The financial sector crisis in Zimbabwe has continued without ease, and the government on Monday had to award civil servants, including teachers, a cushioning allowance to avoid strike action. Demands for salary increases have further burdened the treasury, which is already stretched, as it has to provide funds for social-protection mechanisms such as subsidies on maize meal.
“Treasury notes the government’s decision to cushion members of the Public Service Commission from the adverse economic challenges through the awarding of an interim cushioning allowance for January,” said George Guvamatanga, the secretary for the treasury.
He added that the treasury had given concurrence to the “implementation of the cushioning allowance” by awarding a minimum of ZWL400 (about R400) and a maximum of ZWL800 for the respective lowest and highest grades.
Ncube asked for more time to turn-around the financial sector, and also implored Zimbabweans to have confidence in their own currency.