Govt Bans Foreign Travel, Luxury Cars for Salary-Owing Councils

Wisdom
4 Min Read

By Fanuel James

Government has banned foreign travel, external workshops and the purchase of luxury vehicles for any local authority that owes workers.

The tough measures are contained in Local Authorities Circular Number 9 of 2026, dated 20 October 2026, issued by Permanent Secretary for Local Government and Public Works, Tafadzwa Muguti.

“Unacceptable” – Muguti Calls Out Councils

In the circular, Muguti said the Ministry had noted with “serious concern” that some councils have accumulated salary arrears spanning several months.

This includes outstanding statutory obligations including PAYE, NSSA and pensions.

“This situation is unacceptable, as it adversely affects the welfare and livelihoods of employees.

“(It) undermines staff morale, compromises productivity, and ultimately impairs capacity to deliver essential services,” he said.

He stressed that timely payment of salaries must be treated as a priority.

“The Ministry reiterates that the timely payment of salaries and the settlement of statutory obligations must be treated as priority financial commitments,” Muguti said.

What Is Banned With Immediate Effect

No foreign travel

With immediate effect, town clerks, town secretaries and chief executive officers have been directed that councils with salary arrears will not be allowed to undertake foreign travel.

No requests will be considered until the arrears are cleared.

Muguti was blunt.

“No foreign travel, no council with salary arrears will be allowed to undertake foreign travel.”

No external workshops

Councils in arrears must not hold workshops, retreats or conferences outside their own areas.

Any such events that are necessary must be held within their jurisdiction.

No personal vehicles

“No vehicles may be purchased for personal use or as a condition of service for senior managers until all arrears and statutory debts have been fully settled.”

Councils may still purchase vehicles and equipment strictly for essential service delivery.

This includes refuse trucks, ambulances and water bowsers.

However, such purchases must be justified, budgeted for and must not compromise salary payments.

Not The First Warning

This is not the first time Muguti has cracked the whip.

In Circular Number 2 of 2026 issued on 1 October, he ordered all councils to clear all outstanding salary arrears and statutory obligations by 5 December 2026.

“This situation is both unacceptable and unsustainable.”

In that earlier directive he noted that “a significant number of local authorities are currently drowning in salary arrears.

“Several have gone for extended periods without paying employees their rightful salaries.”

The latest circular goes further.

All indebted councils must now prepare time-bound Financial Recovery Plans.

These must show total liabilities, how they will improve revenue collection, control expenditure and clear debts, with regular reports to the Ministry.

The ban comes against a backdrop of growing public anger.

Public Anger

In the past year, councils including Harare have been criticised for purchasing fleets of luxury vehicles.

These have included Toyota Fortuners and Prado VX200s for senior officials.

Meanwhile workers faced two months of unpaid wages and City Hall itself had electricity cut over a US$9.2 million ZESA debt.

Muguti said non-compliant councils will face administrative measures.

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