An Assessment of Local Government Revenues during Limited Economic Growth and a Constrained National Fiscus

This policy brief by Jugal Mahabir analyzes municipal revenue trends in South Africa over a 12-year period characterized by two major recessions—the 2008 global financial crisis and the COVID-19 pandemic—and a subsequent period of constrained economic growth. The document aims to examine the impact of depressed economic activity on revenue collection and evaluate whether intergovernmental fiscal transfers were adjusted to mitigate these negative impacts, particularly during a shift from expansionary fiscal policy to fiscal consolidation aimed at reducing the debt-to-GDP ratio.

• The policy brief analyzes municipal revenue trends over a 12-year span to determine how depressed economic activity, including the 2008 global financial crisis and the COVID-19 pandemic, affected revenue collection.
• The analysis investigates whether intergovernmental fiscal transfers to local governments changed during periods of economic depression and if the national government used these grants to implement expansionary fiscal policy or remedy the financial impacts of lower economic activity.
• The document notes a shift in the South African government's fiscal approach, moving from expansionary policy after the 2009 recession to a period of fiscal consolidation focused on paying off public debt and managing the debt-to-GDP ratio.

APA

Mahabir, J. (2023). An Assessment of Local Government Revenues during Limited Economic Growth and a Constrained National Fiscus. Public Affairs Research Institute. https://pari.org.za/policy-brief-an-assessment-of-local-government-revenues-during-limited-economic-growth-and-a-constrained-national-fiscus/

Chicago

Mahabir, Jugal. An Assessment of Local Government Revenues during Limited Economic Growth and a Constrained National Fiscus. Public Affairs Research Institute, 2023. https://pari.org.za/policy-brief-an-assessment-of-local-government-revenues-during-limited-economic-growth-and-a-constrained-national-fiscus/.

Wikipedia

{{cite report |last1=Mahabir |first1=Jugal |title=An Assessment of Local Government Revenues during Limited Economic Growth and a Constrained National Fiscus |publisher=Public Affairs Research Institute |date=12 November 2023 |url=https://pari.org.za/policy-brief-an-assessment-of-local-government-revenues-during-limited-economic-growth-and-a-constrained-national-fiscus/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{mahabir2023assessment, author = {Mahabir, Jugal}, title = {{An Assessment of Local Government Revenues during Limited Economic Growth and a Constrained National Fiscus}}, institution = {Public Affairs Research Institute}, year = {2023}, month = nov, url = {https://pari.org.za/policy-brief-an-assessment-of-local-government-revenues-during-limited-economic-growth-and-a-constrained-national-fiscus/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }