Reuters
Tue Jan 24, 2006 8:11 AM GMT
By Opheera McDoom
KHARTOUM (Reuters)
- A special African Union panel will propose on Tuesday
Congo Republic
should become next head of the 53-nation organisation instead
of Sudan after
critics said a Sudanese presidency would damage the AU's
reputation.
The five-nation panel was set up on the first day of a
two-day AU summit on
Monday to break a deadlock over Sudan's leadership bid.
Critics say a
Sudanese presidency would hurt the AU's mission to promote
democracy and
human rights.
"The committee met and decided to propose
the rotation (of the presidency)
to Central Africa," said one member of the
panel on condition of anonymity.
Another panel member said Congo Republic
would be the Central African
candidate and that the committee would also
propose Sudan could become AU
head next year.
On the first day of the
summit in Khartoum, African nations were deeply
split about Sudan, which put
itself forward for the presidency based on a
tradition that the summit host
takes over as the AU's head. Sudan wants to
succeed Nigeria.
Critics
say Sudan would be the wrong choice as leader when it faces
accusations of
human rights abuses in Darfur in west Sudan, where a
7,000-strong AU force
is trying to uphold a tentative truce between the
government and
rebels.
The rebels said late on Monday they had suspended peace talks to
protest
against Sudan's candidacy and would withdraw from the AU-sponsored
peace
process in Nigeria if Sudan became head of the
organisation.
Some African nations are wary of breaking a tradition of a
rotating
presidency and possibly handing Nigeria another term after it has
already
held the post for nearly two years.
"WISE STEP"
Sudan
said on Monday it would be ready to withdraw to avoid a split in the
AU, set
up in 2002 to promote democracy, human rights and development across
the
continent.
Some political analysts said a decision by the AU not to
appoint Sudan would
show the organisation was determined not to be deflected
from its aims and
could improve its credibility among Western
donors.
"It will be seen as a wise step," said a U.N. official, who asked
not to
identified as he was an observer at the summit.
African
nations failed to reach a deal on Monday despite hours of talks
behind
closed doors that delegates said included some heated exchanges
between
rival camps.
"I hope things will go better (on Tuesday)," AU Commission
President Alpha
Oumar Konare told Reuters.
Sudan has said it has the
backing of North and East Africa, but diplomats
say southern, western and
central African countries have been urging
Khartoum to withdraw its
nomination.
To break the deadlock, the AU picked Egypt, Gabon, Zimbabwe,
Djibouti and
Burkina Faso -- representing Africa's five regions -- to
propose a solution.
"Whatever is agreed (by the five-nation panel) will
be accepted. The
negotiations have been very difficult. People are tired.
They will agree
because there is no room for any more discussion," said
Western Sahara
representative Khadad Mhamed.
The debate has
overshadowed the summit's official agenda, which was to focus
on culture and
education.
Human rights issues, such as setting up the first pan-African
human rights
court, are also being discussed.
VOA
By Peta
Thornycroft
Harare
23 January 2006
The
International Monetary Fund's Zimbabwe country team is preparing to
begin
its six-month review of the economy. Economists say the IMF team will
find
an even worse situation than last year when Zimbabwe narrowly avoided
expulsion for failure to repay its debt.
The Zimbabwe currency has
lost about 35 percent of its value on the parallel
or black market since
last Friday, the biggest single drop since the
financial crisis began six
years ago.
Traders say the government has been buying foreign currency to
pay foreign
bills, such as electricity, and this pushed up the
rate.
Several businesses that depend on foreign currency for survival say
they had
temporarily ceased trading because they could not afford the new
rate of
150,000 Zimbabwe dollars for one $1.
They said the rate also
went up because many industries had gone back to
work after the Christmas
holidays and needed foreign currency for imports.
The International
Monetary Fund will find more economic instability this
review period than
ever before, according to analysts.
Economist and academic Tony Hawkins
said the International Monetary Fund
will discover that Zimbabwe central
bank policy has been inflationary. He
says since the last IMF visit, exports
have substantially diminished and the
overall economic situation has
deteriorated.
Last month's annual inflation rate was more than 600
percent and it is still
rising, according to traders.
Financial
consultant Daniel Ndlela says the International Monetary Fund will
discover
that although there have been some financial reforms the central
problem,
lack of good governance, remains. He said Zimbabwe continues to be
critically short of foreign currency and that situation will not change in
the foreseeable future without political reform.
Zimbabwe repaid a
total of about $140 million in the last six months, which
staved off its
expulsion. The International Monetary Fund says it is not
sure where some of
that money came from and it is not clear whether it will
be able to
determine that during this visit.
Last October, Central Bank Governor
Gideon Gono said Zimbabwe would pay the
remaining $144 million owed to the
fund in two installments, next month and
in November.
But all
optimistic financial predictions made by Gono and finance minister
Herbert
Murerwa in the past six months have failed to materialize. They had
forecast
a small growth in the economy, which some economists said was not
possible.
Mail and Guardian
Harare,
Zimbabwe
24 January 2006
09:14
Zimbabwe has paid another $15-million
toward
clearing its overdue debt with the International Monetary Fund (IMF),
a
state-controlled newspaper reported on Tuesday as a fact-finding team from
the international lender was due to arrive in the
country.
The Herald reported that Zimbabwe paid
$10-million
at the end of December and another $5-million last week as it
fights to pay
off its IMF obligations during an economic
crisis.
The payments left Zimbabwe owing
$14,6-million under
the IMF's general resources account, which has to be
paid by March. Arrears
under the account can result in expulsion of a member
country.
The Herald said the payments were made
ahead of
Tuesday's IMF visit as well as the March meeting of the IMF
executive board,
during which Zimbabwe and any sanctions against it are
expected to top the
agenda.
Zimbabwe owes
another $125-million under the IMF's
poverty reduction and growth facility.
Last year, the Southern African
country paid $169-million toward clearing
its overdue debt, which dates back
to February
2001.
"Given the intricacy of the pressures
confronting
the country, particularly on the foreign-currency front, the
tremendous
efforts to meet the IMF payments have been a long-range marathon
which
Zimbabwe has to push through to the touch line," central bank official
Munyaradzi Kereke told the Herald.
Zimbabwe
is keen to resuscitate lines of credit from
the IMF, which last loaned money
to Zimbabwe in 1999.
Hard-currency shortages over
the past six years have
resulted in damaging shortages of fuel and power,
while the country has
battled to pay for other vital imports required by
nearly every sector of
the economy.
Local
economic commentators said Zimbabwe's chances
of qualifying for more IMF
loans are still a long way off. The government's
programme of seizing
white-owned farms under a controversial
land-redistribution programme
launched in 2000 is seen as a major stumbling
block because it has scared
away investors.
The programme has seen a steep
decline in
agricultural production, once the country's economic backbone.
The United
Nations estimated that more than three million Zimbabweans are
currently in
need of emergency food aid. -- Sapa-dpa
Cape Times
January 24, 2006
By Peta
Thornycroft
Harare: The Zimbabwe currency has crashed about 50% on
the parallel or
black market since last Friday, the biggest single drop
since the financial
crisis began six years ago.
The Zimbabwe
dollar halved its value to around 150 000 to the US
greenback just as the
International Monetary Fund (IMF) arrived in the
country to assess the
economy.
Several companies temporarily closed their doors and
stopped trading
"until some sense returns as we do not have the volumes to
absorb this", as
the chief executive of an engineering company in Bulawayo
said. He did want
to be identified.
Financial traders said the
government itself had helped push down the
Zimbabwe dollar because it had
been buying foreign currency to pay creditors
such as Eskom and for fuel for
government reserves.
Others said that traders were anticipating "a
bad message" from
Reserve Bank governor Gideon Gono at his quarterly review
statement on
Thursday.
Last week he called in exporters and
lambasted them for failing to
repatriate their foreign earnings
immediately.
They told him they were repatriating as late as
possible to take
advantage of the dwindling value of the Zimbabwe dollar
after being squeezed
for so long.
"He then raised his voice and
called us unpatriotic," said one
industrialist.
Several
businesses which depend on foreign currency for survival said
yesterday they
had temporarily ceased trading as they could not afford the
new
rate.
Some said part of the reason for the fall of local
currency was that
many industries had gone back to work after the Christmas
holidays, creating
a surge in demand for foreign currency to pay for
imports. Over Christmas
the parallel and official rates of exchange were at
their closest level
since the crisis began, with less than 10%
difference.
The IMF, which begins its fact-finding in Harare today,
will find more
economic instability this review period than ever before,
according to
analysts.
Economist and academic Tony Hawkins said
the IMF would discover that,
although the central bank had substantially
allowed market forces to dictate
the value of the Zimbabwe dollar, the move,
in isolation of other reforms,
had been inflationary.
Inflation
is more than 600% per annum and rising fast. Some predict it
will reach 1
000% before the end of January.
"The IMF will also find that
exports have dropped significantly since
their last visit here," Hawkins
said.
Financial consultant Daniel Ndlela agreed that the IMF would
discover
that the country's central problem remained unchanged.
"The IMF comes here because it has to, that is its job, but it will
find
only bad news," he said.
Zimbabwe made a surprising repayment to
the IMF of US$120 million last
year which staved off its expulsion. Last
October Gono pledged Zimbabwe
would pay the remaining US$144.3m owed to the
IMF in two tranches, next
month and in November.
SABC
January 24, 2006,
08:45
Zimbabwe says it is to reform its economy. Government officials
have cited
the lifting of price controls as one such effort. The
International Monetary
Fund (IMF)delegation will this week begin checking on
Zimbabwe's economic
performance after the country narrowly escaped expulsion
from the world
lending body last year.
The visit comes after Zimbabwe
made a new payment of more than R70 million
to the IMF last week. However,
given the country's economic problems, the
payments have prompted
speculation and suspicion on the source of the funds.
Dumisani Muleya, the
news editor for the Zimbabwe Independent newspaper,
says the situation has
worsened since the IMF's last visit to that country.
"Clearly, they will
find that the situation on the ground is appalling at
the moment. It has
deteriorated dramatically since they were last here. They
will also find a
little bit of movement in the direction of reforming the
economy,
particularly the lifting of price controls in certain areas but
there are
still some products which are still under price control. They will
also find
that there has been some move in terms of relaxing the exchange
rate."
SABC
January 24, 2006,
07:45
Zimbabwean police have no clue as to the whereabouts of Benjamin
Paradza,
the fugitive high court judge, who skipped bail a fortnight
ago.
The Herald newspaper quotes Wayne Bvudzijena, a police spokesperson,
as
saying they have not yet come up with any new information regarding his
whereabouts. He says if Paradza has fled the country, he did so without a
valid travel document.
Paradza freed an opposition mayor in 2003 who
had been arrested for holding
an illegal political meeting. His lawyers say
the charges against him are
designed to punish him for embarrassing the
government.
Paradza was convicted on two counts of corruption after he
attempted to
incite two fellow judges to release the passport of Russell
Labuschagne, his
business partner in a safari-hunting venture. Paradza, who
was arrested in
2003, denied the charges claiming that he did not corruptly
influence his
colleagues to release the passport of Labuschagne. -
Sapa
Zim Daily
Monday, January 23 2006 @ 12:40 AM GMT
Contributed by: correspondent
By Nelson
Chamisa
Zanu PF is now fragmented and in disarray. Every week,
the
ruling party is spewing new political formations disgruntled with Robert
Mugabe's dictatorship. The evidence on the ground points to a party in the
intensive care unit. What we have witnessed in the last few months are the
formations of the United People's Movement (UPM) and its other political
cousin, the United People's Party led by former Zanu PF Masvingo provincial
chairman and war veteran, Daniel Shumba. Every day the nation is reminded of
a splintering monolithic party with disgruntlement in both its upper and
lower ranks. Since that ill-fated meeting at Dinyane Secondary School in
Tsholotsho on that fateful day in November 2004, the fall-out in Zanu PF has
been phenomenally unprecedented.
And as Robert Mugabe's
succession cauldron boils over, there
will be more drama at Zanu PF
headquarters. There are more scalps to be
claimed as the drama of the
Tsholotsho fall-out plays itself to its
conclusion. Zanu PF is crumbling
like a deck of cards. The party and
government have no clue on how to
generate foreign currency and procure the
much-needed fuel. Corruption has
eaten into the very fabric of every state
institution and uncertainty is
gripping Zanu PF corridors on who will
succeed Mugabe. Ministers are
disgruntled, the Reserve Bank of Zimbabwe
(RBZ) governor has been frustrated
and there is low morale in the echelons
of government accompanied by
ubiquitous disenchantment among all state
institutions because of poor
salaries and squalid working conditions.
The 10 percent low
turn-out of voters in the Senate elections
even in the Zanu PF strongholds
was because Zimbabweans, including Zanu PF
supporters, heeded the call by
the people's President Morgan Tsvangirai to
ignore the useless election. And
there is evidence of another season of
starvation despite the heavy rains.
There is no fuel; especially diesel
which is desperately needed for the
curing of tobacco amid sad reports in
the state newspapers that farmers are
using firewood to treat the crop. The
CIO are said to be trekking every
person known to have anything to do with
the ill-fated Tsholotsho
declaration.
Suspicions are high, and for the next few
months, we will see
more of the cascading pillars of this dictatorship. We
have seen the
insensitive dictator mortgaging the country's future by
borrowing $US 10
million for his own personal aggrandizement while the
majority of
Zimbabweans are going without food. Zimbabweans deserve an
explanation on
this murky loan in which Mugabe is reported to have
surrendered as security
property worth trillions of dollars when we all know
the dictator has no
such property, unless he is mortgaging state
assets.
Zanu PF has allocated a massive $72 billion of
taxpayers' money
into destabilizing the MDC through the Central Intelligence
Organisation
(CIO). The ruling party has been making frantic
efforts to
infiltrate MDC structures but has dismally failed. The people's
struggle
simply cannot be derailed. The people's aspirations are far greater
than
Zanu PF's wish to perpetually reincarnate its dictatorship. Meanwhile,
we in
the MDC are marching on. We have since closed the chapter of those few
who
sought to derail the struggle and our rallies over the weekend and an
increasing membership base with 300 000 cards having been bought this month
alone are proof of our status as the only hope in a country where all hope
is lost.
As the MDC national congress reaches the home
stretch, the party
is emerging stronger. We continue to climb new pedestals
as we seek to
galvanise our structures in line with our mission to dislodge
the
dictatorship and establish a new beginning and a new Zimbabwe. Across
the
entire spectrum of this nation, the people are geared up that this is a
new
year with new hopes to prevail over our challenges. The people are
brimming
with enthusiasm and confidence that our national Congress from
17-19 March
will deliver concrete methods to realize our vision of a new
Zimbabwe. The
newly elected structures, from the branch to the provincial
committees, are
quality cadres geared up for change. The confidence people
have in the party
and its president, Mr Morgan Tsvangirai, is humbling. Our
rallies, our
forums and our congresses have been humbling gatherings of
thousands of
people with renewed hope and vigour to complete the struggle
they started
six years ago.
We have traversed the country
over the past two months and the
people remain resolute in this struggle in
which the lily-liver-ed have
become sell-outs for a few pieces of silver.
Over the past three weeks, the
party has sold 300 000 party cards to new
members. The people are tired of
surrendering their lives to fate and to
political expediency. They now want
to hold their destiny firmly in their
hands by joining the MDC. Only last
weekend, the MDC held several rallies
across the country, including a youth
forum in Chitungwiza. At our
Tsholotsho rally, also held at the weekend,
thousands bought party cards and
placed their faith and commitment in the
people's struggle spearheaded by
the MDC.
In Gandanzara in Rusape and Checheche in Chipinge in
Manicaland,
the two rallies were attended by over 10 000 people and hundreds
bought
party cards and decided to join the troops in fighting for change. At
the
Chitungwiza youth forum, the youth were clear that they would not be
sidelined in demanding a better deal for the young generation, which has
borne the brunt of this dictatorship through an unemployment rate of over 75
percent and high incidences of HIV and Aids. The youth said they remained
resolute in their faith that only the MDC carried their hope. They said only
the trusted leadership of President Tsvangirai, which has shaken the
foundations of this regime for the past six years, carried the burden of a
battered nation denied basic rights such as food, shelter, health and
education.
During the rallies and forums, the people
expressed
disgruntlement over blind participation in elections which are
continually
rigged by this regime. They said the continued victimization of
the MDC
executive mayors and councillors demanded that the struggle be taken
to a
higher plane. They demanded that the party engages on democratic
resistance
to terminate Zanu PF's arrogance and its continued reversal of
the people's
will. Two weeks ago, another humbling crowd gathered in Glen
View and
renewed its commitment vows and support to the President and the
party. And
indeed, come 17-19 March 2006, we pronounce and commit ourselves
to a new
mode of democratic resistance to this regime. Together, we shall
win.
Zimbabwe needs a new beginning and a new hope.
Zim Daily
Monday, January 23 2006 @ 12:39 AM GMT
Contributed by: ZimdailyReporter
The former secretary of the MDC
UK, Sipho Nkala - in a seemingly
desperate attempt to remain politically
relevant after being thrown out of
the MDC UK executive - has assembled a
motley collection of suspicious
individuals in what she is still calling the
MDC UK. She claims not to be
aligned to the Welshman Ncube splinter group,
of the MDC yet she has already
been expelled from the main MDC led by Morgan
Tsvangirai, leaving her with a
group of elected officials who don't know
where they belong.
MDC UK spokesman, Matthew Nyashanu, told
Zimdaily that the MDC
UK general assembly held in in Birmingham resolved
among other things that
members of the district executive who had openly and
actively constantly
acted in contempt of the Presidency and at variance with
national council
resolutions be totally excommunicated from the party with
immediate effect.
Among those "elected" to positions in Nkala's executive
where Silence
Chihuri, chairman, Sipho herself, secretary, Givemore
Chindawi, organiser,
and one Frank Mamvura, information. "Those executive
members are
automaticaly expelled from our structurers," said
Nyashanu.
In published articles in newzimbabwe.com Nkala
claims to
represent the "true aspirations of the party" and to remain loyal
and bound
by its rules and guiding principles. Nyashanu said: "Maybe she is
trying to
fool the people that she has convinced to follow her that she is
not
dragging them into the failed Ncube camp.
"This is
because Ncube has already been exposed as a Zanu PF
agent by being allocated
a grabbed farm and having his house guarded by the
Zimbabwe Republic
Police's special protection unit which also guards top
Zanu PF officials.
"She knows she cannot tell the people that we are in
Ncube's camp, yet she
is not with us in the main party. So unless she
declares that this is a new
UK-based MDC she is lying to people".
Just like the Ncube
splinter group in Zimbabwe some of the
people who were elected into her
so-called executive on Sunday are people
who have failed to be elected in
the real MDC structures. Most, if not all,
do not represent any branches in
the UK; some never had branches and others
are coming from branches that
have remained loyal to the Tsvangirai
leadership, so they are effectively
expelled from those branches.
Others are are known
opportunists and fraudsters known to have
attended the Birmingham assembly
and failed to realise their ambitions, and
also known to have sold fake home
office stamps. One opportunistic
"businessman" reportedly cancelled a
celebration braai that he had promised
after the Leicester meeting because
he was not elected to any post at the
meeting. Although Nkala claims that
100 branches in the UK were represented,
our sources said there could not
have been more than 50 people at the
meeting.
Zim Daily
Monday, January 23 2006 @ 12:38 AM GMT
Contributed by:
correspondent
THE price of petrol could soon go up to at least
$125 000 a
litre if the government agrees to implement a pricing regime
recommended by
oil companies at a stakeholders' meeting held recently,
Zimdaily has heard.
Sources privy to the discussions this week said the
current fuel supply
situation, characterised by erratic supplies which have
resulted in
widespread shortages, was untenable and could only be solved by
a radical
review of the pricing structure. The meetings were attended by
Energy
minister Mike Nyambuya and senior officials from
Noczim.
Nyambuya confirmed the meetings but could not provide
details on
the figures being suggested by the fuel marketers. "I am afraid I
cant
divulge that information at this point," said Nyambuya. "That is
confidential. We cannot discuss that until we have finalised discussions."
Sources said the stakeholders agreed that there should not be radical
increases in the price of diesel, as this would have a serious impact on the
economy. The government has stepped up efforts to control prices of basic
commodities and any increase in the price of diesel would mean a review of
the prices of items on the controlled list.
The marketers
are said to have told the Energy minister that the
price of petrol was out
of sync with the movement in the price of crude oil
on the international
markets, and the steep decline of the Zimbabwe dollar
against hard
currencies and the seismic inflationary environment. In 2005
year-on-year
inflation closed at around 502%. It has since risen to almost
600%. Zimdaily
heard that the marketers want the government to deregulate
the industry by
ceding control on the price of fuel to restore viability.
Both established and new indigenous players were agreed that
there should be
a price increase as they have invested heavily in building
service stations
and purchasing tankers. They are agreed the price should be
at least $125
000 a litre. "Our margins are very low because of the current
prices," said
one indigenous player. "There are no real returns on our
investment because
government policy is not benefiting the industry."
The Petroleum
Marketers Association representing most of the
established marketers, had
not responded to written questions sent to them
last
week.
Sources said Nyambuya promised to take the
recommendations to
cabinet. The current fuel woes could be a permanent
feature of the country's
economic life as government is unable to negotiate
significant lines of
credit. Zimdaily understands that government has
secured a US$10 million
line of credit from Afrexim bank but this will only
purchase a week's
supply. The country requires US$40 million a month for
fuel procurement.
Industry sources said government was generally resigned to
negotiating any
major deals, as these would only increase the country's
indebtedness.
Zim Daily
Monday, January 23 2006 @ 12:38 AM GMT
Contributed by: correspondent
The governing Zanu PF party,
desperate for favourable coverage,
has granted the Qatar-based Arabic news
channel al-Jazeera the green light
to set up a news bureau in Harare,
Zimdaily heard yesterday. Information
minister Tichaona Jokonya is said to
have been given the go ahead by
President Mugabe to allow the news channel
to gather news from the capital.
Although Jokonya was unavailable for
comment, sources in the Information
ministry told Zimdaily that the
Information chief has since written to
Al-Jazeera inviting them to pay their
registration fee to the Media and
Information Commssion. Representatives
from al-Jazeera met Jokonya and other
government officials last week where
government was given assurances that
the newschannel would not be hostile
towards government.
Zimbabwe has been hostile to foreign
journalists particularly
from Western capitals. The granting of Al Jazeera's
go ahead betrays
government's double standards in terms of licencing for
foreign journalists
and media houses. During last week's meeting,
al-Jazeera's director of news,
Steve Clarke, outlined the news agency's
mission and proposals in Zimbabwe,
saying "it is important that events
taking place in Zimbabwe be reported
factually at international level."
Andrew Symonds, the organisation's
African bureau chief, was reported as
saying he "feels that Africa,
including Zimbabwe, is not receiving adequate
and objective coverage despite
its significance on the international
arena."
Zim Daily
Monday, January 23 2006 @ 12:37 AM GMT
Contributed by: correspondent
DIVERSIFIED agricultural concern,
TSL Limited has warned tobacco
production will plummet in the forthcoming
season due to shortages of
essential agricultural inputs. TSL made the
revelations in its audited
financial statements as at October 31 2005
released top the market last
week. "Major shortages of agricultural inputs
such as fuel, fertilizer and
chemicals will impact negatively on national
production of most crops," said
the group in its outlook analysis "Given
these constrains tobacco production
is likely to decline in the coming
season."
TSL chairman, Peter Richards said the group is
devising
mechanisms to participate in the rebuilding exercise of the
country's ailing
agricultural sector, which forms the economy's backbone:
"The group is
evaluating several initiatives to participate in the
rebuilding of
agricultures in Zimbabwe and is confident that these will bear
in the
future. We believe we've a vital role to play in the revival of the
agricultural production and we're seeking ways to execute this
strategy."
Chemical producer, Chemco in, which TSL has an
ownership stake
of 82% echoed the same sentiments arguing that delays in
concessionary
funding for farming activities spearheaded by the central bank
has not
resulted in significant increases in agricultural production with
tobacco
output badly affected. "Unavailability of foreign currency as well
as
fertilizer shortages in the latter half of the year have hampered
agricultural production and will continue to do so in the short to medium
term."
Before government's botched land reform tobacco
used to account
for 30% of the country's gross foreign currency earnings
thus becoming known
as the "golden leaf" due to surging Virginia tobacco
sales. Sales of
Zimbabwe's major export, Virginia flue-cured tobacco, closed
last year
fetching about $104-million (about R661-million) on a crop that
was just a
fraction of what was harvested before the seizure of 5 000
white-owned
commercial farms. Six years ago tobacco fetched about
$400-million during a
year when the average price was very low because of
bumper crops in the
United States and Brazil.
Economists
estimated $2-billion (R12-billion) would have been
earned from last year's
tobacco crop, at current prices, if the industry had
remained undisturbed
and able to produce Zimbabwe's traditional high quality
low nicotine content
"flavored " tobacco.
Taiwan News
2006-01-24 / KNIGHT RIDDER / By Llewellyn King
When it comes
to China's extraordinary grab for the natural
wealth of Africa, the Chinese
keep their eyes on the prize. No hand is too
bloody to shake. No genocidal
lunatic too awful for an embrace. And nobody
will be turned down when they
order, with special credit facilities, weapons
for oppressing civilian
populations.
China is securing the wealth of Africa for itself
from Sudan to
Zimbabwe, with tentacles reaching into South Africa. A
plethora of heads of
failed states could not be happier.
Never has one country set out to secure the treasure and
allegiance of a
whole continent in the way that China is now doing in
Africa. You would have
to look back to the British takeover the subcontinent
of India for such
blatant commercial imperialism.
The scale and the speed of
the Chinese penetration of Africa is
overwhelming. To secure oil from
Nigeria, the Chinese make noises about
Nigeria getting a seat on the U.N.
Security Council. Likewise, China refuses
to condemn Sudan for the genocide
in Darfur.
The Chinese policy is one of hear-no-evil,
see-no-evil so long
as they have access to the resources that they
want.
A case in point is China's enthusiasm for Robert
Mugabe, who has
brought Zimbabwe to ruin and is feted by Beijing and in
laudatory statements
in Africa. Mugabe may be one of the worst rulers Africa
has seen, but
Beijing coddles him. The Chinese have provided him with a new
air force,
tools for censoring the Internet and financial
support.
To the north, where Western companies have abandoned
Zambia
because of its corruption, the Chinese have moved in to mine its
copper,
make textiles and set up model farms. In Rwanda, they are building
roads.
And in any resource-rich African country, the Chinese are ready to
help so
long as they have a first chance at the chrome, copper, iron ore,
uranium,
gas, oil and prime farmland.
The Chinese have
just issued a white paper on Africa that speaks
about their role in arming
anti-colonial rebels in the middle of the last
century, and guarantees no
interference in African nations' internal
affairs.
The
white paper speaks about trade and friendship, investment
and collaboration
on infrastructure projects. For the Africans, this is a
glorious departure
from Western carping, moral strictures, and resistance to
bribery.
Bribing their way in
Diplomats say the Chinese way is to hand over the bribes in the
beginning
and toughen their stands later. Any thug is a good man in the
Chinese book,
provided the Chinese get the resources they need to continue
their economic
expansion. Whereas the imperialists of the 19th century came
with Bibles,
laws and moral codes, the Chinese have hit Africa without
conditions beyond
the demand for access to its riches.
Oddly, a Chinese assault
on Africa was often predicted by the
waning colonial administrations in the
20th century. Then, it seemed like
hysteria. Now, it is
real.
On the ground, the new imperialists are not as well
received by
the general populace as they are by their leaders. China is
underwriting the
construction of Mugabe's US$15 million retirement home,
while he leveled
citizens' shacks in a Nero-like effort at urban renewal. On
the streets of
Harare, Zimbabwe's capital, the Chinese are mocked for their
alien ways,
lack of cool and affinity for the regime.
In
Zambia, the Chinese have promised that they will develop the
mother lode of
copper, which lies under that country's worked-out mines.
Anglo-American, an
international mining corporation, abandoned its endeavors
after investing
hundreds of millions of dollars because of government
corruption and
interference. The Chinese seem to think that they can
overcome these local
difficulties by buying off top politicians as they go
after the vital
copper.
Chinese trade with Africa stands at US$76 billion,
and it is
growing every year. Primarily, this consists of raw materials
shipped to
China, with a smaller trade of very inexpensive Chinese goods
shipped to, or
dumped on, African markets. African consumers complain that
they do not get
the best of Chinese production, which goes to Europe and the
United States.
In a cruel twist, the best farmland - once
reserved for white
farmers - in Zambia and Zimbabwe, is being made available
to Chinese
companies for industrial farming. Everyone is happy, except for
the people
of Africa, who continue to die of AIDS and starvation, as their
evil leaders
and their new Chinese friends write a new chapter in the
exploitation of
Africa.
Llewellyn King is chairman and
CEO of the King Publishing Co.
(www.kingpublishing.com), publisher of
White House Weekly and Energy Daily.
BBC
Iraqis and Afghans are
the among most optimistic people in the world
when it comes to their
economic future, a new survey for the BBC suggests.
Italians join
people in Zimbabwe and DR Congo as the most downcast
about their future,
according to the poll of 37,500 people in 32 nations.
The World
Bank gets a clear vote of confidence, with 55% saying it has
a positive
influence in the world.
Its biggest boosters are in regions where
it is most active.
Nigeria, Kenya, Tanzania, Indonesia and
Afghanistan showed marked
support for the World Bank.
The poll
marks a rare boost for the Bank's officials, who often are
the focus of
criticism both from politicians and anti-poverty campaigners
around the
world.
'Year zero'?
Canadians are bullish not just
about their own finances (64%), but
also about the economic prospects of
their country (63%).
They are joined in their optimism by the
people of two countries
devastated by war and civil conflict, Iraq and
Afghanistan.
In Afghanistan 70% say their own circumstances are
improving, and 57%
believe that the country overall is on the way
up.
In Iraq 65% believe their personal life is getting better, and
56% are
upbeat about the country's economy.
The experts at
polling firm Globescan, who conducted the survey,
venture the guess that war
may have created a "year zero" experience of
collectively starting
over.
Other countries feeling good about themselves are India,
Finland,
South Africa, Australia, Senegal and the United
Kingdom.
Abject Zimbabwe
Among the six countries with
unhappy majorities, Zimbabweans stand out
as the most miserable
lot.
An overwhelming 90% of those interviewed say their country's
economy
is getting worse, and 84% are dubious about their own financial
future.
Perhaps surprisingly, the war-ravaged Democratic Republic
of Congo has
similar numbers of pessimists to prosperous Italy and South
Korea, where
nearly 80% worry about their nation's economy and between 53
and 63% believe
their own financial future will be difficult.
Indonesians, meanwhile, still feel the economic aftermath of the
devastating
tsunami a year ago.
And while France appears to sink in gloom,
Germans seem to believe
that their economy is turning the
corner.
The BBC World Service poll was released on the day before
the start of
the annual meeting of the World Economic Forum in Davos, where
issues like
poverty and economic success are high on the
agenda.
Top company executives and world leaders will discuss how
to tackle
economic failure in developing countries, and the impact of
globalisation in
the industrialised world.
The poll,
commissioned by BBC World Service, was conducted by
Globescan and surveyed
37,572 people in 32 countries between October 2005
and January 2006.
New Zimbabwe
By
Staff Reporter
Last updated: 01/24/2006 11:00:51
THREE of President Robert
Mugabe's most vocal ecclesiastical supporters face
long jail terms for
rape.
Two of the pastors who have shielded Mugabe and his party in the
face of
growing poverty and political violence have been sentenced to a
total of 39
years in prison, and a third faces a similar sentence if
convicted.
Obadiah Msindo, head of the Destiny of Africa Network and
enthusiastic donor
to the Zimbabwe President and his wife faces jail after
his maid claimed she
had been raped FIVE times.
Msindo, who has
presided over several State occasions at the Heroes Acre,
has previously
offered prayers for Mugabe and denounced Zimbabwe's official
opposition
Movement for Democratic Change (MDC).
Sources told New Zimbabwe.com
Monday that police commissioner, Augustine
Chihuri, had unsuccessfully tried
to block Msindo's arrest, but the Director
of Public Prosecutions, Loice
Matanda Moyo, had ordered his prosecution
after pressure by women's
groups.
On Thursday last week, one of Mugabe's most visible sympathisers
in the
Church, pastor Lawrence Katsiru of the apostolic sect, who
notoriously
commanded his followers to Zanu PF gatherings, was slapped with
an effective
seven years in jail for raping a 13 year old
girl.
Prosecutors said Katsiru took the minor for "counseling" at his
farm after
her parents had complained about her bad
behavior.
Katsiru, the High Court heard, indicated that he wanted to take
the girl to
Marondera "to spiritually discipline her", and raped her once on
the way.
Another pastor, Madzibaba Nzira, who at one time announced that
he had a
prophecy to the effect that Mugabe was Zimbabwe's rightful ruler,
was last
year slapped with a 32-year jail term for raping a woman under his
sect.
The Herald
(Harare)
OPINION
January 24, 2006
Posted to the web January 23,
2006
Harare
IT would not be surprising in this current
establishment to wake up to no
electricity, and perhaps endure the anguish
for a week or so -- in milder
terms.
The now common phenomena is
indiscriminate.
It cuts across the social strata: from very small
households to those in
plush suburbs, and then, of course,
industry.
National power utility Zesa Holdings Ltd is the "unsung hero",
one whose
exasperating heroics have earned all and sundry regular power
cuts.
However, while in recent years Zesa has disappointed in most
aspects of its
service delivery, very few have seriously considered why the
company has
performed the way it is doing.
Of course, there is the
tired although real argument of inadequate foreign
currency for purchase of
spare parts.
But it could be noted that some of the things usually
regarded as small and
of no significance have also hamstrung the company's
capacity.
According to economists, Zesa Holdings' pricing has not been
economical, and
there would be little reason for consumers to expect "super
service" from an
undercharging parastatal, especially in a difficult trading
environment like
Zimbabwe's.
With inflation built-in tariffs, Zesa
could make a modest profit or at least
break even.
"Economic rates
for utility services are welcome, but it is not certain
whether they would
be affordable," said an economist with a local bank who
did not want to be
identified.
"However, there has always been a good case for Zesa to
review upwards its
tariff charges. The current pricing is not viable. It
only puts the firm in
a real fix."
Already, Zesa has proposed a
tariff increase of 237 percent subject to
approval by the Zimbabwe
Electricity Regulatory Authority.
Zimbabwe's electricity is the cheapest
in the region, if not in the whole of
Africa, where candlelight is much more
expensive than electricity.
The country is also overburdened by costs on
electricity imports (35 percent
of total requirement), which exert a lot of
pressure on Zesa's margins that
are already overstretched by weak pricing
and high input costs.
Economic commentators believe economic tariff
adjustments would slash down
the costs of importing electricity, and save
some funds for power expansion
projects, particularly in the absence of
significant amounts of forex.
A Harare analyst, Mr Stan Chimbodza, said:
"I sympathise with Zesa, but I
think they can still do more. The volatile
exchange rates will always mess
them up. Electricity prices in Zimbabwe are
still so low that they do not
even cover the long-run marginal costs of
producing electricity so any
investor is not going to be interested in such
projects where they cannot
recover their money. The prices have to increase,
unfortunately or
otherwise."
Zesa has the dilemma of undertaking
major power generation projects to boost
production ahead of the anticipated
power shortage to hit across the region
in 2007, and at the same time cut on
import costs yet ensuring Zimbabwe is
not blackened out in come next
year.
"As an urgent matter, Zesa ought to abandon this filthy and
expensive
practice of importing electricity," Mr Chimbodza
added.
"The few millions spent on imports could be channelled towards
development
of other power generating projects. Already, Zesa has become
synonymous with
regular power cuts. I can't understand why they cannot cut
imports by half
and continue with load-shedding -- it's nothing new we are
now used to it --
whilst those funds are channelled into expansion
projects.
"Load-shedding can be implemented on residential consumers,
remember these
are only about 20 percent -- if not less -- of the total
consumers.
Commercial and industrial consumers are the main concern when it
comes to
load-shedding. You and me can use candles and firewood . .
."
If implemented, the new tariffs are expected to help Zesa mobilise
funds to
acquire spare parts and educate consumers on the efficient use of
energy.
The power utility has been operating in the red during the past
four years,
and has cited prohibitive operational costs and uneconomic
pricing as its
major drawbacks. Southern Africa is projected to experience
power shortages
in 2007, prompting Zesa Holdings to put in place long-term
plans to augment
its power base.