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Metro rolls out debt relief scheme for residents

EAST LONDON- Buffalo City Metropolitan Municipality(BCMM) Executive Mayor Councillor Princess Faku met with Coastal Region residents on 4th February 2025 at Jan Smuts Stadium in East London as part of the Mayoral Imbizo Road Shows. The event aimed to bring government closer to the people fostering interaction between the municipality and communities regarding service delivery projects.

BCMM has introduced a debt incentive scheme aimed at reducing the debt burden on its residents, the scheme which has been approved and extended to 30th November 2025 offers three options for residents to settle their outstanding debts.

According to Cllr Faku, “The scheme is designed to provide relief to residents who are struggling to pay their debts; option 1 requires residents to settle their current account, 30-day and 60-day balances as well as 50% of their arrears balance from 90 days and older. In return they will receive a 50% discount on their arrears balance.”

“Option 2 requires residents to pay their current debt and enter into an arrangement with the municipality to settle their debt from 30 days to 5 years. Once this arrangement is honored, the debt older than 5 years will be written off,” Cllr Faku added.

Furthermore, option 3 requires residents to pay their current account 30-day and 60-day balances. The balance from 90 days and older will be subject to a 60/40 incentive meaning that 60% will be written off as and when payments are made to clear the remaining 40%.

In addition to the debt incentive scheme, BCMM has also unveiled its development plans which include the construction of thousands of houses for its residents. The municipality has received powers to build its own homes which is expected to speed up the process of providing housing for its people.

Other development plans include the provision of electricity to homes, including shacks in Duncan Village and informal settlements. BCMM has also prioritised the development of Duncan Village which includes the provision of basic services such as water, sanitation and roads.

The municipality has also launched Operation Gqogqa, a campaign aimed at ensuring compliance with trading licenses by Spaza shops and businesses, the operation is expected to improve the safety and quality of food sold in these Spaza shops.

Other issues that BCMM will be addressing include human settlements, sports and recreation, water and sanitation, roads and stormwater drainage, electricity, job creation and skills development and community services.

Overall, BCMM’s debt incentive scheme and development plans are expected to have a significant impact on the lives of its residents, providing them with relief from debt and access to basic services and amenities.

The next Mayoral Imbizo session is scheduled for Friday 6th February 2025 at Sisa Dukashe Stadium in Mdantsane.

Photograph: BCMM

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