Mthuli promises meaningful CDF allocations

Finance Minister Mthuli Ncube has promised to allocate meaningful funds towards the Constituency Development Fund (CDF) in the 2022 National Budget.

Constituency Development Fund was introduced during the time of the now-defunct inclusive government with the aim of aiding legislators to spur development in their constituencies.

However, legislators have failed to do anything meaningful with the funds as they are often eroded by inflation before they could be disbursed from the treasury.

Speaking in Victoria Falls during the pre-budget seminar, Finance Minister Mthuli Ncube said he recognises the role played by CDF and will allocate something meaningful.

‘’Government recognises the critical role of CDF in empowering communities. I however note that due to inflation, amongst others, allocations in some instances have been rendered inadequate.

‘’In this regard, the 2022 budget will ensure meaningful allocation towards the fund with modalities towards ensuring timely disbursement being put in place.

‘’Given the demand-driven nature of the facility, it is critical that honourable members proactively work on implementation arrangements and cashflow plans of projects critical for facilitating disbursements,’’ he said.

CDF should be denominated in US$

However, some legislators have often proposed that the fund should be denominated in United States dollars as a way of maintaining value.

Others have told Parliament that they face difficulties in using the funds as most goods and services are pegged in foreign currency using black market rates.

There is also an outcry from Proportional Representation legislators and Senators who believe they are being disadvantaged by not being allocated the funds.

According to the Constituency Development Fund law that was passed by Parliament, the money is only given to constituency-based legislators.

Zimbabwe has about 210 constituency-based legislators.

Senators and Proportional Representation legislators believe the fund is being used to return to Parliament by the 210 and they have nothing to use.

Although the money is deemed insignificant in terms of values, some legislators have failed to access it due to strict application requirements and audit that is done. Under the CDF laws, the legislators must come up with a bankable project in order to get allocated the money.-

Mthuli promises meaningful CDF allocations