Following the declaration of a state of disaster and a national lockdown in the country, Finance Minister Tito Mboweni, in terms of the Public Finance Management Act (PFMA), has issued an exemption notice to institutions to which that Act applies to ensure effective financial management and to minimise any possible noncompliance with the PFMA.
The notice is accessible on the National Treasury and the PFMA websites.
The objective of extensions related to the PFMA requirements is to ensure that the National Treasury and other public entities still adhere to the legislative requirement, taking cognisance of the challenges experienced as a result of the announcement of the national state of disaster and lockdown.
The relevant functionary or institution is exempted, for the 2019/20 financial year, from complying with the deadlines in certain sections of the PFMA, including a regulation or institution issued in terms of Section 76 of the PFMA as it relates to those sections.
The relevant functionary of institution must comply with the provisions referred to within one month after the deadline of the applicable provisions.