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Mupfumira warns parastatal bosses over abuse of funds

by Staff reporter
27 Nov 2018 at 06:08hrs | Views
ENVIRONMENT, Tourism and Hospitality Industry minister Prisca Mupfumira has warned parastatals under her ministry to desist from corrupt tendencies that have crippled most parastatals and State-owned enterprises.

She made the remarks at the week-long strategic meeting held in Mutare last week.

"Judicious use of public funds by all our parastatals and State enterprises (should be) characterised by zero tolerance to corruption and strict adherence to corporate governance practices," she said.

"As a ministry, we will not tolerate the abuse of public funds and slothfulness that has characterised some parastatals in the past. We need to foster a culture of accountability and service delivery. This is the thrust of the Second Republic, and I will religiously enforce it."

Auditor-General (AG) Mildred Chiri's report for 2017 showed that over 20 State-run enterprises were sinking in debt, with liabilities running into hundreds of millions of dollars, and were facing imminent collapse due to poor corporate governance, mismanagement and corruption.

Finance minister Mthuli Ncube in his budget statement last week said 46 State-owned enterprises are earmarked for reforms, with 12 being restructured, liquidation (4), privatisation (5), partial privatisation, joint ventures, partnerships and listings (13), to be absorbed under ministries (7) and merged (5).

Mupfumira added that there was need by the government to create a tourism revolving fund as a mechanism to recapitalise industry and also to promote domestic tourism and encourage locals to participate in local tourism and conservation initiatives.

Source - newsday