Fiscal centralisation in a federal state: the South African case
Stellenbosch Working Paper Series No. WP10/2012Publication date: 2012
Author(s):
[protected email address] (Department of Economics, University of Stellenbosch)
The paper seeks to determine whether the observation from a constitutional law and public administration perspective, namely that a distinct centralist tendency has become evident in South Africa in recent years, is borne out by fiscal analysis as well. An overview of key legislative, policy and operational changes is combined with an investigation of fiscal trends in terms of indicators of intergovernmental fiscal relations. It is established that the South African fiscal scene has over many decades been characterised by a steady and gradual reduction of the fiscal autonomy of sub-national governments. Fiscally South Africa has become more centralised, thus strengthening the de facto erosion of the federal state.
JEL Classification:H11, H77
Keywords:Structure of government, intergovernmental fiscal relations, fiscal decentralisation, fiscal centralisation, public economics, sub-national government, local government, local fiscal autonomy, intergovernmental fiscal relations in South Africa
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Upcoming Seminars
Monday 28 July 202512:00-13:00
Dr Neil Rankin: Ceo Of Predictive Insights & Stellenbosch University
Topic: "TBC"
12:00-13:00
Prof Willem Boshoff
Topic: "Two competing approaches in South African competition policy: merger control and anti-cartel enforcement over the past 30 years"
12:00-13:00
Prof Derek Yu: University Of The Western Cape
Topic: "Examining the teaching, assessment and research activities of the South African Economics Departments"
BER Weekly
6 Jun 2025 SA GDP barely expands in Q1, while BCI and PMI suggest that Q2 remained weakIt was a busy week for local data releases, much of which painted a bleak picture of SA’s economy. Not only was first-quarter GDP growth dismal, but 2024 growth was also revised lower to just 0.5%. , The RMB/BER Business Confidence Index (BCI) showed sentiment remained shaky in the second quarter...
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