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Anna Zenda Customer Service Consultant

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Public Sector Accounting

Our Company Kant Consulting would like to introduce to you our Municipal Standard Chart of Accounts (mSCOA) compliance readiness program that have been designed to assist the municipalities and municipal entities in preparation for the compulsory regulatory Municipal Standard Chart of Accounts (mSCOA) compliance by 1 July 2017 in order to comply with Government Gazette 37577.


All municipalities and their respective municipal entities will have to have implemented a new classification framework otherwise known as the Municipal Standard Chart of Accounts (mSCOA) by 1 July 2017 in order to comply with Government Gazette 37577.

MSCOA is part of the budget reform programme that was initiated in 1998 when NT started a process of reclassifying the existing expenditure items of the national and provincial government in line with the requirement of Government Finance Statistics (GFS) developed by International Monetary Fund (IMF).

This was done to ensure compliance with the requirements of Special Data Dissemination Standard (SDDS, a minimum reporting standard set by IMF, to which South Africa is a signatory.

MSCOA essentially refers to the regulation on Standard Chart of Accounts for municipalities and provides a uniform and standardized financial transaction classification framework

We understand that the implementation of mSCOA is not simply an information technology project, but a business transformation project that will fundamentally transform how the municipality carries out its operations. A mSCOA compliant implementation will:

Enable a Trial Balance to be drawn in each of the applicable segments;

Have an IDP and projects budget, compiled in mSCOA segments resulting in few virement adjustments;

Enable daily transactions to be captured in the correct accounts and the municipality to perform its daily operations;

Have portal function for input into national data warehouse

We have identified a need for this program that will assist with the road map from training of fundamental principles of mSCOA to implementation and support services which will be performed according to the agreement and need of the relevant municipality.

Services offered includes but not limited to the following:

Assessment of financial system mSCOA compliance.

Training of relevant municipal staff by an accredited mSCOA trainer.

Reviews of Internal controls

Assistance with conversion of IDP to mSCOA compliance.

Assistance with conversion of 2017 Budget to mSCOA compliance.

Alignment with the Standard Budget & Implementation Plans

Assistance with in-year reporting

Budgeting in mSCOA environment

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