The City of Johannesburg is among 69 municipalities that have had R13.5 billion in funding withheld by National Treasury for failing to comply with the Municipal Finance Management Act.

The National Treasury has revealed that it has temporarily withheld R13.5 billion in equitable share allocations earmarked for 69 municipalities across the country, including R3.6 billion due to the City of Johannesburg.

The announcement was made by National Treasury Deputy Director-General for Intergovernmental Relations Ogalaletseng Gaarekwe during a media briefing on Wednesday.

The decision follows Treasury's announcement on Tuesday that it had partially withheld the municipalities' July 2026 equitable share transfers because of continued non-compliance with the Municipal Finance Management Act (MFMA) and related regulations.

The intervention forms part of efforts to enforce fiscal discipline, improve accountability and address persistent financial mismanagement.