/ 25 October 2006

More money for hospitals, housing, Aids

South Africa’s nine provinces are to receive an additional R28,2-billion over the next three years, according to Finance Minister Trevor Manuel’s Medium-Term Budget Policy Statement.

Provincial government is projected to get R178,3-billion this year — 2006/07 — including R150,7-billion from the equitable share and R27,5-billion in conditional grants.

This will rise to R171,2-billion in the equitable share in 2007/08 and R30,2-billion in conditional grants in 2007/08. This totals R201-billion for the provinces next year.

The total for provinces rises to R224,9-billion in 2008/09 and R248-billion in 2009/10.

Local government is projected to receive R27,7-billion from the national fiscus this year, rising to R33,8-billion in 2007/08, to R42-billion in 2008/09 and to R46,8-billion in 2009/10.

The statement notes that of the R28,2-billion addition to provincial government spend, R18,6-billion “goes to the equitable share and R9,6-billion is added to conditional grants.

“These revisions result in national transfers to provinces growing by 6,7% a year in real terms,” said the statement.

The statement noted that 386 state hospitals will be upgraded, including the Mary Theresa in the Transkei, the George Hospital in the Western Cape and at Piet Retief in Mpumalanga.

Various projects are already under way including at Chris Hani-Baragwanath, Natalspruit and Mamelodi in Gauteng and at hospitals in Paarl, Worcester and Boitumelo in the Free State.

Altogether R1,52-billion is earmarked for this programme this year, rising to nearly R1,9-billion in 2007/08, to R2,2-billion the following year and to R2,5-billion in 2009/10.

The HIV/Aids grant rises from R1,6-billion rand this year, rising to R1,74-billion next year, to R1,9-billion the following year and rising again to R2,27-billion in 2009/10.

The housing programme gets an additional R2,7-billion over the next three years. The programme is projected to get R6,8-billion this year, rising to R8,2-billion in 2007/08, R9,8-billion in 2008/09 and R11,5-billion in 2009/10. — I-Net Bridge