News

Electronic Revenue Collection in Ngorongoro District

Jan 16th, 2017

One of the revenues districts can influence directly, are market fees and taxes as well as gate fees for visitors, trucks and busses crossing the District boundaries. Districts need to boost these revenues to have money for new activities and investments.

Payment at livestock market in Ngaraseros

The Ngorongoro District tested a new revenue collection system on site. This system is based on people engaged by Village Executive Officers who collected market fees from people selling livestock, agriculture products or general supplies at village markets. In many villages District staff took over this task to see if there will be a difference in revenues. The result was striking; the District Officer could receive 2-5 times more revenues then the Village Executive Officer.

Following the district decided to introduce an electronic revenue collection. Due to this system every payment is directly registered and proved by a tax-payslip. At the end of the day the payments will be transferred via internet to Loliondo/Wasso. Furthermore, the money has to be transferred weekly or two-weekly, depending on the market, to the NMB account of the District.

GIZ supported the Ngorongoro District to buy “Points of Sale” for the electronic system and to train District staff for the integration of these processes in their accounting system. Through the increasing revenues, the District will be able to buy more Points of Sale to cover all markets and District gates in Ngorongoro District with the new system. In the long term the District can invest the earnings in new activities and projects within the region.