- Approved budget estimates fail to fully cater for council needs
- Council still struggles to pay salaries and for services rendered
The North West District Council (NWDC) has been urged to exercise financial prudence during the upcoming 2026/2027 financial year, as approved budget estimates fall short of the district’s actual needs.
Presenting the 2026/2027 Approved Budget Estimates, NWDC Chairperson of the Finance and Investment Committee, Councillor Baoketsi Diare, revealed that the approved Recurrent Budget stands at P306,805,380. This comprises a Revenue Support Grant (RSG) of P298,477,490 and P8,327,890 from internal income sources.
He indicated that the RSG reflects an increase of P21,943,720 (7%) from the P276,533,770 allocated in the 2025/2026 financial year. However, the chairperson noted that internal income has decreased by P2,590,110 compared to the previous year’s P10,918,000, primarily due to a reduction in investment interest caused by cash flow challenges.
Despite this, Diare indicated that the overall NWDC budget has increased by P19,353,610 (6%) from the P287,451,770 recorded during the 2025/2026 financial year.
However, he informed councillors that although the budget has grown, it remains insufficient. Diare highlighted that critical line items—including destitute relief, fuel and lubricants, lighting, gas, water, and staff travel—have only been funded for three to six months.
“I therefore urge you to be financially prudent during this coming financial year because if we can work together as a team with the little resources we have, we will be able to achieve more,” he appealed.
Meanwhile, NWDC Chairperson Itumeleng Kelebetseng updated the council this week, stating that ongoing financial constraints have left the council unable to fully pay councillors’ sitting allowances. He acknowledged that allowances are owed for both previous and current committee meetings; however, he could not provide a timeline for when these payments would be fulfilled.
Since the beginning of the year, the council has struggled to pay salaries on time for both employees and councillors, citing delays in funding from the Ministry of Local Government and Traditional Affairs. It is reported that the NWDC spends more than P10 million monthly on payroll alone.
Emphasising the gravity of the situation, the chairperson concluded: “Service provision has also been affected. The funds we had have dried up; we are left with less than half a million as we speak.”
