Harare battles cash crunch in political tussle

Since 2017, President Mnangagwa from Zimbabwe has kept looking into how the opposition runs Harare city. The Zanu-PF national leaders have fought with the Citizens' Coalition for Change over who controls the capital for more than ten years. This fight causes money problems because the national government holds back cash and refuses to help with big projects. Zimbabwe gives very little money to local areas - just 4% compared to much more in nearby countries like Zambia, Angola, and South Africa.

Other African countries see their national and local governments work together pretty well. Zimbabwe does not share this friendly approach. The law says local areas should have power, but Zanu-PF wants control instead. They pretend to give freedom to cities but actually keep tight reins. Councillor Dumisani Nkomo from Bulawayo says every Zimbabwe city stays under the thumb of national leaders through the local government ministry.

Good Governance Africa started checking how African cities run, starting with Southern African Development Community cities. They want to make a database and score cities like they already do with South African governance. Harare stands out because the opposition has run it since 2008, yet the central Zanu-PF group has controlled the country since 1980. The city must handle many services by itself, including water, sewage, trash pickup, roads, healthcare, and schools.

The health system in Harare runs clinics and hospitals for mothers, babies, shots, everyday care, and common sickness treatment. The city also manages public schools, mostly primary ones, and takes care of teachers, buildings, and supplies. Most places around the world pay for these things through a mix of national money and local taxes. Harare must rely almost completely on its small tax base and loans because it gets almost nothing from the national level.

According to the plans for 2025, Harare needs to fund everything through property taxes, business fees, and service charges. The money problems grew worse when national leaders took some income sources away. For example, the Zimbabwe National Road Administration grabs vehicle license fees that used to help Harare fix roads. The shaky economy with high inflation and changing currency values makes everything harder for city planners.

The city council faces major problems collecting money from residents. Between January and September 2024, they only got 40% of what they planned to collect. This shortfall makes it nearly impossible to provide the basic services people need. Leaders blame the money troubles on not having a good computer system to track customers, bills, and payments. This costs Harare about $70 million each year.

Despite these troubles, Harare can still borrow money for big projects because lenders trust them enough. But people living in Harare hate this approach. Earlier this year, citizens became angry when the council tried to borrow $21 million more. These residents demanded that the council fix its spending leaks before taking on new debts that future taxpayers must repay.

When questioned by a special commission, Mayor Jacob Mafume admitted serious money problems. He confirmed that council properties disappeared without explanation. The financial systems remain outdated, with records kept on simple memory sticks. Top officials receive huge salaries and benefits rather than spending that money on public services. The staff size ballooned beyond 10,000 people, with many doing the same jobs.

These money shortages cause massive service problems throughout Harare. Both established neighborhoods and makeshift settlements on the edges suffer from poor services. Garbage piles up because the trash system lacks trucks and equipment. People dump waste illegally or burn it. The situation became bad enough that President Mnangagwa declared an emergency about waste management in 2023. The city simply lacks funds to buy garbage trucks.

Roads have fallen apart across Harare. Back in 2017, then-President Mugabe declared a disaster for city roads. Today, about 87% of all streets need repairs. Officials want to fix 250 kilometers of roads yearly for five years at a cost of $250 million annually. Finding this money seems impossible. Healthcare faces similar problems with crowded facilities serving more people but having fewer resources and staff.

These issues happen partly because the national government assigns responsibilities without providing money. This lets national leaders push off duties but avoid paying for them. Such practices threaten local governments and their ability to deliver basic services. Zimbabwe must change how it handles urban funding. The country should increase grants for infrastructure and let cities access different funding sources to close money gaps.

Reducing political games would create better relationships between the Harare City Council and national leaders, which could support long-term city growth plans. Harare is in a dangerous position as a city with many duties but little national support. If Zimbabwe truly wants to improve its capital city, leaders must completely rethink municipal finance systems and governance structures.
 

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