Tourism Minister Patricia de Lille’s department received significant praise for its strong governance and financial management. However, a recent parliamentary review highlighted a troubling performance gap between the department and its implementing agency, South African Tourism....Click to Read More >>➤
The Department of Tourism secured a clean audit for the second year in a row. It spent 94.6% of its R2.3 billion budget and achieved nearly 93% of its annual performance targets. The portfolio committee on tourism commended this consistent record of good governance.
Committee chair Ronalda Nalumango directly linked the department’s success to its stable leadership. She also credited the consistent implementation of its audit action plan and its ability to produce fully compliant financial statements. This stability formed a stark contrast with the situation at its agency.
SA Tourism Faces Scrutiny Over Finances
While the department excelled, SA Tourism faced sharp criticism from Members of Parliament. The agency received a qualified audit opinion for the second consecutive year. This failure indicates persistent problems with its financial record-keeping and internal controls.
The auditor-general’s report pinpointed the core issues behind SA Tourism’s poor audit outcome. The problems included inadequate daily and monthly financial discipline and poor record-keeping. Material misstatements were also found in the agency’s submitted financial statements, leading to the qualified opinion.
MPs expressed deep concern over the significant instability within SA Tourism’s leadership. Critical senior positions, including the Chief Financial Officer and the Chief Audit Executive, remain vacant. The agency is currently operating with both an acting chief executive officer and an acting CFO, creating a leadership vacuum.
Job Creation Target Missed
Despite the overall positive report, the portfolio committee did issue a caution to the Department of Tourism. It failed to meet its key job creation targets under the Expanded Public Works Programme. This shortfall was noted as an area requiring immediate attention and improvement.
The committee’s review, which included a briefing from the auditor-general, presented a clear split in performance. Minister de Lille’s department demonstrated how effective administration leads to success. Meanwhile, SA Tourism’s repeated financial blunders and leadership instability threaten to undermine the broader tourism sector’s recovery efforts.
The contrasting audit outcomes for the Department of Tourism and SA Tourism highlight a critical challenge. The department’ strong performance is commendable, but the agency’s ongoing struggles need urgent resolution. Stabilizing SA Tourism’s leadership and fixing its financial controls are now essential next steps for the ministry. ...Click to Read More >>➤
