The Auditor-General has reported that the financial situation in Johannesburg requires immediate attention, noting a general regression in audit outcomes among metropolitan areas.

The City of Johannesburg has halted repairs on potholes and traffic lights amid growing concerns about its financial liquidity. Despite the city's denials of being near insolvency, it faces increasing pressure to address its poor financial performance, which has raised alarms among residents and stakeholders, according to The Citizen Business.

According to Sowetan, South Africa's major cities are struggling with financial management, as highlighted by auditor-general Tsakani Maluleke. She warns that deteriorating governance, failing service delivery, and significant losses due to irregular expenditure pose a threat to the country's sustainability.

Johannesburg has taken out a significant loan to address its electricity issues, as the city's power infrastructure and billing systems require urgent improvements. A survey indicated that only 38% of residents were satisfied with their electricity services in 2023/2024, a sharp decline from 77% in 2017/18. The auditor general reported that the city allocated only 1% of its operating budget for maintenance in 2024/25, well below the recommended 8%.

The City of Johannesburg has decided to write off approximately R918 million in historical irregular and unauthorized expenditures, which has led to a debate among councillors regarding governance and accountability. Leaders from ActionSA and the DA have raised concerns about financial mismanagement, while the ANC defends the decision as a necessary measure to address past issues.

The City of Johannesburg has secured a loan of R3.8 billion aimed at addressing its electricity issues. The funds will be used to tackle the backlog in maintenance and major capital works, which is expected to take time to resolve.