Treasury deploys AfDB grants,seeks consultants
TREASURY is seeking consultancy services in legal drafting towards arrears clearance and reviewing the short- and medium-term State enterprise reform framework using African Development Bank (AfDB) funding.
As reported earlier by this publication, last December, AfDB revealed that it had disbursed US$800 000 out of a US$3 million grant to Treasury to support its arrears clearance process.
The entire grant is expected to have been fully disbursed by the end of 2025.
AfDB also revealed that the Zimbabwe government had received US$5,32 million grant under the institutional support for State enterprises reform project to improve the governance and accountability of state-owned entities.
In two expressions of interest dated March 28, 2024, Treasury requested for consultancy services using part of these funds towards implementing the two programmes.
“The Republic of Zimbabwe has received financing from the African Development Fund toward the cost of the support for arrears clearance and governance enhancement. The Government of Zimbabwe intends to apply part of the agreed amount for this grant to payments under the contract for consultancy services to provide capacity in legal drafting,” Treasury said.
“The main objective of this assignment is to provide capacity building in legislative drafting in the office of the Attorney General. The assignment is expected to be completed in six months. The Government of Zimbabwe through the Finance, Economic Development and Investment Promotion ministry now invites eligible consulting firms/universities/institutions of higher learning to indicate their interest in providing these services.”
While Treasury’s Public Debt Management Office is yet to release the end of 2023 debt figures, the European Union reported that Zimbabwe now owes US$18,7 billion in external debt.
Zimbabwe’s failure to extinguish its external debt has blocked the country from receiving fresh loans and development support from most multilateral lenders and partners.
On state enterprise reforms, Treasury will be using the funds it received from AfDB under the institutional support for State enterprises reform project.
“The project aims to strengthen good governance and enhancing accountability through supporting interventions regarding public administration, improved service delivery and financial management (PFM). The project will enhance Zimbabwe’s capacity to effectively translate into action and implement the existing corporate governance and PFM provisions,” Treasury said.
“The Government of Zimbabwe intends to apply part of the funding towards hiring of an individual consultant to review the short- and medium-term State enterprise reform framework 2018 and develop an [State enterprises and parastatals] SEPs reform programme with implementation action plan for Zimbabwe. The assignment is estimated to be completed in three months.”
Treasury invited qualified consultants to indicate their interest in providing the services.
“Interested consultants must provide information indicating that they are qualified to perform the services (brochures, description of similar assignments, experience in similar conditions,” Treasury said.
The push for SEPs reforms comes as over 100 Stateowned entities are now technically solvent.
SEPs used to contribute about 40% of the gross domestic product. This has since fallen to a 14% contribution with commercial SEPs contributing about 7,5%.
According to Office of the President and Cabinet’s department of Policy Analysis, Co-ordination and Development Planning, US$30 billion is needed to recapitalise all the State entities.