The Gauteng Health Department has been plunged into further crisis as its deficit has ballooned from R4.8 billion to R7.3 billion in the last three months.
This shock figure, which is 11% of the total R66 billion budget, was revealed last week in the department’s presentation to the Gauteng Legislature’s Health Committee.
They are managing cash flows to the end of the financial year on 31 March by freezing posts and new machinery, and by delaying payments to hundreds of suppliers.
Health MEC Nomantu Nkomo-Ralehoko said that some debts to suppliers dated back to the Covid period, and some as long ago as 2012.
Some major companies, including Smith & Nephew, are refusing to supply critical medical items until they get paid.
According to letters sent to unpaid suppliers: “… the department is unable to specify which suppliers will be paid or the amounts to be disbursed until further notice.”
When the new financial year starts on 1 April, the department will have accruals of at least R7.3 billion to pay due to massive mismanagement and corruption.
The DA will continue to pressure Premier Panyaza Lesufi to fire Health MEC Nomantu Nkomo-Ralehoko and Head of Department Lesiba Malotana, who should be replaced with competent people to ensure decent care is provided in our public hospitals.