The ZIMBABWE Situation Our thoughts and prayers are with Zimbabwe
- may peace, truth and justice prevail.

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Zim Independent

Lawyers lay siege to farm
Agustine Mukaro/Gift Phiri
INFORMATION minister Jonathan Moyo's legal counsel Johannes Tomana and two
colleagues - Wilson Manase and Joseph Mandizha, are allegedly blocking the
movement of 120 tonnes of seed maize from a farm they were offered in
September under government's sullied land reform programme.

Tomana, Manase and Mandizha moved onto Maryland Farm in the
Darwendale/Trelawney area on September 19 this year, evicted the white
commercial farmer and allegedly seized his equipment and personal
belongings.

On the property there are also 90 tonnes of grain, 500 head of cattle, 97
sheep, eight race horses and farming equipment. The seed and grain were due
to be delivered to Seed Co and the Grain Marketing Board (GMB) when the
three lawyers moved in.

Speaking to the Zimbabwe Independent yesterday, the evicted farmer, Pieter
Gertenbach, said the lawyers prevented him moving his produce and equipment.

"We are still making frantic efforts to deliver the seed and grain to the
marketing authorities," Gertenbach said.

"We have been barred from getting to the farm which means that we can't move
our property and equipment valued at not less than $5 billion." Gertenbach
said the 1 300-hectare farm was diversified and highly-productive.

"Other than producing seed maize, we were also engaged in seed tobacco,
flowers for export, horse breeding as well as cattle and sheep," he said.

Tomana yesterday said he moved on to the farm after the expiry of a notice
of compulsory acquisition.

"Gertenbach was served with a Section 8 (notice)," Tomana said. "His
continued occupation became a violation of Section 8 and then he was served
with a Section 9.

"I was offered the farm. And at the time I moved in, he had taken flight. I
never seized anything and my movement on to the farm was procedural," he
said.

He denied that he was blocking the movement of any crops from the farm.

"Did he tell you that he has just finished moving his tobacco to the auction
floor? Now he has been moving his seed maize," said Tomana.

Gertenbach however maintained the three lawyers were helping themselves to
household goods from the three farmhouses.

"They have broken into the farmhouses and looted all household goods,
including food and furniture," he said.

He said the lawyers had divided the farm into three plots and allocated
themselves a house each.

The lawyers have also been accused of denying the animals, which include
chickens, access to food and water. The animals were only rescued through
the intervention of the Society for the Prevention of Cruelty to Animals
(SPCA).

SPCA national executive Merylin Harrison confirmed having visited the farm
twice in the past week.

"Poultry and sheep were locked up in a building for two days without food or
water," Harrison said. "I insisted that I would not leave the property
before they set the animals free. On my second visit to the farm the animals
were being looked after."
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Zim Independent

Gono misled public
Chris Goko/Shakeman Mugari
RESERVE Bank of Zimbabwe (RBZ) governor Gideon Gono knew months ago that
several distressed banks were beyond redemption and put in place contingency
measures to form a new banking group, Zimbabwe Allied Banking Group (ZABG),
out of their ashes.

Despite his repeated assurances that no bank would collapse, information
gleaned from central bank sources shows that the RBZ had been planning
months ago to form the ZABG by merging collapsed banks. Gono last month told
a parliamentary portfolio committee that no bank would fold but information
to hand indicates that by then he was already taking steps to form the new
special purpose vehicle (SPV).

The SPV will warehouse government shares in the new group which is likely to
emerge from seven closed banks, which include Trust, Royal, Barbican,
Intermarket, Time, Rapid and First National Building Society.

The RBZ last Friday announced the registration of ZABG and another SPV
company, Allied Financial Services (AFS), through the takeover of shelf
companies Tidestock Investments and Cobsdale Trading (Pvt) Ltd respectively.

Ellen Cherai and Orippa Mawire of Network Secretarial Services (NNS), which
registered the two companies, confirmed that the firms were registered
between July and August.

They also confirmed that they were in the process of changing the companies'
names to Alliance Financial Services Ltd and ZABG.

While investigations by the Zimbabwe Independent found no ostensible link
between the founders of the two hitherto-insignificant companies and the
central bank, last Friday's legal notices disclosed a connection.

The legal notices published in the press announced Tidestock and Cobsdale's
intention to change their names to assume the names of the two RBZ SPVs.

Authoritative banking sector sources said the plan was hatched some three
months ago, suggesting that Gono anticipated current bankruptcies.

Gono is said to have discussed with stakeholders the formation of ZABG along
the lines of South Africa's Amalgamated Banks of South Africa (Absa) which
controls the Jewel Bank.

Gono has been under pressure over his assurances that the closed banks would
not collapse despite evidence that their balance sheets were in parlous
positions. Some critics have charged that he might have misled the public
when he insisted that the banking sector was largely stable when seven
financial institutions were subsequently shut down.

Most of the closed banks, especially Trust, have hugely negative balance
sheets. Their liabilities far outstrip the value of their assets.

Gono sank about $500 billion in a bid to save the collapsing banks, in vain.

Now he will need $2 trillion to capitalise ZABG, an amount which represents
25% of the national budget.

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Zim Independent

More trouble for Moyo
Dumisani Muleya
INFORMATION minister Jonathan Moyo was this week in trouble over the state
media's attack on South African President Thabo Mbeki for allegedly
pandering to the whims of Movement for Democratic Change leader Morgan
Tsvangirai.

Moyo's department was blamed for giving its tacit approval, if not
instigating the criticism.

Official sources said Moyo was struggling to disentangle himself from the
problem after President Robert Mugabe slammed the Herald over a feature last
Friday that cast aspersions on Mbeki's involvement in the Zimbabwe crisis.

This came as Zanu PF last week adopted regulations which bar members who
have not been in the party for five consecutive years from holding national
positions. This was seen as aimed at newcomers like Moyo and others who
desperately want to be elected MPs. Moyo, an appointed legislator, is trying
to become an elected Zanu PF MP in Tsholotsho.

Mugabe's anger with Moyo's department follows recent clashes involving the
Information minister and senior colleagues such as Vice-President Joseph
Msika, Special Affairs and Land Reform minister John Nkomo, and Zanu PF
spokesman Nathan Shamuyarira.

A senior government official yesterday said there was "mounting grave
concern" over Moyo's perceived hostile working relationship with colleagues.

"Moyo is under immense pressure over these issues because we are now gravely
concerned about his conduct," a senior government official told the
Independent.

Efforts to get comment from Moyo failed yesterday as he first dropped and
then did not pick up calls.

Sources said photocopies of an article in the government-controlled Sunday
Mail's current edition, written by the columnist operating under the
pseudonym Lowani Ndlovu, were distributed in cabinet.

The motive for the move was not clear but some suspect it was designed to
extricate Moyo after Mugabe heard his explanations on the Mbeki issue.

The Sunday Mail article was written by someone who pretended to be worried
about Moyo's reaction last Saturday to the controversial Herald feature,
which was thought to have been authored by a government spin-doctor.

Moyo's official response to the Herald feature, clearly triggered by
Mugabe's ire, said Mbeki's involvement in Zimbabwe was "open, honest, and
above board".

In what was seen as a bid to find a scapegoat his department attacked the
Herald for being "negative, disrespectful, and even antagonistic" towards
Mbeki.

The Herald feature was described as replete with "damaging falsehoods,
imputations, innuendoes and unfair comments".

But the Sunday Mail columnist, who has not hesitated to take pot shots at
ministers like Nkomo, tried to defend criticism of Mbeki, saying if it was
"fair game" to criticise Mugabe in the South African press why was it not
okay to do the same with Mbeki?

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Zim Independent

Bennett appeals for release
Gift Phiri
THE lawyer representing jailed opposition Movement for Democratic Change
(MDC) legislator Roy Bennett, Advocate Eric Matinenga, has filed an urgent
chamber application in the High Court seeking his release.

The ruling Zanu PF last week used its majority in parliament to impose a
one-year jail term with hard labour on the Chimanimani MP for shoving
Justice minister Patrick Chinamasa during a debate on May 18.

The Zanu PF-dominated parliamentary privileges committee recommended, after
investigation, that Bennett be sentenced to 15 months imprisonment, with
three months suspended on condition of good behaviour.

An attempt by the MDC to challenge the committee's report in court was
blocked by the Speaker of parliament, Emmerson Mnangagwa, who issued an
order in terms of the Privileges, Immunities and Powers of Parliament Act
barring the courts from hearing Bennett's case.

"As you are aware we made an application seeking to bar presentation of the
report in parliament but that application was refused by Judge (Yunus)
Omerjee on the basis that the Speaker had issued a certificate," Matinenga
said.

"An appeal has now been noted against the judgement by Judge Omerjee. In
addition to noting of appeal, I have also filed an urgent application with
the High Court that Mr Bennett be released from prison pending the
determination of the appeal against Judge Omerjee's judgement."

Matinenga said he had also instituted review proceedings against the
parliamentary findings of contempt and the sentence imposed.

"We are also in the process of approaching the Supreme Court to seek the
determination as to whether the exercise of the judiciary function by
parliament in a manner that it did, is constitutional," Matinenga said. "We
are waiting to argue the application before a judge of the court."

Bennett pushed Chinamasa to the floor after extreme provocation. Chinamasa
referred to Bennett's ancestors as "murderers and thieves" who stole
Zimbabwe's land from blacks. Bennett is the first MP to be jailed for
contempt of parliament outside the judicial process.
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Zim Independent

Mugabe silent on Bush re-election
Gift Phiri/Dumisani Muleya
ZIMBABWE yesterday refused to say whether or not President Robert Mugabe
would congratulate United States President George Bush on his re-election on
Wednesday, as mixed reactions to the poll in the world's only superpower
continued to flow in.

Government spokesman George Charamba said President Mugabe had not yet
commented on Bush's re-election.

Charamba's initial reaction was that Bush's re-election had nothing to do
with Zimbabwe.

"What has Mr Bush's win got to do with the Zimbabwe government?" Charamba
asked. "We will do something in terms of international diplomacy. The
Zimbabwe government will do what happens in the world of diplomacy. We have
our schedule. That is going to be done."

Charamba said it was encouraging that losers in the US election accepted
defeat with "grace and dignity".

"Losers in America lose with their grace and dignity, not some characters
who think courts can compensate for lack of popular win," he said.

Mugabe has since his own controversial re-election in 2002 blasted Bush's
initial election in 2000, which was marred by controversy in Florida.

Opposition Movement for Democratic Change (MDC) leader Morgan Tsvangirai
challenged Mugabe's re-election in the courts. Tsvangirai described Mugabe's
re-election as "daylight robbery". The case is still in the courts.

While Zimbabwe dithered over how to react, neighbouring South Africa made
its position on Bush's re-election clear. In a carefully worded statement,
President Thabo Mbeki congratulated Bush on his victory but included a
thinly-veiled criticism of American foreign policy.

"The United States election has run its dramatic course and President Bush
will be serving a second term. The government and people of South Africa, in
wishing him well, will fervently hope for greater world stability and peace
under his leadership of the United States," he said.

"We look forward to renewed support for, and interest in, Africa and the
developing world, reform of world institutions and an era of multilateralism
marked by a concerted drive to deal decisively with the challenge of poverty
and underdevelopment. Senator (John) Kerry ran a good campaign. We
congratulate him too."

Bush won with 274 electoral college votes and a majority of 3,7 million
popular votes over his opponent in an election even the losers conceded was
free and fair. Kerry phoned Bush to concede defeat and Bush congratulated
him for giving a good run for his money.

MDC spokesman Paul Themba Nyathi said: "The MDC will work with any country
that is supportive of the democratic aspirations of the people of Zimbabwe."

South Africa's University of Witwatersrand international relations analyst
Professor John Stremlau said while other leaders scrambled to condemn Bush's
re-election, Mbeki's relationship with the American president was
"professional and statesmanlike".

Although Mbeki has always criticised American foreign policy and its
negative impact on global peace, he has avoided counterproductive vitriol
associated with anti-American leaders.

The outcome has been welcomed by Russia's Vladimir Putin and Uganda's Yoweri
Museveni. But while France's Jacques Chirac called to congratulate Bush, his
countrymen and many others in Western Europe greeted the news with dismay as
a result of the Iraq conflict and abrogation of the Kyoto protocol.
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Zim Independent

Tsvangirai resumes regional briefings
Itai Dzamara
MOVEMENT for Democratic Change (MDC) leader Morgan Tsvangirai left the
country on Wednesday on an ongoing tour to brief Southern African
Development Community (Sadc) leaders on the political situation in Zimbabwe.

MDC spokesman Paul Themba Nyathi yesterday said Tsvangirai would meet all
Sadc leaders.

"He is visiting countries as a way of raising awareness on the issue of
elections in this country," Nyathi said. "These visits are at the invitation
of the Sadc leaders who want to know the situation regarding the
implementation of the Sadc protocol. The president (Tsvangirai) is going to
articulate our position that there is no commitment by Zanu PF towards
implementing the protocol."

President Robert Mugabe joined other regional leaders in adopting the Sadc
protocol on the conduct of elections in August at a summit in Mauritius.

Tsvangirai was expected to meet recently re-elected Botswana President
Festus Mogae in Gaborone today before meeting President Joaquim Chissano of
Mozambique in Maputo.

Mogae has been critical of Mugabe's policies in the past and recently said
Zimbabwe's problems reflected "a crisis of governance".

Tsvangirai launched his regional diplomatic initiative two weeks ago after
his acquittal last month on treason charges based on allegations that he
wanted to assassinate Mugabe and stage a military coup.

He first met President Thabo Mbeki of South Africa before meeting Mauritian
leader Paul Berenger, the current chairman of Sadc.

Tsvangirai reportedly told Mbeki and Berenger that Mugabe was not
implementing electoral reforms as required under the Sadc guidelines and
principles on the conduct of democratic elections. He said there was too
little time for adequate preparation before the election in March and called
for a postponement, a call which Mugabe and his Foreign Affairs minister
Stan Mudenge have scoffed at.

The MDC leader is also expected to tell Sadc leaders that Mugabe's
government continues its political repression and human rights abuses,
citing the NGO Bill currently before parliament.
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Zim Independent

Ex-Zapu chefs shun primaries
Loughty Dube
AS Zanu PF primary elections beckon countrywide, almost the entire senior
former Zapu leadership has opted out of the race to represent the party in
parliament next year.

About three-quarters of the former Zapu leadership that stood on a Zanu PF
ticket in the last parliamentary elections before being routed by the
opposition MDC in 2000, have either opted out of the race or have not
indicated their intention to contest the seats they lost in the previous
election.

Zanu PF only won two seats out of a possible 23 in Matabeleland in the 2000
parliamentary election that nearly ended the party's 20-year grip on power.

Senior Zapu leaders who have announced that they will not contest the
primaries and ultimately the parliamentary elections include Simon Khaya
Moyo, John Nkomo, Dumiso Dabengwa, Callistus Ndlovu, Angeline Masuku, Cain
Mathema, Thenjiwe Lesabe and Vice President Joseph Msika.

Dabengwa two weeks ago said he has retired from active politics and will not
contest any positions in the party but will help the party if invited to do
so.

A week later Moyo, who is now Zimbabwe's ambassador in Pretoria, announced
that he had no intention of trying to reclaim the Bulilima-Mangwe South seat
he lost in 2000. However, other senior former Zapu politicians have not made
their intentions clear.

The Zimbabwe Liberators Peace Initiative said the pull-out indicated that
they did not enjoy any support in Matabeleland.

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Zim Independent

Over 30 grilled in Zanu PF's anti-graft crusade
Dumisani Muleya
THE ruling Zanu PF conducted more than 30 interviews with its top members
and business executives in a bid to unearth mismanagement in its chain of
failed companies, a report on the probe shows.

The report says Zanu PF's politburo investigation committee quizzed the
party's secretary for administration, Emmerson Mnangagwa, secretary for
security Nicholas Goche, senior party officials Sydney Sekeramayi, Didymus
Mutasa, Enos Chikowore, Frederick Shava, and managers of companies that it
has interests in.

It says Mnangagwa was interviewed twice because he has for many years
presided over the ruling party's business empire which is riddled with
mismanagement and corruption.

Mnangagwa was grilled over the findings at a politburo meeting on October
20. Senior Zanu PF insiders accuse him of running down or failing to
adequately supervise the companies.

He was also quizzed over the escape of key directors in Zanu PF companies,
Manharlal Chiunilal and Jayant Chiunilal Joshi and Dipak Pandya. The Joshi
brothers and Pandya fled the country in April shortly after the probe began.

The investigating team also interviewed managers at Treger Holdings, Zidco
Holdings, Catercraft (Pvt) Ltd, Fibrolite (Pvt) Ltd, Zimbabwe Grain Bag and
First Banking Corporation, in which Zanu PF has interests.

Zanu PF also has significant interests in Mike Appel, Zidlee Enterprises,
and the Southern Africa Re-Insurance company. It had interests in NamZim,
Ottawa Building, National Blankets and Woolworths. M&S Syndicate Pvt Ltd, a
wholly-owned Zanu PF investment vehicle, holds equities in these companies
on behalf of the party.

The probe team comprised chairman David Karimanzira, retired General Solomon
Mujuru, Obert Mpofu, Simba Makoni and Thoko Mathuthu.

It was tasked to verify and evaluate the party's investments, asset base,
capacity utilisation and performance, and the levels of production and
receipts.

The team was also mandated to verify "the purposes for investments, targets
for investments, company structures and procedures for reporting, and the
accounting system".

It wrote letters to the management of seven companies, in which Zanu PF has
interests, asking for all relevant documents such as financial statements,
annual reports, shareholders' agreements, memorandums and articles of
association, board meeting minutes, and records of returns.

Mnangagwa, the investigation report says, told the committee most of the
Zanu PF investments were difficult to verify because there were no records.

This exposed him to sharp criticism in the politburo and within the party.

Goche said although he was an M&S Syndicate board member in 2001, he "never
received any invitation to attend board meetings".

The report says Chikowore, who worked with the Zanu PF companies since 1980,
said he was not aware of how Zanu PF shares in National Blankets and
Woolworths were disposed of.

Frederick Shava, who chaired Zidco from 1980 to 1998, said dividends were
not declared because they were used to buy shares in other companies.

He spoke on issues to do with business ethics, accountability, and
declaration of dividends.

Sekeramayi, the longest-serving official in Zidco, narrated the company's
history but did not reveal much on its activities.. Mutasa spoke on the
issue of the Joshi brothers.

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Zim Independent

MEPs seek to bar Kangai
Gift Phiri
EUROPEAN Union parliamentarians (MEPs) yesterday resolved to keep Zanu PF
politburo member Kumbirai Kangai out of parliamentary talks with African,
Caribbean and Pacific (ACP) states in the Netherlands later this month, it
has emerged.

Weekend talks between the host government and MEPs failed to settle
differences and a last-ditch attempt to bridge the divide was set for today,
two weeks ahead of the opening of the six-day EU/ACP Joint Parliamentary
Assembly meeting in the Hague.

Kangai is number 22 on a list of 95 associates of President Robert Mugabe
banned from travelling to the EU under the targeted sanctions regime.

His attendance at the meeting set for November 20-25 could spark a walk-out
by MEPs, the co-spokesman on Foreign Affairs and Human Rights in the
European Parliament Geoffrey van Orden said in a telephone interview from
Brussels yesterday.

"We are making representations to the Dutch government not to give a visa to
Mr Kangai," Van Orden said. "It would be quite wrong for politicians such as
ourselves to sit down in a meeting with a banned individual.

He is completely barred from attending the meeting. It would be an act of
utmost hypocrisy for politicians concerned about the political and human
rights situation in Zimbabwe to have any dealings with Mugabe's henchmen
that have been specifically banned from travel to the EU by the EU."

Zanu PF secretary for external affairs Didymus Mutasa on Wednesday night
said the MEP's argument was "absolutely preposterous".

"Comrade Kangai will be attending that meeting in his capacity as a member
of parliament," Mutasa said. "The argument that Kangai is on the sanctions
list and should therefore not travel to the EU/ACP meeting is absolutely
preposterous. As a democratic institution they have been saying they want
equal voices but they are not giving the same opportunities to Zanu PF."

Van Orden said a weekend meeting with the Dutch Foreign Affairs minister
Bernard Bot failed to resolve the dispute. He said Bot was arguing that the
Belgian government wanted to waive the ban on the grounds that the ACP is
subject to multilateral agreements conferring privileges and immunities.

The MEPs were due to meet Bot again this morning to resolve the issue. Human
rights groups also protested to Bot as news filtered through that Kangai had
applied for a visa, although he has not yet been granted one.

Zimbabwe Watch, a human rights group based in Holland fired off an angry
letter to the Foreign Affairs chief.

"This application is nothing more than a provocation by the Zimbabwean
government to ridicule the sanctions regulations," Zimbabwe Watch
coordinator Wiep Bassie wrote to Bot. "At previous international EU/ACP
Joint Parliamentary Assemblies, exceptions have been made. There have had
disastrous consequences for the progress of the meetings. We would strongly
call upon you to take the EU policy seriously, and not allow Mr Kangai to
enter the Netherlands."

This is not the first time that Kangai has stirred controversy in the
EU/ACP. Two months ago, Kangai was barred from attending an EU/ACP meeting
in Brussels after defying the travel bans.
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Zim Independent

Parallel market's undying spirit
Staff Writer
RESERVE Bank officials have found a convenient Trojan horse to devalue the
local currency without provoking President Robert Mugabe's ire. They merely
raise the diaspora rate of exchange to remove the lustre from the black
market.

Their efforts have often come short.

Sibonile Moyo sits on a make-shift stool fashioned from a disused metal
crate, a length of lace cloth material spread over her lap, ready to wrap it
round her head into a neat, flat-topped turban. Behind her are rows of
neatly arranged cosmetics in faded packages and motley trinkets that appear
to have remained unsold for ages.

Moyo is among scores of women who stand to lose business if police continue
their crackdown on informal foreign currency dealers.

The white lace turban is now an identity tag for women who depend on
exchanging foreign currency on the streets of Bulawayo, Zimbabwe's second
largest city, for a living.

"If police continue like this we are all finished," Moyo bemoans. As a
single mother she fears losing her only means of providing for her family.

Scores of women have moved to Bulawayo's Lobengula Street and Fifth Avenue
from towns and cities around the country, swelling the numbers of informal
foreign currency dealers who prowl the city's streets in search of
customers.

They have gotten used to scouring the pavements along a section now commonly
referred to as "The World Bank", discreetly asking whoever they think
intends to exchange the local currency into pula, rand, pounds sterling or
greenbacks, or vice versa.

Past police blitzes on black market forex dealers, which threatened to send
Moyo and those of her ilk's "business" over the edge, have not dampened the
women's determination.

Police spokesman Inspector Smile Dube said police would "not rest until we
stop their operations".

He said police were now aware that forex dealers had changed their style of
operating. "We will get to the bottom of it all," said Dube.

An Anti-Money Laundering Act provides for the police to search persons they
suspect of holding large amounts of cash without a warrant in cases of
emergency. The regulations have done little to discourage informal foreign
currency traders who continue doing their business, spurred by the lucrative
exchange deals.

The introduction of large $20 000 "bearer cheques" after Zimbabwe
experienced the worst ever cash crunch last year has enabled the women to
conceal large amounts in smaller pouches that are hard to detect.

Such is the magnetism of informal forex trading for the women that at one
time Reserve Bank governor Gideon Gono disguised himself at flea markets in
Bulawayo and Victoria Falls to see for himself what it is that emboldens
them to take risks to defy the law.

"We have provided an essential service for those that work in Botswana and
South Africa coming on holidays, but the police do not recognise that.
Instead they arrest us and confiscate our money, blaming us for the shortage
of foreign currency," complained 33-year old Zodwa Muraisi.

"It is a cat and mouse game here. To succeed, one always has to keep a step
ahead of the authorities," Muraisi says mimicking a popular ad-line from a
major commercial bank.

The central bank announced last week a new exchange rate of $6 200 to the
American dollar, 11% higher than the previous benchmark of $5 600. Informal
traders offer up to $8 000.

Stringent monetary measures to curb forex leakages and shore up dwindling
official reserves have failed to staunch illegal dealings on the parallel
market.

Economists hailed the steps taken by the central bank and predicted the
measures would "destroy" the thriving illegal foreign currency market
largely blamed for stoking hard currency shortages and negatively impacting
on the economy.

But economic commentator Eric Bloch says unless the measures taken by the
central bank are reinforced by political commitment on the part of
government on exchange rates, the informal market will continue to thrive.

Eddie Cross, the opposition Movement for Democratic Change economic advisor,
scoffed at the central bank's ineffectual efforts to stamp out informal
foreign currency dealing.

He said the current practices of attempting to manage and manipulate
exchange rates would not work. "The only real market arbiter remains the
street - dangerous, illegal and inefficient," Cross said.

For Moyo and Muraisi the informal currency market has been a steady means of
earning a living and they vow to continue.

"We offer customers better rates than the banks. That is why people prefer
to deal with us than the banks," boasted Muraisi.
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Zim Independent

Bulawayo council to quiz Mujuru
Loughty Dube
THE Bulawayo city council, concerned about stagnation in the construction of
the much-awaited Gwayi-Shangani dam, wants a meeting with Water Resources
minister Joyce Mujuru to explain the lack of movement on the first phase of
the ambitious water project.

The council's Future Water Supplies and Water Action Committee at its
meeting last month recommended that the minister be called to Bulawayo to
address councillors on the issue.

The councillors said the Bulawayo council was a key stakeholder in the
project despite efforts by government and the Matabeleland Zambezi Water
Trust (MZWT) to sideline the local authority.

Contributing during the committee's debate Alderman Charles Mpofu suggested
that Mujuru be invited as a matter of urgency to explain to the council the
fate of the stalled project.

The idea to draw water from the Zambezi River on the border with Zambia to
drought-prone Matabeleland was first mooted in 1923 and has been deferred by
successive governments, citing costs. The Zanu PF government has always
brought up the issue each time it faces a critical election in which
Matabeleland is a major factor.

Bulawayo executive mayor Japhet Ndabeni Ncube confirmed to the Zimbabwe
Independent this week that council wanted the minister to discuss with
councillors the status of the whole project.

"This is a courtesy invitation to the minister to come and brief councillors
on the progress and status of the project since the government through the
Zimbabwe National Water Authority is now in charge of the project. We want
to know where council stands," Ncube said.

"We want the minister to inform us officially that the government is now in
charge of the project and also brief us on what happens to organisations
that bought shares in the MZWT over a decade ago," said Ncube.

The Bulawayo council is the designated implementer of the project.
Government at the beginning of the year announced that it had taken over
implementation of the project and released about $2 billion to kick-start
it.

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Zim Independent

Chombo appointees gobble millions at Town House
Augustine Mukaro
THE five-member James Kurasha committee running Harare City Council is
milking ratepayers of over $50 million a month in payments and allowances.

Senior officials at Town House said members of the committee, handpicked by
Local Government minister Ignatious Chombo, were being paid $10 million each
as salaries plus fuel and cellphone allowances. Committee members have also
been exempted from paying rates to council.

"A single committee member's salary could pay 45 councillors' allowances for
three months," officials said.

As of August when MDC councillors were forced to resign en masse they were
getting a paltry $70 000 each a month.

There are also reports that council spent $300 million repairing the
official mayoral Mercedes Benz which acting Harare mayor Sekesai Makwavarara
has taken possession of.

It becomes her second official vehicle since Makwavarara seized the reins at
Town House last year. The other vehicle is a state-of-the-art Toyota Hilux
twincab she acquired less than a year ago.

The revelations come at a time when council has struggled to pay workers
over the past three months.

The Kurasha committee is made up of Zanu PF top functionaries, Tony Gara and
Tendai Savanhu. Other members are Harare provincial administrator Chahuruva
and a Mr Makanda.

Officials said Chombo was in the process of appointing more members to the
committee.

The committee is running the affairs of Harare despite Chombo's claims that
there is no such commission.

Chombo transferred authority to run Harare from Movement for Democratic
Change councillors to the ruling party through the appointment of a
monitoring committee.

Gara is a former mayor of Harare, former deputy Minister of Local Government
and 2000 losing candidate for Mbare East.
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Zim Independent

Another congress, the same Zanu PF
Gift Phiri
THE ruling Zanu PF will next month hold its congress amidst growing concerns
about President Robert Mugabe's continued hold on power despite his policy
failures.

Analysts say no one in Zanu PF has the courage to tell Mugabe that he has
failed and should hand the baton to a successor.

They say it is unlikely that anyone will raise the issue of Mugabe's long
overdue grip on power against a background of economic and political crises,
which have been Zimbabwe's key destabilising factor.

"It is highly unlikely that anyone in the ruling party would tell Mugabe to
go if past experience is anything to go by," said political analyst
Professor Eliphas Mukonoweshuro, an opposition Movement for Democratic
Change advisor.

"Mugabe runs his party with an iron fist. There is no independent policy on
issues of succession. He has got total control. Zanu PF does not function as
a democratic organisation but a totalitarian one."

The congress, scheduled to be held at the Harare International Conference
Centre during the first week of December, is expected to endorse Mugabe as
the leader and adopt a motion confirming the forthcoming legislative polls
as an "anti-Blair" election during which the ruling party is expected to
"bury" the "British sponsored MDC".The congress is also expected to map out
strategies for the election next March.

As is the norm at Zanu PF congresses, there will be endorsement of
candidates for the party's presidency - comprising the president and his two
deputies, and the party's national chairman.The party's Women and Youth
Leagues held their congresses recently and confirmed Mugabe as their leader.
This ensured that Mugabe won't be challenged at congress.

The Women's League also resolved to push for the election of a woman for
vice president at the forthcoming congress. While Joyce Mujuru has been put
up as woman candidate for the vice presidency, there are other contestants
as well. Powerful administration secretary, Emmerson Mnangagwa, has been
touted as the most likely candidate.

But his candidacy could be contested by national chairman John Nkomo, who
not only has support in Matabeleland, but also enjoys the support of party
members opposed to Mnangagwa. Mugabe is also expected to make new politburo
appointments.

The commissariat wing of the party is likely to be broadened with two new
deputy secretaries being appointed to coordinate with the secretary. The
existing politburo team of 38 is expected to be expanded to allow other
relatively junior members to take positions on the sub-committees to be
created by Mugabe.

Currently there are 22 full secretaries in the politburo.

Deputy Information and publicity secretary Jonathan Moyo will, apart from
coordinating the information department, head a new politburo sub-committee
of a combined external, information and commissariat desk, it is expected.
Another sub-committee on transport and security will be placed under
Nicholas Goche as the party restructures itself ahead of the legislative
polls.

However, Mugabe's position will remain unchanged despite the crisis gripping
the country.

"Political thugs have been unleashed on the electorate in the name of
campaigning," Brian Kagoro of Crisis in Zimbabwe Coalition said.

"Scores of people have been killed in this murderous campaign. Mugabe's
regime has seized productive private farms. Court rulings seeking to end
this anarchy have been contemptuously ignored."

Kagoro said Mugabe launched his fast-track land redistribution programme to
buy the votes of an angry nation baying for his blood.

Not only did Mugabe refuse to obey his own government's laws to implement
the land reforms constitutionally, Kagoro said, he told the entire
international community which had been ready to fund the scheme to literally
"go to hell".

His actions capped a remarkable 20 years in power during which he, more than
anyone else in his administration, drove the economy to its knees, he said.

Analysts said Mugabe has used unworkable policies to antagonise both local
and foreign investors. They noted that mass poverty and record joblessness
are problems currently pervading a nation that once prided itself as a
beacon of hope for Africa.

Now, as the fallout from his economic failures threatens to bury him
politically, Mugabe has dramatically risen to cow the nation with whatever
ammunition he has in the hope that he can somehow change his fortunes.

"Mugabe must go and he must go now," constitutional law expert Dr Lovemore
Madhuku said. "He has become a clear and present danger to himself and the
whole nation."

Madhuku however said there was no one in Zanu PF with the capacity to take
over from Mugabe. He said Mugabe was actually an asset to Zanu PF and a
liability to the nation.
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Zim Independent

Sugar production hits new lows
Own Correspondent
HITCHING a lift from Bulawayo, Zimbabwe's second largest city, to the
sugarcane-growing town of Chiredzi in the south-eastern Lowveld at odd hours
used to be easy as pie for commuters who turned up their noses at the sole,
unreliable goods train service.

Not so anymore.

Hitchhikers have to draw on all their patience and desperately hope the
unmistakable drone of a huge truck will drift their way. The long-haulage
trucks that used to deliver unrefined sugar regularly from the cane mills at
Triangle and Hippo Valley Estates to the refinery in the city are no longer
as common as in the past.

The change of fortune for odd-hour commuters illustrates how the production
of sugarcane and delivery from the cane fields has been severely curtailed
by state-sponsored invasions on commercial sugar properties in the Lowveld.

Close to 180 so-called new farmers have settled themselves on Hippo Valley
Estates, allocating themselves plots ranging in size from 20 to 60 hectares.

More than 140 others have seized land elsewhere on the sugar estates on
plots whose sizes appear largely dependent on the political status of the
individual. Some allegedly own multiple plots, among them MPs, a deputy
minister, bureaucrats, policemen, and parastatal officials.

Many resettled farmers initially basked in the glory of harvesting a crop
that they neither planted nor produced. Even so, they failed to cope with
harvesting the cane in fields they seized owing to little or no expertise,
no transport of their own and insufficient capital in spite of huge loans
availed by a commercial bank.

This year production is projected to slump from a peak of 772 739 tonnes to
219 100 tonnes.

According to the Zimbabwe Cane Farmers Association 772 739 tonnes of
sugarcane were produced before the seizures in 2002 from 6 928 hectares.

But because of a 440% decrease in hectarage, a mere 148 723 metric tonnes
are expected from ZCFA members in the 2004 season.

And although resettled farmers seized a huge chunk of land spanning 5 350
hectares previously cropped by contract growers, production is set to
decline by 210% to 219 100 tonnes this year compared to 2002.

Dispossessed growers argue that the manner in which the land acquisition
programme was executed does not increase overall output by expanding the
production of sugarcane, and thus sugar and eventually the economy.

Instead, it is a re-allocation of existing resources by a clutch of
influential people to a handful of client beneficiaries.

"What is clear is that settlers have all been favoured with political
patronage," one of the white contract growers, who preferred to remain
unnamed for fear of victimisation, told the Zimbabwe Independent.

In many instances those tasked with land allocation, mainly senior civil
servants, are themselves the major beneficiaries.

He said senior sugar estate staffers and their wives, shopkeepers, teachers,
and the ruling party faithful have also arbitrarily profited, as has a
handful of emergent and successful black businessmen.

Agricultural experts say the total value of all white commercial cane
farmers' crop would have raked in $13,5 billion. The commercial white
farmers at Hippo Valley Estates would normally produce $10,15 billion of
this figure.

Yet Hippo Valley is presently producing only 60% of its mill's output due to
the roller coaster disruption on the cane fields that has had a knock-on
effect on its own deliveries, they add.

And the irregular deliveries to the refinery have rebounded to haunt
odd-hour commuters along the Bulawayo-Chiredzi highway.

"In the past, one was assured of transport without any hassles any time of
the day," bemoans Anita Mhukahuru, a cross border trader who buys items in
Botswana for resale in Chiredzi. "There is little sugar to deliver and less
traffic along this highway to Chiredzi."

Hippo Valley Sugar Estate was initiated in the late 1950s in concert with
the Mauritian Development Corporation. The Mauritians provided a sugar mill,
technologists to erect and run it, and expertise for the cane fields.
Pioneer growers cleared virgin bush, prepared land, constructed canals and
other infrastructure to transform the erstwhile inhospitable, tsetse fly
infested tracts of land into lush cane fields.

The first 50 out-growers were recruited from people with adequate
agricultural expertise who had sufficient funds to stand financially
independent on their own and pay for their own development without being a
burden to the state.

Five decades later, a new breed of itinerant cane farmers threaten to
unhinge Zimbabwe's sugar industry alongside its prime citrus fruit export
sector.

From 1995, after intermittent droughts in the previous three years, the
sugar industry started to prosper, but high interest rates and the beginning
of the collapse of the Zimbabwean dollar in 1997 bred a steep decline in the
industry's financial fortunes.

Prices were kept artificially low enabling members of the ruling elite to
buy cheap sugar and export it illegally to neighbouring countries.

At the peak of the land invasions, 60 000 tonnes were reportedly smuggled to
Mozambique and a further 10 000 tonnes to Namibia and elsewhere, all
representing 17% of domestic needs resulting in a national shortage of sugar
on shop shelves in 2002.

"White commercial cane farmers tried to accommodate resettled cane farmers
on a separate project of 4 500 hectares and offered their expertise to run
the project for up to five years. As soon as they had learnt the ropes, the
resettled farmers would cast off on their own," according to the ZCFA.

If the recommendations were taken up, it would create wealth for a wider
circle of participants, expanding the sugar industry and benefiting more
entrepreneurs. It could bring about an expansion in the sugar industry,
ultimately to the advantage of the country's economy.

But Masvingo provincial governor Josaya Hungwe and his lands committee
rejected the proposal.

"It appeared the prospect of reaping someone else's standing cane crop was a
far more gratifying proposition to look forward to," the association said.
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Zim Independent

Gono's hard task - wish and reality
Shakeman Mugari

LAST week Reserve Bank of Zimbabwe governor Gideon Gono presented his third
quarter monetary review statement which analysts said was a mixed bag of
wishful thinking about an economic "turnaround" and modest progress on the
inflation front.
Analysts say Gono obviously attempted to overstate his success in fighting
inflation and downplay his failures in the banking sector and exchange rate
management - both central to the economy's recovery. The analysts say they
are beginning to see a sense of self-righteousness in the governor's remarks
as indicated by his growing hostility to criticism.
It is generally agreed that Gono's measures have stabilised the inflation
rate, which according to recent figures has slowed down to 251% from a high
of 623% in January. This means that prices of basic commodities and services
are no longer going up as rapidly as last year.
Gono has done well in reining in inflation - the rate at which prices
increase - which was eating away at the economic and social fabric of the
country.
Inflation is further expected to decline from the current level to between
150% and 160%. Gono has said next year inflation is projected to fall to
double digits and single digits by the end of his current tenure in 2008.
Analysts say this would be a commendable achievement given that inflation
was wreaking havoc throughout the economy.
Gono has brought a degree of discipline to the financial sector which had
become a haven of speculative deals which added no value to the economy. He
has also been firm in tackling poor corporate governance, entrenched
corruption, mismanagement and speculative investment.
Gono introduced a strict monetary policy regime last December which he used
to clean up the banking sector. Several banks and asset management companies
were used as conduits for speculative activities by bankers later netted for
unethical and corrupt business practices. Gono also introduced stringent
licensing requirements to ensure solid institutions were in place. He
slashed the number of asset management companies from around 70 to about 31.
About nine asset management companies have since closed shop.
The RBZ has made sure that banks stick to their core business instead of
investing in fixed assets and using depositors' funds for speculative
purposes.
There are also new minimum capital requirements for commercial banks, which
mean that only financially solid investors are able to get a banking
licence. Commercial banks will now be required to have $10 billion capital
adequacy, merchant banks $7,5 billion and building societies $5 billion to
get licensed.
There has also been an improvement in foreign currency inflows through the
Homelink initiative launched earlier this year. Gono said last week that
export earnings received in the first nine months of the year amounted to
US$1,2 billion compared to US$250 million for the same period last year.
Gono could also lay claim to have been instrumental in halting the downward
spiral of productive firms through the productive sector facility which, he
says, has saved a lot of companies from collapse although critics say this
has placed many companies in a debt trap.
The measure has also been criticised as highly inflationary because money is
doled out at a concessionary lending rate of 50%, which is not sustainable
in the long run. So far the government has pumped in more than $2 trillion
under the PSF in an effort to boost productivity.
But that appears to be as far as Gono's successes go. The other chapters
expose errors of judgement and simple inability to come up with effective
policy measures to resolve the litany of problems in the economy. Gono also
doesn't appear to know much about the records of countries like China,
Malaysia and Germany.
While he has managed to bring down inflation largely through the fixing of
the exchange rate, he has been unable to deal with the exchange rate problem
that has hurt exporters and put some of them out of business. Gono clearly
underestimated the crisis in the banking sector. Now he has wasted billions
in taxpayers' money trying to rescue banking shells from collapse. This has
been confirmed by his proposal to form the Zimbabwe Allied Banking Group,
which is an admission of failure to save banks that he repeatedly claimed
would not be closed.
Observers say the governor has also shown that he has no lasting solution to
the foreign currency shortages, which has forced many exporting companies to
close shop. He also seems to have developed cold feet on interest-rate
policy, which he admits is unsustainable.
Critics further note Gono's increasing paranoia about criticism and his
inability to influence fiscal policy, which has continued to scuttle his
other policies.
MDC MP Tendai Biti, who is also the party's secretary for economic affairs,
says in as much as the bankers contributed to their own demise, Gono's
reluctance to make a bold move on the troubled banks has worsened the
situation.
"The banking crisis itself was precipitated by the new governor when he
first came into office in December 2003," Biti said. "He poured money into
badly run banks and gave them three months to put their houses in order. But
the process was allowed to drag on for 10 months during which time seven
banks were put under curatorship. This explains the current mayhem."
Realising that his initial policies had failed, Gono last week announced
that the government would take over the troubled banks by turning their debt
into equity. Under his ambitious ZABG, cobbled along the same lines as South
Africa's Absa, the government will be the majority shareholder. Creditors
and depositors would also be forced to turn their debt into equity.
"The measures (ZABG) he now proposes are an admission of defeat. In
converting the huge debts of the troubled banks into equity, he is using
public funds to buy out his failure and is compromising the future
independence of the Reserve Bank," Biti said.
"At the same time, he is forcing creditors and depositors in the failed
banks to share the pain by requiring them to be shareholders in the special
purpose vehicle. Who in their right mind would choose to have shares in a
polyglot amalgam of failed banks?"
The issue of the stagnant exchange rate could be seen as the hallmark of
Gono's failure to address issues that affect the economy. For the past six
months the fragile Zimbabwean dollar has been trading at around $5 600 to
the United States dollar. During the same period the parallel market rate
has jumped to as high as $8 000 against the greenback. Last week Gono came
up with a classical denial when he said that the parallel market was being
driven by counterfeit US dollars.
"We would not be influenced by a market that is based on counterfeits. There
are some big companies that are trading in counterfeits," said Gono in
response to questions from this paper.
Economic commentator John Robertson said Gono was only pursuing red herrings
to divert attention from the real issue at stake. "It is not true that
counterfeits are the root cause of the parallel market. The problem is the
widening gap between the parallel market rate and the controlled auction
rate," Robertson said. He said the parallel market was flourishing because
the auction rate was too low.
Most companies that fail to access funds from the official market go to the
black market.
"It is not true that foreign currency generation has improved - it is just
that there is more money coming through the official market. The auction
shows that there is not enough forex to go around. Scarcity is driving the
black market," Robertson said.
Over the past three months 87% of the bids on the auction market were
rejected. The auction has managed to supply US$100 million against a demand
of about US$500 million.
The announcement banning all platinum producers from holding offshore
accounts also spells doom for the mining sector, which was the only stable
industry.
The governor has also maintained that he is not interested in politics even
though it is clear that he would need political will from the ruling party
if his policies are to succeed. Analysts say Gono's success is heavily
dependent on the resolution of the political crisis in the country.
Politicians continue to scuttle his initiatives with their statements.
Legal Affairs minister Patrick Chinamasa indicated government's line of
thinking when he said Zimbabwean abroad would not be allowed to vote.
Analysts say this is one of the policy contradictions that Gono has to
clarify if his Homelink scheme and investment confidence are to be received
by people in the diaspora.
Zimbabwe Congress of Trade Unions president Lovemore Matombo says the
governor's policies would only succeed if the political situation changes
for the better.
"Gono should stop pretending that his policies are not influenced by the
politics of this country. He knows that Zanu PF is scuttling his efforts but
he wants to continue pandering to the whims of the politicians," Matombo
said.
In his newly found fame, which has been boosted by the state media, Gono has
started to be hostile not only to questions but also criticism. During the
presentation of the review last week he brushed aside questions from the
Independent on the economy.
"Gono is really a dreamer. He admires his own thoughts and that is dangerous
for the country," Matombo said. "We saw at the breakfast meeting on Friday
last week how businesspeople were jostling to shower praise on him. And he
loves it," Matombo said.

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Zim Independent

Comment

 Gono must do better than this
IS it not generally agreed that President Mugabe's decision to make huge,
unbudgeted payouts to war veterans in 1997 was a major factor in the
collapse of the Zimbabwe dollar and the economic tailspin that followed?
On that black Friday in November, Mugabe doled out $50 000 gratuities and $2
500 monthly pensions to each of the veterans of Zimbabwe's 1970s liberation
war without batting an eyelid about where the funds would come from. What
followed was an economic implosion whose effects we are yet to recover from.
The crocodiles supposed to be managing our economy have evidently not learnt
a thing from that debacle seven years ago. The government will soon be
awarding war collaborators and former detainees goodies - ostensibly in
recognition of their alleged role in the liberation war which ended a
quarter of a decade ago. This will kill the economy and no one could have
put it more candidly than Reserve Bank governor Gideon Gono in his third
quarter monetary policy review last Thursday when he spoke about the need to
avoid unplanned payments.
Gono warned that his inflation target of 150% by December would be missed if
the government embarked on a spendfest.
"This (falling inflation rate) should be bolstered through containment of
expenditure levels to budgeted thresholds, avoidance of supplementary
budgets and avoiding awards of unplanned benevolent or gratuity payments
that are unrelated to the current production activities or real economic
growth," he said.
His warning is instructive and confirms what we have always averred: that
his wirtshaftswunder (economic miracle) is susceptible to the vagaries of
predatory politics in Zimbabwe. Gono's plan will not escape this test as
government, desperate to buy support ahead of the parliamentary election in
March, becomes blind to elementary economic principles.
There are dangers lurking on the road to recovery. These hazards will
continue to ensnare Gono's polices and scuttle agricultural growth which he
expected to notch 28% next year. He expects mining to recover 7,5% while
manufacturing and tourism are also expected to register positive growth.
Gono takes credit for slowing down price increases and his efforts to ensure
the little foreign currency available is managed judiciously to cater for
essential imports.
He has also tried to sort out the mess in the banking sector and channelled
resources to the productive sectors such as mining, manufacturing and
agriculture.
He has to build investor confidence, mend fences with bilateral and
multilateral donors and keep business alive but does not have total control
over his recovery programme. Gono's plan has to fit into President Mugabe's
grand plan, which is not necessarily premised on fiscal and monetary
prudence. Control is the key motivation.
As a student of Germany's wirtshaftswunder of the 1950s and 60s, he should
know that federal chancellor Konrad Adenauer's post-war government swept
away as many unnecessary regulatory controls as possible. The German economy
between 1951 and 1960 doubled in size.
Ludwig Erhard, Director of Economic Administration in post-war Germany - who
later became federal chancellor - believed that "only under a free market
economy can an individual find true freedom. Only a free society and free
economy will deliver the wealth needed for humane social policies and
programmes".
Government in Zimbabwe is taking no notice of its damaging interventions in
the economy, just as it won't take any notice of its own Inter-Ministerial
Taskforce on Bilateral Investment Promotion and Protection Agreements tasked
to ensure that no foreign investment agreements are violated.
Gono in his statement said foreign investors should be protected from
"obstructive practices by untoward elements of society - individuals or
groups". Did Gono mean Agriculture minister Joseph Made who has listed for
compulsory acquisition foreign-owned agro-processing concerns in the
south-eastern Lowveld and in the Eastern Highlands?
Gono said he was "heartened" by the formation of the Inter-Ministerial
Committee. But what do the South Africans, Indonesians and Germans have to
say about their lost investments? He spoke of the need to hasten the
completion of the land reform exercise in terms of the Utete Land Commission
Report. Over a year after the tabling of the report, most of its
recommendations have not been implemented, especially security of tenure and
protection of investments. The greatest threat to the agricultural recovery
plan is the Ministry of Agriculture itself. What will Gono do to deal with
the Made-made disaster in commercial agriculture?
The fact that Gono acknowledges the impediment in the way raises a new
challenge for him. He now has to mend the economy while at the same time
persuading errant politicians not to drive a coach and horses through his
programme. This is an exigent task at a time when the penchant for populism
is high among politicians. Those who have tried to walk that perilous path
have either given up or were sucked into the morass of populist politics.
Last Thursday, Gono said the foreign currency black market was being fuelled
by individuals and corporates dealing in fake US dollars. This extraordinary
disclosure showed poor judgement. As economists were quick to point out,
there is no basis for the claim. It is a transparent red herring.
We hope the governor has not fallen into the clutches of Zanu PF political
spin mandarins. If his credibility is to survive he will have to do better
than this.

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Zim Independent

Eric Bloch Column

Prolonged lip service to privatisation
WITH very great fanfare, in late 1990 and early 1991, the government
announced its Economic Structural Adjustment Programme (Esap) and after
implementing the programme very half-heartedly and, therefore, most
ineffectually for the first three years, it then belatedly and successfully
pursued the blueprint with some commitment and success.
Over the three years from mid-1994 to mid-1997, Zimbabwe's economy
experienced some significant recovery and growth. However, there were two
key elements of the programme which still did not receive the necessary
commitment, and instead were to a significant extent only accorded
superficial lip service.
A key element which received very half-hearted attention from the government
was the privatisation of parastatals. The programme envisaged governmental
disinvestment from all parastatals as were of a commercial, industrial or
like economic nature.
At the time, most parastatals were functioning inefficiently and recurrently
incurring great losses. In addition, they were perceived to be riddled with
corruption, although at that time the government did not acknowledge that to
be the case.
The parastatals were not fully satisfying the needs of the economy, let
alone being able to service greater needs as the economy expanded and grew.
At the same time, infrastructural development by the government was severely
constrained by an insufficiency of state finances.
It was therefore an important element of Esap that parastatals be
privatised - in whole or in part - in order to attain strategic partners who
would ensure effective operations and their adequate capitalisation. The
privatisation proceeds would yield developmental funding for the government
and relieve it of debt.
But, despite these declared intents and expected results, there was little
real inclination on the part of the government to pursue privatisation, for
that would deprive politicians of perceived control of key economic drivers,
and would reduce the empires of permanent secretaries and others in the
public service.
In 1998, which was two years later than scheduled, the government launched
the successor to Esap - the Zimbabwe Programme of Economic and Social
Transformation (Zimprest). To a very great degree that programme encompassed
the fundamentals of Esap, and expanded them.
Among those fundamentals was the privatisation of parastatals. However,
Zimprest was to prove to be a virtual non-event, and in line with very
limited adherence to most of the principles of that programme, once again
there was little direction of parastatal privatisation, although the
government did bring into being the Privatisation Agency of Zimbabwe (PAZ).
The PAZ sought to pursue privatisation energetically, and had some initial
successes, only thereafter to be frustrated by governmental ambivalence and
lethargy.
Zimprest was succeeded by the Millennium Economic Reconstruction Programme
(Merp) which, to a very major extent, was a rehash of both Esap and
Zimprest, although it also had new components founded upon the then
pronounced interest of the government being the land acquisition,
resettlement and redistribution programme - subsequently referred to as land
reform.
Four years later, there is still no evidence of implementation of Merp,
including its declared intent, as per the predecessor programme, to
privatise parastatals. It must be acknowledged that there have been a few
highly successful privatisations, although none of them have occurred in the
last few years.
Among the successful privatisations were the Commercial Bank of Zimbabwe
(now known as the Jewel Bank), Dairibord, Cotton Company of Zimbabwe,
Zimbabwe Reinsurance Company and Rainbow Tourism Group.
With the great success of those privatisations, which saw all those ventures
become markedly customer-care-conscious and profitable, with greater
efficiency and productivity than ever achieved when under state control, it
is astounding that the last three years or so have sustained a total drought
of privatisations.
Instead, there are frequent ministerial statements opposed to privatisation
and a determination of the government not to relax its controls over
entities that are essential to the economy but which are, in the main,
ailing in the extreme.
That this be so could be condoned and understood if the parastatals were
operating effectively and in the best interests of the consumers and of the
economy as a whole.
It could be even more condoned and understood if, in addition, the
government had the resources to capitalise the parastatals adequately, so
that they were not overburdened and doomed to fail as a result of gargantuan
borrowings and unsustainable burdens of financing costs, over and above
their other deficiencies, and if the government did not require trillions of
dollars for essential infrastructural development and retirement of debt.
But none of those characteristics apply and therefore the prolonged failure
of the government to adhere to its own programmes must be condemned. That
condemnation is reinforced by the manner in which some of the most vital
parastatals conduct their affairs.
First and foremost is that only a week ago the Minister of State for State
Enterprises and Parastatals, Rugare Gumbo, said that many of the parastatals
were heavily contaminated with corruption. On the balance of probabilities,
he is presumably very right in this assertion.
But if that is so, what is the government doing about it? After all, seven
years ago we heard a similar ministerial statement, and again Zimbabwe was
told approximately four years ago that there is extensive corruption in
certain parastatals.
Perhaps, instead of witch-hunting private enterprises who resorted to
parallel market dealings to keep their businesses operational, their
personnel employed and export income flowing, the authorities should
prioritise in-depth investigations into, and prosecution of, those who are
major economic saboteurs by robbing government and the populace blind
through corrupt practices in certain parastatals.
At the same time, when one of the economy's greatest enemies is inflation,
being strenuously combated by the governor of the Reserve Bank of Zimbabwe,
it must be of immense concern that various parastatals are currently raising
their charges to an extent markedly greater than prevailing inflation.
For example, Tel*One has increased its charges twice in the last six months,
its most recent increase being in excess of 400%. And it has the temerity to
do so at the very time that its services have reached their lowest ever ebb.
Similarly, Zimpost's charges have soared to levels where the law of
diminishing returns applies. So great have the charges become that more and
more are resorting to e-mail and telefax communications, even though the
latter is associated with endless transmission frustrations.
If the government is genuinely consumer-conscious, if it genuinely wishes
parastatals to operate efficiently, if it has a real intent of debt
reduction and of its infrastructural development, it should cease all lip
service to privatisation and instead should enable PAZ to fulfil its mandate
without fear or obstruction.
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Zim Independent

Muckraker

Frankenstein's monster runs amok

DID the Herald go overboard this time round? Did it allow its "Features
Writer" to go over the top in his attack of South African president Thabo
Mbeki last Friday? The paper got itself berated by the Information
department in what commentators said was a case of Professor Jonathan Moyo
attacking himself in his various disguises.
The features writer on Friday claimed Mbeki was turning his back on Zanu PF
and consorting with MDC sellouts by agreeing to meet opposition officials
and the party's president Morgan Tsvangirai. It said "there were growing
fears that these meetings were promoting the MDC's image abroad at the
expense of Zanu PF".
Going by Jonathan Moyo's daily vituperation against the whole world in the
state media, we are surprised that he would wish his party any image other
than what he has earned it. Not to mention the worry about the party's image
abroad "when the people who matter are Zimbabwean voters".
The "Features Writer" was made to recant on Saturday under the guise of a
"Herald Reporter" when readers were told Mbeki's involvement in the
"Zimbabwean issue" had always been "open, honest and above board". Why was
there suddenly an "issue" when Moyo's department has always denied that
there is a crisis in Zimbabwe?
"Whereas government would want the media to operate in an environment of
freedom, it expects the media to be accurate and informed . . . to avoid
damaging falsehoods, imputations, innuendoes and unfair comments," Moyo's
department warned the Herald.
The veil of secrecy was pierced when The Voice reported that President
Mugabe had attacked the Herald for not knowing "our friends and foes". The
assertion that senior Zanu PF officials have in the past complained against
the Herald being used to attack "certain political figures" was a hint
pointing to the hand of Lowani Ndlovu as the "Features Writer" who penned
the original attack on Mbeki.
Lowani, as readers know, thinks, writes and reasons exactly like Professor
Jonathan Moyo. Which explains why the charade could not be sustained beyond
a certain point. Thus it was that on Sunday Lowani Ndlovu was made to
"attack" Jonathan Moyo's "attack" on the Herald for "attacking" Thabo Mbeki.
While the Herald on Saturday merely quoted a statement by the Department of
Information, Lowani knew it had been written by Professor Moyo. Lowani told
us there were "no sacred cows whose pronouncements and actions are beyond
questioning". That could refer to either Mbeki or Mugabe or both. "Not just
Zimbabweans but also Sadc has a right to debate Mbeki's interest and
involvement in the Zimbabwean question and all views on the matter should be
put on the table," raved Lowani defiantly in the same manner he has gone
about attacking "certain political figures for personal gratification", to
quote The Voice.
Has Zanu PF created for itself a Frankenstein monster?

MDC MP for Chimanimani Roy Bennett has been tried and jailed. Government has
denied that the decision to jail the legislator was in any way political. We
can leave that to the conscience of the speakers - Paul Mangwana and Stan
Mudenge.
Both claimed the evil deed called for a deterrent custodial sentence.
Mudenge told his Non-Aligned Movement colleagues in Harare on Monday that
the attack on Patrick Chinamasa and Didymus Mutasa by Bennett in parliament
was brutal. "It was barbaric law of the jungle, back to the stone age,"
declared Mudenge with a straight face. "It was essential that a deterrent
sentence be imposed."
The fact that Bennett was also accused of not apologising soon enough for
the alleged offence only aggravates the impression of vindictiveness.
Muckraker's verdict is one of a man "more sinned against than sinning". And
why was Mutasa, who boasted of kicking Bennett "very hard", not made an
example of? Where is the precedent of violently defending a comrade in
parliament? Two-faced justice!
Mudenge claimed the behaviour by Bennett had no precedent anywhere in the
world. This is conveniently true if you choose to ignore Taiwan where MPs
will not brook the arrogant nonsense that we endure everyday in the name of
sovereignty and how we should be forever grateful for being liberated from
colonial rule when what we urgently need is freedom from Zanu PF tyranny,
mendacity and hunger.
And Roy Bennett was not "trying to run away". He was keeping an appointment
with his lawyers at Johannesburg airport and returning the same day. As his
arrest took place before the parliamentary vote to jail him it will be
interesting to see if the charge of defeating the course of justice stands
up in court.

Muckraker is getting irritated by Tendai Chari's so-called media analysis in
the Sunday Mirror, which increasingly looks like a joint effort with Tazzen
Mandizvidza of Media Watch. It is easy to understand Tazzen's predicament,
his intellectual limitations notwithstanding. He is a ZBH employee and
therefore doesn't enjoy the latitude that Chari should ordinarily enjoy were
he not embedded at ZBH and beholden to his former lecturer Rino Zhuwarara.
This week he attacked the Zimbabwe Independent for leading with a story he
claimed had appeared in the Financial Gazette on Tsvangirai's trial verdict.
His callow mind was "boggled" that a few weeks back the Independent had
"imposed a blackout" on the MDC's "boycott of all future elections" after
the story appeared in other papers.
"Why the same principle did not apply on the treason trial story then
boggles the mind," said Chari, sounding thoroughly boggled. Pity the
students if the head is so thick.
We don't want to give his column the respectability it does not deserve by
wasting too much time on it, or to reduce ourselves to his fawning level
which lacks the intellectual rigour and honesty that an analysis requires.
Who at the Independent imposed a blackout on the so-called boycott story? Is
he being honest in claiming that the MDC said it was "boycotting" all future
elections unconditionally? Has he been following the MDC's 15-point demand
on fair elections and Sadc's guidelines and principles on the same issue?
This is what the MDC statement said: "The MDC will not participate in
elections until the political space has been opened up and a legal,
institutional and administrative framework for elections has been
established that harnesses acceptable levels of transparency and fairness in
the electoral process. For this to happen, the government needs to combine a
comprehensive reform of Zimbabwe's electoral framework with significant
political reforms."
Not nearly the same thing. We expect a difference between a university media
lecturer and Munyaradzi Huni. Unfortunately in Chari we are asking for what
is politically and intellectually unattainable.

President Mugabe claimed last weekend that Western powers were inspiring
conflict in developing countries by creating political impasses which afford
them a pretext for interference.
Western powers indicated "a real determination", Mugabe said, "to play
registrar, returning officer, polling agent, monitor and observer all at
once".
But aren't these precisely the functions he is accused of usurping in 2002?
No wonder he is irritated. Other people are muscling in on territory he has
come to regard as his own.
Referring to the Mauritius electoral guidelines, Mugabe declared "these
standards are not a manifesto for the West or for a bankrupt opposition.
They are ours."
So Mugabe sees the Sadc guidelines as belonging to his party, not all
players in the electoral process as was intended at Grande Baie?
Only "invited observers" would have a right to observe the poll, Mugabe
added. In other words invitations to observe the election will be made not
by an independent electoral body tasked to manage the poll but by a
government that is a party to the election.
Do we need any further evidence that Zanu PF has hijacked the Sadc protocol
to suit its own partisan needs? As for Mugabe's assertion that the US will
not have its own elections, which took place this week, monitored or
observed, he should not mislead gullible folk. Hundreds of election
observers were invited to the US to follow the poll. He knows that perfectly
well.

Muckraker was intrigued by a front-page article in the Herald on Monday
reporting that at least 6 000 ex-political prisoners, detainees and
restrictees will be rewarded for their contribution to the liberation
struggle.
This follows passage of a Bill extending to the former political prisoners
the sort of benefits awarded to war veterans in 1997. Some reports put the
amounts to be handed out at $10 million a person.
The Bill "sailed through" parliament last Thursday, the same day Gideon Gono
told the nation in his third quarter statement that we should guard against
"unplanned benevolent or gratuity payments that are unrelated to current
production activities or real economic growth".
We were told in the Herald report that dishonest conduct by applicants will
constitute an offence. A person will be liable to refund any form of
assistance they are not entitled to.
Now why should we believe that dishonest conduct by such applicants will be
treated any differently to dishonest conduct by those who fleeced the War
Victims Compensation Fund? What has happened to those who the Chidyausiku
Commission found had benefited unduly from the fund? Have they been made to
repay those amounts or were they, as we suspect, written off?
As for China and Malaysia, which Gono admires so much, their progress in the
past decade owes much to investor-friendly policies and political
stability - the very opposite of Zimbabwe.
Ask Zimplats what delayed their planned investment package that was about to
be announced before the president opened his mouth on 50% equity!

The official media has been telling the nation for some months now that
President Mugabe's "bold stance" on the land issue and relations with
Britain have earned him the respect of Africa. So how do we explain the
expulsion of Africa's largest trade union organisation from Zimbabwe and the
vicious tirades that followed?
The answer is obvious. Cosatu was about to expose Mugabe's claims as hollow.
Here is a trade union organisation that, unlike the Zimbabwe Federation of
Trade Unions, is nobody's puppet. Attempts in our state media to describe it
as Blair's instrument are so plainly stupid that nobody is taking them
seriously. Cosatu has for years been the authentic voice of South Africa's
black workers. And it has been in the forefront of the democratisation
struggle, both before and after 1994. It is rigidly opposed to Western
imperialism.
Its visit to Zimbabwe was therefore highly significant. This was manifestly
not the EU or the "white Commonwealth". Its report would, we can be fairly
sure, have exposed the repression that workers and civics in Zimbabwe
experience on a daily basis. Mugabe's claims to be the champion of Africa's
landless masses would have been seen for what they really are - populist
demagoguery. He has effectively pauperised the nation he rules with an iron
fist. That much the world already knows. Cosatu was expected to report what
it saw, albeit with an occasional coating of liberationist indulgence.
But by evicting the Cosatu delegation, the government has signalled its fear
of the truth. South Africans will draw their own conclusions. They have been
in the forefront of the struggle for democracy in Zimbabwe since the Hwange
campaign of 1967 when Umkhonto fought alongside Zapu. They have every right
to comment on events here since they are keeping the country afloat.

Now we have Botswana being assailed by government spokesmen and half-baked
academics whose credentials are still unknown. Former BDP cabinet minister
Patrick Balopi, who is reported to have described President Mugabe as "a
greedy leader who does not have the interests of his people at heart", is
the latest target of state vitriol.
What seems to have added salt to the wound is the support Balopi has
received within his own party. BDP executive secretary Botsala Ntuane told
the Botswana media that Balopi was "within his rights". Not reported were
his remarks that Botswana MPs are allowed to be similarly outspoken about
their own leaders.
Attempts by Zimbabwean embassy officials in Gaborone to bully the Botswana
government in the same way their Minister of Information allowed himself to
be bullied when he came here a few months ago don't appear to have succeeded
this time.
So apart from Zimbabwean officials who now find themselves having to defend
President Mugabe on a full-time basis, who else is "slamming" Botswana?
"Political analyst" Dr William Nhara, the failed politician who now appears
to be singing for another seat to lose.
He made the significant revelation that it will be another 10 years before
agriculture recovers from Mugabe's land reform programme. This comes after
it took whites 48 years "to get the issue of agriculture right in this
country".
We are not sure where he is getting his figures from. Perhaps Joseph Made!
Zimbabwe was way ahead of Botswana in health, infrastructure and social
services, Nhara maintained. Botswana was a village by comparison.
Which doesn't explain why thousands of Zimbabweans have flooded Village
Botswana looking for jobs. Botswana's per capita GDP overtook Zimbabwe's
years ago. It is rich, not because of diamonds as Nhara implies, but because
it encourages investment and provides an example of a well-managed economy.
It also promotes racial tolerance.
Zimbabwe's ambassador to Botswana, Phelekezela Mphoko, said she was aware
criticism of Mugabe was a lucrative undertaking and "as a result political
clowns and intellectual parasites who have nothing to offer beyond parroting
designed options, surfaced".
Which is where Nhara came in, we suppose!
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Zim Independent

Letters

An absolute disgrace

Dear Sir, THE latest example of a gross miscarriage of justice in Zimbabwe
is surely the jailing of MDC legislator Roy Bennett ("Bennett goes to jail",
Zimbabwe Independent. October 29).

The vote by all Zanu PF parliamentarians present to send this brave and
loyal Zimbabwean to jail is an absolute disgrace. No one with an ounce of
humanity, or the semblance of a conscience, could have voted to impose such
a punishment on a man who has suffered such extreme provocation for so long.

Zanu PF need not worry about not having enough women in parliament. It
should worry more that there is not a single "man" in its parliamentary
ranks. Was it Margaret Dongo who described them all as "Mugabe's wives?"

Bennett's agricultural achievements, his work for and support of his rural
constituency and his brave struggle for a better Zimbabwe make him a genuine
post-Independence hero - far more so than those who sent him to jail.

Let Bennett know that he has the admiration, thoughts and prayers of the
millions of Zimbabweans who genuinely love their country.

That such a hero languishes in jail is an indictment of not only those
directly responsible for sending him to jail, but of all of us who silently
and cowardly go about our daily business whilst so many heroes - many of
them unknown - suffer on our behalf.

That so many murderers, rapists, thieves and other enemies of civilised
society live freely and often comfortably in our midst only adds to the
injustice of the suffering that Zanu PF inflicts on genuine heroes.

Let the cowardly "silent majority" remember not to cry foul when their turn
comes.

RES Cook,

Harare.
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Zim Independent

Letters

What next, MDC?

Dear Sir, NOW that Roy Bennett has been given a jail sentence for an
unprecedented simple common assault, we would like to know what the MDC is
going to do?

Bennett has done so much for Africans and the MDC and perhaps it is about
time they showed their discontent? A start would be for the MDC to boycott
parliament, but we need action if they want us to take them seriously.

It is appalling that someone can be jailed for a first offence under extreme
provocation when the maximum penalty should be a minor fine.

Free Roy Bennett,

Harare.
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Zim Independent

Letters

Enjoy it while it lasts comrades

ALLOW me space in your newspaper to present some little known and understood
facts about the coming new world order which was announced by former United
States president George Bush at the start of the first Gulf War in 1990.

Politicians in first world countries often refer to the coming new world
order (NWO) which, simply put, means the globalisation of the world on the
political, economic and religious fronts.

They often speak about this using esoteric language, thus denying ordinary
people the ability to fully understand their intentions.

The NWO advocates will ultimately implement a one world political system
which will operate from a major city somewhere in Europe where there will be
a global economy and a one world religious system, ie the much-talked about
ecumenical church.

I would now like to digress from the above to a subject that Zimbabweans
eat, sleep and walk with - politics.

Let me say here and now that the presidents and prime ministers of world
powers do have hidden agendas as I believe any person will not be too hard
pushed to discover for himself.

Elements of our paranoid leadership keep babbling on about our hard-won
Independence, our sovereignty and the fact that we will never be a colony
again. They keep on accusing the World Bank and the IMF of having ulterior
motives for Zimbabwe. They might be right - but not for the reasons they
think.

The IMF and World Bank are just two of the "1 000 points of light" President
Bush spoke about at the same time he announced the coming NWO.

The "1 000 points of light" he mentioned are the various organisations and
institutions that are slowly and insidiously doing the groundwork for the
NWO.

Any country whose government does not conform to this agenda will ultimately
be brought down by whatever means the NWO people see fit.

President Mugabe and Zanu PF are bucking the NWO and will ultimately be
brought down by these people whether they like it or not as was Ian Smith
and Rhodesia.

We are all pawns in a game - they had better believe it. They should forget
about their obsession with UK premier Tony Blair because there is something
far, far bigger than Blair involved here.

So comrades, enjoy your gravy trains, mansions and fancy cars while they
last because you will soon be gone as will the government of any other
country which bucks the NWO agenda.

Trust me, you are ultimately going to be humbled as "Independence" gives way
to "Inter-dependence" and the only "sovereignty" the world will be
experiencing in the future will be on a global basis and the only "colony"
will be a global one.

Comrades, welcome to the coming New World Order!

Alistair Hull,

Harare.
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Zim Independent

Editor's Memo

Colonial law
Vincent Kahiya
ON Monday, four journalists from the Zimbabwe Independent, including myself,
had our application to be removed from remand turned down. It was argued
that the objections our legal team had raised would be best contested at
trial.

Our objections were that we had been arbitrarily deprived of our liberty,
both by detention and repeated court appearances, over a story whose
substance the state does not contest.

The story concerned the use of an Air Zimbabwe aircraft by President Mugabe
at the beginning of the year for his holiday in the Far East.

When we appear again on January 10, it will be exactly one year since we
were picked up by the CID on the orders of Information minister Jonathan
Moyo and incarcerated for a weekend. At the time Moyo described our story as
"blasphemous". We were charged with criminal defamation, a colonial legal
relic struck down in most former British colonies as incompatible with
democratic practice.

Ghana and Sri Lanka are the latest countries to dispense with what was
designed in Whitehall as an instrument of colonial governments to suppress
nationalist voices, particularly in the press.

That it has been resurrected by Mugabe's increasingly paranoid regime,
boasting of sovereignty but finding colonial measures handy, should not
surprise any of us. At the same time journalists who want to see greater
accountability by those who rule us should welcome this opportunity to
expose the regime's structural shortcomings. Here is a prosecution that is
aimed at preventing public scrutiny of President Mugabe's use of public
resources.

Mugabe, let us remind ourselves, is not simply the head of state. He is the
head of a government with a shocking record of squandering public funds and
the head of a political party that believes the country owes it a living.

Zanu PF's record of running down its own companies is currently the subject
of an internal investigation, details of which were reported in the
Independent last week.

Air Zimbabwe is a public company that taxpayers are on a regular basis asked
to keep in business. It is by all accounts a poorly-managed company. It has
a record of providing aircraft for Mugabe's use and for inconveniencing
passengers in the process. It loses money hand over fist. It is therefore a
matter of legitimate public interest how its fleet is managed.

By accusing the Independent of criminal defamation, the state is signalling
not only its repressive political agenda but also its refusal to be
accountable to the public.

But it is doing more than that. The intention is to tie the paper up in
costly legal red tape, and prevent it from functioning normally. How else do
we explain seven court appearances over 10 months when the state was unable
to produce a case against us? Then when our lawyers announced their
application to have us taken off remand because there clearly wasn't a case,
the state in the space of five hours announced that it had found one.

The docket had just been handed into the Attorney-General's Office, we were
told.

This is political harassment by any definition. And we are not alone in
facing it. The same thing - spurious and vexatious charges - is being thrown
at MDC leader Morgan Tsvangirai. The aim is the same: to paralyse normal
activity.

In our case we were fortunate that the court declined to entertain the
state's request that we surrender our passports and report to the police
weekly. The court also slashed our bail requirement.

While we are by no means optimistic of final success given the political
nature of the case, we are very confident that we are guilty of no more than
holding Mugabe and Air Zimbabwe up to public scrutiny - of embarrassing them
in other words.

Politicians, companies and institutions supported from the national purse
have a duty to explain how national resources are used. Newspapers must
ensure those explanations are publicised. And professional apologists who
believe it is blasphemy for political leaders to be treated this way need to
be exposed to the public scorn they deserve.

Never let it be said again that President Mugabe is unafraid of criticism.
This case has put paid to that fiction. He cannot be sued for defamation
whatever he says about his opponents. But he can hide behind colonial laws
like this when it suits him.

Let me assure readers that whatever the intentions of the state in bringing
this threadbare case against us, we will continue to crusade for public
accountability by those who rule us because the nation requires it. People
have every right to know how their funds are used.

And we will also campaign against laws that are designed to silence
criticism of those who aspire to occupy public office. We therefore look
forward to our day in court. At least it will afford us a good platform
ahead of the election.
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Zim Independent

Is Gono another alien from space?
By Rejoice Ngwenya
BEFORE the great political transformation of 1999, I had lurched onto the
cargo hold of the gravy train aptly named "The Unconstitutional Commission"
as part of the grateful band of middle-aged naifs who really thought this
noble but misdirected civic duty was an act of intellectual honour.

I sunk my teeth in public consultations that enlightened me on the
perception of typical Zimbabweans.

As expected, the good work of us foot soldiers fell into the nimble hands of
Patrick Chinamasa, Ben Hlatshwayo, Godfrey Chidyausiku and Jonathan Moyo,
whose systematic adulteration of people's views - applied with surgical
precision -- left honest popular opinion a mere carcass of the real thing.
The rest is history.

But the juice in my story is the first encounter with one Gideon Gono, the
bubbly, hardworking bank executive in my committee who diligently studied
all our raw scripts and dutifully submitted them for higher-level scrutiny.
I sensed the man was destined for stardom.

Even before the commercial banking bubble was making headlines, Gono's own
institution was declaring unprecedented profits backed with rapid expansion
in all major cities, small towns and dusty growth points. This had to be the
man of the decade!

Then he graduates from the first-class of the gravy train to join the
exclusive cockpit of the "Great Gravy Plane" - the masters of high altitude
flypast and self-delusion - and all hell breaks loose.

Gono's quantum leap from a bank managerial position to one of planetary, de
facto minister of finance defies all aviation logic. The magnitude and
altitude of partisan rhetoric he has mastered and churned out in the few
months of his terrestrial reign beats all human imagination.

Look, I'm not much of an economist, banker or fiscal guru, but I can tell
politicised hogwash from any angle, especially where it is dispensed with a
high-pressure pump. I am a mere civic society activist whose life hovers
between the poverty datum line and the fringes of modern day slavery, but
figures no longer fool or excite me. Especially those from suspect,
patronising sources.

Let us look at the facts.

First, monetary policy is accepted as a function of the governor of the
central bank, while fiscal matters should be left to the responsible
minister of finance. But right now I am at a loss as to what Gono is up to
straying on all matters of trade, industry, local government and transport.

My submission is that monetary policy indeed has far-reaching implications
on all sorts of macro-economic situations, but when a Reserve Bank governor
assumes this larger-than-life, all-encompassing stature of a know-it-all
superhuman, there is a vital missing link in the puzzle of good national
governance.

If my memory serves me right, the eras of Richard Wilde, Kombo Moyana and
Leonard Tsumba - some of which registered high economic growths, monetary
and fiscal stability - were characterised not only with modest public
statements, but also respect for professional boundaries.

I do not remember any highly publicised, high-profile "quarterly monetary
policy statements" other than traditional glossy RBZ reports.

Second, a 700% to 200% inflation rate reduction in 12 months means nothing
to my young sister in Gokwe. In December 2003, she could not visit me in
Harare, or buy enough bread for her large family. Next Christmas, the
situation will be worse for her, because the bread will probably be costing
$5 000 per loaf and a one-way trip to Harare is unlikely to be less than $60
000 - that is if there is diesel.

And Gono is still talking!

At one time, Zimbabwe was exporting all sorts of things - baked beans, gold,
steel, maize, clothes, leather, flowers, milk and so on. Affretair was
always air-bound and one could encounter a convoy of cargo carrier trucks
snaking from Glen Norah to Ngundu Halt. I guess that is why I could walk to
my bank, buy travellers' cheques and wander around Hillbrow totally
self-sufficient.

Since Gono ascended the glitzy monetary policy throne, I cannot even
remember when my passport was last stamped in the back pages. I usually
spend time observing events around the Roadport, watching in awe as Police
Commissioner Augustine Chihuri's BMX cops pick unidentifiable falling
objects from beneath their bikes!

In any case, a routine trip to Harare's expensive international airport is
empirical proof that Zimbabwe now exports more humans to England than Gorée
Island ever did in its heyday.

And Gono is - you guessed right - still talking!

Number three, all my friends and relatives in England have already warned me
against selling their British pound to anyone or any institution that gives
less than $15 000 per unit. My insistence that it is an illegal exercise has
all but gotten me a long free-market economy lecture. They have stopped
sending me anything. Homelink! Home what?

Fourth, Gono's paymaster, President Robert Mugabe, will finance his agrarian
revolution and 2005 election with "our own" bearer cheques. In between,
there are bits and pieces of expenditures like Chinese fighter planes, army
Prados, payouts to mujibhas and ex-detainees, civil servants' bonuses,
chiefs' cars and so forth.

Now, will this not cause a huge, unmanageable budget deficit? What will this
do to interest rates and inflation?

Gono has the answer, of course!

At Christmas 2003, it took me one week to secure 40 litres of petrol. I only
got to Bulawayo because of driving gingerly like a monk. This year's
Christmas, I will remain confined to my monastery because there is no way in
hell I will afford to purchase a litre for $3 800 - if the petrol is there.

By the way, as I wrote this, five service stations within a 10-kilometre
radius of my monastery had neither petrol nor diesel. It's only this week
that Willard Manungo told the nation that Gono's "turnaround" had flooded
the market with fuel. It's just that, he claimed, Zimbabweans are too daft
to notice!

Two hours before on the same day we had no electricity in our home - or tap
water - and Gono's CD called Asingabvume Irombe is topping the charts on
Mars. Who can silence him, when he is that far from planet earth? Another
alien from space, I guess!

Rejoice Ngwenya is civic society activist based in Harare.
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Zim Independent

Wheels of justice are not intact
By Otto Saki
THE recent acquittal of opposition Movement for Democratic Change president
Morgan Tsvangirai of high treason charges has led certain quarters within
the country and more significantly some parts of the international community
to believe that there is rule of law in Zimbabwe, and that the wheels of
justice are intact.

This notion is misplaced in light of the current state of the country
insofar as the administration of justice is concerned and in particular the
upholding of the rule of law. For the benefit of some who might not have an
appreciation of this concept, the rule of law in simple parlance does not
mean the rule of men.

But in terms of the development of the theory it signifies the existence of
a system of rules, where the judiciary is independent, judicial decisions
are made according to legal standards rather than undirected considerations
of fairness, the right to fair trial in which the due process of law or
procedural safeguards are observed, access to courts, equality before the
law, supremacy of the law which entails that no man is above the law,
restrictions on the exercise of discretionary powers, and laws which are
prospective and not retrospective.

But of the few mentioned above, an analysis of the extent of adherence to
the same by the Zimbabwean government is laughable and the acquittal of
Tsvangirai will never signify the existence of the rule of law or that the
wheels of justice are still intact in Zimbabwe.

The supremacy of the law dictates that all individuals and the government
are subject to the law and no one is above the law. In Zimbabwe this notion
seems to be applicable to a certain class: while some are persistently
subject to the law, others are thoroughly immune. There is no doubt that
laws are being applied selectively to the extent that a certain class of
people always find themselves in brushes with the "law".

There should be a distinction between laws, executive administration and
prerogative powers but this seems to be non-existent in our situation.

Individuals masquerading as administrative bodies have acquired enormous
powers, which has ultimately undermined the effective observance of the rule
of law, and have abused their "mandate". This can be said of bodies such as
the Media and Information Commission whose partiality and composition have
been questioned in the Administrative Court.

There are no restrictions on the exercise of discretion by some ministries
with regards to certain Acts of parliament such as the Ministry of
Information with regards to the Access to Information and Protection of
Privacy Act, and also the Ministry of Home Affairs and the police in
enforcing the Public Order and Security Act.

The concept of justice has ceased to exist; the executive has usurped the
role of the judiciary and the legislature on many counts and has taken it to
be its mandate to make laws which are fundamentally flawed and gravely
unconstitutional.

Instead of exercising what is termed commutative justice that aims at the
correction of pre-existing rights, which seeks to give back what has been
taken away with adequate compensation, we are now practising distributive
justice. The latter aims at distributing wealth according to egalitarian
schemes, creation of new rights in accordance with ideologies, prejudices or
subjective opinions of individual bureaucrats or members of tribunals who
make decisions, while powerful pressure and interest groups influence the
making of those decisions.

In such instances the law is particularised and rendered uncertain thus
undermining the foundations of justice and liberty.

When it comes to issues of access to justice in Zimbabwe and the rule of law
one cannot avoid but make reference to the manner in which the judiciary is
handling matters relating to fundamental rights, the inordinate delays in
the handing down of decisions and further the nature of the decisions that
are rendered.

The judiciary in Zimbabwe has of late been challenged in the dispensation of
its mandate, whether it's by design or not in particular with regards to
disputes arising from human rights-related issues. The failure to guarantee
access to speedy and effective redress of perceived violation of
constitutional and human rights and the failure by the judiciary to
pronounce heavily on the violations is more than just undermining the rule
of law but a pointer to its non-existence.

Due to the non-availability of local remedies, citizens have to resort to
international tribunals and courts and this illustrates the ineffectiveness
of the judiciary in providing effective remedies, for where there is a right
there should be a remedy.

Access to justice and the rule of law does not only entail filing a case
with the courts and that's it. Once the case is heard, there is a legitimate
expectation that the court will address all issues arising and not dwell on
procedural technicalities which are of no direct bearing on the case.

In our context, the Supreme Court has set a worrying pre-cedent of obeying
any Act of parliament before challenging it. In this instance it has given
the legislature unfettered powers of enacting all sorts of despicable Acts
and a cushion to the legislature that they will not be challenged at least
before the Act is obeyed.

Principles of the rule of law mandate the judiciary and the courts in
particular to say what the law is and in terms of our constitution, to rule
all laws that are contrary to the constitution null and void. The judiciary
claims the ultimate capacity to decide what the law is.

Public confidence demands that the judiciary respect the rule of law, above
all. So to say that there is rule of law and that the wheels of justice are
intact because of the acquittal of Tsvangirai is misdirected for there is
more to the rule of law than the acquittal of the leader of an opposition
party.

After all, it is a trend in Zimbabwean politics that a leader of the
opposition should be arraigned before the courts for high treason when the
charges are minifestly spurious.

In an environment where the rule of law is observed, the state does not have
to enact laws that operate retrospectively and criminalise acts which were
not an offence when they were committed. More than often such laws destroy
certainty and are vindictive and arbitrary.

The rule of law entails that the government in cases where the courts decide
contrary to its notion of justice should obey the very same judgements and
not refuse to enforce court orders. And when judges or magistrates decide
against the government there is no reason why men wearing dark glasses
should haunt and force them to flee the country.

There are many instances of the government failing to obey court orders on
frivolous and unfounded notions of state security and interests - the recent
deportation of the delegation from the Congress of South African Trade
Unions speaks volumes about the rule of law in Zimbabwe. I wonder what those
across the border will say on this issue.

The matter of Roy Bennett is tragic for those who have suggested that there
is rule of law in Zimbabwe. A history of the case will show that Bennett had
been subjected to all sorts of relentless attacks from the government. The
courts had ruled on numerous occasions that the government should not
proceed to acquire his estate. In an act of defiance they proceeded, in open
contempt of the court orders.

Now that Bennett floored the minister responsible for the proper functioning
of the courts, he has become a case study of retributive justice.

Further to their decision to incarcerate the MP for a year, the Speaker of
Parliament with unparalleled zeal and gusto made certain rulings under the
Privileges, Immunities and Powers of Parliament Act which bars the courts
from hearing the appeal by Bennett.

The constitution of Zimbabwe guarantees the right to appeal, the
international instruments that Zimbabwe has ratified provide for the same
right and it has never been tolerated in any democracies that the right to
appeal is derogated under any situations.

The rule of law is premised on the notion that there is separation of powers
between the arms of state - the judiciary, the executive and the
legislature - and encroaching into the domain of the other will only lead to
confusion and legal disorder as is the current situation in Zimbabwe and a
total disintegration of the rule of law.

The work for the restoration of rule of law in Zimbabwe takes more than the
acquittal of the opposition leader and for ordinary Zimbabweans it might
mean nothing, as they are yet to enjoy the fruits of the so-called intact
wheels of justice and the rule of law.

Otto Saki is project lawyer with the Zimbabwe Lawyers for Human Rights and a
research fellow at the Institute for Human Rights and Development in Africa.
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Zim Independent

Tsvangirai's acquittal opens new dangers
By Brian Raftopoulos
THE news of opposition Movement for Democratic Change (MDC) leader Morgan
Tsvangirai's acquittal on the charge of treason two weeks ago has been
hailed as a step forward in the quagmire that is Zimbabwean politics.

It was certainly welcome relief in what is otherwise a political terrain of
sustained demoralisation. The case itself was based on suspect evidence, and
a rebarbative state witness who became an embarrassment even to the state
itself.

Information minister Jonathan Moyo proclaimed that the judgement "confounds,
exposes and shames those merchants of lies and falsehoods.always given to
maligning and denigrating Zimbabwe as undemocratic and without an
independent judiciary".

It would be a mistake, however, to regard this judgement as a reversal of
the politics of repression that characterises Zimbabwe.

Firstly, the judgement does not detract from the immense damage that has
been inflicted on the judiciary by the executive since 2000. The combination
of highly politicised judicial appointments at the highest levels, executive
disregard of court rulings and the continuous use of the judiciary and
police to undermine the opposition and the civic movement have played a
decisive role in shaping the current political terrain.

Secondly, the state has shown little additional indication that it is
willing to open up political space in the country. The major pillars of
repressive legislation, namely the severe controls on information
dissemination and freedom of association, remain in place. Recently both the
ministers of Information and Legal Affairs have reiterated the government's
refusal to allow the opposition access to the public media on the basis that
the MDC is not a loyal opposition.

This characterisation of the MDC is consistent with the declaration that the
2005 general election will be an "anti-Blair" election. The implications of
such a discursive assault are that the MDC is not a national entity and
therefore not entitled to speak on national issues. The ruling party has set
the parameters of national legitimacy and in so doing has unilaterally
delineated the boundaries of what is acceptable in the political arena.

A further message of such state censure is that those parties that fall
outside such a selective definition of the "national" must accept to be
dealt with by any means necessary. This language of selective citizenship
has marked the authoritarian nationalism of the ruling party and there are
indications of its infectiousness in other countries in the region.

In the light of such prevailing conditions it is necessary to read the
positive judgement in the case of Tsvangirai extremely cautiously.

It is now clear that the Mugabe regime needs a "legitimate" outcome from the
2005 election, and to that purpose has instituted some minimal election
reforms that it argues are in accordance with the Mauritius guidelines on
minimal standards. An international acceptance of the 2005 election would
serve as a launching pad for the ruling party's return to the international
community.

Thus far President Robert Mugabe has retained the support of the Southern
African Development Community (Sadc) and the African Union and there is
little to assume that such support will not remain in place until next year.

Certainly there is a general position in the region that the 2005 election
could serve as the means to resolve the Zimbabwean crisis, even if such a
resolution takes place at the level of form rather than substantive content.
South African President Thabo Mbeki appears to favour such a denouement for
his policy of quiet diplomacy.

Thus Sadc will certainly be pushing the MDC to take part in next year's
election, and there are indications that sections of the European Union
favour such a course as well, if only to get Zimbabwe off the international
agenda.

The purported election reforms, combined with the favourable court judgement
of the opposition leader, will thus be used as evidence of goodwill from the
ruling party, and a strong push for the opposition to enter the 2005
electoral race.

In the current political environment, in which so much damage has been done
to the political process, a decision by the opposition to oblige such
pressures will more than likely lead to a major defeat of the MDC. In the
event of such an outcome the Sadc minimum standards will have been used to
ratify an authoritarian regime in the name of the interests of Zimbabwe and
the region, and Mbeki will have walked the tightrope of maintaining African
legitimacy while remaining the "pointman" of the West. The major victim of
such a process will be the struggles for democratisation not only in
Zimbabwe but in the region.

*Brian Raftopoulos is associate professor of development studies, IDS,
University of Zimbabwe.
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