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Business Reporter
BULAWAYO City Council (BCC) has proposed a US$106 million capital budget which will be funded mainly through external borrowing and public subscription with the local authority saying residents “should expect to experience some pain as there is no reform without pain.”
According to a budget statement presented on Monday by Finance and Development Committee chairperson, councillor Tawanda Ruzive, external borrowing will account for 45 percent while public subscription will absorb 23 percent.
Other revenue streams would be from Zimbabwe National Road Adminstration (15 percent), revenue collections (nine percent) and Inter-Governmental Funds Transfer (IGFT) or Devolution Funds will contribute eight percent.
“Capital Budget Projects will be funded from External Borrowing, Revenue Contributions to Capital Outlay, Zinara funding, Devolution funds and anticipated donations.
“Public subscription (Presale scheme) in various suburbs have been budgeted for in 2023 capital budget premised on successful conclusion of negotiations with beneficiaries.”
The Zinara funds for 2023 are based on estimates as Government is yet to release the allocations.
Giving an overview of the 2022 budget, Clr Ruzive said the local authority had set targets for providing housing through availing serviced stands.
The council intends to service 3 000 stands while 3 153 stands will be serviced by private contractors.
Private land developers have over the years contributed immensely to housing delivery in the city.
Online Reporter