By Amelia Johnson
Now Daily Business
The National Railways of Zimbabwe’s cumulative losses have surpassed $203 million, casting doubts on the parastatal’s ability to continue operating without roping in an outside partner, an audit report reveals.
In a special note on the results for 2013 Grant Thornton Public Auditors said NRZ board members should draw their attention to the fact that National Railways of Zimbabwe was in a net liability position and also made serious losses.
“The Organisation’s statement of financial position reveals a situation where the current liabilities exceed the current assets by $109 124 920 (2012: $64 086 445),” Grant Thornton said.
The organization also incurred a net loss of $49 103 769 (2012: 52 884 423) contributing to a cumulative loss of $203 937 077. This cumulative loss and net liability position, along with “other matters” indicated the “existence of a material uncertainty that may cast significant doubt over the Organisation’s ability to continue as a going concern,” the auditors said.
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