Chronicle Editor
Michael Magoronga, [email protected]
ZIBAGWE Rural District Council (RDC) has announced plans to diversify its revenue streams by venturing into gold mining and processing.
This bold initiative is part of efforts to address a mounting financial crisis caused by ballooning debt and dwindling revenue inflows.
The cash-strapped council is struggling to recover ZWG161 million owed by ratepayers, a situation compounded by ZWG7,4 million in unpaid creditors.
The council’s finance committee chairperson, Councillor Tichafa Chitate, revealed the development during the presentation of the proposed 2025 budget.
“Our debtors have been increasing month by month due to non-compliance. Among those who owe us are stand buyers (ZWG86,3 million), mines (ZWG38,2 million), farms (ZWG21,6 million), and companies (ZWG11,3 million),” said Clr Chitate.
To mitigate the financial crisis, the council has allocated ZWG3 million from its proposed ZWG202 million budget for the establishment of the gold mining venture.
“The ministry’s budget circular 1 of 2024 encouraged councils to create income-generating projects. In response, we propose venturing into gold mining and processing. To this end, we have set aside a total of ZWG3 million to fund this venture,” said Clr Chitate.
He said a detailed business proposal will be shared in due course.
The 2025 budget emphasises capital expenditure, accounting for ZWG118 million of the total projected expenditure. Water, sanitation, healthcare, education, and infrastructure development have been earmarked as key priorities.
The council has allocated 37 percent of the budget to water and sanitation projects, with ZWG150 million from local revenue.
Plans include drilling 68 boreholes, 35 of which will be solar-powered, rehabilitating 100 boreholes, and repairing an additional 200.
“We believe every person has the right to safe and potable water. These measures will focus on marginalised areas,” said Clr Chitate.
Additionally, ZWG3 million has been set aside to upgrade a drilling rig purchased three years ago.
To improve access to healthcare, the council plans to construct Matosa Clinic, complete two additional clinics, and purchase a fully equipped ambulance at a cost of ZWG2,4 million.
Clr Chitate said this will enhance maternal health services, reduce mortality rates, and improve the general living standards of citizens.
The council has allocated ZWG4,4 million to the education sector for completing existing projects and starting new ones. It has also set aside ZWG150 000 from local revenue to cover school fees for underprivileged children and gender-based violence victims.
“In line with Section 27(1a) of the Education Act, we are committed to promoting free and compulsory education, the council, which is the third tier of the Government has set this amount for the completion of existing projects and new projects,” said Clr Chitate.
The RDC has budgeted ZWG300 000 for tree planting initiatives and biogas projects. Organised groups, especially women, will receive free seedlings, and schools will participate in tree-planting competitions.
“These efforts aim to curb deforestation and promote the use of clean energy in the district,” said Clr Chitate.
ZWG5,9 million has been allocated for procuring essential equipment such as tractors, graders, and utility vehicles. The budget also prioritises constructing libraries, community halls, and public lighting infrastructure.
Clr Chitate reaffirmed Zibagwe RDC’s commitment to aligning its development agenda with national goals.
“We are determined to contribute to building an upper-middle-income economy by 2030. As President Mnangagwa said, nyika inovakwa nevene vayo. Together, brick by brick, stone upon stone, we will build our future,” he said.
Online Reporter