South Africa's National Treasury will withhold funding from Johannesburg and dozens of other ​municipalities for at least a month over persistent ‌and serious non-compliance with financial management regulations, officials said on Wednesday.

*The move comes before local elections on November ​4, in which Johannesburg, South Africa's economic ​hub and largest municipality, is expected to ⁠be among the most hotly contested battlegrounds.

*Ogalaletseng ​Gaarekwe, Treasury's deputy director general of intergovernmental relations, told ​a news conference on Wednesday that 3.6 billion rand ($220 million) in funding would be withheld from Johannesburg in July.

*She ​stressed the move did not amount to ​placing the city under administration.

Around 69 municipalities will have a ‌portion ⁠of their funding suspended until September unless they can show they have reduced wasteful expenditure by at least 25%, Treasury officials said.

*Finance Minister Enoch ​Godongwana has repeatedly ​raised concerns ⁠about Johannesburg's financial management.

*In May, the city approved a 97.1 billion rand ($5.98 ​billion) budget that Treasury said was ​unfunded ⁠because planned spending exceeded realistic revenue projections and included a sharp increase in the municipal wage bill.

*Local media ⁠have ​reported that the cash-strapped city ​has only five and 17 days of cash reserves available. ($1 = ​16.2422 rand) (Reuters, 2026-07-08)