Minister of Local Government and Public Works Urges Rural District Councils to Tighten Financial Management and Boost Service Delivery
In a candid address to the Association of Rural District Councils of Zimbabwe (ARDCZ) at the Rainbow Hotel yesterday, Minister of Local Governance, Winston Chitando, emphasised the need for rigorous financial management and improved service delivery across rural local authorities.
Minister Chitando acknowledged that the current budgetary landscape required a fresh approach.
“Previously, budgets were presented to the ministry and would get approved without stringent checks. However, we now have new checks and balances in place,” he said. These measures aim to enhance transparency, accountability, and prudent financial practices.
Audit Shortfalls and Corporate Governance
The Minister outlined several critical areas that have come under scrutiny. These include audited financial statements and corporate governance. Some councils have lagged behind, with their last audited accounts dating back to 2019.
Minister Chitando expressed concern, saying, “We cannot afford to dine and wine while our financial records remain outdated.”
The Minister urged local authorities to address deficiencies promptly to secure full approval. Out of the 92 local authorities’ budgets, only 23 received outright acceptance. The rest faced varying outcomes: some were totally rejected, while others received conditional acceptance.
Unlocking Hidden Assets
Minister Chitando highlighted an untapped resource of undeclared land assets. He called for a comprehensive assessment of land holdings and their inclusion in balance sheets.
“Many councils sit on valuable land, yet fail to recognize its full potential,” he asserted. “To be truly bankable, local authorities must leverage their assets effectively,” he emphasised.
Collaboration and Accountability
The ARDCZ, led by newly elected Chairman Dr. Aaron Shamu, pledged to address the raised issues collectively.
“We will identify councils lacking in financial transparency and governance,” said Dr. Shamu. “Our goal is to assist each other in overcoming these challenges.”
Minister Chitando concluded by urging rural councils to embrace change, transparency, and accountability. “Let us tighten our balance sheets, improve service delivery, and ensure that every local authority becomes truly bankable,” he stated.
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