The new fund comes on top of the existing Fund for Local Development - seven million meticais (about 280, 0000) allocated by the central government to the districts - that were supposed to be used to grow food and create new jobs in the rural areas, but are sometimes spent on upgrading infrastructures, such as roads, houses and among others.
The process of decentralization began in 2006 when the government decided to allocate seven million meticais to each district.
But next year each not all districts will receive the same amount, as there will be an additional, so far unspecified, sum to be calculated in accordance with the size of the district, its population, and the poverty index of each province.
The establishment of the new Fund for Infrastructures was disclosed in the town of Chókwč, southern province of Gaza, during a meeting with the district administrators of the hosting province, and the northern provinces of Zambézia and Cabo Delgado, started on Monday.
According to the national director for Local Administration, with the State Administration Ministry, Placido Pereira, the financial resources allocated to the districts will include all funds granted to the districts such as the Road Fund, Fund for Local Development among others.
Pereira explained that this measure seeks "to turn the district as budgeting unit and also to cut the dependence of the districts from the provincial government budgets".
The resources allocated to the districts should allow them to comply with their mandates. It is necessary to grant the legal mandate to the districts to control their own budgets and expenditures.
"With this fund it will become clear what is to be spent on infrastructures, and what is to be spent on other activities and, therefore, prevent diversion of the funds from the purpose they were established", said Pereira.
The creation of this fund, as well other funds to the districts, falls under the philosophy of turning the district as the center for development and planning, and this includes empowering the districts with the financial and administrative independence.
This include institutional and human capacity development at the district level, support to districts in the areas of planning, budgeting and implementation of their plans, improvement of the participation and accountability mechanisms.
Under the decree 5/2006, dated 12 April, the districts are allowed to recruit their own staff. The same decree emphasizes the role of the district as center for country's development and fight against poverty.
Currently, there is under was a process for the recruitment of 162 holders of mid level and university degrees to be deployed in 54 districts in Mozambique, which translates in five for each country's province, while Zambézia and Nampula - the largest and most populated in the country- will have seven each.
These staff will have to answer for the problematic areas in the districts, such as territorial order and physical and budget planning, infrastructures development and equipment. Also this envisages to ensure that the allocation of budgets to the districts be accompanied by a sufficient local management capacity.
SOURCE: AIM