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Coronavirus – South Africa: Treasury on Public Finance Management Act extensions during Coronavirus COVID-19 lockdown

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On 15 March 2020, President Cyril Ramaphosa declared a national state of disaster in terms of the Disaster Management Act to enable the government and the country to manage the spreading of the COVID-19 virus.

On 23 March 2020, the President declared a nationwide lockdown, whereby all citizens, except those that form part of essential services, were ordered to stay home for a period of 21 days. The nationwide lockdown commenced at midnight on Thursday 26 March 2020.

On 31 March 2020, the Minister of Finance in terms of section 92 Public Finance Management Act (PFMA), 1999 (Act No. 1 of 1999) issued an Exemption Notice to institutions to which that Act applies to ensure effective financial management and to minimise any possible non-compliance with the PFMA. The notice may be accessed on the National Treasury website and the PFMA webpage.

The objective of extensions related to PFMA requirements is to ensure that departments and public entities still adheres to the legislative requirements taking cognizance of the challenges experienced as a result of the announcement of the National disaster and lockdown.

The relevant functionary or institution is exempted, for the 2019/2020 financial year, from complying with the deadlines in sections 8(1)(b), 8(5), 19(1)(b), 19(5), 40(1)(c), 40(1)(d), 55(1)(c), 55(1)(d) and 65(2) of the PFMA, including a regulation or instruction issued in terms of section 76 of the PFMA as it relates to those sections. The relevant functionary or institution must comply with the provisions referred to in the above paragraph within one month after the deadline of the applicable provision.

Communication related to other areas of the PFMA is enclosed in Annexure A of this media statement and other dates of submissions has been communicated to provinces.

Any enquiries can be directed to OAGQueries@treasury.gov.za and Supply Chain Management related enquiries can be directed to the CPO@treasury.gov.za.

Issued by: National Treasury