ABSA plans to partner with SA Cities Network to manage finances

The partnership will strive to turn around negative perceptions against local government through focussed research on issues pertaining to good governance and the sustainability of South Africa's largest cities and municipal governments.

The work of the research themes will be conducted over a five year period and will include, among other things urban development policy; municipal data and indicators; understanding rural-urban inter-dependencies; spatial planning and land-use management issues; public transportation; sustainable human settlements; city finances; natural resources and climate change; human capacity development; as well as infrastructure development and investment.

Support for innovative problem-solving initiatives

Speaking at the recent South African Cities Network strategic leadership session, Absa's public sector head, Shiva Makotoko, said that Absa would support cities with innovative ways of solving the problems they experience such as the funding of social and economic infrastructure, cash management and other financial management related matters.

"Absa has been at the forefront of facilitating the infrastructure funding needs of municipalities and is active in supporting municipalities, including the Metros, in accessing the bond market to fund their infrastructure needs. The partnership will enable Absa to provide inputs to specific workstreams that support the focus of the bank in local government financing models in areas such as public transport and human settlement," she said.

The chief executive officer of SA Cities Network, Sithole Mbanga, commended Absa's intention to partner with local government. "This is an insightful strategic move on the part of Absa given that the public policy environment is embracing a differentiated approach to supporting the local government sector."