adminNgoni Dapira Business Correspondent
THE Manicaland business community has called for the revisiting of some clauses in the Special Economic Zones and Public Finance Management Amendment Bills.
This was highlighted on Tuesday during the Mutare public hearings by the Parliamentary Portfolio Committee on Finance and Economic Development on the Special Economic Zones and Public Finance Management Amendment Bills.
Participants called on prescribed and stern measures to be added in the Public Finance Management Amendment Bill given the previous gross cases of unprofessional conduct in the country’s parastatals and Government entities.
The creation of special court to deal public finance mismanagement was raised. People said no arrests were made despite the 2014 disclosures in the salarygate scandals and white collar crimes reported where millions of dollars where siphoned from state run enterprises and parastatals.
A researcher, Mr Clopas Nyaku, called for an independent body to supervise the administration of parastatals.
“Parastatals are currently managed by line ministries. Can we not have an independent commission that has an inspectorate to monitor these parastatals.
“At the moment it is a political school of thought that administers parastatals where managers are worried about political correctness rather than sound corporate governance and proper functionality,” said Mr Nyaku.
He added that there should also be validation to the public on any new capital injections towards some parastatals, especially the loss making entities.
Last year, in his 2015 National Budget presentation, Finance and Economic Development Minister, Cde Patrick Chinamasa, said focus would be given on 10 parastatals as part of the implementation of Zim-Asset.
To facilitate this, Cde Chinamasa proposed to avail resources amounting to $2,6 million to the Office of the Auditor-General for coordinating audits of the targeted parastatals in a bid to determine the challenges which the entities are facing for resuscitation.
The parastatals to be restructured include Cold Storage Company, Grain Marketing Board, Agricultural and Rural Development Authority, Air Zimbabwe, National Railways of Zimbabwe, Industrial Development Corporation of Zimbabwe, Tel-One, Civil Aviation Authority of Zimbabwe, Zimbabwe National Water Authority and Zimbabwe Power Company.
Another participant said a clause should be added in Public Finance Management Amendment Bill on failed board members and heads of parastatals and Government entities not to be reappointed.
The Confederation of Zimbabwe Industries Manicaland chapter also called for audits of parastatals and Government entities to be done within eight months of financial hearings.
Online Reporter