アラビアン・ジャーナル・オブ・ビジネス・アンド・マネジメント・レビュー

Dynamics Obstructing Public Financial Management, Good Governance and Accountability in South Africa

Abstract

Zonke NM

Delivery of Services, reduction of poverty, economic development and sustainability depend on availability and prudent management of financial resources. Sound, ethical financial management is crucial in the public sector: without public funds to ensure functioning and capital costs, and without appropriate personnel, no public institution can render adequate services. This paper analyses dynamics that obstruct public financial management in South Africa. Several dynamics hamper public financial management, good governance and accountability: such as high turnover rate of accounting officers, parliamentary committees like the Standing Committee on Public Accounts (SCOPA) or a lack of political will. Although South Africa has suitable oversight bodies, policies, procedures and Acts, the poor state of financial management in South African government departments is evident from the low number of objective qualified audits that meet the requirements of the Public Finance Management Act, Act 1 of 1999, the legislative oversight bodies and the wider legal framework governing public finances.

In this study, a mixed method approach using both qualitative and quantitative instruments was employed to collect data. Data collection comprised in-depth focus groups, interviews and questionnaires. This study defines which dynamics obstructed Public Financial Management, Good Governance and accountability in South Africa, using a triangulation and a mixed method design. In this design, the researcher collects both types of data at the same time about a single phenomenon in order to compare and contrast different findings, and to produce wellvalidated conclusions.

This study looks at the high turnover rate of directors general and implications for public finance. This study provides guidance to government on possible interventions available to counter the negative consequences of turnover. Findings show an unacceptably high turnover rate: adequate accountability is not provided by departments. Global trends suggest that South Africa is not unique in this turnover rate: as in other countries encountering similar difficulties, rigorous intervention is required to ensure that there is greater continuity of office.