The failure of local government authorities to submit financial accounts to the Auditor General is raising concerns about transparency and accountability in Zimbabwe’s public administration.
Gweru City Council has become a focal point in this issue, with financial statement backlogs spanning from 2014 to 2021.
A report from the Public Accounts Portfolio Committee (PAC) on local authorities revealed the extent of the problem.
The report highlights that without up-to-date financial accounts, it is nearly impossible to scrutinize a local authority’s financial standing, hampering the Public Accounts Committee’s oversight role, as outlined in Section 299 of the Constitution.
The reports read “Churu, the acting town clerk of Gweru, submitted to the Committee that the Council had backlogs of financial statements dating from 2014 to 2021.
“that this was due to shortages in the finance department. In addition, the substantive Director of Finance had not been well since 2019 and eventually passed on in 2021. The period he was not well also contributed to the delays in preparing financial statements
“To cope with the backlog and staff shortages in the finance department, the Council recruited students on attachment.
“The Council also created a management accounts section, with two established officers, six graduate trainees and the students recruited to manually check and trace bank reconciliation transactions, working over the weekends and trying to keep pace with the volume of transactions”
The PAC also raised concerns about key leadership roles in several local authorities being held by individuals in acting capacities. This, they say, undermines accountability and hampers the consistent preparation of financial statements.
The instability in leadership could lead to inconsistent decision-making and policy implementation, further eroding the financial integrity and reputation of local authorities.
As of May 31, 2023, a staggering 75 out of 92 local authorities were in arrears, having failed to submit their financial statements for auditing by the Auditor General.
