1 In-Year Financial Monitoring Annexures October 12, 2007

2 National YTD Expenditure Trends Annexures

3 YTD Vote Expenditure

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5 Provincial Budgets and Expenditure as at 31 August 2007 (including conditional grants) Annexures

6 Provincial Aggregated Expenditure

7 Education

8 Health

9 Social Welfare Services

10 Personnel

11 Payments for Capital Assets

12 Conditional Grants

13 Conditional Grants

14 IYM Reporting: Background, Legal Requirements and Processes Annexures

15 The In-Year Monitoring Process Dept IYM Data file + Dept IYM report signed by HOD Provincial Treasury15 th of month Collates and imports all departmental IYM data file into treasury IYM Model (built in function) to generate provincial IYM report Provincial Treasury updates IYM Model with all Dept IYM data files and generates IYM data file National Treasury22 nd of month Imports IYM Data file into IYM Model also receives all dept signed IYM summary reports via post before 25 th of month + provincial treasury spending / variance report

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17 Screen Shots – IYM Model

18 Screen Shots – IYM Dataset

19 Section 32 Quarterly Provincial Budgets and Expenditure Reports Annexures

20 Screen Shots – Section 32 Publication

21 Screen Shots – Section 32 Publication - CGs

22 Screen Shots – Press Release

23 Screen Shots – Monthly Report

24 Provincial Aggregated Expenditure

25 Provincial Forecasts

26 Education NW Education is projecting to overspend by R1,1bn, MPU by R335,0m – Personnel KZN projected underspending linked to Personnel, Capital LIM reflects high spending trend in capital (54,7%) EC: Significant changes in projected under expenditure from previous month (R696,6m vs. –R6,6m)

27 Health 4 provinces (LP, KZN, WC and GP) are projecting to overspend their health budgets in various areas (Personnel, NPNC) Budget pressures experienced in 2006/07 are to be repeated Need to be addressed during the prov adj budgets process

28 Social Welfare Services Low spending rate for social welfare services departments (33,5%) –Lowest spenders: NW (23,5%) and EC (30,3%) –Aggregated under-exp of R119,8m recorded for 2006/07 –Currently projecting to underspend by R112,8m

29 Personnel The annual salary adjustments increased from 6% to 7,5% for 2007/08 Will be addressed in the National Adjusted Estimate to provide provinces with additional funds

30 Payments for Capital Assets The capacity to spend capital budgets continues to improve with capital expenditure totalling R5,9bn which is R1,4bn higher compared to the same period last year Initiatives put in place to enhance infrastructure delivery are paying off

31 Conditional Grants

32 Conditional Grants

33 Conditional Grants Spending Rates

34 Overview: Provincial Quarterly Performance Process Annexures

35 Overview of Provincial Departments who have implemented sound performance management principles Departments Implemented Performance Management Processes Education100% Health100% Social Dev & Population100% Agriculture100% Housing and Local Government100% Sport, Arts & Culture100% Transport, Roads & PW100% Public Works100% Legislature100% Safety and Liaison100% Office of the Premier100% Treasury100% Economic Affairs and Tourism100% Environment and Conservation100%

36 Standardising of performance measures for non- service delivery departments Departments In process to standardize performance measures LegislatureYes Safety and Liaison2009/10 Office of the PremierYes TreasuryYes Economic Affairs and Tourism Yes Environment and Conservation Yes

37 Towards more effective reporting: Review of current performance measures DepartmentsReview Standardized Measures Education78% Health67% Social Dev & Population100% Agriculture78% Housing and Local Government67% Sport, Arts & Culture56% Transport, Roads & PW100%

38 Vulindlela Annexures

39 Vulindlela

40 Vulindlela Analysis:

41 Vulindlela Analysis: