Rundu offers interest reprieve

The cash-strapped Rundu town council has embarked an incentive programme that will see residents and businesses apply to have their interest on municipal accounts in arrears waived.Rundu mayor Isak Kandingu said the programme will run from 1 November to 30 June 2020.Kandingu said outstanding balances attract interest of 1.67% per month and this undoubtedly puts additional pressure on residents.“The Rundu town council has been observing that the outstanding debt of its residents is growing exponentially every year, due to the prevailing economic hardships being experienced. “It is against that background that the council at its meeting held on 16 October deemed it appropriate to give an interest charge incentive to its residents to pay their outstanding debts,” Kandingu explained.This announcement comes just weeks after council threatened to suspend the water supply of residents with overdue water bills.Rundu ratepayers owe the local authority over N$200 million.Kandingu explained the incentive programme will only cater for defaulters who are willing to settle the full amount, be it once-off or in instalments. This should be done during the allocated timeframe.“The capital charges will be expected to be paid in full during the eight months, effective from 1 November 2019 to 30 June 2020, and it will be upon full settlement of the capital charges that interest amounts shall be reversed from the accounts,” Kandingu said.He said the incentive programme applies to both individual and corporate accounts, including sundry accounts. He added the incentive programme is applicable to all types of municipal services and accounts, irrespective of the outstanding balances or the period involved. He explained that interest paid prior to the effective date of the incentive programme shall not be waived or refunded. Kandingu urged all residents with outstanding debts to apply and avoid accumulating more debt, as this will result in the disconnection of essential services.“All individuals and corporates with outstanding debts on their accounts may participate in the incentive programme, provided they apply on approved application forms available at council offices and submit such forms to council,” Kandingu said.The council is faced with a number of challenges because of a lack of funds.KENYA KAMBOWE

Rundu offers interest reprieve

Comments

Namibian Sun 2025-07-01

Please login to leave a comment

Rundu offers interest reprieve

Comments

Namibian Sun 2025-07-01

Please login to leave a comment

Login