooperative Governance, Human Settlement and Traditional Affairs, and Public Works, Roads and Infrastructure. These funds will enable the departments to implement vital catch-up plans monitored monthly to ensure effective use and progress.
Although no additional equitable share funding was allocated from National Treasury, Limpopo will see an increase in available funds for the 2024/25 fiscal year by R542.547 million. This change includes an increment in conditional grants and improved provincial revenue collections, partly due to efforts in horse racing taxes and unspent funds reallocation.
Significant budget revisions include a R117.526 million increase in the health sector, addressing pressing operational needs. Education sees an increase of R30.710 million, with a notable R189.5 million allocated for scholar transport to support more students. Public Works, Roads, and Infrastructure receive an additional R402.984 million, crucial for ongoing projects like the Steelpoort bridge.
The Limpopo Economic Development, Environment and Tourism (LEDET) will reallocate funds to enhance operational efficiencies and tourism events like the Marula Festival. Meanwhile, the Social Development department receives a R27 million uplift to manage contracting expenses better, and CoGHSTA enjoys a R213.535 million boost to support housing projects and a municipal intervention at Thabazimbi.
Looking ahead to the 2025 Medium Term Expenditure Framework (MTEF), the province anticipates increased allocations in the Provincial Equitable Share, reflecting a cautious end to fiscal consolidations. Expected increments from R69.625 billion in 2024/25 to R81.203 billion by 2027/28 promise continued investment in Limpopo’s development and economic stability.
The Adjustment Appropriation Bill 2024, Mid Term Provincial Budget Overview, and related documents were presented to the house, outlining the province’s commitment to strategic financial management and growth initiatives for its citizens.
Premier Dr. Phophi Ramathuba arrives for the 2024/25 Budget Adjustment Speech, presented by Provincial Treasury MEC Kgabo Mahoai.
ANC Alliance secretariat, ANC’s Reuben Madadzhe and SACP’s Dr. Chuene Malebana also showed up for the Budget Adjustment Speech.