Constitution of the Republic of South Africa, 1996 (Act No. 108 of 1996)Chapter 13 : FinanceProvincial and Local Financial Matters230A. Municipal loans |
| (1) | A Municipal Council may, in accordance with national legislation— |
| (a) | raise loans for capital or current expenditure for the municipality, but loans for current expenditure may be raised only when necessary for bridging purposes during a fiscal year; and |
| (b) | bind itself and a future Council in the exercise of its legislative and executive authority to secure loans or investments for the municipality. |
| (2) | National legislation referred to in subsection (1) may be enacted only after any recommendations of the Financial and Fiscal Commission have been considered. |