Mudenda warns MPs on govt looting

Speaker of the National Assembly, Jacob Mudenda, has called on parliamentarians to maintain a "vigilant oversight" role in monitoring government expenditure, warning that well-connected individuals and entities-some with links to Zanu PF-are engaging in the theft of taxpayers' money, often through inflated tenders and corrupt procurement practices.

Mudenda's remarks come in the wake of multiple audit reports exposing systemic corruption and inefficiency within government ministries, departments, and agencies (MDAs), which have been found to misappropriate public funds through inflated contracts and procurement schemes.

Speaking at the pre-budget seminar in Bulawayo, Mudenda reminded lawmakers that Parliament's duties go beyond simply approving the Finance and Appropriation Bills. He stressed that Parliament's role also includes preventing the pillaging of State coffers and ensuring that taxpayer funds are used effectively and for the benefit of the public.

"It is not just about approving budgets. It also demands vigilant monitoring of budget implementation, including resource disbursements and procurement processes, as well as the outcomes and outputs of public expenditure, which should be anchored on the value-for-money principle," Mudenda said.

He further pointed to Section 315 of the Constitution, which mandates that procurement procedures must be "fair, justifiable, transparent, and rigorously cost-effective" in order to safeguard public resources from wasteful spending and malfeasance. Mudenda also referenced Section 45 of the Public Finance Management Act, which enforces these principles to prevent fraud and corruption in public expenditure.

Despite numerous recommendations by the Auditor-General, which have exposed how taxpayers' money is being stolen, particularly in state-run enterprises, many of these suggestions have gone unheeded, leaving many of these enterprises on the brink of collapse. Mudenda urged lawmakers to take a stand against this, noting that continuing to approve budgetary allocations for MDAs that disregard Auditor-General reports is a "betrayal of fiduciary duty."

"Approving budgetary allocations for MDAs, which flagrantly disregard the Auditor-General's recommendations, constitutes serious corporate imprudence," Mudenda said. "The Public Accounts Committee has a singular and weighty responsibility in this oversight framework, wielding constitutional authority that must be exercised with unwavering diligence and moral integrity."

Mudenda emphasized that the Public Accounts Committee must ensure that the Auditor-General's reports receive prompt and thorough responses from accounting officers, with clear deadlines for remedial action. He also called for the expeditious tabling of Treasury minutes by the Ministry of Finance to ensure that the Public Accounts Committee's recommendations are acted upon without delay.

In his address, Finance Minister Mthuli Ncube also acknowledged that the government was financially constrained and struggling to meet obligations, including unpaid debts to contractors, some of whom are owed millions of dollars. However, Mudenda linked the government's financial struggles to poor revenue collection and taxation systems, pointing out that a staggering 85.7% of Zimbabwe's 3.4 million Micro, Small, and Medium Enterprises (MSMEs) are not taxed.

Mudenda highlighted the need for a more aggressive approach to formalising these small businesses, citing the 2026 Budget Strategy Paper's commitment to registering 5,000 MSMEs by 2026. However, he pointed out that this figure was far too low compared to the country's actual number of small-scale entrepreneurs.

"That figure is gapingly paltry compared to the 3.4 million small-scale entrepreneurs," Mudenda said, adding that digital technology could play a significant role in upscaling this effort. "By using digital technology, that 5,000 figure can be phenomenally upscaled to increase revenue inflows as part of compelling domestic resource mobilisation."

Mudenda called on the Zimbabwe Revenue Authority (ZIMRA) to accelerate efforts to incorporate artificial intelligence (AI) into tax administration. By leveraging predictive analytics, blockchain technology, and automated compliance monitoring, AI could significantly improve efficiency, promote voluntary compliance, and boost revenue collection across all sectors of the economy, including the informal sector.

"What are we waiting for?" Mudenda asked. "Through AI, we can enhance administrative efficiency and encourage voluntary compliance across all sectors, thereby enhancing revenue streams."

In addition to traditional tax revenue, Mudenda also emphasized the need to explore alternative financing mechanisms for infrastructure development. He called for sustainable funding models that would augment government resources, ensuring long-term development and avoiding dependence on conventional tax inflows.

Mudenda's remarks come against the backdrop of previous reports by anti-corruption watchdogs that have exposed massive tax revenue leakages and financial outflows, costing the government billions of dollars in lost revenue. With growing concerns over corruption, inefficiency, and financial mismanagement, Mudenda's call for stricter oversight and a more effective tax system could signal a significant shift in how the government approaches fiscal discipline in the years ahead.