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Oliver Kazunga, Senior Business Reporter
THE Common Market for Eastern and Southern Africa (Comesa) has called on member States to meet their budgetary contributions to the bloc’s annual budget as only 21,6 percent remittances have been received against the required 50 percent threshold.
In a statement, following its 42nd meeting by the Comesa committee on administrative and budget matters held Wednesday, the bloc called on member States to meet their budgetary contributions to the annual budget of the secretariat and its institutions.
This follows a slow funding of the annual budget with four out the 21 members States having fully paid their contributions for this year.
“As of 21st June 2021, the secretariat had received 21,6 percent contribution to the 2021 budget against 50 percent threshold requirement under the Comesa Treaty. The 50 percent is expected within one month from the beginning of the financial year to which they relate, and the remainder within six months from the beginning of that financial year,” said Comesa.
Speaking at the opening of the meeting, Comesa secretary general Ms Chileshe Kapwepwe, noted that the slow remittance to the budget has resulted in the utilisation of reserves to fund the planned activities.
“Over the years approved sanctions have not been rigorously applied on member States that have defaulted in paying their contributions to the annual budget and this needs to change.
“This has been a major contributory factor to the financial position that we now find ourselves in, where a few member States fund the organisation,” she said.
Article 171 of the Comesa Treaty provides for sanctions for members States that are in arrears for more than two years. -@okazunga
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