Saturday, April 20, 2024

Government launches the pilot Point of Sale for fees collections using credit cards

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Alexander Chikwanda
Alexander Chikwanda

GOVERNMENT has launched the Point of Sale (PoS) pilot project which seeks to speed up the collection of non-tax revenue.

Government has partnered with Barclays Bank Zambia Plc in the implementation of the project starting with the Immigration Department and the Road Transport and Safety Agency (RTSA) in selected areas.

Officiating at the launch in Lusaka yesterday, Finance Minister Alexander Chikwanda said Government was mindful of the fact that the impact of new revenue policies would not be fully realised unless revenue collection systems were enhanced.

The facility would enable members of the public to pay for various Government services without carrying cash while tourists and investors, among others, would pay through VISA and other fees to would be paid Government electronically.

Mr Chikwanda said the PoS and Teller Implant pilot project was modern technology which would bring about efficiency in the collection and transmission of non-tax revenue to the Treasury apart from ending opaque systems often ideal recipes for abuse and fraudulence.

“It is envisaged that once the Point of Sale, the Teller Implant and other banking facilities are fully implemented through commercial banks in all Government institutions revenue collection will be enhanced, revenue related audit queries will be minimised and Government officers will be able to concentrate on their core functions,” he said.

He said the contribution of non-tax revenue to the Treasury had over the years been less than five percent of the annual budget, citing the contribution of non-tax revenue to the 2013 budget at an estimated K1.2 billion (3.7 percent) of the total budget.

He said non-tax revenue had the potential to contribute much more to the national budget but was not doing so due to lack of automated systems in the collection, receipting, banking and monitoring and lack of integrated financial management systems between Government institutions and commercial banks as well as among Government institutions,” he said.

Secretary to the Treasury Fredson Yamba said enhancement of non-tax revenue collection was one of the core programmes under domestic revenue of the Public Financial Management (PFM) Reform Strategy.

Mr Yamba said one of the strategies in the reforms was the elimination in the handling of revenue by Government officers wherever possible by utilising banking facilities that would enable revenue collected from the public moved directly to the main Government revenue account at Bank of Zambia through commercial banks.

Barclays Bank Zambia PLC managing director Saviour Chibiya said the launch was an indication of a Public Private Partnership (PPP) aimed at ensuring that Government’s revenue collection was done in a convenient and secure manner as well as it being in line with the Ministry of Finance’s goal to promote cashless transactions.

Meanwhile, Mr Chikwanda has warned agencies and security wings against engaging in illegal activities for the purpose of boosting their income.

He said agencies and security wings should stop impounding vehicles that had been cleared by the Zambia Revenue Authority (ZRA) at borders as the action tarnished the name of the country.

The minister was speaking in Chirundu on Tuesday when he commissioned staff houses for ZRA employees.

“Chirundu links Zambia to the whole world and therefore the conduct of our agencies and security wings must be without blemish,” he said.

Mr Chikwanda directed Chirundu District Commissioner Maxwell Syamalimba to keep an eye on the activities of the agencies and security wings and appealed to members of the public to report any irregularities from government officers.

“DC you are the overall boss here, you should keep an eye on all the agencies and security wings in Chirundu,” he directed.

On the commissioned houses, the Minister said the houses would help ZRA staff execute their work efficiently and push development through effective revenue collection.

ZRA Commissioner General Berlin Msiska thanked government for the financial support provided to the authority in the past two years when the housing project started.

11 COMMENTS

  1. Backwardness at its best or worst; that is when you are piloting such old ideas sure! I hope you will effectively manage the risk of that money not going to the intended accounts. And thereafter, we should see a lot of merchants adopting this mode of payment, compared to now, where this is exclusive to some high class shoping malls, and other apamwamba places. Good development, though late.

    • And yet we had the so called educated MMD leaders. The ‘Kaponyas’ seem to be more civilised and serious on issues of accountability. If Zambia is to improve, allow PF to rule you even after 2016 or else you will find yourselves going back to the stone age era.

  2. Wonderful move that has been long overdue – govt should include corruption prone ZRA in this initiative, especially on payment of motor vehicle tax. This would kill the corruption rampant with border staff. Excellent move indeed

  3. Good move.Please extend a similar scheme to the collection of council levies and fees to enhance accountability in their operations. We could then see some improvements in accounting for money collected in markets,bus stations and some parking lots!

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