Treasury Uses Constitutional Article for Off-Budget Financing

The Controller of Budget noted that certain publicly funded budget items fall outside the control of the Controller of Budget, which is responsible for public funds. The concerns center on the increased use of Article 223 of the Constitution by the National Treasury. This article, originally intended for urgent and unforeseen crises such as famine or national security emergencies, is reportedly being used as a regular off-budget financing pipeline. When these items are brought to Parliament, commitments are already complete, funds have been spent, and the legislature is presented with a fait accompli.

The use of Article 223 allows the National Treasury to implement off-budget financing measures. This process raises questions about the financial oversight of predictable spending versus genuine unforeseen crises. The Treasury is moving forward with commitments before Parliament can provide formal review or approval.

The new event covers two distinct issues: appeals against a High Court ruling regarding an inquiry, and the government seeking innovative ways to fund public health projects.