This study examines the implementation of the procurement policy with reference to the reconstruction and development housing programme (RDP) in Limpopo Province. The research objective of this study is to assess the institutional capacity of the Department of Local Government and Housing (DLGH) in Limpopo Province in implementing the procurement policy in relation to the reconstruction and development housing programme. Further, the monitoring and evaluation mechanisms determined by the Department of Local Government and Housing to oversee the implementation of the procurement policy with reference to the RDP houses. In realising the research objectives of this study, the qualitative research methodology was adopted as the study seeks to understand the situation in its naturalistic form. Therefore, pre-determined interview questions were used to interview those who interact directly or indirectly with the implementation of the procurement policy with reference to the RDP houses. The purpose was to solicit relevant information and subjective experience from the agents of procurement policy implementation as well as the beneficiaries of the RDP houses. Not forgetting that qualitative research, studies phenomenon in its natural occurrence and it avoids simplifying, rather, it observes a subject on its multifaceted form. The data collected through interviews was useful in providing relevant policy information of which was unknown and instrumental for this study’s investigation. The study of Public Administration is regarded as the management of public programmes and as such that is possible through public policy, organising, finance, human resource, work standard and procedure, and control measures. It is therefore, indispensable for the Department of Local Government and Housing in Limpopo Province to embody these functions of public management. Thus this study focused on the institutional capacity in terms of procurement policy implementation, focusing on whether the Department of Local Government and Housing has sufficient resources such as human capital, equipments and material in implementing the procurement policy. An empirical study was conducted to collect insights and subjective experiences from those who constantly interact with the implementation of the procurement policy concerning the effectiveness and success of the procurement policy with reference to the RDP houses. The interview questions were directed to prospective members of the DLGH those responsible for procuring, implementing and those affected (beneficiaries). From the findings, the study proved that the Department of Local Government and Housing in Limpopo is confronted with many challenges as far as the implementation of the procurement policy with reference to the RDP houses is concerned. The study has suggested recommendations for the improvement of the institutional capacity of the Department of Local Government and Housing in implementing the procurement policy with reference to the RDP houses. Copyright / Dissertation (MPhil)--University of Pretoria, 2010. / School of Public Management and Administration (SPMA) / unrestricted