on air now
NOW PLAYING
Sam Ludidi
up next
Up Next
KayCee Rossouw
on air now
NOW PLAYING
Sam Ludidi
up next
Up Next
KayCee Rossouw
 

NMBM unable to pay creditors within 30-day period

One of several trucks that blocked the vicinity of City Hall on Monday


The Democratic Alliance says a protest by service providers highlights the Nelson Mandela Bay Municipality's inability to pay creditors within the stipulated 30-day period.

Service providers made parts of the city centre inaccessible on Monday morning when they blocked roads in the vicinity of City Hall - using heavy-duty trucks.

Metro spokesperson, Kupido Baron told Algoa FM News earlier that the service providers, executive mayor, Eugene Johnson and senior managers were locked in a meeting.

The DA's Retief Odendaal says the creditors' outstanding payments are currently at 72 days as opposed to the mandatory 30 days.

He says this is the worst performance by the Municipality in seven years.

Odendaal says non-payment of service providers makes it very difficult for SMME's to manage their cash flow and has led to some contractors closing their doors.

He says the only way to get this municipality back on track is if it is financially sustainable.