The Mzuzu City Council has announced plans to effect a 25 percent increment on city rates in the 2017/2018 financial year, a development it says will help improve the council’s financial position.
Speaking during a budget conference on Wednesday, Chief Executive Officer, Macloud Kadammanja, said the move is one of financial enhancement schemes the council has put in place.
Despite improvements in other sectors, he conceded that the council has failed to collect projected revenue from property owners and businesses in the city.
He cited high default rates and illegal vending as contributing factors.
“In the 2016/2017 financial year, we anticipated to collect about K1.2 billion but, with few months to go, we have only collected 41 percent of the amount. Such has been the trend all along and we want to improve the situation,” Kadammanja said.
In his contribution to the budget, Director of Planning and Development, Alexander Chirambo, expressed concern over the increased number of illegal developers in the city.
He said people and some private companies do not comply with city regulations when putting up structures
Meanwhile, Executive Director for Church and Society of the Livingstonia Synod of the Church of Central Africa Presbyterian, Moses Mkandawire, has challenged council authorities to win the trust of city residents.
“We appreciate the participatory approach the council has adopted when developing the budget but there are a few things they need to work on. For example, there is no need to hold back information! Be as clear as possible on your plans,” Mkandawire said.
Meanwhile, a full council meeting on Thursday approved a K3.7 billion 2017/2018 budget for the council.
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