State keen on controlling contract funds

 

THE government has issued tough directives to district, city and municipal councils to strengthen supervision of contracts so that value for money can be obtained in various projects as well as keeping an eye on contractors who are given tenders.

Prime Minister, Mr Kassim Majaliwa, said this when moving a motion to adjourn Parliament in Dodoma on Friday that all Local Government Authorities (LGAs) should be keen on the implementation of priorities outlined in the 2016/2017 budget, adding that they should also make sure that funds are available. 

 

“Considering the good advice and recommendations that were given by the Parliamentary Local Authorities Accounts Committee (LAAC) over the Controller and Auditor General (CAG) annual audit report for 2013/14 and 2014/15, the government has already issued directives to LGAs to ensure that they implement fully the directives by LAAC,’’ he said.

Mr Majaliwa further directed the councils to strengthen the internal financial systems by considering the advice delivered by audit committees so as to maximise transparency and accountability in issues of finance.

According to the PM, all councils should make close follow-ups on revenue and expenditure on the money disbursed to schools and health centres and hospitals. “For the councils to achieve there should be a proper system of revenue and expenditure audit by involving internal auditors.

In the 2016/2017 financial year, the government target on revenue collection for LGAs was estimated at 665.4bn/-. However, as of September 2016, LGAs had only collected 114.5bn/-, an equivalent of 17.2 per cent.

According to the PM, the amount is not convincing thus directing the authorities to add more efforts on internal revenue collection sources. He further directed the LGAs to collect revenue electronically so as to seal loopholes for revenue losses.

On the challenges frustrating issuance of loans in various higher education institutions, the prime minister said the government was currently conducting a review on the admission system in various campuses, as well as overseeing the entire process of loans issuance and repayment.

“Our major aim is to remove all the problems that students have recently been facing when universities re-opened. Therefore, I have directed that the ongoing assessment should be completed immediately so that the recommendations on the new system of loans issuance can be considered in the 2017/2018 budget,’’ he added.

Since 1994 when the government started issuing loans to students of higher learning institutions, 2.44trillion/- has already been issued to 324,994 beneficiaries.

According to the PM, in the 2016/2017 64,441 students were admitted in various universities by the Tanzania Commission for Universities (TCU) and that their names were forwarded to the Higher Education Students Loans Board (HESLB).

“As of November 2, 2016 a total of 25,228 first year students had already been issued with loans. Out of those - 4,787 were orphans, 127 were students with disabilities and 94 were students who studied their secondary education through sponsorship by various institutions,’’ said Mr Majaliwa.

The premier said students who are loans beneficiaries are continuing to receive loans as it has always been in the previous years. The Parliament has been adjourned to January 31, 2017.