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CABINET today approved the draft Zimbabwe Inter-Governmental Fiscal Transfers Administrative Manual that seeks to ensure equitable fiscal transfers to local tiers of Government and the seamless implementation of the devolution agenda.
The Inter-Governmental Fiscal Transfers Administrative Manual plays a crucial role in promoting transparency, efficiency, and effective resource utilization across different tiers of government.
In a post-Cabinet briefing Information, Publicity and Broadcasting Services Minister, Dr Jenfan Muswere said Cabinet considered and approved the draft Zimbabwe Inter-Governmental Fiscal Transfers Administrative Manual as presented by the Minister of Finance, Economic Development and Investment Promotion, Professor Mthuli Ncube.
He said the Inter-Governmental Fiscal Transfers from central to lower tiers of Government are provided for under Section 301 of the Constitution.
“These transfers are meant to support the devolution of powers and responsibilities, with not less than five percent of national revenues raised in any financial year being allocated to Provinces and Local Authorities.
“The manual provides the necessary regulatory framework in order to ensure equitable fiscal transfers to local tiers of Government, and the seamless implementation of the devolution agenda,” said Dr Muswere.
Dr Muswere added that Cabinet notes that the manual will ensure proper administration of the financial resources allocated to lower tiers of Government, by providing clarity on Revenue Sharing and Allocation and Financial Management; Institutional Framework for Managing Inter-Governmental Fiscal Transfers.
“The manual offers a practical and operational guide to the use of inter-governmental fiscal transfers and the roles played by the various parties involved in the administration of the funds.”
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