DA-RUN WESTERN CAPE MUNICIPALITIES LEAD NATIONAL FINANCIAL SUSTAINABILITY INDEX
CAPE TOWN – Democratic Alliance (DA)-led municipalities are continuing to set the national standard for service delivery and fiscal discipline, according to the latest findings from the Municipal Financial Sustainability Index (MFSI).
The report, compiled annually by independent governance ratings agency Ratings Afrika, highlights a severe financial crisis affecting a majority of South Africa's municipalities due to poor governance. In contrast, local governments governed by a DA majority have demonstrated strong financial resilience and stable infrastructure management.
Cape Town Outperforms All Other Metros
The City of Cape Town has solidified its position as the country's best-run metropolitan area, emerging as the only metro in South Africa officially classified as "highly financially sustainable".
Cape Town secured an overall index score of 71 out of 100, outperforming the combined average score of 36 recorded by the remaining metros by a full 35 points. This exceptional financial standing is driven by a remarkable 98% revenue collection rate, far exceeding the national metro average of 85.3%.
According to local authorities, this rigorous fiscal performance enables Cape Town to execute a record R40 billion infrastructure investment over the next three years, expected to generate approximately 130,000 construction-related jobs.
Top Local Municipalities Dominated by the Western Cape
The index evaluated the financial performance of South Africa's largest local municipalities, identifying the top five best-performing local governments in the country. All five are DA-run municipalities located in the Western Cape:
~ Drakenstein
~ Hessequa
~ Overstrand
~ Saldanha Bay
~ Swartland
With an average score of 57, the Western Cape remains the highest-performing province in South Africa by a substantial margin. It stands alone as the only province to score above 50 and the only region where municipalities can, on average, be regarded as financially sustainable. Conversely, when Western Cape data is excluded, the national municipal average drops to a low score of 27 out of 100.
Tangible Outcomes for Residents
The DA noted that these high-ranking positions represent tangible daily benefits for residents rather than mere statistics on paper.
Responsible financial management translates directly into consistent refuse collection, properly maintained roads, reliable water services, and heavy infrastructure investments that foster job creation.
Party leadership emphasized that these results reflect the DA's focus on putting the interests of residents above volatile political maneuvers, prioritizing stable service delivery over chaotic coalitions.
The maintenance of high-quality local governance will be a defining choice for residents on the ballot paper in the upcoming November municipal elections.
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