Last Wednesday, Bulawayo City leaders voted to give themselves big car loans. Each person wants US$4,000 from city money to buy personal cars. They made this choice even though the city lacks cash for basic services.
These officials changed what the national government told them to do. The original rule said they should receive help buying motorbikes for work duties. Instead, they decided they wanted money for cars, not just bikes. Ward 15 leader, Ashton Mhlanga, started this debate during their meeting.
Mr. Mhlanga comes from the Cowdray Park area. He brought up a letter dated September 26, 2024, about helping council members travel around better. His plan asked the city to hand out cash equal to what a good motorbike costs. He said each person should receive money directly rather than having the city purchase bikes for them.
City finance workers pointed out big problems with this idea. Most important - council members earn just US$75 monthly, nowhere near enough to pay back US$4,000 loans before their terms finish. The money might create tax problems for them. Banking rules also make it hard to handle such large cash amounts outside proper systems.
The finance team calculated that if they follow standard loan practices, each council member should only borrow US$1,125 based on their small monthly pay. Any loan repayment should stay under US$18.75 monthly - just one-fourth of what they earn. The council ignored these warnings when voting to approve much larger amounts for themselves.
These officials changed what the national government told them to do. The original rule said they should receive help buying motorbikes for work duties. Instead, they decided they wanted money for cars, not just bikes. Ward 15 leader, Ashton Mhlanga, started this debate during their meeting.
Mr. Mhlanga comes from the Cowdray Park area. He brought up a letter dated September 26, 2024, about helping council members travel around better. His plan asked the city to hand out cash equal to what a good motorbike costs. He said each person should receive money directly rather than having the city purchase bikes for them.
City finance workers pointed out big problems with this idea. Most important - council members earn just US$75 monthly, nowhere near enough to pay back US$4,000 loans before their terms finish. The money might create tax problems for them. Banking rules also make it hard to handle such large cash amounts outside proper systems.
The finance team calculated that if they follow standard loan practices, each council member should only borrow US$1,125 based on their small monthly pay. Any loan repayment should stay under US$18.75 monthly - just one-fourth of what they earn. The council ignored these warnings when voting to approve much larger amounts for themselves.
