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ZINARA declares ZW$57 bln surplus

Business Reporter

THE Zimbabwe National Roads Administration (ZINARA) has declared a ZW$57 billion surplus for the annual period ended December 31 20 23 on the back lucrative disbursements extended to local authorities.

Presenting the authority’s financial performance recently, ZINARA CEO Nkosilathi Ncube said during the period a healthy surplus was recorded.

“The year-end surplus of ZWL $57 billion was realised representing a healthy financial position for ZINARA. This surplus made for 7% of the expenditures and remained in reserve for road authorities that are yet to access their full budgets.

“This amount is indicative of sound financial management and provides a buffer for unforeseen expenditures or projects,” he said.

During the period,the funds disbursed to four Road Authorities, amounted to ZWL $219 billion signifying great improvement in the uptake of allocation of across the provinces with over twenty road authorities claimed 100% of their allocated funds.

However, a considerable handful accessed below 75% while provinces with the highest uptake were Harare Metropolitan Province and Manicaland, both claiming about 97% of their budgets.

Lowest claims were from Bulawayo Metropolitan Province, Masvingo Province and Matabeleland North Provinces, both accessing less than 65% of their budgets. Urban councils in total claimed 81% of their allocated budgets while Rural councils accessed 71%.

“The failure to access full disbursement allocation in some instances is mainly attributed to a handicap in acquitting and submission of Interim Payment Certificates in order to qualify for the next funds draw down.

“Road Authorities that have successfully accessed their full budgets have gone on to undertake good work in their respective jurisdictions and they must be applauded for their effectiveness and efficiency in using road user fees to implement tangible programmes,” he said.

ZINARA is still servicing the DBSA Loan which had previously fallen into arrears in prior years. Under the new Zinara, the loan was restructured and we are now fully regular with our payments.

In 2023, ZWL $229 billion was committed towards the DBSA loan repayment.
“This significant payment reduced the outstanding loan balance to an equivalent of US$65 million. Related to this was the payment of ZWL $108 billion for the maintenance of the Plumtree-Harare-Mutare Highway in tandem with operational clauses of the loan agreement.

“This investment not only ensures the highway’s upkeep but also points to financial discipline in adherence to contractual obligations,” he said.

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