Intergovernmental fiscal relations in South Africa and the role of the Financial and Fiscal Commission: A 20 year review
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Date
2014-07
Authors
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Journal ISSN
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Publisher
Community Law Centre, University of the Western Cape
Abstract
The Finance and Fiscal Commission is government’s primary advisor with regard to
intergovernmental fiscal relations. Its constitutional entrenchment and establishment in
1994 signalled that the post‐apartheid government took serious the commonly held wisdom
that national decisions on intergovernmental fiscal matters must be discussed between
governments, that they must be evidence‐based and that intergovernmental fiscal relations
must be reasonably predictable.
This paper reviews the history of the Commission to mark its 20th Anniversary. The paper
combines a thematic and a chronological approach. It contains a narrative of the
development of the Commission since its establishment, which traces the development of
the Commission from its conceptualisation and inception to the most recent initiatives and
policy debates. It rekindles some of the debates that surrounded the inclusion of the
Commission in the Constitution and the policy process that underpinned the Financial and
Fiscal Commission Act of 1997 and assesses how this role unfolded in the subsequent years.
Throughout this narrative, three dimensions are addressed. The first relates to the location
of the Commission in the intergovernmental system, in other words the relationships
between the Commission and the various component parts of the South African multilevel
government system. The second dimension is concerned with the impact that the
Commission has made on decision making in the realm of intergovernmental fiscal relations.
Was the Commission taken seriously? To what extend did its recommendations influence
government policy? The third theme examines the Commission as an institution and
assesses its governance and administrative performance, given the importance of these
themes in asserting the Commission’s enduring relevance and impact. In examining these
themes, comparisons with comparable multilevel government systems are made as and
when relevant.
The authors reviewed a range of current and historic document, including annual reports,
submissions, discussion documents and selected academic literature. In addition, ten indepth
interviews were conducted with current commissioners, past commissioners,
Commission staff, officials representing (organised) local government, Parliament and
provincial government.
Description
Keywords
Fiscal Commission, Finance, Post‐apartheid, South Africa, Government
Citation
de Visser, J., & Ayele, Z. (2014). Intergovernmental Fiscal Relations in South Africa and the Role of the Financial and Fiscal Commission: A 20 year review.