South Africa freezes funding for Johannesburg, dozens of municipalities

South Africa freezes funding for Johannesburg, dozens of municipalities

By GhanaSummary NewsroomPan-Africa

Johannesburg South Africa's National Treasury said Tuesday it would withhold funding from more than a quarter of the country's municipalities, including economic hub Johannesburg, citing financial mismanagement.

In May, Finance Minister threatened to withhold Johannesburg's equitable share for July if the mayor failed to scarp a R10,3 billion ($634 million) wage offer the council made for city workers who wanted to strike last year.

Alongside Johannesburg, funding will be withheld from municipalities including Emfuleni, where the country's second-largest party, the Democratic Alliance, recently won a ward by-election from the African National Congress.

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