THE Bulawayo City Council (BCC)’s revenue collection in the year 2015 slightly increased by 3,4% to $72 million compared to the previous year despite a rise in default rate due to harsh economic environment haunting the country, latest council minutes show.
BY MTHANDAZO NYONI
A financial statement review prepared by financial director Kimpton Ndimande and seen by NewsDay revealed that the total receipts in the year 2015 increased by 3,35% compared to the years 2014 which recorded $70 million.
Ndimande noted that cash collections for the month of December 2015 were more than the previous month’s collections by 15%.
He said during the period under review, debtors increased to $120 million from $118 million as at the end of December 2015 due to poor economic climate which has seen the majority of residents battling to pay their monthly rates.
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“The increase is as a result of inadequate payment of bills by some consumers,” Ndimande said.
Ndimande also noted that the creditors balance for the month increased from $117 million to $118 as council continues to acquire goods and services on credit while there was a backlog in payments for services received.
Last year, BCC had tabled a $158 million budget anchored on domestic financing but Ndimande said unpaid rates continue to be a major headache and means it may not meet the target.
Domestic debtors top the list at $68 million followed by industrial and commercial debtors at $48 million while government departments owe the council more than $4 million.