Perpetua Murungweni
Masvingo city council is owed over ZW$5 billion in debts with government toping the debtors list for the month of May constituting to 29percent of the overall debt.
The minutes of finance and general purpose committee held on 22 and 30 May 2023 indicates that Council has recorded a debtors balance that amounts to ZWL$ 5,047,211,293, for the month of May which is 14% increase from the previous month balance.
“The distribution of debtors by category was noted with Government constituting 29%, commercial 16%, industry 7%, institutions 6%, low density residential 17%, medium density residential 4% and high density residential 21% respectively,” read the minutes
“Debtors balances as at 31 May 2023 amounted to ZWL$ 5,047,211,293, an increase of 14% from the April 2023 balance,” reads part of the statement in the minutes.
The report indicates that council collected less total billing than they collect in the previous month.
“A total of ZW$ 1,532,376,617.93 was collected against a total billing of ZWL$ 2,136,901,453.98 translating to a collection efficiency of 71.71% as compared to 66.32% realized on April 2023,” read the minutes.
Last year October Masvingo City Council recorded a high increase in debts and resolved to increase measures to enforce bill payment because there was a huge closing balance for debtors in August 2022.
Council has resolved to raise public health by-laws in the event of non-payment or failure to stick to payment plans.
Also in 2021 Council management tasked Town Clerk Engineer Edward Mukaratirwa and Mayor Collen Maboke to approach the Minister of State for Provincial Affairs and Devolution Ezra Chadzamira to help them recoup outstanding debts from government institutions and departments.
The council cited that failure to pay bills was one major cause behind poor service delivery as the local authority struggles to fund their projects.
Residents and institutions continue to owe them huge sums of money that would be easily eroded by inflation and becomes valueless due to the instability of local currency has been subjected to.
