Categories: Stories

Biti’s lies and exaggerations

CLAIM: The average civil servant used to earn US$500 during the time of the GNU, he is now earning US$35-40.

VERDICT: INCORRECT

Information compiled by the International Labour Organisation from the National Joint Negotiating Council (NJNC), the platform for government workers’ wage negotiations, shows that, at end of the government of national unity mid-2013, the lowest paid civil servant was getting a monthly wage of US$296, made up of US$159 basic pay, US$63 transport allowance and US$74 housing allowance.

The lowest paid teacher was earning a basic salary of US$230, plus US$189 housing and transport allowances, amounting to a total package of US$419. Teachers make up the bulk of the civil service.

A January 2014 pay increase saw the least paid civil servant getting a total package of US$375, while entry-level teachers were now on US$500.

According to a March 12, 2021 circular by the Zimbabwe Confederation of Public Sector Trade Unions (ZCPSTU), the main civil servants’ union, government wages were ranging from ZW$14 652 to ZW$28 168.

This was ahead of an April 1 wage increase, which would see the least paid earning ZW$16 752 (US$195 at the official exchange rate or US$124 on the black market), with the highest band getting ZW$33 647 (US$391 at the official rate or US$249 on the parallel market).

CLAIM: If Zimbabwe were to import ethanol from Brazil, the United States of America or Scandinavian countries, it would land FOB at US$0.50. But we are paying a premium to Billy Rautenbach of US$1.10 to US$1.20.

VERDICT: INCORRECT

A litre of ethanol was quoted at US$0.69 in Brazil and between US$0.60 and US$0.63 per litre, free on board, according to the US Grains Council’s data for July 21, 2021. Shipping ethanol to Zimbabwe from abroad would add freight and insurance costs to the final price.

In Zimbabwe, ethanol for blending with petrol is priced at US$1.10 per litre, according to energy regulator ZERA.

When the matter of ethanol pricing came up for discussion in Parliament in 2018, amid charges that local ethanol was overpriced, the then ZERA head, Gloria Magombo argued that it did not make economic sense to import the product.-Zimfact

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This post was last modified on July 24, 2021 4:12 pm

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Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

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