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Financial management and MFMA implementation

735 Financial management and MFMA implementation Introduction Sound Financial management practices are essential to the long-term sustainability of municipalities. They underpin the process of democratic accountability. Weak or opaque Financial management results in the misdirection of resources and increases the risk of corruption. The key objective of the Municipal Finance management Act (2003) (MFMA) is to modernise municipal Financial management in South Africa so as to lay a sound Financial base for the sustainable delivery of services. Municipal Financial management involves managing a range of interrelated components: planning and budgeting, revenue, cash and expenditure management , procurement, asset management , reporting and oversight.

Financial management and MFMA implementation Introduction Sound financial management practices are essential to the long-term sustainability of municipalities. They underpin the process of democratic accountability. Weak or opaque financial management results in the misdirection of resources and increases the risk of corruption.

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