Law enforcement processes and other forensic investigations were under way in Limpopo, “ensuring that any wrongdoing is identified and necessary action taken against individuals involved”, Finance Minister Pravin Gordhan said in Parliament on Friday.

Presenting his National Treasury budget vote speech, Gordhan said the finances of Limpopo were under control and the province’s cash position had improved. After interventions in Limpopo since December last year, the province had achieved a positive year-end balance, due to cash management controls that had been put in place.

“The departments under administration are developing recovery programmes which will form an integral part of a comprehensive plan for implementation in the short-, medium- to long-term period. A credible 2012 provincial budget has been tabled to deal with the accumulated debts and unauthorised expenditure.”

The interventions came after the Treasury said the province was bankrupt.

On collecting tolls for the Gauteng Freeway Improvement Project, which has been halted for review by the North Gauteng High Court, Gordhan said: “Cabinet has reiterated its commitment to the e-toll system as an efficient and appropriate mechanism of partial cost recovery from road users.

“However, we are also mindful that more rapid progress needs to be made in improving complementary and alternative roads in the Gauteng region and elsewhere, and in extending and improving public transport services. It is clearly unhelpful, if we are to make progress in these challenges, that an important source of revenue for the road system has been delayed.”

Discussing the Treasury’s activities, Gordhan noted that the work of the Treasury was “highly dependent” on the policies and programmes of fellow ministers. “Our successes, and our shortcomings, are shared. And we have to share in the challenge of finding a growth path that creates jobs, reduces poverty and broadens participation in a more rapidly expanding economy.”

He highlighted long-term issues. “There is good evidence that countries with sustainable macroeconomic policies, sound institutions and good governance fare better than others in sustaining rapid growth for long periods. The evidence is also clear that human development and the quality of education are critical for growth and development.”

Sketching the risks created by sovereign debt problems in Europe, he called for joint action with “our African partners in boosting industrialisation in Africa, developing regional value chains, and increasing intra-African trade”.

This approach would compensate for the slow growth expected in advanced economies over the next few years.

“Several economies in Africa and the developing world continue to grow more quickly than the main developed economies. Trade and investment patterns are shifting rapidly. Both our international relations and our trade and industry policies have to adapt to this rapidly changing global environment.

“In ensuring that our own interests are addressed in this global landscape, we seek with other developing countries a better balance in global governance and better institutions for collaboration and partnership,” he said.

Source: iol.co.za