Update on the South African Cities Network (SACN) study into financing for infrastructure in the Southern African region

Mar 8th, 2011 | By Administrator | Category: News Flash

The joint SACN/World Bank/Private Public Infrastructure Advisory Fund (PPIAF) study into municipal finances for infrastructure in the SADC region held a reference group meeting on the 27 of January 2011. Its intent was to among others, test some of the outputs with knowledgeable practitioners in the field.  Among the outputs that were considered were credit assessments of 10 municipalities in the southern African region, infrastructure assessments reports, and a report on activities related to capacity building for financial management in the cities. As was expected, the infrastructure needs in the assessed cities were reported as considerable. However, only a limited number of these municipalities are of investment grade. This has negative ramifications on their ability to leverage off private sector funding to finance their infrastructure backlogs. The solution to the problem is increasingly emerging as multifaceted. An investment grade municipality in fact is a municipality that displays functionality across a range of key management areas. It is an accountable, well skilled, stable and empowered one. It has well laid out systems for infrastructure maintenance and procurement, and clear mandates which it understands and has the ability to raise money to finance. The question of resolving the infrastructure needs of the municipalities is thus a long term engagement with these local governments, building their capacity across a number of fronts, as well as making key structural reforms to policy on local government.

South Africa Cities Network commissions a study that looks at the effect of planning and land use laws on housing and infrastructure delivery

The Department of Cooperative Governance and Traditional Affairs (CoGTA) and the South Africa Cities Network (SACN) are in the process of commissioning a study that looks at, among others, the effects of planning and land use management laws on infrastructure delivery. Through a broad survey into the practice across a number of economic hubs in the provinces of South Africa, the study looks to better understand the effects of the old and mostly inappropriate land use legislation on land development. With new national and provincial land use legislation in the cards, the study aims to identify critical areas for intervention for these laws, to enhance the ability of both government and the private sector to develop and deliver on housing and infrastructure needs.

Resource Documents:

Concept Provincial Land Use Legislation v4 SACN Sustainable Municipal Finance in Southern Africa

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