Johannesburg is stuck in a ‘doom’ loop
- Johannesburg is indeed stuck in a 'doom' loop due to its failure to collect outstanding obligations, which has led to a vicious cycle of raising tariffs and decreasing customer payments.
- The city has accumulated R72 billion in unpaid bills, up from R15 billion a decade ago, and its economy is growing at a far slower pace than its expenditure.
- The report's findings have raised concerns about the national economic risk posed by Johannesburg's financial crisis, and the city's mayor, Dada Morero, is facing pressure to address the issue ahead of local government elections in November.
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