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Gauteng
Apr 14 2012 6:44AM
 
Health dept to repay R1.5bn debt
Gaunteng Health MEC Ntombi Mekgwe. Picture: Gallo Images
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The Gauteng health department will be paying R1.5 billion over the next week to clear debts owed to service providers, an official said on Friday.

Spokesman Simon Zwane said this was the second phase of debt-clearing.

"In the first phase of the payment cycle, the department focused on all debts owed until March 2011."

Next in line was repayment of debts owed from April 2011 to the end of March 2012. Service providers waiting for money included security companies, non-governmental organisations, municipalities, medical waste removal companies and suppliers of coal and fuel.

Debts under R100 million would be settled by May. Suppliers owed over R100 million would be paid by June.

According to a statement R11.1 billion had already been paid to suppliers since April last year.

"The department would like to reiterate its commitment to honour all its past and future obligations to service providers," Zwane said.

-Sapa

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