Government Disburses ZiG$516.4 Million to Boost Local Infrastructure

The Zimbabwean government has released ZiG$516.4 million to local authorities to support infrastructure development and the purchase of essential equipment under its ongoing devolution programme.

This was revealed by Deputy Minister of Finance, Economic Development and Investment Promotion, David Mnangagwa, during a parliamentary session where he responded to questions from lawmakers.

Mnangagwa explained that the funding is aimed at enhancing service delivery at the local level by financing projects related to social infrastructure and helping councils acquire the tools and equipment they need.

“So far, ZiG$516.4 million has been channelled to different local authorities to support social infrastructure development and equipment procurement,” he said.

While the Treasury is committed to releasing funds on a quarterly basis in accordance with the Zimbabwe Inter-governmental Fiscal Transfer Systems Administrative Manual, Mnangagwa emphasized that coordination between central and local government is vital for the effective rollout of projects.

“There is a need for local authorities to actively engage with both the line ministry and Treasury to align cash flow disbursements with their project implementation schedules,” he noted. “This ensures that targeted initiatives are completed on time and resources are used effectively.”

He added that the delays or limits in funding were partly due to competing national priorities, including major projects such as road infrastructure development, which also require significant financial support from the government.

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