MWENEZI – Mwenezi Rural District Council is proposing a US$ budget for the 2021 financial year in a bid to hedge itself against inflation.
The budget will be pegged in US$ but residents can pay in RTGS$ at the going auction rate. In order to bring about this arrangement, the local authority is proposing to adopt the budget for 2018 which was in US$. This was revealed at a budget consultation meeting for Ward 18 held at Rutenga registry offices on Friday. Residents and the business community attended the meeting.
The 2018 budget stood at US$2.3m. “The payment will be done by converting the tariff charges at the official exchange rate determined by the official RBZ Auction System,” said Mwenezi RDC Finance officer Richwell Sitera.
Presenting the budget, Sitera said the proposed rates for a general dealer would be US$30 per quarter, eating house US$20. Stand application fee for residential stands was proposed to be US$6 /square meter. He said that budgeted tariffs were rendered
ineffective to deliver the planned socio-economic services to the district because of hyperinflation and some ratepayers became
incapacitated to pay their rates due to the challenges posed by the covid -19 pandemic.
Council had to abandon a lot of projects lined up at Rutenga like provision of street lighting, acquisition of an ambulance, improvement of water supply as only one borehole was drilled and upgrading of the cemetery.
Residents asked council for time to study the proposal for a US$ budget before making objections within a week.
The residents bemoaned the high rate of unemployment in the district which will see many people failing to honour their dues to council. http://mnasvingomirror.com