Chronicle Editor
Sikhumbuzo Moyo, Senior Sports Reporter
ON Tuesday our Harare Bureau reported that Zifa president Felton Kamambo was expected to join 210 other Fifa member associations in a video teleconference to discuss the Covid-19 relief funds.
Zifa received US$1,5 million from Fifa and US$300 000 from Caf to help mitigate against effects of the pandemic which have paralysed sporting activities.
Our Harare Bureau also reported that the first batch of the bailout funds was expected to be deposited into member associations’ bank accounts on July 31.
Although the fund cannot adequately cover all associations’ needs, it will at least meet some of their needs.
What is surprising is that Zifa is insisting on disbursing the funds in local currency.
The Zifa board member incharge of finance Philemon Machana is arguing that it is illegal to transact in US dollars.
This week Zifa released a Covid-19 disbursement list in which it listed all the recipients and the amount each of them is expected to receive in local currency.
The association pegged the United States dollar at ZWL$65.
At the time that Zifa started making announcements on how it will disburse the funds, the rate was 1:65,87.
Zifa has indicated that the funds will be deposited at the end of this month and obviously the auction exchange rate will have changed.
Last Friday Chronicle Sport spoke to Prosper Harrison, the Ghana Football Association general secretary what currency they would use to disburse the Covid-19 relief funds.
Harrison said they will use the Ghanaian Cedi but it was not a hard and fast rule and beneficiaries were free to request to be paid in US$.
He said bank charges were very high when transacting in forex in his country hence their suggestion to pay in local currency.
“There are huge bank charges in transfer of foreign currency in Ghana. However, if a beneficiary is desirous of receiving dollars, it will be transferred at the cost of the beneficiary, otherwise we will send the local currency equivalent, but they will have prior knowledge of the day’s bank exchange rate.
“Again, they will decide whether to go ahead or not. A key pillar in all this is transparency and ensuring that the beneficiary plays a key role,” Harrison said.
Why can’t Zifa let beneficiaries decide in what currency they want to receive their allocations.
Online Reporter