By Motshwari Mofokeng
DURBAN – eThekwini Municipality says its improved credit outlook is a clear sign that the City’s finances remain stable and well-managed, despite ongoing economic challenges.
Speaking during a media briefing at Durban City Hall on Sunday, eThekwini Mayor Cyril Xaba welcomed the decision by independent ratings agency GCR Ratings to affirm the Municipality’s long-term AA-(ZA) investment-grade credit rating while revising its outlook from Negative to Stable.
Xaba said the Municipality’s strong financial position and healthy cash reserves demonstrate that its finances are expected to remain stable rather than deteriorate. He added that the improved rating reflects progress in infrastructure delivery, sound financial management, and stronger operational performance.
“This outcome is an independent endorsement of the progress we have made in implementing our financial strategy, accelerating investment in critical infrastructure, and maintaining fiscal discipline,” said Xaba.
The Mayor praised City Manager Musa Mbhele, Chief Financial Officer Dr Sandile Mnguni, the Finance Cluster, and municipal departments for helping strengthen the City’s financial position and investor confidence.
Mbhele described the revised outlook as a significant milestone, saying the Municipality remains committed to improving service delivery, strengthening revenue collection, reducing water losses, and addressing audit findings.
While welcoming the improved outlook, GCR Ratings noted that eThekwini must continue improving governance, debtor collections, environmental sustainability, and internal controls.
The Stable outlook is expected to reassure investors, businesses, and residents that the Municipality is on a stronger financial footing while continuing to invest in infrastructure that supports economic growth and improved service delivery.
Email: motshwari@onenews.co.za
