The ZIMBABWE Situation | Our
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Action
by Churches Together (ACT) - Switzerland
Website: http://www.act-intl.org
ACT News
Update
Zimbabwe 0203
ACT members in Zimbabwe respond in worsening
situation
Geneva, November 5, 2003—Members of the global alliance Action
by Churches
Together (ACT) International in Zimbabwe say they are "extremely
concerned"
by the humanitarian and economic situation there. Lutheran
Development
Service (LDS) and Christian Care note a continued decline in the
country's
situation, despite some signs of recovery in neighbouring
countries.
The members have been operating relief programs since 2001.
Citing many
difficult conditions, they say there are no signs of the
emergency letting
up.
The coming "hungry season" will be much more
serious than the previous one.
Only a third of the maize harvest is expected,
resulting in the loss of
another productive growing season. This is due to
the acute shortage of seed
and high cost of fertiliser. Public health
services have been declining,
causing a rise in deaths of mothers giving
birth and children under 5.
Economic growth is in its fifth consecutive year
of decline, which has a
serious impact on living conditions. Food may be
available in the cities,
but is unaffordable to many. Inflation is expected
to reach 800 percent by
the end of the year. Some families have an income
from jobs, but it is
extremely hard for those who do not have an income.
Zimbabwe cannot even pay
the interest on its external debt.
LDS's
immediate priority is distributing seeds to people so they can plant
crops.
There is a critical shortage of seed in the country, and it has to
be
imported. Time for planting is running out, and therefore what people
can
plant will not produce enough, a situation which will perpetuate the
food
crisis in the coming year.
LDS is also attempting to get food
relief to people to prevent them from
eating the seeds when they are
distributed. "The ideal situation is to bring
the two together, to have the
food and have the seed distributed at the same
time to the people so each is
used as intended," says Sibongile Baker, LDS
director. "It is bad," says
Baker about the food situation.
Referring to the continuing drought,
Solomon Vudzijena, former acting
director of LDS, says, "The situation might
not change. But it might get
worse."
Information provided by Lutheran
Development Service and Christian Care.
(ends)
ACT is a world-wide
network of churches and related agencies meeting human
need through
coordinated emergency response.
The ACT Coordinating Office is based with the
World Council of Churches
(WCC) and the Lutheran World Federation (LWF) in
Switzerland.
ABC Australia
Zimbabwean economy rife with corruption, conference
hears
Zimbabwe's economy is being undermined by contradictory and
ineffectual
government policies, corruption, greed and the country's negative
image
abroad, a high-level conference has heard.
The two-day
conference - organised by the government and a group of
business, labour and
civic organisations, is designed to discuss ways of
resolving the southern
African country's economic crisis.
Participants at the no-holds barred
talks, which are being held just days
before the announcement of the
country's 2004 national budget, said it was
vital to restore confidence and
stability in Zimbabwe and improve its image
abroad.
"Without
confidence people cannot save or invest in our country; without
confidence
capital flight will be the order of the day; without confidence
we will have
the black market instead of the formal market," Anthony
Mandiwanza said, head
of the Confederation of Zimbabwe Industries.
Zimbabwe is suffering from a
shrinking economy, hyperinflation at 455 per
cent, rising poverty and
unemployment, and shortages of most basic goods and
services.
Several
participants at the conference said the sharp decline of key sectors
of the
economy in recent years was, at least in part, the fault of the
government -
including its foreign exchange, pricing and monetary policies.
The
government of President Robert Mugabe launched an ambitious recovery
program
in February.
But speakers at the conference, among them a former central
bank governor,
said hardly anything of the plan had come to
fruition.
"I think we need to take ourselves seriously - there is quite a
little bit
of disorder in our country which we need to sort out," Kombo
Moyana said,
who headed the central bank in the late 1980s.
In 2000,
Zimbabwe embarked on a land reform scheme which involved
confiscating land
from the white minority to give to landless blacks.
The reform has been
severely criticised by many observers and has they say,
contributed
significantly to the country's current food shortages.
Agriculture, which
contributed $US886 million to the economy in 1997, is
forecast to bring in
only $US250 to $US300 million this year, Mr
Mandiwanza
said.
Manufacturing sector revenue declined from $US900
million in 1997 to $US263
million last year.
Tourism income fell from
$US700 million in 1999 to $US71 million last year.
-- AFP
africaonline
Mbeki says Zimbabwe talks showing promise
Staff
Reporter
OTTAWA, 6 November 2003
Progress is being made in Zimbabwean’s
new-government talks says SA
president.
OTTAWA: Thabo Mbeki, the South
African president, who is on three-day state
visit to Canada, says progress
has been made for establishment of a new
government in
Zimbabwe.
During his discussion with Jean Chretien, Mbeki also emphasised
that he was
not party to the internal talks in Zimbabwe. Mbeki said it was
clear that
the Zimbabwean government and its opposition must co-operate with
one
another. Zimbabwe was suspended from the Commonwealth in March last
year
over its poor human rights record and President Robert Mugabe's
re-election,
in a vote that was widely condemned as rigged.
Meanwhile,
lawyers representing Mugabe have demanded that his critics bring
witnesses to
back their claim that his re-election last year was rigged. The
lawyers also
called on the High Court not to make decision based only on
legal
arguments.
Morgan Tsvangirai's opposition Movement for Democratic Change
(MDC) and
several Western groups say Mugabe, who has been in power since
independence
from Britain in 1980, rigged the March 2002 poll to overcome
an
unprecedented challenge. Ben Hlatshwayo, the High Court judge,
reserved
judgment on the matter to an undisclosed date. Hlatshwayo might
decide on
the validity of the election purely on the basis of the arguments
of the
last two days, or order a fuller hearing with witnesses.
-AFP/REUTERS
Zimbabweans Buying Fuel in Mozambique
Agencia de Informacao de
Mocambique (Maputo)
November 5, 2003
Posted to the web November 5,
2003
Maputo
The economic crisis in Zimbabwe is now so acute that
Zimbabwean companies
are sending tankers across the border into Mozambique to
buy fuel, reports
Wednesday's issue of the independent newsheet
"Mediafax".
Zimbabwe's desperate shortage of foreign currency has made it
ever more
difficult for the country to import fuel, even from eccentric
friends such
as the Libyan dictator Muammar Gaddaffi.
Fuel used to
flow to Zimbabwe along a pipeline from Beira - but nothing has
been pumped
since February, because of the large debts that Zimbabwe owes to
the
Mozambique-Zimbabwe Pipeline Company (CPMZ).
Anonymous sources from CPMZ
told "Mediafax" the company has complained at
the Mozambican government's
tolerance of large amounts of fuel going into
Zimbabwe, before the Zimbabwean
authorities have settled their debt to CPMZ.
Zimbabwean motorists living
in the east of the country have recently made a
habit of crossing over into
Mozambique's Manica province merely to buy fuel.
"Mediafax" reports that
the main beneficiary from this is the company
BP-Mozambique, which owns most
of the fuel pumps used by the Zimbabweans.
New York Times
Zimbabwe Court Hears Arguments in Presidential Loser's
Case
By MICHAEL WINES
Published: November 6,
2003
OHANNESBURG, Nov. 5 — Zimbabwe's High Court completed a brief
hearing
Tuesday into charges that President Robert Mugabe's supporters rigged
his
2002 re-election victory, but there was no indication when, or which
way,
the court might rule.
In a case some called historic — and others
argued was predetermined by
Zimbabwe's politically skewed justice system —
lawyers for the losing
candidate, Morgan Tsvangirai, argued that the election
was stolen from him
by fraud and intimidation. At one point in the hearing,
they offered 200
pages of documents they said would prove that election rules
were abused
and, in some cases, altered at the last minute.
In
particular, Mr. Tsvangirai's lawyers complained that four-fifths
of
Zimbabwe's 119 polling places were closed during the third and final day
of
elections in defiance of a court order stating that the polls should
remain
open. The lawyers also alleged that Mr. Mugabe packed the
Electoral
Supervisory Commission with military officials and supporters,
ensuring that
it could not oversee an impartial ballot.
But lawyers
for Mr. Mugabe, Zimbabwe's leader since it dissolved Rhodesia's
white-run
government 23 years ago, dismissed Mr. Tsvangirai's complaints as
groundless
and called for a full-scale trial.
"It is inconceivable that the election
of the president should be set aside
because three lawyers appeared before
you and made arguments," the Reuters
news service quoted Mr. Mugabe's lawyer,
Terrence Hussein, as saying. "What
you are being asked to do is come up with
a decision based on the flowery
language that has been used. In my respectful
submission, that is not
possible."
The judge in the case, Justice Ben
Hlartshwayo, could dismiss the complaint,
invalidate Mr. Mugabe's election or
convene a trial with witnesses as Mr.
Mugabe's lawyers demanded.
The
justice has indicated that he will not rush to judgment, a statement
some see
as significant in itself, given Mr. Mugabe's age — he is 79 — and
rumors
about his health.
Mr. Mugabe is building himself a palace north of the
capital, Harare,
raising speculation that he may announce his retirement at a
congress of the
ruling ZANU-PF party late this year. Some news accounts
suggest that he has
come under growing pressure to surrender power as his
nationalization of
prime farmland and controls on prices and exchange rates
have brought
Zimbabwe's economy to a standstill.
A lawyer for Mr.
Tsvangirai, Bryan Elliot, said in a phone interview Tuesday
that the lawyers
"have no idea when a ruling will be made." Asked whether he
hoped for a
favorable ruling, he replied, "We brought the case because we
were
hopeful."
Other private legal experts in Harare said in phone interviews
that
Zimbabwe's judicial system is so subject to political influence that
even
the High Court, which has some measure of independence, would be
hard
pressed to rule impartially.
The judge who heard the arguments is
the one who last year ordered that
presidential polls be kept open a third
day. Mr. Tsvangirai, the leader of
Zimbabwe's Movement for Democratic Change,
lost the election by 400,000
votes, or 56 percent, in an election most
Western observers and human-rights
groups denounced as fraudulent. Observers
from many African countries and
from Russia and China called it free and
fair.
The government has since charged Mr. Tsvangirai with treason,
accusing him
of plotting to assassinate Mr. Mugabe.
VOA
Zimbabwe Judge Orders Striking Doctors Back to Work
VOA News
05
Nov 2003, 22:22 UTC
A Zimbabwean court has ordered striking doctors
to return to work
immediately -- saying their action is illegal.
Junior
and mid-level doctors in Zimbabwe went on strike on October 23 after
several
attempts to have their salaries increased.
In a ruling Wednesday, Lilian
Hove, Presiding Judge of Zimbabwe's Labor
Court, said although the doctors
have legitimate grievances over their
salaries, they ignored established
procedure to have their issues solved.
Under Zimbabwean law, it is
illegal for doctors to go on strike because they
are considered providers of
essential service. Judge Hove also ordered a
government negotiating council
to meet with the doctors on Friday to settle
the doctors'
grievances.
The doctors are asking for a pay increase of up to eight
thousand percent to
compensate for high inflation and the low value of the
Zimbabwe currency. At
the unofficial rate, junior doctors make about $63 a
month and their
mid-level counterparts $80 a month.
Zimbabwean nurses
briefly joined the doctors strike but returned to work
after reportedly
getting an 800 percent increase.
MDC reviews second day of Morgan Tsvangirai’s
court challenge of the March 2002 election result
MDC Department of
Legal Affairs
November 05, 2003
1. Morgan Tsvangirai's legal team concluded the presentation of their oral arguments. After the lawyers for Robert Mugabe and the Electoral Supervisory Commission ("the ESC") had presented their oral legal arguments (which are described below) Advocate Gauntlett and Advocate De Bourbon made their oral submissions in reply.
2. EXPLANATORY NOTE ON EVIDENCE AND LEGAL PROCEDURE
2.1 Before describing the oral arguments put up on behalf of Robert Mugabe and the ESC, an explanation of certain elementary rules of evidence and procedure is necessary.
2.2 Morgan Tsvangirai's court challenge to the March 2002 Presidential Election is a form of legal procedure known as a trial.
2.3 The Electoral Act stipulates that the first step in a trial which involves a challenge to the validity of an election result, is the filing of Affidavits by the challenger setting out his or her causes of complaint. The person who has been declared the winner of the election, and any other parties having an interest in the matter, then file their opposing affidavits. The challenger replies to those opposing affidavits by filing his/her own answering affidavits.
2.4 Then a hearing is held. If there are facts which are not common cause between the parties, ie: which one or more of the parties deny or dispute, then witnesses are called to give oral testimony on those facts, and to be cross-examined.
2.5 If all the parties involved in the trial agree on the relevant facts, but disagree as to the conclusions of law to be drawn from those facts, the hearing will not involve oral testimony by witnesses, but will involve only the presentation of oral legal argument by the lawyers for the parties, with each party's lawyers seeking to convince the Judge that that party's interpretation of the legal implications flowing from those facts is the correct one.
2.6 It is therefore a not infrequent occurrence that no oral testimony of witnesses is presented at a trial, and that the relevant agreed or undisputed facts are recorded in affidavits or some other form of written statement.
2.7 Where affidavits are presented by the parties, how does one determine what facts are undisputed or common cause?
2.7.1 Obviously, where one party admits, in his or her affidavit, a fact alleged by another party in that other party's affidavit, that fact is common cause.
2.7.2 In addition, where one party alleges a fact in his or her affidavit, and the other party does not respond to or deny that allegation, then that other party is taken to have admitted that allegation as being true, and that allegation then becomes common cause between the parties.
2.8 Although Robert Mugabe and his fellow Respondents disputed, in their affidavits, many of the facts alleged by or on behalf of Morgan Tsvangirai in his Founding Affidavits, Robert Mugabe and his fellow Respondents either admitted or did not dispute a number of other facts.
2.9 The legal argument presented at the hearing of Morgan Tsvangirai's election challenge on 3 and 4 November dealt with the legal effect or interpretation of those facts which were common cause between the parties, ie: those facts which were alleged by Morgan Tsvangirai in his affidavits, and which were admitted or not denied by Robert Mugabe and his fellow Respondents in their own affidavits.
2.10 Among the facts which, on the basis of the elementary rules described above, were common cause between the parties, were the following:
2.10.1 Robert Mugabe had, in the run-up to the 2002 Presidential Election, used Section 158 of the Electoral Act to issue a number of Statutory Instruments which significantly changed the rules applying to the Presidential Election, including the rules relating to registration of voters and the conduct of the election itself. The contents of all those Statutory Instruments were not in dispute.
2.10.2 Morgan Tsvangirai was a candidate in the election, and Robert Mugabe was declared the winner of that election.
2.10.3 At the time of the March 2002 Presidential Election, only four members had been appointed to the ESC, and not the five members required by the Zimbabwe Constitution.
2.10.4 The High Court had, on March 2002, with the consent of the Minister of Justice and Robert Mugabe, issued an order requiring a third day of voting to be held throughout the whole of Zimbabwe on 11 March.
2.10.5 That Court Order was not complied with; in 80% of Zimbabwe's 120 constituencies, the polling stations did not open at all on 11 March 2002; the remaining 20% of Zimbabwe's polling stations, although they did open for voting on 11 March, did not remain open for the required minimum of 8 continuous hours.
3. ORAL ARGUMENT PRESENTED ON BEHALF OF ROBERT MUGABE
3.1 Robert Mugabe, as First Respondent, was represented by Mr Hussein. After Mr Hussein presented his oral argument, Advocate Gauntlett and Advocate De Bourbon replied on behalf of Morgan Tsvangirai. In the description of Mr Hussein's argument set out below, the replies given by Advocates Gauntlett and De Bourbon are recorded in brackets.
3.2 Mr Hussein began his oral argument by reading from and commenting on facts alleged by Robert Mugabe in his opposing affidavit, as follows:
3.2.1 In 1997 Robert Mugabe took the "bold and brave" decision to resolve a previously unresolved issue; Robert Mugabe "bit the bullet" and, impelled by conviction and principle, initiated the "Land Resettlement Programme".
3.2.2 In response to this initiative, Britain, a "former colonial power", vowed that Robert Mugabe would be "forced to relinquish power".
3.2.3 "Multilateral" organizations such as the International Monetary Fund, organizations which are "dominated by the US and Britain", withdrew their support for Zimbabwe.
3.2.4 In 1997, "when the first batch of farms for resettlement were designated, the Zimbabwe dollar tumbled to an all-time low".
3.2.5 Just before the March 2002 Presidential Election, Tony Blair had stated, in the British Parliament, that it was "absolutely outrageous" that Morgan Tsvangirai, a Presidential candidate, had been charged with treason during the Presidential Election campaign; that the people of Zimbabwe were living in a "hell hole"; that Robert Mugabe was "dictatorial"; that sanctions ought to be applied against Zimbabwe; and that, if Britain did not take action, the "right result" would not be obtained in the March 2002 Presidential Election.
3.2.6 After Robert Mugabe had "declared his principles" by initiating the Land Resettlement Programme, the MDC was "generously endowed" with foreign funding.
3.2.7 As if this was not enough, "Britain and the MDC got together to persuade the US" to pass domestic legislation to ensure that the "people of Zimbabwe voted properly" in the 2002 Presidential Election, ie; against Robert Mugabe.
3.2.8 Morgan Tsvangirai and "his party cheered on Britain and the US to isolate" Robert Mugabe.
3.3 Mr Hussein continued with his preliminary remarks as follows:
3.3.1 The "machinations" described above had never before "been witnessed in Africa".
3.3.2 Unfortunately for Morgan Tsvangirai, "these machinations came to naught", and Robert Mugabe won the election.
3.3.3 In bringing his court challenge against the election result, Morgan Tsvangirai was seeking to achieve what he failed to win in the political arena. His court challenge was a case of a political fight "spilling into court".
3.3.4 The High Court should be "extremely wary when a losing candidate comes to court to fulfill an agenda he failed to achieve on the political battleground".
3.3.5 Morgan Tsvangirai's court challenge was "devoid of any merit", and "must rank as one of the weakest petitions to come before the High Court".
3.3.6 "Absolutely no authority has been cited" by Morgan Tsvangirai's legal team "to justify how a person in an election petition can invalidate every single law in connection with the election." (In fact, in their written summary of their legal arguments, some 200 pages in length, Morgan Tsvangirai's lawyers had cited, in support of those arguments, more than 100 decided cases and statutes. Also, Morgan Tsvangirai was seeking to declare invalid only one section of the Electoral Act, Section 158, and the Statutory Instruments issued by Robert Mugabe in terms of that Section.)
3.4 (In reply, Advocate Gauntlett stated that it would be unnecessary - from a legal perspective - and undignified to respond to Mr Hussein's initial remarks, and gave them no further attention.)
3.5 After his initial remarks, Mr Hussein commenced presentation of his substantive legal arguments.
3.6 Mr Hussein's first contention was to aver to Mr Justice Hlatshwayo that "you have no facts before you - absolutely nothing". Mr Tsvangirai's lawyers, he said, "were doing cartwheels" when they argued that certain facts were common cause because Robert Mugabe had not denied those facts in his affidavits.
3.7 "What facts" Mr Hussein asked the Judge, rhetorically, "do you have to prove that polling did not take place on the third day?" Mr Tsvangirai's lawyers said Mr Hussein, had "not put up any facts" at all.
3.8 Mr Hussein submitted to the Judge that "what you are asked is to come up with a decision based on the flowery language" of Mr Tsvangirai's legal team.
3.9 A trial involving presentation of oral testimony of witnesses "was paramount" said Mr Hussein. The matter could not "be resolved on flimsy legal argument".
3.10 (Mr Hussein had apparently never heard of, or had forgotten, the elementary rules of procedure and evidence described in paragraph 2 above. He had also apparently overlooked the hundreds of pages of affidavits put up by Morgan Tsvangirai, containing a host of factual allegations.)
3.11 Mr Hussein went on to contend that Advocate Gauntlett was seeking "to declare 99% of Zimbabwe's laws invalid".
3.12 The legal arguments raised by Morgan Tsvangirai's lawyers were "unnecessary clutter" in the view of Mr Hussein. (He had apparently forgotten that all court cases are decided, following legal argument from the parties' lawyers, by application of the relevant law to the agreed or determined facts.)
3.13 Mr Hussein contented that, in the type of court challenge mounted by Morgan Tsvangirai, no order could be sought (as Morgan Tsvangirai was seeking in respect of Section 158 of the Electoral Act) to declare a law unconstitutional. (In reply Advocate Gauntlett emphasized that Section 102 of the Electoral Act stated that a challenge to an election result could be brought on the basis of "any cause whatsoever", including on the basis that the election law was unconstitutional.)
3.14 Mr Hussein asserted that the High Court does not have the jurisdiction to decide whether a law violates the Constitution, and that the question of whether Section 158 of the Electoral Act - which gave unrestricted power to Robert Mugabe to make election laws - was unconstitutional would have to be referred to the Supreme Court. (Mr Hussein did not attempt to explain how this assertion was compatible with the fact that the High Court, as shown in a list of more than 40 decided cases put up by Morgan Tsvangirai's legal team, had ruled on the constitutional validity of otherwise of statutes passed by Parliament.)
3.15 Morgan Tsvangirai did not have legal standing to come to the High Court to challenge the 2002 Presidential Election result, said Mr Hussein. (In reply, Advocate Gauntlett pointed out that the Electoral Act expressly states that a court challenge can be brought against an election result by any one who was an unsuccessful candidate in that election.)
3.16 Mr Hussein offered no oral argument, and cited no authorities, in respect of any of the following questions (which questions, Morgan Tsvangirai's lawyers had already argued, should be decided in Morgan Tsvangirai's favour, and should lead to the Presidential Election being declared a nullity):
3.16.1 Whether Section 158 of the Electoral Act, which gave unrestricted power to Robert Mugabe to make election law, was indeed unconstitutional or not.
3.16.2 Whether or not the election should be declared invalid if Section 158 was indeed found to be unconstitutional.
3.16.3 Whether the fact that the ESC was not validly constituted was a basis for declaring the election a nullity.3.16.4 Whether or not the election should be declared invalid because no third day of voting was held.
3.17 Mr Hussein did, however, put up the following argument: "to set aside the election of the President of Zimbabwe, the Commander-in- Chief of its armed forces, and the person who signs all Zimbabwe's laws in order to make them of force and effect, simply because three lawyers appeared in court asking for this, would be a legal disaster."
4. Mr Chikumbirike then presented argument on behalf of the ESC.
4.1 Mr Chikumbirike's first contention was that the court should make a ruling that Morgan Tsvangirai had acted incorrectly in joining the ESC as a respondent party to the litigation; that the ESC, despite the fact that the Constitution gave it ultimate responsibility for supervising the election, had no substantial interest in the case; and that the ESC should be released from further participation in the case, as were the Minister of Justice and the Registrar-General in terms of the recent Judgment by Mrs Justice Guvava.
4.2 Mr Justice Hlatshwayo said that the ESC should have made this application for release earlier; that he would decide this question in due course; and that Mr Chikumbirike should, in the meantime, proceed with the rest of his argument.
4.3 Mr Chikumbirike contented that the meaning of Section 61 of the Constitution, which confirms the independence of the ESC by stating that it should not be subject to the control of any person or authority, is that not even the High Court can scrutinize its actions, or hold it to account.
4.4 On the question of whether the ESC had been properly constituted, Mr Chikumbirike said that the ESC had in fact come into being in 1980 when the Constitution was enacted, because the Constitution contained the words "there shall be an Electoral Supervisory Commission …". Because the ESC had come into being by operation of the Constitution, and not when its members were first appointed, it was irrelevant whether or not the full complement of five members had ever been appointed . (In reply Advocate Gauntlett pointed out, to much laughter in the court that, on this reasoning, there was no need ever to elect a President, or even members of Parliament, because the Constitution said "there shall be a President …" and "there shall be a Parliament …")
5. After Advocates Gauntlett and De Bourbon had presented their closing remarks, Mr Justice Hlatshwayo said that the matter involved complex legal arguments which would require some time to digest, and therefore that he was reserving Judgment. He did not give any indication of when he might be in a position to deliver Judgment.
6. If Mr Justice Hlatshwayo finds in favour of Morgan Tsvangirai on any of the principal legal points advanced by his legal team, then the Presidential Election of March 2002 will be set aside. If the court finds against Morgan Tsvangirai on all his legal arguments, then the case will go to the second stage, which will involve the presentation of oral testimony on the disputed facts, namely the allegations made by and on behalf of Morgan Tsvangirai concerning overt abuses on the part of the authorities in the conduct of the election.
WINDHOEK, Namibia, Nov. 5 (UPI) -- Next week's planned
seizure of
white-owned farms in Namibia has sparked protest by a coalition of
critics,
the London Independent said Thursday.
The Namibia Farmworkers
Union, with support from landless blacks, farm
labourers and Namibia's
government, plans to seize 15 farms next week.
But the National Society
for Human Rights, a coalition of civic groups,
Wednesday strongly condemned
the proposed land occupation, saying it would
do to Namibia what it had done
to Zimbabwe.
The human rights coalition said it "does not support any
unconstitutional
and unlawful takeover of any commercial or communal farms,
regardless of the
colour and or political affiliation of the farm owners. If
allowed to stand,
the proposed invasion could become a most serious setback
for the relative
peace and tranquillity which this country has enjoyed since
independence in
1990."
Alarmed white farmers represented by the
Namibia Agricultural Union have
called on the authorities to protect
privately owned land, warning the
seizures will have devastating economic
consequences.
The Star
'African way' of doing things goes against ubuntu
November 6, 2003
By Max du Preez
Africans are so
occupied with cursing the West as racists who
discriminate against the Third
World that they do not realise they are
guilty of exactly the same
crimes.
How many times in recent years and months have I read
African leaders
or commentators angrily make the point that African lives are
not regarded
as equal in value to European or American lives. In fact, I have
made the
point myself in this column on more than one occasion.
But the stark reality is that Africans also regard African lives as
inferior
to those of other nations. Like the bigots from the
so-called developed
world, most Africans also seem to think that
Africa is a back- water with
lower standards than the "First World".
If a group of 120 citizens
accused of the same political crime were
kept in jail without trial for four
years in Britain or Germany, it would
create such a scandal that it might
just see the government who jailed them
being ousted in the next
election.
If 12 of those accused died in custody and the
authorities refused
proper autopsies, the whole world, South Africa included,
would scream
bloody murder.
But if it happens in an African
country, it is not regarded as a
scandal or an abominable violation of human
rights. Nobody protests, nobody
puts pressure on that government, the
responsible authorities just shrug it
off. It is an internal matter, people
say.
Does that sound outrageous? Well, it has just happened in
Namibia. In
August 1999, a group of Namibians from the Caprivi, demanding the
secession
of their area, attacked the Namibian armed forces.
The
police charged 121 of them and they were refused bail - for more
than four
years. Their trial was due to start this week. But there are only
109 men in
the dock, because 12 of the accused died mysteriously in jail.
Two more are
desperately ill. The accused and their families allege vicious
torture and
inhuman conditions in jail.
Have you heard the African Union or any
of its members protest this
outrage? No.
Has the SA government,
which protested loudly when the United States
and Britain invaded Iraq and
always have a lot to say about the Middle East,
uttered a word of criticism?
No.
Because these 12 men were only Africans. Who cares? Anyway,
they got
what they deserved, because they rose against a legitimate
democratic
government.
The assault, torture, illegal detention
and even murder of ordinary
members of the Movement for Democratic Change in
Zimbabwe are well
documented with photographs, video material, eyewitness
accounts and sworn
affidavits. Equally well documented is the campaign of
rape and terror waged
by the ruling Zanu-PF's youth militia.
Despicable, isn't it? No, not really. These victims of murder, rape
and
torture are only Africans.
Robert Mugabe and Zanu-PF are the heroes
of millions of Africans -
including, we read on the weekend, the South
African National Defence
Force's chief of intelligence, General Mojo Matau.
Veteran journalist Harry
Mashabela wrote recently that Mugabe was "speaking
for blacks worldwide".
The government of President Thabo Mbeki
doesn't seem to have a much
different view.
We are not
embarrassed when Namibia's President Sam Nujoma behaves
like a buffoon,
cursing gay Namibians as pigs who will be dealt with or
storming into the
offices of the public broadcaster to stop programmes he
did not like. We are
not embarrassed when Mugabe destroys his country's
economy, agriculture and
tourism, or when he jails a judge or ignore the
courts.
No,
these actions are par for the course, because this is Africa. We
do not have
the same standards here, you see. We do things the African way.
It
is the African way for a prominent journalist to declare there
should be no
such thing as unbiased reporting and that the public
broadcaster should
bolster the government - and then that same journalist
becomes a member of
the board of the public broadcaster. African journalism
is different from
journalism elsewhere in the world, you understand?
It would have
been understandable if these views were held by
desperately poor, illiterate
and forgotten people.
But I'm referring to the new elite, the
social commentators, the
political leadership in SA and our neighbouring
states.
For instance, political scientist Lawrence Schlemmer
recently found in
a study of attitudes towards Zimbabwe that the richer black
South Africans
are, the more likely they are to support Mbeki's sweetheart
approach to
Mugabe.
Africa is the Mother Continent, the
birthplace of all human beings.
This is where our species for the first time
developed culture and morality.
The African civilisation is the
oldest of all civilisations. If
anything, our values and standards and
respect for human life should be
higher than is the case on other continents.
This is supposed to be the
continent of ubuntu. Injustice is injustice,
regardless of the race or
origin of the perpetrator or victim.
Those who explain away human rights violations, undemocratic
behaviour,
government corruption and excesses as "the African way" are a
blight on that
precious honorary title "African".
The Herald
Envoy stirs hornet’s nest
Herald Reporters
IN what
could spark a major diplomatic row between Harare and Wellington,
New Zealand
High Commissioner-designate, Mr Warren Searell is this morning
scheduled to
meet MDC leader Mr Morgan Tsvangirai before presenting his
credentials to
President Mugabe.
Diplomatic sources said Mr Searell, who flew into
Harare last night, would
meet Mr Tsvangirai, UNDP country representative, Mr
Victor Angelo and South
African High Commissioner to Zimbabwe Mr Jeremiah
Ndou before presenting his
credentials to the President at State
House.
Mr Ndou and Mr Angelo could not be reached for comment last night,
while Mr
Tsvangirai's spokesman, Mr William Bango said he was not aware of
such a
meeting.
In line with diplomatic protocol, ambassadors or high
commissioners cannot
carryout diplomatic duties until they have presented
their credentials to
the Head of State.
They are supposed to rehearse
the presentation of their credentials at State
House before they present them
to the President but diplomatic sources
alleged that Mr Searell had turned
down an invitation for the rehearsals.
Contacted for comment, Mr Searell
confirmed that he was meeting some people
this morning before presenting his
credentials.
He said he believed that as High Commissioner-designate, he
could meet
anyone he wished to.
"Until I talk to the people I will
meet, I cannot say what I will be
discussing with them.
"As High
Commissioner-designate I believe that I can meet with people
in
Zimbabwe.
"I have not turned down an invitation to present my
credentials and I
understand that I am going to have a briefing from the
Zimbabwean Government
in the morning," he said.
The Minister of
Foreign Affairs Cde Stan Mudenge said: "If it is true that
he has a programme
like that, then it is a very serious contravention of
diplomatic protocol and
the Vienna Convention.
"As you know, we do not have a High Commissioner
for New Zealand yet and
nobody can pretend to operate as High
Commissioner.
"If it is true that the High Commissioner-designate for New
Zealand, who is
due to present credentials, is already acting as if he is
High Commissioner,
clearly he will be in breach of protocol and naturally
there will be no
credentials for him.
"He will be free to return where
he came from with the next plane," the
minister said.
Cde Mudenge said
the High Commissioner-designate for New Zealand would only
be able to operate
as High Commissioner after presenting his credentials
today.
"Then he
will be able to see his friends or associates who you mentioned,"
said Cde
Mudenge.
The Government had no problem with Mr Searell meeting "his
associates", if
indeed it was true, but would find it odd that he would do so
first without
bothering to pay courtesy calls on the Vice President or the
Minister of
Foreign Affairs.
Sources said Mr Searell was scheduled to
meet with Mr Angello between 8am
and 9am, Mr Tsvangirai between 9am and 10am
and Mr Ndou between 10am and
10:30am.
Rehearsals for the presentation
of the credentials start at 8:30am.
Analysts said if this was true, then
the actions of the New Zealander were a
diplomatic blunder, the height of
arrogance and a breach of diplomatic
protocol of the worst kind.
"It
shows total disrespect for Zimbabwe’s sovereignty and undermines not
just
international norms, but even defeats the whole purpose that is
supposed to
be at the centre of his visit, namely accreditation. It’s
unheard of that
anyone would breach protocol in that manner," said an
analyst.
The
diplomatic sources said either Mr Searell would be forced to cancel
his
programme or he would be asked to leave the country.
"The Kiwis
have put themselves in a very embarrassing situation on the eve
of CHOGM
(Commonwealth Heads of Government Meeting) in Nigeria next month,"
said a
diplomat.
New Zealand, which, after waging a winless campaign together
with Australia,
Britain and Canada to isolate Zimbabwe, had been quiet until
this major
diplomatic gaffe, had put itself in a lose-lose situation by
having to
either cancel the undiplomatic programme or have Mr Searell
deported.
"Neither is pleasant and they must climb down one way or the
other. They
have put themselves against a hard place and a rock, whether he
cancels the
programme or gets deported. But the effect is the same, it is a
major
embarrassment for New Zealand in Zimbabwe," said another
diplomat.
Mr Searell, according to the sources, was tomorrow scheduled to
meet NCA
chairman Mr Lovemore Madhuku, United States ambassador Mr Joseph
Sullivan,
British High Commissioner Mr Brian Donnelly and Ms Miriam Mhunduru,
a
representative of a non-governmental organisation called VSA.
FinGaz
I’m up to the task: Gono
11/6/2003 8:56:08
AM (GMT +2)
Gono, whose negotiating dexterity caught the nation’s
imagination as
he stitched up fuel import deals at a time when Zimbabwe was
increasingly
ostracised, was appointed the governor of the central bank on
Tuesday this
week. This is a high-pressure job that has a precarious tenure
and can be a
scapegoat for discontent over politically sensitive policy
issues.
"I am no stranger to challenging assignments, and this is
one of them.
I, however, would like it known from the outset that the
monetary function
of the central bank alone is not adequate for this or any
economy to turn
around," said Gono.
"For us to succeed, there
has to be a host of collaborative efforts by
all stakeholders which must
compliment and reinforce the actions that would
be taken by the central bank.
The nation has no choice but to embrace itself
in unity of purpose while
taking measures, tough as they may seem, to
correct past mistakes while at
the same time moving ahead to place our
economy on a sound
footing."
The appointment of Gono, who many had erroneously
speculated would
soon switch finance for politics, drew the curtains on the
protracted search
for the key man at the country’s financial regulator, which
has been
rudderless since the departure of Leonard Tsumba, who left in July
after the
expiry of his term. It also brings to an end all the speculation
and
uncertainty in the markets over the delayed appointment of a
substantive
governor.
Charles Chikaura has been acting governor
since Tsumba left.
Although it was only made public this week,
Gono’s appointment has
been an open city secret. As early as the beginning of
this year, before the
former governor’s departure, news had swirled about the
imminent appointment
of Gono even as the incumbent (Tsumba) seemed to have
set a distant
departure date. It was, however, difficult to ascertain whether
Gono himself
had long coveted the top job at the central bank.
Gears are expected to immediately engage as soon as Gono assumes
office at
the central bank, which for now seems to have its needle well and
truly stuck
insofar as pertinent policy issues are concerned, market
watchers said
yesterday.
They said with the coming in of a new governor, the RBZ
was expected
to provide the electric jolt to light up the fuse for an early
economic
recovery.
To achieve this, they said, Gono would have
to come up with a
well-defined interest rate policy, a realistic exchange
rate regime, roll
out an array of anti-money laundering measures, bring down
inflation levels
to their nadir as well as improve and enhance the RBZ’s
supervisory and
monitoring role over the banking sector, which is not about
to call time on
growth. The central bank has in the past tended to address
banking sector
difficulties only after they have emerged
publicly.
"Personally, I have high regard for Gono. But before he
puts the
surgical knives to use, there are justifiable questions over whether
he can
overcome adversity in the face of inevitable extensive
political
interference at the central bank. Or whether he has the clout to
convince
the politicians and rally them behind his evolving vision for the
future so
that they can nod through his proposal for the restructuring of
the
institution," said one observer.
He said that Gono, who
takes up his new appointment on December 1, two
days after his 44th birthday,
was a cautious businessmen who would not "take
the plunge" unless guaranteed
a free rein. Gono would be on notice to
perform, he said, but was prudent
enough to know when to cut his losses than
linger in unsatisfactory
circumstances "if the government does not play
their role".
Gono, the tea maker-that-made good, proved his mettle when he was
thrust at
the heart of a corporate maelstrom as the chief executive officer
and
managing director of the Commercial Bank of Zimbabwe (CBZ), which he
has
since turned around to become something akin to a byword for
banking
excellence and corporate solidity.
At the time he joined
the CBZ, now trading as the Jewel Bank, the bank
exhibited severe financial,
operational and compliance problems which
ironically exposed the weaknesses
inherent in the supervisory and monitoring
focus of the RBZ — the institution
the seemingly unflappable Gono is now
going to head.
The CBZ
suffered a full-blown liquidity crisis, a run on the bank
underlying deep
depositor alienation, revenues which were not sufficient to
provide for
adequate capital and cover losses in the face of mounting
delinquent loans as
well as support present and future operations. But today
it has the
distinction of being Zimbabwe’s best-known turnaround success
story.
FinGaz
Anxiety grips army top brass
Brian
Mangwende
11/6/2003 8:57:01 AM (GMT +2)
ZIMBABWE’S
military hierarchy was reportedly in a mood of anxiety amid
reports that
Zimbabwe National Army (ZNA) Commander, Lieutenant Constantine
Chiwenga, was
tipped to become the Commander of the Zimbabwe Defence Forces
(ZDF) ahead of
Air Marshall Perence Shiri.
Chiwenga has been Commander of the
ZNA since July 1994 and played a
number of roles in the Zimbabwe National
African Liberation Army’s high
command during the armed
struggle.
President Mugabe is the Commander-in-Chief of the
ZDF.
Shiri, Commander of the Air Force of Zimbabwe (AFZ), was next
in line
to succeed General Vitalis Zvinavashe as Commander of the ZDF, in
line with
the mooted system of alternating commanders of the AFZ and ZDF for
the top
military post.
Zvinavashe was the first commander of the
unified forces.
A close ally of President Robert Mugabe, Zvinavashe
is retiring in
December after nine years at the helm of the country’s
military.
He is reportedly set to embark on a political career,
most likely as
ZANU PF’s godfather for the Masvingo province following the
death of
Vice-President Simon Muzenda.
Sources said the
sidelining of Shiri from the army’s top job was
calculated at pacifying any
political undertones that might emerge as a
result of his association with
the North Korean-trained Fifth Brigade, which
led an anti-dissident
insurgency operation in Matabeleland that resulted in
the massacre of
hundreds of Ndebeles in the early 1980s.
Appointing him head of the
ZDF, especially at such a desperate moment
for ZANU PF in the country’s
political history, would anger the few
politicians the party has managed to
win from the region and the former PF
ZAPU, then led by the late Joshua
Nkomo.
Nkomo, who was blamed for the dissident movement, signed a
Unity
Accord with ZANU PF in 1987 resulting in the merger of his party with
ZANU
PF and an end to anti-dissident operations, code-named Gukurahundi,
in
Matabeleland and parts of the Midlands.
Sources said anyone
who would take over the army’s top job had not
only to be acceptable to
President Mugabe, but to the two major tribes, the
Shona and Ndebele, the
army and the President’s successor.
"President Mugabe is walking a
tight rope," a source said. "If he
chooses Shiri, he would be actually
revamping the memories of the
Gukurahundi massacres and angering former ZAPU
members, now key members of
his party. That would be unwise. Chiwenga is
generally accepted by the
people in Mashonaland and Matabeleland so he stands
a chance."
Tungamirai told The Financial Gazette this week that the
general trend
when appointing army bosses is that of alternation between the
army and the
air force.
"This last period, the defence forces
were headed by a person from the
army," he said. "And the next in line should
be a person from the air force.
That is the trend even across the borders.
They are supposed to alternate,
but who knows, the President being advised by
the Minister of Defence, may
have a different strategy."
Tungamirai, who together with former defence forces chief Solomon
Mujuru are
the only two soldiers who have been awarded the Grand Commander
Order of
Merit of Zimbabwe for bravery, scoffed at suggestions in some
military
quarters that a major-general might take over the post.
"That’s
impossible," the former air force chief said. "We have a
stringent chain of
command in the forces and I do not see a junior officer
being elevated to
give orders to those who have been above him or her for a
very long
time."
Tungamirai and Mujuru are the only two soldiers who were
co-opted into
the supreme decision-making body, the politburo, after their
retirement.
Although Zvinavashe, who is currently on leave, could
not be reached
for comment, sources said he was bracing to fight it out with
former air
marshal Josiah Tungamirai for the Gutu North seat which fell
vacant after
the death of vice president Simon Muzenda about two months
ago.
The sources said Zvinavashe’s retirement could be a deliberate
move to
prepare him to take over as a co-vice president, on the strength of
his
loyalty to President Mugabe.
"Mugabe needs to feel secure
when he retires," the source said. "But
what better way to do that than to
place his loyalist Zvinavashe to be his
deputy before he finally throws in
the towel."
FinGaz
DRC looters must be dealt with at country level:
UN
Staff Reporter
11/6/2003 8:58:46 AM (GMT
+2)
THE United Nations Security Council has recommended that
individuals
named in the plunder of the Democratic Republic of the Congo
(DRC) during
the country’s civil war should be dealt with at country
levels.
Zimbabwe’s outgoing army general, Vitalis Zvinavashe, and
the speaker
of Parliament Emmerson Mnangagwa and several unnamed government
officials
were cited as having benefited illegally from the war.
They have all vehemently denied the UN charges, saying they were
authored by
people bent on tarnishing the image of Zimbabwe due to the
country’s
intervention in the DRC to prop up the late Laurent
Kabila’s
regime.
Last Thursday the United Nations Security
Council examined the Panel
of Experts report on the illegal exploitation of
resources of that country
during the war as pressure mounted from
humanitarian organisations for those
who benefited from the conflict to be
brought to book.
The Panel of Experts was set up in 2000 by the
Security Council to
investigate issues of illegal exploitation of resources
by the warring
parties.
War broke out in the DRC in 1998, with
six countries getting sucked
into the conflict, which ended last
year.
The DRC government has already suspended some of its own
officials
named in the report.
In support of the UN Security
Council resolution, Human Rights Watch,
an international human rights body,
has said that member states should
launch investigations into profiteering
during that war.
"They (governments) must conduct open and
transparent investigations
using the OECD (Organisation for Economic
Cooperation and Development)
process or other judicial procedures to clarify
the role that companies have
played in the conflict in Congo," the human
rights watchdog said.
FinGaz
Byo council plans to raise charges by massive
850%
Staff Reporter
11/6/2003 8:59:40 AM (GMT
+2)
THE cash-strapped Bulawayo City Council is planning to raise
rates,
tariffs and other supplementary charges for residents,
government
departments, business and industry by a whopping 850 percent
beginning next
year, information obtained this week revealed.
Documents in possession of The Financial Gazette show that the council
is on
the verge of proposing a shocking budget of $180.2 billion for
2004.
Increases in rates, tariffs and supplementary charges to finance the
budget
would be implemented in four phases during the 12 months of the coming
year.
The first stage of the four-phase implementation process will
see the
rates, tariffs and other charges going up by 400 percent. In the
second
phase, the rates, tariffs and other charges will be hiked by 230
percent
while in the third segment, the rates will surge by 145 percent and
in the
last quarter by 75 percent.
A property currently paying
total supplementary charges of $5 529.92
will in the first quarter of 2004
fork out $27 649.60.
"It should be repeated that the macro-economic
environment is not
conducive for annual budgets. That being so, should actual
inflation rates
remain well below those estimated at the end of each quarter,
that would
create on opportunity for a commensurate reduction in tariffs and
charges.
As a matter of policy, I am sure we are in agreement on the
adjustments of
our budget on a more frequent basis. A review and adjustments
of the
proposed tariffs and charges during the year is therefore possible,"
said
Greenfield Nyoni, the chairman of the city’s Finance and
Development
Committee.
The total projected budget for 2004 is
pegged at $180.250 billion. The
projects for next year would be prioritised
to first and second category
with the projects in category one gobbling up
$147 billion while the last
category is estimated to chew up about $2.2
billion. Projects left over from
2003 are envisaged to cost about nearly $32
billion.
"With the negotiations for the financing of the 2003
capital works
still in progress, it is only logical that those projects that
were funded
in 2003 should be given priority in terms of implementation.
Other projects
can only be embarked upon when the financial resources become
available.
Council will have to seek alternative sources for financing, in
particular
for those projects which have a foreign currency component," reads
part of
the budget proposal by council made available to The Financial
Gazette.
It adds: "Meantime the thrust should be to maintain the
collapsing
infrastructure and extending its useful life. It should be noted
that our
capacity to borrow is limited to our capital charges not exceeding
25
percent of our projected income. At a budget income of $537.641
billion,
Council may borrow up to $157 449 billion. However there is always
the
possibility of the adjustment depending on availability of
resources."
The budget document highlighted 17 major ongoing
projects that are
included in the capital estimates for the year 2004
amounting to $31.4
billion.
The projects include road and road
works, vehicles, plant and
machinery, primary schools, sewage systems, water
infrastructure services,
housing, library services, cemeteries, maintenance,
informal sector, ward
allocation, public lighting, furniture, equipment and
fixtures, traffic
control and others.
"With official inflation
levels expected to reach 700 percent by
year-end, it would not be too
surprising if projections for the 2004 year
exceed the 1 500 percent figure.
In this hyperinflationary environment,
there is all likelihood of frequent
price adjustments continuing into the
2004 year and, maybe, well
beyond.
"Inflation is likely to hit the 1 500 percent mark if not
exceed it.
Shortages of foreign currency and scarcity of fuel are likely to
persist . .
. not to mention a further possibility of numerous requests by
staff for
adjustment to remuneration levels. As you will appreciate, the
uncertainty
surrounding our economic environment calls for reliance on
ever-changing
assumptions. We can only hope that our assumptions are on the
positive
side."
In the rate and general services, the document
puts total expenditure
of up to $309.886 billion against income before
increases in charges of
$9.279 billion, resulting in a shortfall of $300.607
billion.
"It should be noted that the major proportion of the
shortfall in this
account arises from the provision of fire and ambulance
services, public
lightning and traffic control. Also contributing to the
deficit is the
environmental protection, the provision of the recreation
facilities and
road works. In order to balance the rates and general services
account,
tariffs, fees and charges would otherwise have to be increased by 3
235
percent," the document said.
FinGaz
Defiant Mudzuri holds on to council Merc, phone
Chief Reporter
11/6/2003 9:01:32 AM (GMT +2)
SUSPENDED
Harare Executive Mayor, Engineer Elias Mudzuri, said he
would not return the
Mercedez Benz and cellphone given to him by the Harare
City Council until the
local authority obtains a court order to that effect.
Earlier this
week, Town Clerk, Nomutsa Chideya told The Financial
Gazette that Mudzuri’s
benefits had been withdrawn in accordance with a
suspension letter written by
the Minister of Local Government, Public Works
and National
Housing.
But a defiant Mudzuri this week said he would only return
the property
if the High Court so wishes and not because of Chombo’s
unilateral actions.
"No one has communicated to me that this is the
new position," the
embattled mayor said. "As a matter of fact, what I have
been hearing in the
news is not new. The council withdrew the fuel facility
that I had at one of
our depots last month. In addition they cut my cellphone
line. This was on
Chideya’s instructions, who is now on a revenge mission
since I suspended
him sometime ago."
Chideya was suspended in
October last year on allegations of
incompetence, but was reinstated this
year.
But Chideya said he was merely executing his
duties.
"The letter of suspension clearly states that those
benefits be
withdrawn. It’s not my decision. Council is merely executing a
ministerial
directive," Chideya said, adding that Mudzuri would not be
evicted from the
mayoral mansion in the plush Gunhill surburb as that was not
stated in the
suspension letter.
Mudzuri, who has been fighting
a lone battle since his suspension six
months ago for alleged corruption and
mismanagement, said he was going to
take a back seat and see how far the
government would go in keeping him out
of office.
However, he
said, he suspected that they want him out in the cold
until his term expires
in March 2006.
"I am going to sit back and watch how far they will
go," he said. "But
I suspect they want to torture me until my term
expires."
FinGaz
Mutasa, Muchinguri clash over election
Zhean
Gwaze
11/6/2003 9:00:29 AM (GMT +2)
A POLITICAL fight
between Manicaland ZANU PF stalwarts Didymus Mutasa
and Oppah Muchinguri has
erupted over whether the party’s provincial
elections slated for this
Saturday should go ahead.
Mutasa, the ZANU PF secretary for
external affairs and Muchinguri, the
provincial governor and also a politburo
member, are reportedly backing
different candidates for the party’s
provincial chairmanship.
Muchinguri is said to be rallying behind
Charles Pemhanayi, the
current provincial spokesman, while Mutasa is
supporting Mike Madiro, the
incumbent.
Sources told The
Financial Gazette this week that Mutasa was
attempting to thwart the
elections and impose his disciple Madiro after
realising that his chances of
retaining the post are very slim.
Mutasa allegedly held a secret
meeting with the current provincial
executive committee in Rusape last
weekend at which it was allegedly
resolved to ‘bury Muchinguri once and for
all’.
Mutasa this week dismissed the allegations as trivial and
bent on
causing divisions in the province.
"Why are there
complaints over my meeting with Madiro when I held
separate meetings with
both candidates at my house? The elections will be
held and I will work with
anyone who is elected," he said.
Pemhanayi is tipped to win the
poll in which the party’s former
provincial chairman Shadreck Beta is also
eyeing the post.
Beta said: "The issue of candidates being backed
by heavyweights is
part of the political game. I have come back by popular
demand with
experience both locally and internationally."
The
ZANU PF sources said Madiro, Mutasa’s apparent choice, is widely
seen as a
protege of ZANU PF national secretary for administration and
Speaker of
Parliament, Emmerson Munangagwa, who is said to be harbouring
presidential
ambitions.
"Let Muchinguri pursue her ambitions alone and leave my
name alone.
The selection of leaders is done by the people," Mutasa told The
Financial
Gazette.
Madiro said that it was common in any poll
for individuals to back
certain candidates but denied that Mutasa was
rallying behind him.
"My candidacy will depend on the people of
Manicaland. If they still
want me I will gladly accept the position because I
still have work to do,"
he said.
Muchinguri this week said she
was worried about the latest
developments, saying: "It is a threat. I do not
know what they meant, if
ever it was said, that they want to bury
me."
The governor added: "Politics should not be that dirty when we
are in
the same family. Why are people resisting elections?
"If
you talk about elections they start talking about succession. We
know only
President Mugabe. There is no vacancy yet. If it arises it will be
done
procedurally."
In apparent reference to Mutasa, Muchinguri said:
"The ones who are
coming out in the newspapers see me as an
obstacle."
FinGaz
Cabinet reshuffle widely seen as non- event
11/6/2003 9:02:17 AM (GMT +2)
They said this week that a political
truce between the two warring
parties — the Movement for Democratic Change
(MDC) and ZANU PF — held the
key to any turn-around to Zimbabwe’s faltering
economy, hinting that the
reshuffle would be nothing less than the
traditional recycling of ZANU PF’s
old guard.
The proposed
Cabinet reshuffle, alluded to by President Mugabe last
week to bolster the
faltering economy, could yield nothing if political
dialogue between ZANU PF
and the MDC is avoided, the analysts said.
The MDC, whose
president, Morgan Tsvangirai, is in court challenging
President Mugabe’s
re-election in the 2002 presidential election, has
refused to accept
President Mugabe as the legitimate head of state, saying
he stole the
election.
Formal talks between the two feuding parties collapsed in
August last
year after the ruling party pulled out of the negotiations,
citing
Tsvangirai’s decision to challenge the presidential poll results in
the High
Court. The election petition kicked off in the High Court on
Monday.
Judgment in the case was reserved.
Addressing the 55th
ordinary session of the ZANU PF central committee
in the capital last Friday,
President Mugabe announced that besides a
Cabinet reshuffle, the government
this week would start the process of
overhauling the troubled Reserve Bank of
Zimbabwe (RBZ) with a view to
addressing the current economic crisis. Banker,
Gideon Gono, was on Tuesday
appointed governor of the RBZ for five years,
effective December 1 2003.
"I don’t think reshuffling the Cabinet
is going to solve the current
economic woes in the country," Brian Kagoro,
the coordinator of Crisis
Coalition in Zimbabwe, said.
"What is
required is the opening up of dialogue between ZANU PF and
the MDC because if
the reshuffle means consolidating the hardline stance
adopted by the ruling
party, then it will not solve the problems we are
facing. If the reshuffle is
not focused on the beginning of political
dialogue, then it will be leading
us further into political and economic
problems."
A political
commentator from the ruling party who preferred to remain
anonymous said the
new Cabinet should be inclined to serving the people, not
President
Mugabe.
"If done in such a way that the Cabinet will serve the
people and not
President Mugabe, then it may yield results," the political
commentator
said.
"At times one may be persuaded to think that
we really do have a war
cabinet in that it is so corrupt it’s untrue to
believe. Instead of
emancipating the people economically, they are busy
looting and suppressing
the masses. The new Cabinet must be acceptable to the
people and not to
President Mugabe alone."
Another political
commentator, Heneri Dzinotyiwei, said reshuffling
the Cabinet was merely
avoiding the real problems facing Zimbabwe.
"People are putting too
much effort on issues that don’t focus on the
real problem," he said. "The
problem is not the reshuffling of the Cabinet,
it’s all about changing the
current climate to restore investor confidence.
You play around with the same
names then what? The climate in Zimbabwe now
is one of antagonism, suspicion
and restlessness, which deters investors."
He added: "Even local
businessmen and those in key government
positions are not investing in
Zimbabwe, and that includes banks. People
would rather invest outside their
own country because the climate is simply
not conducive for
business."
He said the government should take a leaf from the
marketing strategy
embarked on by one of its ministries, the Ministry of
Environment and
Tourism, and vigorously market the country to restore sanity
in the economy.
Zimbabwe has been ostracised by the international
community, including
the Commonwealth grouping of 54-member states for
reportedly not adhering to
the basic principles of human rights and
democracy. This isolation has
thrown the country, once a regional bread
basket, into a classic example of
a country pauperised by galloping
inflation, cash, foreign currency and fuel
shortages and high interest
rates.
ZANU PF insiders told The Financial Gazette this week that
among the
ministers likely to face the chop were notably Agriculture Minister
Joseph
Made for reportedly failing to keep in check the land reform exercise
and
Energy and Power Development Minister Amos Midzi, who inherited the
troubled
fuel industry but failed to bring sanity to the sector.
Others are Finance Minister Herbert Murerwa, who might get the boot
for
allegedly failing to come up with sound and convincing economic policies
and
Health Minister David Parirenyatwa who has failed to resuscitate
the
collapsing health delivery system.
The insiders said
Education and Sports Minister Aeneas Chigwedere may
lose his post to
Information Minister Jonathan Moyo.
Moyo was likely to be replaced
by his department’s permanent secretary
George Charamba.
FinGaz
Money market splits into two as rates firm
Dumisani Ndlela
11/6/2003 9:04:02 AM (GMT +2)
MONEY market
rates, which have struggled to escape the whip of high
inflation, this week
firmed significantly, splitting the money market into
two and forcing the
central bank to intervene with huge cash injections into
the system, dealers
told The Financial Gazette.
"There are now two markets — one for
the government and
quasi-government institutions where rates have remained
depressed, and
another where rates are soaring through the roof," a dealer
said.
A government treasury source said there were serious worries
over the
direction of interest rates, with Reserve Bank of Zimbabwe (RBZ)
and
Ministry of Finance officials reportedly holding regular meetings to map
out
a strategy to arrest a continued rise in the rates.
There
were serious concerns among government officials, and indeed the
RBZ, that
the rise in interest rates would curtail growth in the
agricultural sector,
the mainstay of the country’s economy, especially at a
time when the growing
season has just kicked off.
Interbank rates, which had been kept
low in line with a government
policy to keep rates down, took a surprise
rally on the market, defying a
government clampdown intended to keep the cost
of borrowing affordable to
both the government and the private
sector.
Dealers said the interbank rate shot up to between 175
percent and 180
percent at the opening of the week, from the 140 percent to
150 percent
ranges where they had temporarily stabilised after rallying a few
weeks ago.
Analysts and dealers warned rates were likely to remain
buoyant, but
warned there was little prospect of depressing inflation unless
the
government made an unequivocal commitment to fiscal
discipline.
"The government is seriously stressed for money but
there is now very
little available on the market," said economist John
Robertson, giving a
clue of the disaster on the money market. "Interest rates
will certainly
continue going up," he maintained.
A dealer
agreed: "The rates are really on a rising frenzy."
Government and
quasi-government borrowing through the Treasury Bill
instruments and petrofin
and grain bonds, for example, remained depressed at
an average effective rate
of between 75 percent and 85 percent.
Money market analyst, Nyika
Chidemhe, of Highveld Financial Services,
said interbank rates were being
fuelled by huge daily shortages of about $90
billion and the fact that the
RBZ was not accommodating banks on unsecured
terms.
Under the
repurchase (repo) rate arrangement, which came into effect
at the beginning
of this year, Treasury Bills (TBs) and other prescribed
assets form the
underlying security for borrowing.
Banks with TB security now pay
an interest charge of five percent
above the repo rate from 20 percent over
two weeks ago.
Those without security now pay 10 percent above the
repo rate, from 40
percent.
The repo rate is a money market
instrument that allows domestic banks
to cover unexpected shortfalls in their
daily cash requirements.
"Most banks are failing to secure funds
from the RBZ because they don’
t have the TBs," Chidemhe said.
An RBZ source said, however, that a cash crunch on the market had this
week
forced the institution to temporarily inject over $100 billion into
the
banking sector, propping up at least two financial institutions after
the
shortages looked set to strike a devastating blow to the banking
sector’s
operations.
"At least two banks received liquidity
support this week," the source
said. "The shortages could have been over $200
billion and that would have
triggered a serious hike in rates."
Gibson Maunganidze, an economic commentator who is also an executive
with an
asset management firm, said inflationary pressure was "hitting hard
on the
economy", forcing interest rates to rise in sympathy.
"But I don’t
expect them to move above 450 percent (the inflation
rate)," said
Maunganidze.
Money market dealers said the RBZ still had control
over the cost of
borrowing by the government, and could now face a bigger
battle in directing
private capital into Treasury Bills, the instruments used
by the RBZ to
borrow money on behalf of the government.
The
government is not keen to see a rate hike, and has been inevitably
worried by
the recent movement in key money market rates.
But there are others
within the central bank offices who feel rates
should be left to be
determined by market forces.
If the RBZ gave up interest rates to
market forces, they argue, they
would rise significantly, overcoming
entrenched inflationary pressures in
the economy.
Interest rates
were first drastically brought down under a monetary
policy tailored to
complement the 2001 budget, falling by over 50 percentage
points from levels
of around 70 percent to around 10 percent.
Having first increased
the statutory reserve ratio on demand deposits
held by commercial and
merchant banks from 30 percent to 50 percent, the RBZ
made arrangements to
release these funds to the productive sector at a
concessionary rate of 30
percent.
Productive sector companies engaged in exporting were made
to borrow
through a concessionary export finance facility at a rate of 15
percent.
At the same time, the RBZ reduced the statutory ratio on
time and
savings deposits from 30 percent to 20 percent, depressing money
market
rates to all-time lows.
But after realising that the low
interest rates had culminated in a
frenzy of speculative borrowing, the
government made a volte face at the
start of the year, ordering the RBZ to
force rates up to curtail
speculators.
But at the same time, it
instructed the RBZ to allow productive sector
companies to borrow through the
concessionary facility at subsidised rates,
prompting the emergence of a dual
interest rate policy.
Analysts argued that while low interest rates
were desirable for
stimulating investment, the current high inflation had
clearly destroyed the
real worth of savings, with negative consequences on
investment and economic
growth.