Harare City Council Spends $83 Million On Salaries, $62 Million On Service Delivery

Harare City Council spent a bigger chunk of its revenue on salaries, far much more than the finances used in service delivery. The council also experienced a huge deficit between projected and collect revenue. This was revealed by Harare City’s Finance Committee Chairperson Luckson Mukunguma while presenting the city’s 2019 budget. He said

The city collected $145 million from January 1 to September 30 against the expected budgeted amount of $202 million, thus realising a negative variance of $57 million. The $145 million collected was used to make the following payments; salaries and allowances — $83 million and service delivery $62 million.

Your Worship, salaries and allowances are within projections. However general expenses which posted a huge positive variance of $60 million from the budgeted $99 million are a cause of concern as this impact negatively on service delivery. Constrained revenue inflows are a major impediment.

It is projected that for the remainder of the year collections will amount to $187 million which will be used as follows; salaries and allowances $116 million, utility bills, $19,5 million, general expenses $49,5 million and capital charges $13 million.

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