Harare to spend big on infrastructure projects

Harare to spend big on infrastructure projects
Published: 23 August 2017
The Harare City Council (HCC) on  Wednesday invited public input into its intention to issue a $100  million bond to finance several infrastructure development projects in the capital.

Last month, Harare Mayor Bernard Manyenyeni announced the intention of the HCC to raise the money.

And, inviting public opinion on Wednesday, the HCC said it intended to spend $5 million upgrading Polyclinics in Hopley, Kuwadzana, Budiriro and Hatcliffe while $30 million was earmarked for upgrading houses in several high-density suburbs including Mbare and Tafara.

The city council also intends to spend $1. 7 million constructing home industries in Kuwadzana and Mufakose, while flea market stalls and farmers market stalls at Mbudzi round about and in Hatcliffe respectively will cost $2.7 million.

Council will spend $5 million to procure 65 000 water meters while other projects including upgrading sewer treatment plants and replacing water pipes will cost varying amounts.

"Notice is hereby given that in terms of section 290(3) (a) of the  Urban Councils Act (Chapter 29:15), council resolved to borrow a sum not exceeding $100 million by way of Municipal Bonds," the city council said.

"Any objections which ratepayers or voters wish to make must be lodged  with the acting town clerk."

Most local authorities have been failing to provide adequate service in recent years mainly due to limited revenue inflows.

In order to provide service, councils rely on various service providers to supply them with chemicals to purify water and spares, for example.

But, with councils struggling to collect what they are owed, service delivery has rapidly gone down.

The government has however said it is ready to assist councils to acquire loans for infrastructure development but would only assist those which were run properly.

Finance Minister Patrick Chinamasa told a local government conference early this month that the government was also ready to offer fiscal incentives to councils which prioritized infrastructure development such as factory shells for small to medium enterprises.

"Government will assist those local authorities whose finances are in order. We cannot put money into a bottomless pit. We can only put money where the finances are well managed and are in order.

"We also will take care of those which are well managed. We stand ready to give them borrowing powers by way of municipalities issuing municipal bonds or infrastructure bonds," he said then.

- New Ziana
Tags: Harare, Projects,


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