The Public Service Commission has revealed R15.5 billion in unpaid supplier invoices. 97% of this debt sits within provincial departments.
Presenting the latest Pulse of the PSC report in Pretoria, the commission has warned that failing to pay suppliers within the required 30 days is pushing small businesses into bankruptcy.
Commission Chairperson Anele Gxoyiya says some corrupt supply chain officials are intentionally delaying payments to extort bribes from desperate business owners.
“It is also worrying that there are officials in the supply chain of government who have the audacity to demand percentages of the invoices that these supplies are submitting. And if they refuse to pay those percentages then their payments get delayed. So, the reasons for the delays are not always genuine reasons, hence it is important that the national treasury rises up and investigates this matter thoroughly, and we deal with these case on a case by case basis,” says Gxoyiya.