The 189-year-old town that is the birthplace of Desmond Tutu is in R12.3 billion of debt
Klerksdorp is a city located in the North West Province of South Africa, about 165km southeast of the provincial capital, Mahikeng, and 130km southwest of Johannesburg.
Founded in 1837, Klerksdorp is recognised as the oldest European settlement north of the Vaal River.
A group of Voortrekkers settled along the banks of the Schoonspruit River, and the community was eventually named after Jacob de Clerq, the region’s first local magistrate.
The discovery of gold in 1886 transformed the quiet farming village into a booming town almost overnight, with over 70 taverns and its own local stock exchange.
During the Second Boer War from 1899 to 1902, Klerksdorp saw significant activity and intense fighting, and it also housed a British-run concentration camp.
The city is also globally recognised as the birthplace of the anti-apartheid activist and Nobel Peace Prize laureate, Archbishop Desmond Tutu.
Klerksdorp, alongside Rustenburg, serves as an economic powerhouse for the North West Province, relying primarily on mining and agriculture.
The city is a critical hub for the South African gold and uranium mining industries.
The surrounding district is a major agricultural centre, featuring the largest agricultural cooperative in the Southern Hemisphere and the biggest maize storage silo in the country.
Klerksdorp is known for its local agricultural products, which include maize, sorghum, groundnuts, and sunflowers.
The city acts as a regional healthcare and shopping destination, with medical facilities, residential suburbs, and transport links, including the N12 freeway.
The city’s estimated urban population is around 236,000 people.
However, the broader Greater Klerksdorp Area, which includes neighbouring mining towns and suburbs such as Orkney, Stilfontein, Hartbeesfontein, Kanana, and Khuma, has a population exceeding 350,000.
The municipality crippled in debt

Klerksdorp is under the City of Matlosana Municipality, formerly known as the City Council of Klerksdorp, and is currently facing serious financial difficulties, owing billions to Eskom and Midvaal Water.
Located within the Dr Kenneth Kaunda District Municipality in the North West province, the City of Matlosana was established in 2000 through the amalgamation of several towns, with Klerksdorp serving as its administrative centre.
The City of Matlosana held a special council meeting earlier this year, during which serious financial and governance failures were revealed.
The total amount owed to creditors is R6.47 billion, which highlights the municipality’s cash-flow challenges and the pressure from unpaid service providers.
The outstanding debt has reached R12.3 billion, and the municipality’s collection rate is only 65%. This situation has resulted in an unsustainable financial environment.
This is concerning, as the City of Matlosana plays an important role in the North West province’s economy.
When the current council took office in November 2021, they faced significant challenges with creditors, including Eskom, which was owed R1 billion, and Midvaal, owed R860 million.
However, the situation has deteriorated, with debts now escalating to approximately R3 billion each.
UIF liabilities increased from R6 billion to R10 billion, and debtor balances rose from R6 billion to R12 billion.
During the meeting, it was reported that over R300 million worth of municipal infrastructure has been destroyed, rendered dilapidated, or stolen.
There was also an agenda item aimed at justifying an increase in the promulgated upper limits by nearly 30%, which effectively rewards non-performance under ANC governance.
The provincial executive representative cited legislation instead of exercising firm financial oversight as the custodian of public funds.
The Democratic Alliance (DA) in Matlosana argued that this ongoing decline reflects weak leadership and poor accountability.
“The 2021 administration will be remembered as one of the most ineffective periods of governance,” the party said.
Photos of Klerksdorp









