Over the period 1996/97 to 1997/98 financial years the Province was experiencing the worst financial difficulties ever, which saw the Province operating at a deficit of billions of rands.

Two years later, resulting from draconian financial control measures which included cutting expenditure and rigorous financial reporting, the Province cleared its R2bn debt. It was at this stage that the Province was pronounced debt free.

The KZN Treasury has managed to bring in quality staff who are experts in various field. These are at a relatively young age therefore ensuring long term sustainability of financial management reforms. In addition to the above, this Department continues to strive for excellence in its mandates. Following hereunder is a continuation of KZN Treasury’s achievements.

Financial Management Reforms

KwaZulu-Natal is among the pace setters in the implementation of the PFMA. The Financial Management Programme (FINMIP) has brought about significant improvements in the area of financial management. The annual financial statements, drawn with the assistance of this programme, were among the first in the country.

Information on Service Delivery

KZN Treasury is leading the reforms aimed at providing service delivery indicators. These indicators will bepublished in the budget statements, annual financial statements and in the annual reports. The main objective behind this development is to improve service delivery, and ultimately the quality of life of our people. This is based on the simple principle that "what gets measured, gets done".

Procurement Reforms

The New Provincial Procurement Act was promulgated in April 2001 and became effective in June 2001. The enactment of the Act paved the way for the establishment of the Central Procurement Committee (CPC), which held its first meeting in the same month.

The achievements of the CPC in the eight months of its existence have been quite remarkable. Between June 2001 and February 2002, the Committee awarded some 533 contracts worth some R850 m.

Of significant interest is the fact that 430 small and medium enterprises and 351 previously disadvantaged individuals benefited from the award of contracts during this period.

Internal Audit

As at the end of the 2001/02 financial year Internal Audit Services had finalised 255 audits with 36 completed in the current financial year. The Risk Management component, since its establishment in April 1999, has conducted and finalised not less than 14 theft, fraud and corruption investigations, involving a minimum of R4.8 m.

Criminal convictions involving a total amount of R56 m have already been obtained by the Forensic Unit of Risk Management. During the last financial year, the Forensic Unit of the Risk Management component saved the province over R4.5 m in potential fraud and theft against the Provincial Government.

In addition, the Forensic Unit is working in close collaboration with the Directorate for Serious Offences to obtain prosecutions in 23 cases of fraud, theft and corruption involving a total amount of more that R12m.A Fraud Prevention Framework has been developed for the province and customised Fraud Prevention Strategies are currently being put in place for each provincial government department.

Organisational Repositioning

Mr Sipho Shabalala leads a dedicated team of mainly professionals and different practitioners who are part of the total staff component of 248 multi-racial employees who are popularly referred to as "Team Finance".

The Departmental Organisational Structure is based on the premise that in the modern finance environment, a relatively small numbers of staff with high level skills and technical knowledge are needed, as opposed to greater numbers of personnel at the lower operational level.

As a result, KwaZulu-Natal Treasury is now well structured along the lines of small, tightly focused business units with high level skills designed for specific core functions. The KwaZulu-Natal Treasury continues to implement the Provincial Affirmative Action Policy and works very closely with the Office of the Premier to achieve the departmental target to enhance representativity.

Organisational Structure

KwaZulu-Natal Treasury is strategically situated in both Pietermaritzburg and Ulundi, with the former being the head quarters where the majority of staff members are stationed. With regard to the future, there is no doubt that this department is destined for more success, even on the face of economic challenges facing the whole world.

Over the period 1996/97 to 1997/98 financial years the Province was experiencing the worst financial difficulties ever, which saw the Province operating at a deficit of billions of rands.

Two years later, resulting from draconian financial control measures which included cutting expenditure and rigorous financial reporting, the Province cleared its R2bn debt. It was at this stage that the Province was pronounced debt free.

The KZN Treasury has managed to bring in quality staff who are experts in various field. These are at a relatively young age therefore ensuring long term sustainability of financial management reforms. In addition to the above, this Department continues to strive for excellence in its mandates. Following hereunder is a continuation of KZN Treasury’s achievements.

Financial Management Reforms

KwaZulu-Natal is among the pace setters in the implementation of the PFMA. The Financial Management Programme (FINMIP) has brought about significant improvements in the area of financial management. The annual financial statements, drawn with the assistance of this programme, were among the first in the country.

Information on Service Delivery

KZN Treasury is leading the reforms aimed at providing service delivery indicators. These indicators will bepublished in the budget statements, annual financial statements and in the annual reports. The main objective behind this development is to improve service delivery, and ultimately the quality of life of our people. This is based on the simple principle that "what gets measured, gets done".

Procurement Reforms

The New Provincial Procurement Act was promulgated in April 2001 and became effective in June 2001. The enactment of the Act paved the way for the establishment of the Central Procurement Committee (CPC), which held its first meeting in the same month.

The achievements of the CPC in the eight months of its existence have been quite remarkable. Between June 2001 and February 2002, the Committee awarded some 533 contracts worth some R850 m.

Of significant interest is the fact that 430 small and medium enterprises and 351 previously disadvantaged individuals benefited from the award of contracts during this period.

Internal Audit

As at the end of the 2001/02 financial year Internal Audit Services had finalised 255 audits with 36 completed in the current financial year. The Risk Management component, since its establishment in April 1999, has conducted and finalised not less than 14 theft, fraud and corruption investigations, involving a minimum of R4.8 m.

Criminal convictions involving a total amount of R56 m have already been obtained by the Forensic Unit of Risk Management. During the last financial year, the Forensic Unit of the Risk Management component saved the province over R4.5 m in potential fraud and theft against the Provincial Government.

In addition, the Forensic Unit is working in close collaboration with the Directorate for Serious Offences to obtain prosecutions in 23 cases of fraud, theft and corruption involving a total amount of more that R12m.A Fraud Prevention Framework has been developed for the province and customised Fraud Prevention Strategies are currently being put in place for each provincial government department.

Organisational Repositioning

Mr Sipho Shabalala leads a dedicated team of mainly professionals and different practitioners who are part of the total staff component of 248 multi-racial employees who are popularly referred to as "Team Finance".

The Departmental Organisational Structure is based on the premise that in the modern finance environment, a relatively small numbers of staff with high level skills and technical knowledge are needed, as opposed to greater numbers of personnel at the lower operational level.

As a result, KwaZulu-Natal Treasury is now well structured along the lines of small, tightly focused business units with high level skills designed for specific core functions. The KwaZulu-Natal Treasury continues to implement the Provincial Affirmative Action Policy and works very closely with the Office of the Premier to achieve the departmental target to enhance representativity.

Organisational Structure

KwaZulu-Natal Treasury is strategically situated in both Pietermaritzburg and Ulundi, with the former being the head quarters where the majority of staff members are stationed. With regard to the future, there is no doubt that this department is destined for more success, even on the face of economic challenges facing the whole world.