ZBC broke?

THE Zimbabwe Broadcasting Corporation, which was given a grant of $9.85 million to cover some of its losses and to help run Television Two and Radio Four, seems to be having cash-flow problems. The next grant, if ever granted, is only due in three months.

Reports say the parastatal which should be making profit as it is running on a commercial basis struggled to obtain money for salaries for its employees in April. Some reports say it even borrowed from the workers co-operative savings club to pay the very workers and thus depriving the workers of their credit facilities which are in great demand because of the present economic problems.

The ZBC had long term loans of $31.8 million at the end of June in 1990 and this shot up to $37.7 million at the end of June last year.

In the current budget to June 30, the parastatal was given a grant of $9.85 million up from $8.978 million the previous year. The grant cannot be exceeded without prior treasury approval.

From this grant $3.1 million was for past losses including estimated losses for 1990-91; $3.7 million was for Television Two operating expenses, and $2.4 million for Radio Four operating expenses.

The remainder of the money was to be spent on the public sector investment programme with $450 000 going to Radio Four buildings in Mutare, $100 000 for Radio Four furniture and another $100 000 for Television Two vehicles.