The Public Service Commission (PSC) has expressed concern over national government departments’ continued failure to pay suppliers on time, saying the trend is worsening and hurting small businesses.

According to the National Treasury’s 2024/25 annual report, departments paid 143,245 invoices after the 30-day deadline, amounting to R6.4 billion by the end of the financial year. This represents a 32% increase from the previous year.

PSC Commissioner Anele Gxoyiya said the findings show a “serious regression” in financial discipline and compliance with the Public Finance Management Act (PFMA).

Treasury also reported that 2,437 invoices, valued at R381 million, remained unpaid by the end of March 2025.

Gxoyiya attributed the delays to budget shortfalls, poor financial controls, and slow invoice processing.

He said the PSC was calling for consequence management against accounting officers who fail to meet the 30-day payment rule.

“These late payments have a devastating impact on small and emerging businesses that depend on government contracts,” Gxoyiya said during a media briefing in Pretoria.

Author

Share.
Leave A Reply

Exit mobile version