The City of Johannesburg posted a record budget of more than R52-billion yesterday.

“The size of the budget and the extent of the allocations made to departments, entities and priority programmes reflect the health and sustainability of the City’s finances within a global and regional economic climate that remains constrained,” says Councillor Geoffrey Makhubo, the Member of the Mayoral Committee for Finance.

The budget consists of operating expenditure of R42,7-billion and almost R10-billion in capital expenditure. However, the city is appropriating a three year capital budget of R29-billion that will take it to the 2017/18 financial year.

“We are demonstrating to the people of the City that the Johannesburg of today is much better than it was yesterday,” says MMC Makhubo.

The city has generated surpluses over the past three years and reinvested this to fund major developments including road infrastructure, electrification and service delivery.

In addition, Johannesburg maintained high levels of liquidity with cash balances exceeding R5-billion at the end of the 2013 and 2014 financial years.

The city also received unqualified audits in the past two consecutive years – with four of its entities achieving ‘clean audits’.

The City of Johannesburg is meeting its commitment to invest R100-billion in infrastructure over a 10- year period, Makhubo says. In the past year Johannesburg has spent over 95% of its approved capital budget on projects designed to improve the quality of life of its residents.

Makhubo says Johannesburg’s capital budget is guided by an investment framework which seeks to eradicate service delivery backlogs.