Knysna Municipal Manager Lulamile Mapholoba announced that the municipality had received an Unqualified Audit result from its 2023/2024 audit. “This reflects a marked improvement in the municipality’s financial health, the accuracy of its financial statements and overall performance,” he said.
Several accomplishments underpinned the improved audit outcome, including the resolution of previous material misstatements in asset and liability management, significant progress in addressing control deficiencies and effective grant management, with R215 million in grants efficiently utilised to support key projects.
Improvements in expenditure monitoring and reporting also demonstrates enhanced compliance with the Municipal Finance Management Act. The audit outcome is further bolstered by the municipality’s success in resolving 9 out of 12 previously identified findings, showcasing its commitment to addressing deficiencies.
“Notable highlights include the implementation of a budget funding plan that has already shown progress in stabilising financial health, despite ongoing challenges,” Mapholoba explained. “The municipality also reported reduced electricity losses and improved liquidity ratios, reflecting a strengthened financial discipline.”
Executive Mayor Aubrey Tsengwa said the improvements confirm the municipality’s dedication to good governance and fiscal responsibility. “It is a milestone not only for Greater Knysna, but for the Western Cape Province and our national counterparts. The Section 154 support plan, developed with Provincial Government, has been instrumental in driving this progress.
“This success is a collective effort,” Tsengwa continued. “As an organisation, and as a community, we owe a debt of gratitude to the Chief Financial Officer, Chief Audit Executive and all our members of staff who worked tirelessly to achieve this milestone. Your hard work and resilience have laid the foundation for even greater accomplishments in our future.”
While much work remains, particularly in areas like internal control improvements and addressing supply chain challenges, the municipality remains steadfast in its pursuit of excellence,” Mapholoba concluded. “We shall keep a clear focus on maintaining this positive trajectory and addressing the remaining challenges to ensure improved service delivery and financial stability.”