Deputy Finance Minister Ashor Sarupen says national government is still working very closely with the City of Johannesburg, despite the leaking of a letter revealing the metro’s worsening financial situation.

In a strongly worded letter this week from Finance Minister Enoch Godongwana, it emerged that creditors are owed R25 billion, while the municipality only has R3.9 billion in available cash.

Godongwana also instructed Johannesburg Mayor Dada Morero to halt the implementation of a signed wage agreement with the South African Municipal Workers’ Union over the risk to both the city’s finances and the broader economy.

Sarupen says they are trying to remediate the situation.

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