The Harare City Council is facing a massive financial crisis due to the delayed implementation of a modern Enterprise Resource Planning (ERP) system. Since 2019, the council has reportedly lost nearly $500 million, with daily losses estimated at around $200,000. This staggering amount is attributed to the absence of a proper accounting system, which has forced the council to rely on manual processes.
The council’s ERP system was withdrawn in 2019 by supplier Quill Associates due to a contractual dispute. Despite being granted permission for direct procurement last year, the council only submitted its request in June 2025, sparking concerns over inflated costs. The price of the ERP system has doubled from $862,730 in 2022 to over $1.7 million in 2025, raising eyebrows among officials.
Council executives have been accused of deliberately blocking the ERP system’s implementation to hide nearly $200 million unaccounted for since 2020. Mayor Jacob Mafume blamed internal sabotage by the procurement department, accusing it of shielding corrupt managers. Councillors have also criticized the lack of transparency and called for dismantling the entrenched cartel within the city’s leadership.
The council’s priorities have been questioned, with critics highlighting the spending of over $500,000 on 13 high-end cars while claiming procurement hurdles for essential services like ERP implementation and road repairs. This has sparked outrage among residents and councilors, who believe the council’s priorities are misplaced.
The delayed implementation of the ERP system has severe consequences, including:
– Daily Losses- $200,000 lost daily due to revenue leakages
– Annual Losses -Over $70 million lost annually due to uncollected revenue
– Total Losses – Nearly $500 million lost since 2019 due to the absence of a modern ERP system
The Harare City Council’s financial woes continue to mount, with many calling for urgent action to address the crisis and ensure transparency and accountability in the city’s governance.
end//..