A State of City Finances report has revealed that the Cape Town municipality is in the best financial position of the nine biggest municipalities studied.
The report revealed that Cape Town had more than double the national average of cash available to meets its needs. Cape Town reportedly had 3.19 months of cash available to meet its needs, while the national average was 1.42 months of cash. Johannesburg reportedly only had 0.35 months of cash available.
According to the Business Report, the three most indebted cities were eThekwini, Johannesburg and Tshwane.
The State of City Finances report also said that Cape Town was the best at providing the most affordable services to the poor. The city however ranked below Nelson Mandela Bay, Johannesburg, Ethekweni and Mangaung when it came to providing services to the upper income bracket.
Buffalo City was reported as having the most expensive services for both higher and lower income brackets.
Cape Town’s deputy mayor Ian Neilson said that while the city was financially stable it was improving as well.
“The city inherited a very unstable financial position from previous municipalities and it was only in around 2007 that things started to stabilise.”
Article source: http://business.iafrica.com/news/874837.html