CBD and Industrial Areas Lead Bulawayo’s Mounting Municipal Debt

By MKHOKHELI ZIBENGWA

The City of Bulawayo says the Central Business District, industrial areas and eastern suburbs remain the city’s biggest debtors, accounting for more than 40 percent of outstanding municipal bills.

According to the city’s latest Financial Health Report, the Central Business District contributes 15.8 percent of the total debt, followed by industrial areas at 15.1 percent and eastern suburbs at 10.1 percent.

The report shows that out of 183,404 billed accounts, 147,440 accounts — representing about 80 percent — are in arrears of more than 30 days. The local authority says this has affected service delivery and placed increasing pressure on council operations.

The municipality is currently owed more than ZWG2.2 billion in unpaid bills, equivalent to approximately US$133.8 million.

Within the city centre, District 24, which includes the Central Business District, has the highest debt burden, with 5,398 accounts owing more than US$21 million. The average debtor in the area owes the municipality about US$3,900.

Industrial areas in District 28 have the second-highest debt, with 3,087 accounts owing more than US$20 million. The city says the average debtor in the industrial sector owes at least US$6,500.

Low-density suburbs were also identified among the major debtors. Mahatshula, Kumalo, Selborne Park and Parklands, grouped under District 25, have a combined 10,132 accounts and owe more than US$10 million, accounting for 10.1 percent of the city’s total debt.

High-density suburbs are also among the city’s largest debtors. Pumula, Mpopoma and South Eastern suburbs together owe more than US$7 million, while Nkulumane owes more than US$6.6 million.

Cowdray Park has emerged as one of the municipality’s biggest residential debtors, with 19,605 accounts owing more than US$6.3 million. Other suburbs with significant arrears include Famona, Mzilikazi and Entumbane, which collectively owe more than US$15 million.

The report further reveals that Magwegwe owes more than US$3.6 million, while Nketa and North End each owe over US$3 million. Luveve and Lobengula also owe more than US$3 million each.

In the eastern parts of the city, the North Eastern District owes US$2.7 million, with Emganwini accounting for a similar amount. Tshabalala-Sizinda owes more than US$2.6 million, while Hillside owes over US$1.5 million.

Bellevue and North Western areas owe the city a combined US$1.96 million, while Sondelani, Pelandaba West, Mhlangeni, Vuliwayle, Nondwane and Insinga collectively owe more than US$1.3 million.

The municipality noted that debt per account in low-density residential areas is generally above US$1,000.

Council also blamed the growing debt burden on staff shortages and weak enforcement of its credit policy. The number of active accounts increased from 178,223 in 2021 to 183,404 in 2025, but the city says staffing, equipment and logistical support have not increased at the same pace.

The report estimates that about 60 employees, each handling 2,000 overdue accounts every month, would be needed to effectively recover the outstanding money.

The city says a culture of non-payment is worsening the situation, with many residents and businesses failing to settle their bills on time.

To improve collections, the municipality is introducing new measures, including downloadable application forms on its website and plans for a fully online business licensing system expected to be in place by the second quarter of 2026.

The City of Bulawayo has urged residents and businesses in Bulawayo to settle their bills promptly to ensure efficient service delivery.

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