NEWS IN BRIEF

LCC generates K6 billion in local revenue

By Sellah Singini

Lilongwe, February 6, Mana: Lilongwe City Council (LCC) has generated K6 billion in local revenue as of December 2024 against a target of K15 billion in the 2024/2025 financial year which will end in March 2025.

In an interview, Chief Accountant for LCC Frank Simwaka said LCC's total budget for the year 2024/2025 financial year was pegged at K 23 billion of which K 8 billion was to be financed under central government transfers and K 15 billion under locally generated revenue.

He said, in the financial year 2024/2025 the council has faced a number of challenges in generating local revenue such as an incomplete database for liquor licenses, the unwillingness of ratepayers to voluntarily pay property rates, and inadequate personnel, tools and equipment to support revenue collection.

“In the financial year of 2023/2024, the council collected 12 billion through local revenue against a target of K9 billion for the whole year. The total budget for the particular financial year was K16 billion, K7 billion from government transfers and K9 billion from locally generated revenue,

“In the 2023/2024 financial year, the council surpassed its target on local revenue collection compared to the financial year 2024/2025. Although we are remaining with three months to the end of the current financial year to be accounted for which are January, February and March, I do not think we can beat our K15 billion target because these months are considered lean, in as far as revenue collection is concerned,” Simwaka said.

He therefore said the council has put in place strategies that will be used to improve revenue collection in the 2025/2026 financial year such as dedicating eight vehicles for revenue collection, proposing payment of K12000 per year as squatter fees for those not in the register and will conduct more campaigns and awareness on payment of property and city rates and land regulation.

Meanwhile, Senior Chairman for Tsoka Free Market Steve Magombo has asked the city council to improve its service delivery at the market using the local revenue generated.

He said, vendors at the market try their best to pay revenue but they do not receive good services from the council saying for example, there is inadequate toilets, poor sanitation and improper water drainage system which affects their wellbeing.

" We have a shortage of toilets as we have four toilets against the estimation of over 5000 vendors water drainage system is also a problem as we experience water flooding from Bwalo la Njobvu to the market which usually disturbs our customers and affects our businesses at the end of the day," Magombo said.

“Although we are facing a lot of challenges such as rising prices of items we sell which affects our profits, we try our best to pay revenue,” he added.

He further said, that as vendors they are waiting for the council’s action because the issue of inadequate toilets, improper water drainage system and poor sanitation were already presented to the authority.

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