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The Free State Province has recorded a 59 percent improvement in its spending by the end of October 2025, surpassing its target of 58 percent of its total budget for the financial year.
The improvement is indicative that the respective departments in the province have improved in their spending, which translates into more service delivery. The Free State boasted a total budget of R45. 856 billion at the beginning of its fiscal year, with a spending target of 58 percent. By the end of October 2025, the province had spent R27. 071 billion, 59 percent of the budget.
With this improvement, the province is not out of the woods yet as it is still faced with budget pressures in relation to its salary bill. According to the MEC for Finance, Mr Ketso Makume, the budget pressures on compensation of employees are historic and have been exacerbated by the budget cuts and wage agreements. He says the province is however making strides to curb the growth of the salary bill; this includes, amongst others, control of PERSAL activation by the Office of the Premier and Provincial Treasury.
“When we tabled the main budget in May last year, we alluded to the reintroduction of the Early Retirement Programme without penalties for the 2025/26 and 2026/27 financial years. It is anticipated that the implementation of this Programme will yield savings for the province. The underlying principle is that senior officials who are currently earning higher salary notches will be replaced by a younger generation appointed at entry-level salary scales.
To date we have received 204 applications from various departments excluding the Department of Education, which is currently in the process of finalizing its list, all of which have been approved by the respective Executive Authorities. We now await the decision of National Treasury,” said Makume during adjustment budget speech.
“Infrastructure delivery remains central to stimulating provincial economic growth and the creation of employment opportunities. For this reason, we remain steadfast in our oversight role and in demanding the effective and timely delivery of infrastructure projects. As at the end of October, provincial spending on infrastructure amounted to R2.979 billion, representing 57 percent of the allocated budget of R5.249 billion,” he continued.
