• Inside Labour

    Terry Bell explores the connection between poultry, poverty and desperation.

  • A new ANC sweeper?

    Have the Guptas' new auditors mastered how to look the other way on cue, asks Solly Moeng.

  • Strategy for the big boys

    Formulating strategy across the span of huge companies is a marathon, says Ian Mann.

All data is delayed
See More

Davies slates lottery funds lag

Jun 20 2011 11:42
Johannesburg - It takes too long to process applications for funding from the National Lotteries Distribution Trust Fund (NLDTF), Trade and Industry Minister Rob Davies said on Monday.

"We are aware that the time taken from application to adjudication is (too long)," he told an NLDTF indaba in Midrand.

He said it was not fair that applicants sometimes had to wait up to a year to hear the outcome of their application for funding. This was one of three major problems the department had identified in lottery funding.

Complicated compliance requirements were also contributing towards backlogs. Davies said these requirements should be matched with the size of the grant and the risk involved. The process should be simplified for those applying for smaller grants.

He called for a more flexible approach, which would allow for rapid response to requests after emergencies and disasters.

The third issue that needed to be dealt with was conflict of interests between those granting the funding and those requesting money. Davies said the department of trade and industry (dti) was working with the board to prevent irregularities in this regard.

The minister said when he took office in 2009 he received "a barrage of complaints" about unspent lottery funds.

In the beginning of 2009, 11% of funding was paid out within three months of adjudication.

"The board has made significant progress... and there had been major improvements in the time between adjudication and payment," Davies said.

Now 90% of applications are paid out within three months of adjudication, he said.

He dispelled rumours that there was R6bn sitting unspent in the lottery account.

"I can assure you there is no R6bn sitting idle."

There was R1.5bn available in this financial year, he said, and R3.2bn had already been approved and allocated.

The two-day indaba at Gallagher Estate in Midrand would review the current funding model and make proposals for a new model to best suit South Africa's development needs.

Provincial meetings were held late last year to get input on what needed to be done to improve the lotto funding model.


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
1 comment
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

The drop in inflation:

Previous results · Suggest a vote