Centre for Development and Enterprise

Johannesburg is dangerously short of cash. And the consequences are visible across the city.

Please join us for the online launch of Joburg’s Broken Budget, the second report in CDE’s Johannesburg Matters series.

The report shows how years of unrealistic budgeting have helped drive Johannesburg into a chronic financial crisis. The City budgets for revenues it cannot collect, while failing to keep its costs in line with the cash actually coming in.

The pressures are mounting. Over the past five years, average remuneration in the City has risen by about 10% a year, an extraordinary increase for a municipality under such severe financial strain.

What went wrong? What needs to change if the City is to fund the basic services and infrastructure on which its future depends?

Join Daniel Mminele, chairman of Nedbank Group and CDE Board Member, who will chair the event; Ann Bernstein, CDE’s executive director, who will present the report’s key findings and recommendations; and Antony Altbeker, independent consultant with considerable experience in public finance and author of the research paper commissioned by CDE, Johannesburg's Finances (2026).

📅 Tuesday 25 August 2026
⏰ 10:00–11:30am
🔗 Register: https://cde-org-za.zoom.us/webinar/register/WN_3bJNn8F2SOe0cW65QWSTfg

CDE launched Joburg in Jeopardy, the first report in its new series, Johannesburg Matters: Fixing South Africa’s Growth Engine.

The report argues that South Africa cannot restore growth, expand opportunity and attract investment while Johannesburg continues to decline.

The city’s challenges are closely linked to instability in politics and governance. Since 2016, Johannesburg has had nine mayors and eight coalition governments.

The report highlights the importance of the November local government elections and argues that Johannesburg’s future will depend on stable political leadership, capable administration and effective partnerships.

Joburg in Jeopardy is the first in a series of reports that will examine Johannesburg’s finances, governance, economy, organised crime and corruption, before proposing an agenda for rebuilding the city after the elections.

Read the report here: https://cde.org.za/johannesburg-matters-joburg-in-jeopardy/

Anne Applebaum, a Pulitzer Prize-winning historian, journalist & staff writer for The Atlantic, joined Ann Bernstein for a discussion on the rise of authoritarianism & the future of democracy. Applebaum explained that today’s autocracies unite around power rather than ideology. They also share a hostility to human rights, accountability, independent courts & media, & legal political opposition, all of which threaten their hold on power.

Read the full conversation here: https://cde.org.za/anne-applebaum-in-conversation-with-ann-bernstein/

South Africa’s procurement system is already slow, expensive and vulnerable to corruption. National Treasury’s draft regulations risk making it worse.
In a new article, Ann Bernstein argues that the proposed rules will restrict competition, increase officials’ discretion and push up the cost of government contracts. That will make it harder for the state to buy medicines, maintain infrastructure and deliver basic services.
When every tender is expected to carry too many political and economic goals, value for money and delivery are pushed aside.
As Ann writes: “A system with too many goals becomes a system with no clear idea of success.”
South Africa needs simpler rules that widen competition, reduce opportunities for manipulation and help the state buy what it needs at a fair price.
Read the full article here:

Ann Benstein - How SA’s draft procurement regulations will raise costs, deepen corruption Public procurement is where the state meets the market. It is the mechanism through which government buys the goods, services and infrastructure it needs to govern: medicines for hospitals, textbooks for schools, pipes and pumps for water reticulation systems, vehicles for police stations,

Speaking on SAfm, CDE executive director Ann Bernstein shared CDE’s views on the Draft Public Procurement Regulations.

Ann welcomed the provisions aimed at increasing transparency in public procurement but questioned how the complexity of the proposed regulations would be managed in practice.

As she noted: “At least R500 billion is spent every year by the state and SOEs on public procurement for the needs of our society.”

Given the scale and importance of public procurement, regulatory frameworks should be clear, practical and easy to implement.

Overly complex systems risk undermining efficiency, accountability and value for money.

CDE continues to advocate for procurement reforms that promote transparency while ensuring that public resources are used effectively to meet the needs of South Africans.

Listen to the interview here:

Ann Bernstein - Draft procurement regulations must balance transparency with simplicity CDE executive director Ann Bernstein was interviewed on SAfm to discuss the Draft Public Procurement Regulations. She welcomed the provisions aimed at increasing transparency in public procurement but raised concerns about how the complexity of the proposed regulations would be

Speaking to 702’s Mandy Wiener, CDE Executive Director Ann Bernstein discussed CDE’s response to the government’s Draft Procurement Regulations.

While CDE welcomes efforts to improve transparency, Ann cautioned that the proposed preferential procurement provisions remain unnecessarily complex. “These will be more complex than the current system, which is already failing us in many respects, and will encourage corruption.”

Instead, CDE argues for a much simpler regulatory framework that prioritises value for money, efficiency, accountability and effective service delivery.

Listen to the interview here:

cde.org.za

There is no authoritative estimate of the total value of public procurement in South Africa, but government departments and state-owned entities procure well over R500 billion in goods and services from the private sector every year.

This makes procurement one of the most important functions of the state. How these funds are spent affects the delivery of water, electricity, roads, textbooks, healthcare and policing. When procurement fails, service delivery suffers, costs rise and opportunities for corruption increase.

In a new op-ed, Ann Bernstein examines the National Treasury’s draft procurement regulations. While welcoming proposals to improve transparency and reporting, she argues that key provisions—including set-asides, prequalification requirements and compulsory subcontracting—risk reducing competition, increasing costs and adding complexity to an already vulnerable system.

Read the full article here:

ANN BERNSTEIN | Procurement reforms risk making the state less effective Real reform needs skilled professionals and streamlined oversight, not more red tape

CDE has called on the National Treasury to reconsider and withdraw the preferential procurement provisions contained in the draft General Public Procurement Regulations.

In its submission, Buying Badly: How the draft procurement regulations will raise costs and deepen corruption, CDE argues that several key provisions including set-asides, prequalification requirements and compulsory subcontracting could increase procurement costs, complicate purchasing processes and create additional opportunities for corruption.

The report highlights the critical role procurement plays in ensuring that hospitals receive medicines and equipment, schools receive textbooks and infrastructure, and public institutions have the resources needed to deliver services effectively.

Among its recommendations, CDE urges Treasury to: • Reconsider set-asides and limit their use; • Abandon prequalification as a procurement method; • Scrap compulsory subcontracting requirements; and • Clarify decision-making authority within procuring institutions.

Public comments on the draft regulations close on 15 July.
📖 Read the full report here: https://cde.org.za/cde-response-to-the-draft-general-public-procurement-regulations/

CDE Executive Director Ann Bernstein recently spoke at a public event in London hosted by the London School of Economics.
The discussion explored South Africa’s political and economic future following the formation of the Government of National Unity in July 2024. It covered the pace of reform, ongoing challenges including corruption and unemployment, institutional weakness, and the growing crisis in Johannesburg.
Watch the full discussion here. https://www.youtube.com/watch?v=QdVExNmqVNY&t=33s

CDE Executive Director Ann Bernstein participated in an ODI Global panel discussion on South Africa’s growth and reform agenda and its implications for international economic engagement.
The discussion examined the country’s reform trajectory, the political economy challenges affecting implementation, and the role of economic growth in advancing fiscal sustainability, employment and social resilience. It also considered how business can support institutional reform and how South Africa’s reform agenda shapes investor confidence and international partnerships.
Watch here.

South Africa’s growth and reform agenda: implications for international economic engagement Enjoy the videos and music you love, upload original content, and share it all with friends, family, and the world on YouTube.