Ricochet News

EC Education spending projected to reach R29.7 Billion by 2016/17

JANUARY 16, 2015
EC Education spending projected to reach R29.7 Billion by 2016/17

Expenditure on Education by the Eastern Cape Provincial Government is projected to increase to R29.675 billion by the 2016/17 financial year, according to figures released by National Treasury.

The Provincial Budgets and Expenditure Review 2010/11 to 2016/17, shows that expenditure on Education over that period will have increased from R22.577 billion to R29.675 billion.

Between 2020/11 and 2013/14, spending on Education increased annually by 6.7% in the Eastern Cape and between 2013/14 and 2016/17 is projected to grow by 2.6% annually.

The Review points out that Education constitutes the “largest single component of provincial spending across all nine provinces, averaging 42% from 2010/11 to 2016/17.

Education spending by all nine provinces was R138.3 billion in 2010/11 and is projected to reach R202.651 billion by the 2016/17 financial year.

The Review shows that the total amount the Eastern Cape Education Department spent on compensation of employees was R18.857 billion in 2010/11, but will have risen to a projected R25.050 billion by 2016/17.

Growth in compensation of employees increased by 5.4% annually in the between 2010/11 and 2013/14 and is projected to increase by 4.3% between 2013/14 and 2016/17.

The Review states that growth in spending on cost of employees is “projected to be low” over the three-year 2014 Medium Term Expenditure Framework period, relative to the annual growth, for all nine provinces, of 8.3% between 2010/11 and 2013/14.

“Given the size of the employee compensation budget,” the Review points out that provinces “need to improve their management of human resources”. - MetroMinutes.


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