Mugabe mobilises Zanu PF for polls

http://www.theindependent.co.zw/

Thursday, 21 October 2010 21:27

PRESIDENT Robert Mugabe has begun to mobilise Zanu PF structures and
supporters as he pushes for early elections while his faltering health still
permits despite strong reservations by senior members of his party, informed
sources said this week.

After flying a kite to test the political waters, Mugabe is said to have
decided this is the right moment to go for elections and is now fixated on
the polls. The sources said Mugabe has started mobilising his party - with
the help of the security establishment -  to get ready for yet another
gruelling electoral battle with the MDC-T and its leader Morgan Tsvangirai.
The top brass of the army, police and intelligence structures are said to be
behind Mugabe and Zanu PF again despite their constitutional obligations to
remain neutral in executing their professional duties.

Sources said the same structures which retained Mugabe in office during the
bloody 2008 presidential election run-off after his defeat by Tsvangirai in
the first round of the poll have been reactivated and deployed on the ground
to work with Zanu PF functionaries ahead of the draft constitution
plebiscite and national elections.

"Those structures are back in action and are working with Zanu PF in a
massive restructuring and mobilisation drive for elections," a well-placed
insider said.

Senior Zanu PF leaders told the Zimbabwe Independent this week that Mugabe
was now convinced that he should lead his party to early elections because
this was an opportune moment to dislodge Tsvangirai and the MDC-T and
recover lost ground.

"The president is now clear on this issue. He wants early elections by mid
next year. He wants elections when he is still fit and when his rival
(Tsvangirai) is limping," a senior Zanu PF politburo member said.

"This means that as a party we must start preparing now and that's what he
was talking about last week. We are now going out in full force to start
mobilising party structures and our supporters for elections."

Mugabe last week told the Zanu PF National Youth Assembly that elections
would be coming by mid next year. He said the inclusive government should
end by February or soon after the referendum on the new constitution to pave
way for elections.

"The constitution-making process has to be accelerated because the life of
this creature (inclusive government) is only two years," said Mugabe.

"It started in February last year and in February next year, it must end. It
would have lived its full life and it will not be extended by more than six
months or a year. After a referendum then we have elections by mid next
year. I don't see any reason why we shouldn't have elections next year."

Another politburo member confirmed Mugabe has started mobilising the party's
"principal organs and structures".

"At the moment the idea is to mobilise for elections through the national
people's conference in December, the politburo, the central committee, the
consultative assembly, women's league, youth league, provincial coordinating
committees, provinces, district committees, branches and cells," the
politburo member said.

"The party is not in good shape but the national people's conference would
be the best platform for us to formally launch the campaign because all the
party structures would be represented there."

One of the functions of the Zanu PF national conference is to "declare the
president of the party elected at congress as the state presidential
candidate of the party".

Sources said Mugabe has already started the campaign to ensure he is
declared the party candidate. The Zanu PF women's league, which usually
leads the way, has already said Mugabe would be the candidate and all other
structures would now follow suit. His endorsement at the conference in
Mutare would be a mere formality.

The sources said in the next politburo meeting Mugabe would impress upon the
party's top leadership the need to get ready for elections.

"The president is going to talk about that issue and discuss strategies for
elections. One of the tactics of our campaigns would be to focus on
indigenisation and sanctions. We will go all out telling the people that the
MDC-T is against indigenisation and has failed or is unable to remove
sanctions. It's going to be a serious campaign."

While Mugabe mainly campaigned on the platform of land reform since 2000 and
during the last 2008 elections, his party now wants to focus on
indigenisation and sanctions. Zanu PF leaders think the MDC-T is unable to
respond effectively to these issues effectively.

Sources said Zanu PF leaders also believe Tsvangirai and the MDC-T are
caught in a spiral of possible terminal decline following their "dismal
performance" in the inclusive government and during the ongoing
constitution-making process.

Mugabe's spokesman George Charamba, who often reflects his boss's thinking,
has been going to town about this in his column which he writes under a
pseudonym in the daily state-controlled Herald on Saturdays.

In one of his telling columns, Charamba claimed on October 2 that Zanu PF
had out-manoeuvred the MDC-T in the constitution-making process and put
itself in a win-win situation. He said the MDC-T would now be confronted
with a choice between a Zanu PF-driven draft constitution (another Kariba
draft) and the current Lancaster House constitution.

"The MDC's dilemma is choosing between Lancaster House and a Zanu PF draft.
Much worse, the MDC-T did not have structures in far-flung rural areas where
the (constitution-making) exercise began. By contrast, Zanu PF had, and
relied on its organic structures to mobilise participation and to
consolidate submissions. Not helped by white farmers who have become a
sulking lot following the MDC-T's failure to secure their interests, the
party could not mobilise what remains of its farm labourers," Charamba said.

"The result was that in well over 98% of rural centres, Zanu PF's position
prevailed." Charamba said MDC-T was forced to bus people into rural areas
but ended up being stretched and dismantling its urban structures. Besides,
he said the MDC-T's lack of leadership and lack of organisational capacity
have been exposed and this interpretation of events seems to be giving
Mugabe the confidence to push for early elections.

Dumisani Muleya

Foreign banks targeted for takeover

http://www.theindependent.co.zw/

Thursday, 21 October 2010 21:17

EIGHT foreign-controlled banks are targeted for indigenisation amid
recommendations that the empowerment threshold for local investors in the
banking sector should be reduced from the statutory 51% to 40%.

The banks are Standard Chartered, Barclays, Stanbic, MBCA, CABS, Premier,
Metropolitan and BancABC. They are part of the 25 operating banking
institutions in the country, comprising 15 commercial banks, five merchant
banks, four building societies and one savings bank.

The empowerment regulations which came through a Statutory Instrument
gazetted earlier this year, operationalised the Indigenisation and Economic
Empowerment Act of April 2008. The legislation compels foreign-owned
companies valued at US$500 000 or over to dispose of a controlling interest
to black Zimbabweans within the next five years. Most balance sheets of
local banking institutions are above this threshold.

If the 40% recommendation is adopted by government, six banking institutions
would be targeted for empowerment - Barclays, MBCA, Stanbic, Standard
Chartered and CABS - because local ownership is below the proposed
threshold.

According to a report of the economic empowerment Financial Services
Sectoral Committee in possession of the Zimbabwe Independent, the 14-member
team has recommended to Empowerment minister Saviour Kasukuwere an
incremental five-year re-orientation of banks' shareholding to local
investors.

The committee, one of the 13 sector-specific committees of the
Indigenisation and Economic Empowerment Board (IEEB), was tasked by
Kasukuwere to advise government on the appropriate net asset value threshold
above which business in the sector is required to comply with empowerment
regulations, and recommend sector specific indigenisation and economic
empowerment strategies for consideration by the IEEB, among others.

It recommended that local shareholding in banks should be restricted to at
least 40% because the "financial services sector is the most integrated
sector in respect of the inter-linkages with an individual country's economy
and the global economy".

"Accordingly, the jurisdictions have allowed entry of foreign-owned
financial institutions to operate in their economies in order to allow their
citizens to benefit from the diversity of products and services and
technological advancements," reads the report. "It is therefore recommended
that indigenous ownership of banking institutions must be at least 40%."

The re-orientation of the shareholding, the committee recommended, should
commence next year with foreign-owned banks selling 20% stakes to locals and
thereafter 5% annually until 2015.

The empowerment recommendations were made despite stiff resistance from the
Bankers Association of Zimbabwe, which in its submissions to the committee
had argued that the banking sector "was already indigenised" because 85% of
banks were owned by locals.

Out of the targeted foreign-controlled banking institutions, which make up
nearly 45,06% of the banking sector's total assets, Stanchart (100%
foreign), Barclays (68%), Stanbic (100%), MBCA (76%) and CABS (100%) have
historically been foreign-owned.

However, Premier (54%) and Metropolitan (60%) banks -both formed by local
shareholders - have become predominantly foreign-owned following the
disposal of 70% and 60% shareholding, respectively to foreign shareholders
in recapitalisation initiatives, the report said.

BancABC, according to the report, has 53% foreign shareholding by virtue of
having its primary listing on the Botswana Stock Exchange. The entity has a
secondary listing on the Zimbabwe Stock Exchange.

"In order to promote transparency and sound corporate governance in the
implementation of the indigenisation regulations with regards the financial
sector, it is recommended that financial institutions that have reached a
certain balance sheet size threshold be required to list on the Zimbabwe
Stock Exchange."

The committee further advised government that public listing would also
foster shareholder diversification and ongoing compliance with prescribed
minimum capital requirements for financial institutions.

"It has been further observed that some banking institutions that were
locally owned at inception, such as Premier Banking Corporation and
Metropolitan Bank, have become foreign-owned following failure by local
shareholders to inject additional capital," the report further reads.

"Implementation of the proposed recommendations should not result in a weak
financial sector reversing the gains from the liberalisation of the
financial sector." Such fear echoed Reserve Bank governor Gideon Gono's
warning to government earlier this year against implementing a "one-size
fits all policy".

On funding the empowerment programme - which most critics said would be a
handicap to indigenisation because of lack of capital in Zimbabwe - the
financial services committee proposed "various types of finance mechanisms"
that include government budgetary allocations, introduction of levies and
debt finance.

Banks, which made losses this year, are however expected to oppose the
funding initiatives.

Nearly half of Zimbabwe's financial services institutions made losses during
the period ending June 30 2010. Treasury on the other hand is incapacitated.

Finance minister Tendai Biti is on record saying the US$200 million election
slated for next year would be a strain to the fiscus. Treasury is also
struggling to raise funds required to capitalise the central bank.

"These (indigenisation) funds can be accessed at concessional interest by
indigenous people to finance capital projects or acquisition of stakes in
foreign owned companies," the committee advised. "The levy may be collected
from all companies operating in Zimbabwe, including banking institutions, to
contribute to the indigenisation fund. The levy can be a percentage of
profit or a specific amount payable per annum for example US$500."

Bernard Mpofu

I won’t return –– Bennett

http://www.theindependent.co.zw/

Thursday, 21 October 2010 21:08

MDC-T treasurer Roy Bennett, who is facing a US$1 million defamation lawsuit
and is being hunted down by the police, said he will not return to Zimbabwe
until the political situation stabilises and rule of law is restored.

In a telephone interview with the Zimbabwe Independent yesterday from South
Africa, Bennett said his wish was to return home, but at the moment he would
continue staying in South Africa, assessing the situation.
He said: “I might come back, but it depends on the political situation in
the country. Zanu PF is ruling with an iron fist.  The issues that I am
being accused of doing are false.  They are lies and are just meant to
torment me.”
Bennett said his decision not to return was also based on advice from his
colleagues in the party.
“I must take counsel from my colleagues on that very issue, that counsel
must come from what good can I serve sitting in jail in Zimbabwe with my
passport taken away from me. In my position as the treasurer of the MDC I
must be able to mobilise resources and be able to send support that is
necessary to move our party forward, so that has to come first and
 foremost,” Bennett said.
“I will re-establish myself in South Africa and I will travel the world and
I will highlight these issues. I will put them on the table and put as much
pressure to expose the duplicity and total lack of respect by the Zanu PF
junta for the people of Zimbabwe.”
He said allegations raised by Justice Chinembiri Bhunu that he defamed the
judge were political, adding that he never made those comments in the media.
According to High Court case number HC 6724/10, Justice Bhunu is suing
Bennett for US$1 million for allegedly defaming him in an interview with the
Guardian newspaper of the UK on May 24 in which the MDC-T treasurer was
quoted saying the judiciary was selective and that “the very judge that is
trying me is the owner of a farm that he’s been given through political
patronage”.
Since September, Bhunu’s lawyers said efforts to serve Bennett with the
summons have proved fruitless.
This has prompted Bhunu’s lawyers to go for a chamber application to allow
them to serve the senator with the summons through the press, the Herald
specifically, claiming that the address he gave was non-existent.
Bhunu says the remarks “were intended to convey and be understood by the
readers of the Guardian newspaper to mean that the plaintiff was not a fit
and proper person to be a judge of this honourable court and to preside over
the trial of the defendant in that: Plaintiff was deliberately selected to
preside over the defendant’s trial by persons that will stop at absolutely
nothing to achieve their ends by a selective application of the rule of law”.
Bennett yesterday said: “All these are
lies and I never gave a wrong address of where I am staying. The address
that I gave of the flat when I applied for bail is there. It’s just Zanu PF’s
way of wanting to torment me.”
He said he knew that the police were instructed to arrest him and he thinks
that this was designed by Zanu PF to scuttle his appointment as deputy
Agriculture minister.

Wongai Zhangazha

GNU parties diverge on constitution

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:25

THE three main political parties in the inclusive government have clashed
over the new constitution with MDC-T now declaring that the outcome of the
process would be a transitional document paving the way for free and fair
elections next year, Zanu PF saying no to a negotiated charter, and MDC-M
revealing that the final draft would be negotiated with the Kariba draft as
the reference point.
MDC-T made a summersault this week on proposals to have a negotiated
constitution, saying it will now support the "flawed" outreach outcome as a
transitional document paving the way for the 2011 elections.
Party spokesman Nelson Chamisa told the Zimbabwe Independent on Wednesday
that the MDC-T would rally behind the outreach process outcome as a way of
respecting the people's views which were expressed under choking conditions
and come up with a "transitional constitution" before elections.
Chamisa said Zimbabweans would be given a chance to write another
constitution after the elections when they are in power.
President Robert Mugabe, who should proclaim election dates in consultation
with Prime Minister Morgan Tsvangirai and his deputy Arthur Mutambara, last
week indicated that elections were likely by mid-next year.
Chamisa insisted that the outreach process was flawed although the content
could not be ignored considering that Zimbabweans sacrificed to air their
views under threats from Zanu PF.
He said: "We don't want a negotiated constitution. The constitution-making
process is not what it was supposed to be; it's not legitimate because
Mugabe frog-marched people to uphold Zanu PF views but we certainly cannot
throw away what other Zimbabweans contributed under a difficult political
environment.
"Zimbabweans will be given another chance to write a constitution in a free
environment after elections. That's why we want a transitional constitution
now to create a conducive climate for elections, after which a new charter
will be written."
Tsvangirai last month hinted that a new governance charter could be
negotiated in the same way the Lancaster House constitution was written,
citing political violence and intimidation that marred the
constitution-making process around the country.
However, Mugabe criticised Tsvangirai's negotiated constitution proposal,
saying the supreme law would be crafted on the basis of the people's views.
Presidential spokesperson George Charamba told the Independent this week
that Mugabe would not agree to a negotiated constitution, disregarding the
views of ordinary Zimbabweans.
Charamba said: "They refused the Kariba draft and wanted a people-driven
constitution and then we said it shall be that. When we have taken the
trouble to order people on their views like that and these views are
binding -- that is the essence of democracy. They (MDC-T) don't have a
choice. We will insist on the complete respect of the people.
"The constitution-making process has a management committee hence it doesn't
proceed on the goodwill of a political party. (NCA chairperson Lovemore)
Madhuku can choose to withdraw but MDC cannot play God in a national
process. It can not stop because of MDC-T."
MDC-M deputy secretary-general Priscilla Misihairabwi-Mushonga told a
conference in Harare on Zimbabwe Transition in Comparative Perspectives this
week that the outreach process was agreed to by politicians as a "way of
managing the process" but they had an agreement that the Kariba draft was
going to be the constitution.
"It's now time for us to come out in the open," she said adding that the
parties would definitely go back to the negotiating table and Kariba would
be the starting point for the negotiations.
Misihairabwi-Mushonga added that the ruling parties had agreed on the
outreach process so as to manage the people.
The Constitution Parliamentary Select Committee (Copac), which is battling
to come up with a new constitution on time, suspended outreach meetings in
Harare and Chitungwiza due to a wave of violence blamed on Zanu PF and
military and security agents.
Mugabe, Tsvangirai and Mutambara agreed under the global political agreement
(GPA) to write a new constitution before fresh elections.
Tsvangirai told his supporters in Mabvuku on Tuesday that his party demanded
a report from Copac and the management committee over the violent cases that
disrupted gathering of views. He said Copac was supposed to redo areas that
were marred by violence and intimidation.
His latest statement exposed Tsvangirai's backtracking from his previous
announcements declaring the party's inclination was for a negotiated supreme
law.
"Those who interfered with meetings should be arrested after which Copac
must have a fresh visit in areas that were disturbed," said the premier in
Mabvuku.
MDC-T is now insisting that there should be no consultation meetings, even
in Harare, until perpetrators of violence are arrested.
However, Charamba said there was no link between judicial processes and the
constitution-making process.
"The Prime Minister at the last meeting of the National Security Council was
shown images of his own people, including MPs, instigating violence -- ask
him about it. These people were apprehended. However, there is no link
between the judiciary and the constitution-making process. The constitution
process will take momentum on its own life of the GPA," he said.
Tsvangirai said it was poignant that Mugabe and cronies have instilled fear
among Zimbabweans to stifle them from pushing for critical democratic
reforms like the constitutional agenda.
"We are agreed with Mugabe for a constitution-making process then a
referendum before the elections. But we don't support an outreach process
marred by violence," he said.
MDC-T supporters in Mabvuku said they would not be allowed to vote because
they were classified as aliens even though their forefathers lived in
Zimbabwe more than a century ago. They argued that it was a ploy by Mugabe
to weaken Tsvangirai's stronghold in Harare and other urban centres.
Tsvangirai said aliens voted in 1980 and Zimbabwean citizens cannot be
disenfranchised.
"We are going to tell ZEC (Zimbabwe Electoral Commission) that the so-called
aliens must have the right to vote. It's unfair to disenfranchise people,"
the premier added.

Brian Chitemba/Faith Zaba/Wongai Zhangazha

Goche heckled over tollgate fees

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:23

LAWMAKERS heckled Transport and Infrastructural Development minister
Nicholas Goche this week accusing him of making political and tribal
considerations in allocating the US$15 million raised by the Zimbabwe
National Road Authority (Zinara) from tollgates.
Goche told the House of Assembly that his ministry was not responsible for
the disbursements of Zinara funds to local authorities, stating that as a
matter of policy, councils received what they would have requested for their
road development projects.
"The minister is not responsible for the direct disbursements of funds to
local authorities. This is the jurisdiction of Zinara board," Goche said.
"However, I have to say the amounts disbursed were in relation to providing
of acquittals for previous disbursements."
The minister said this in response to Masvingo West MP Mharadza Tachiona's
question on what criterion was used by the ministry in the disbursement of
US$15 million for road maintenance when one takes into consideration that
half of the funds were disbursed to Zvimba, Bindura and Rusununguko (Shamva)
districts at the expense of districts from the southern provinces.
Zvimba, President Robert Mugabe's home district, received slightly above
US$2 million, second to Bindura that received US$2,6 million and other
Mashonaland districts received more than US$100 000 in comparison to
southern districts that received mostly amounts less than US$100 000.
Tachiona interjected as Goche tried to distance his ministry from the
disbursement of the funds, saying the minister had allocated his home
district more money in a clear case of political patronage.
"You disbursed a substantial amount of money to your constituency," he said.
Goche is the MP for Shamva North.
Insiza MP Siyabonga Ncube also called for fairness and transparency in the
distribution of the funds as toll gates were found across all provinces.
"Minister, the national cake should be shared equitably among the districts.
There is a feeling that disbursements are not being done fairly," charged
Ncube.
Goche defended the disbursements and maintained there was no corruption or
political patronage that was used in the allocation of the funds. Tempers
flared as MPs heckled the minister and the Speaker, Lovemore Moyo, had to
call the House to order.
After calm was restored, Goche said: "There are other councils that got more
than the published figures in past disbursements. If you want, I can give
you the full list. There was no corruption. The councils receive what they
request for their projects."
Mugabe and his loyalists have over the years been accused of grabbing
national resources to develop their own regions at the expense of others.
This has created imbalances in national development and angered other
regions which felt marginalised.
The disbursement of tollgate funds collected between August last year and
June this year has raised questions about Mugabe's role in ensuring fair
distribution of national resources, especially after his home district, a
place with little commercial activity, and Bindura, the capital of the Zanu
PF stronghold, Mashonaland Central, got the lion's share.
An analysis of the distribution pattern of tollgate money contained in
Finance minister Tendai Biti's recent Mid-Term fiscal policy review
statement clearly shows that proportionally most of the US$15 million
already disbursed by Zinara to different districts for the maintenance of
the country's road network went to Mashonaland West and Mashonaland Central.

Paidamoyo Muzulu

Allegations against Timba ‘baseless’

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:23

A HARARE magistrate has ruled that the alleged fraud case involving
Renaissance Financial Holdings chief executive officer Patterson Timba and
his brother, Stevenson, is not a criminal case as the state has failed to
adduce facts that constitute a crime.

Magistrate Vongai Muchuchuti who made the ruling on Wednesday said:
“Litigants must be urged to desist from abusing the criminal justice system
to score points against business rivals and partners.”
She refused to place the Timba brothers on remand on what she described as
“baseless allegations”.
Timba, jointly charged with Stevenson, chief executive of Freshco Resources,
appeared at the Harare Magistrates’ Courts last month facing allegations of
fraudulently attempting to take over a mining company, Glencairn.
“The accused persons are facing a charge of fraud and the essential elements
of this offence demands that there be actual or potential prejudice. In this
case the state seems to allege that it was the company which suffered
prejudice and that cannot be substantiated,” said the magistrate.
“The fact that certain people be appointed directors without consultation
from others does not cause prejudice to the company at all.”
She said during cross examination the investigating officer held the
contention that the accused breached the provisions of the Companies Act,
but could not explain how he arrived at the offence of fraud.
“It is clear that the investigating officer handling this matter is not
conversant with the company laws vis-a-vis the memorandum of understanding
and the articles of association of the company. That is where the crux of
the matter lies,” she said.
Muchuchuti said it was the duty of the state to place before the court
cogent facts that show that there is reasonable suspicion that the accused
persons committed an offence known in the criminal system.
“It is disheartening when matters that have nothing to do with the criminal
law are brought before the criminal courts,” the magistrate said.
“Appointments of directors in a company and the matrices used to appoint
such are civil matters which have no business in the criminal courts.”
She said she could not understand why the case was brought before the
criminal court despite the Attorney-General (AG)’s Office’s refusal to
prosecute.
“How the matter came before this court after the brilliant and instructive
note written by Mr (Chief Law Officer Chris) Mutangadura of the AG’s office
explaining why prosecution was being denied boggles the mind,” Muchuchuti
adjudged. “The IO (investigating officer) admitted that the AG declined to
prosecute this case and that admission leaves the court in a quandary as to
who between the police and the AG is the prosecuting authority.”
Last month, Timba’s lawyers, Atherstone & Cook, wrote a complaint to officer
commanding Criminal Investigations Department CID Fraud in Harare, Assistant
Commissioner Samson Mangoma, asking him to ensure that justice and rule of
law is observed by the police towards their clients’ case.
The lawyers said the police’s conduct in the case showed that they had
personal interests, considering that Mutangadura had declined to prosecute
the Timbas saying the matter was more civil than criminal.

Wongai Zhangazha

Mugabe has no right to limit GNU term –– PM

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:19

PRIME Minister Morgan Tsvangirai has said President Robert Mugabe has no
powers to determine the lifespan of the inclusive government without
consulting other political principals.
The premier was responding to Mugabe’s statement last week that Zimbabweans
will go for elections by mid next year because he cannot extend the
inclusive government lifespan by more than six months.
According to Constitutional Amendment No 19, the inclusive government would
be reviewed after the writing of a new constitution, but it does not give
the lifespan of the pact.
Tsvangirai told his supporters in Mabvuku on Tuesday that Mugabe had no
right to limit the term of the inclusive government which was formed as a
result of the sham June 2008 presidential election run-off.
He said MDC-T was solid and ready for elections to end the pact with Mugabe’s
Zanu PF and the MDC led by Deputy Prime Minister Arthur Mutambara.
The three principals formed a coalition government in February last year,
but it has been shaky with Tsvangirai and Mugabe clashing on several
occasions and the MDC-T leader blaming Mugabe of flouting the Global
Political Agreement (GPA).
“All what Mugabe did in the inclusive government, appointing governors,
judges and ambassadors is illegal and unconstitutional. They say I don’t
understand because I am not a lawyer, but I know what is right or wrong,”
Tsvangirai said.
The MDC-T leader said Mugabe had failed to share executive power, forcing
his party to demand an end to the inclusive government, which he said was
forced on the country by Sadc.
Tsvangirai said the MDC-T wanted Sadc, the African Union and international
observers as well as peacekeepers before the elections to allow for a
conducive environment.
The MDC-T claims that Mugabe unleashed a wave of violence during the June
2008 presidential election run-off which left 200 of its supporters dead
while thousands were injured.
He said his party told Sadc facilitator, South African President Jacob Zuma,
that he was prepared for elections if Mugabe wants the polls.
“We will use the regional and international powers to make sure elections
are free and fair,” he said. “There should be Sadc and international
peacekeepers before the elections. We also want a new voters’ roll before we
go for the elections.”
However, presidential spokesperson George Charamba said the lifespan of the
inclusive government was determined by the GPA, which he pointed out ends in
February 2011.
On elections and international observers, Charamba said: “The more there are
disagreements, the more elections are attractive. Elections will settle the
problems. Dysfunctionality of the inclusive government simply invites or is
asking for an early election.
“Sadc as observers is not a new thing. All elections have been observed by
Sadc –– we signed the Sadc protocol adjusting the Electoral Act, which meet
the expectations of Sadc.”
Charamba added that: “If a state takes an antagonistic stance against
another state, you can’t expect that state to suddenly emerge as an
observer. Britain, America and the EU are contestants in an election in
Zimbabwe, which disqualifies them as observers. We have made enough
concessions. This is now a hard-knuckled phase of Zimbabwean politics. ”
Last week, Zuma sent his facilitation team to Harare after Mugabe
unilaterally re-appointed Zanu PF provincial governors without the consent
of other principals. Tsvangirai launched a fierce attack on Mugabe’s
appointments, which he said were “nonsensical and illegal”. He appealed to
South Africa, the United Nations and European Union to ignore diplomatic
appointments made by Mugabe since 2008.
The premier said an independent electoral commission should be appointed to
implement critical reforms and criticised the “partisan” Zimbabwe Electoral
Commission (ZEC) which is headed by Zanu PF allies.
Apart from MDC-T, the Mutambara-led MDC and civil society are lobbying for
electoral reforms before fresh elections, but Mugabe seems determined to go
for polls with or without the reforms.
Charamba said the reforms, which include the electoral reforms agreed by the
negotiators,  would be put in place before the elections mid next year.
“These are false arguments because these (the implementation of reforms) are
predicated on a cooperation stance. Wasn’t Constitution Amendment No 19 done
in one afternoon –– as a matter of fact in seconds –– because it was agreed
that none of the parties should oppose the amendments,” he said.
Tsvangirai said he would push for justice in the rural areas where war
veterans’ leader Jabulani Sibanda is reportedly terrorising political
opponents.
In an interview this week, MDC-T spokesman Nelson Chamisa said it was not
surprising that Mugabe was pushing for elections due to his frustrations of
failing to manipulate Tsvangirai and his top aides.
“Our relationship with Zanu PF in the inclusive government is now like oil
and water. We can’t be the same,” he said.
Chamisa said the political environment could be free once international and
Sadc observers are deployed six months prior to the elections.
Meanwhile, MDC-T sources said the party was auditing structures in
Matabeleland North, South, Midlands and Bulawayo to fill gaps that were left
vacant following the 2005 split.
The sources said the restructuring exercise was aimed at strengthening the
grassroots level of the party ahead of a possible congress next year.
MDC-T organising secretary Elias Mudzuri confirmed that he had embarked on a
restructuring exercise to strengthen the party.
“We are on a countrywide restructuring programme where we are putting in new
structures while strengthening old ones. It’s an ongoing exercise which we
are not sure when we will complete,” he said.

Brian Chitemba/Faith Zaba

Ministry to receive paltry US$100m from budget

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:18

THE Ministry of Health and Child Welfare is set to receive a paltry US$100
million in the 2011 budget against its bid for USS$534 million amid
revelations that 70% of diseases and deaths in the country, caused by
malnutrition, diarrhea, malaria and pregnancy-related complications, are
preventable.
The ministry's permanent secretary, Brigadier-General Gerald Gwinji, made
the revelations when he gave oral evidence on the ministry's budget bid for
2011 to the parliamentary portfolio committee on health on Tuesday.
"Several studies confirm that Zimbabweans continue to die from easily
preventable and treatable conditions like HIV and Aids, tuberculosis,
diarrhea, acute respiratory infections, malaria, malnutrition, injuries,
hypertension, maternal deaths and mental health disorders," he said.
On his ministry's bid, he said: "The ministry was promised only US$100
million by the treasury in the next budget against our bid for US$534
million. This allocation falls short of the Abuja declaration on the funding
of health that should take up 15% of the national budget. Currently we are
only getting about 7,6% of the national budget and the country is still far
from meeting its disease reduction targets."
Zimbabwe still has an unacceptable high level of HIV prevalence at 13,7%
among the 15 to 49 age group. Currently, only 315 000 people are on
anti-retroviral therapy countrywide.
The country's maternal mortality levels are at an unacceptably high level of
725 deaths per every 100 000 births according to a 2007 Maternal and
Perinatal Mortality Study.
Gwinji said the country was still not out of the woods on cholera outbreaks.
"Cholera epidemics, exacerbated by a countrywide breakdown of sewerage and
water supply and treatment systems, claimed 4 269 lives out of a total of 97
469 cases by end of 2009. We still have sporadic outbreaks and recently
there was one in Chiadzwa area, Manicaland province," he said.
Due to perennial underfunding, the country still relied on the donor
community for most of essential medicines found in public health
institutions.
"In the years 2009 and 2010, purchase of medicines and medical supplies were
mainly supported by partners. About 90% of medicines in the public health
sector are from development partners. This support from development partners
targets the primary health centres that are clinics and district hospitals.
Thus government needs to avail funds to purchase supplies for central and
provincial hospitals," the permanent secretary said.
Gwinji lamented the shortage of qualified and experienced human resources
within the ministry due to poor salaries and conditions of service compared
to regional countries and Western Europe.
In the same breath, he acknowledged the donor community's support in giving
allowances to the few qualified staff still in the country as retention
allowances.
"The conversion of currency from Zimbabwe dollars to United States dollars
in 2009 helped stabilise the deteriorating situation. Partners support came
in handy in improving government efforts by paying retention allowances,"
Gwinji said.
The portfolio committee members were, however, sceptical of the ministry's
policy of expatriate recruitment. They questioned the credentials of some of
the foreign doctors engaged due to a higher incidence of misdiagnoses and
malpractices reported at centres where they are stationed.
Gwinji defended the recruitment saying it was a stop-gap measure in the face
of the massive exodus of qualified and experienced staff at the height of
the economic meltdown in early 2000 for greener pastures in the Diaspora.
The ministry hired expatriates from Cuba, Democratic Republic of Congo,
China, and North and South Korea.
The portfolio committee resolved to support and advocate for a higher vote
to the ministry in the face of the evidence that was produced in defence of
the ministry's 2011 budget bid.

Paidamoyo Muzulu

Zanu PF Bulawayo infighting intensifies

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:16

THE deeply divided Zanu PF Bulawayo province is sinking slowly as party
officials plan to sack over 70 top provincial members for boycotting party
meetings and events.

Insiders told the Zimbabwe Independent this week that the provincial joint
council met two weeks ago at Davies Hall, party headquarters in Bulawayo,
where it was resolved that those who have not been attending crucial
meetings and activities should be fired.
The October 10 meeting, sources said, was poorly attended with only 30 out
of 110 provincial joint council members present, sparking anger from
controversial chairman Isaac Dakamela.
The main functions of the provincial joint councils -- made up of provincial
executive council members, provincial women's league committee and
provincial youth league committee --  are to co-ordinate the affairs of the
three wings of the party within the province.
Politburo member in charge of Bulawayo, Sikhanyiso Ndlovu, was two weeks ago
cornered by other senior party officials, including Angeline Masuku, Tshinga
Dube, Edison Ncube and Eunice Sandi-Moyo for failing to build vibrant party
structures.
On August 26, only 50 out of 150 provincial coordinating committee members
attended the gathering, showing deep-rooted problems bedevilling the former
ruling party in the province.
The politburo and central committee members were concerned about the
collapse of structures ahead of the party's December conference in Mutare
and instructed Ndlovu to ensure sanity prevails in Bulawayo.
"More than 70 people are targeted; they will be given dismissal letters
anytime," a senior party official said this week. "The provincial joint
council agreed that Bulawayo should attend the conference with solid
structures rather than counting on people who are not interested.
Absenteeism has stalked all leagues of the party: women, youth and the main
wing. It's like people are disgruntled over the running of affairs of the
party by Ndlovu."
Dakamela has confirmed that the provincial joint council met, but denied
that radical action would be taken against members accused of letting down
the party.
"No one will be removed from party structures. We met of course, but we don't
intend to fire anyone," he said.
Dakamela is expected to send the letters next week after which new members
will be co-opted into the provincial executive.
A close ally of Mines minister Obert Mpofu, Dakamela was suspended in July
on corruption allegations, but declined to vacate office.
The major reason for the October 10 meeting was to take an audit of
structures and come up with ways to rejuvenate the party that is slowly
losing significance in Bulawayo and other Matabeleland provinces, added the
source.
The provincial coordinating committee which consists of politburo, central
committee and provincial executive members also resolved a fortnight ago to
repossess vehicles from party officials who are "inactive".
The source said Dakamela, under Ndlovu's orders, two weeks ago sent youth
league members to take back a vehicle from a provincial executive member,
Christopher Dube, who refused to part with it.
It emerged that Ndlovu instructed Dakamela to withdraw party vehicles from
district coordinating committee chairpersons whom he chiefly blamed for the
imminent collapse of party structures.
"There is a tussle over Zanu PF vehicles because Dakamela wants to repossess
the cars while those who use the vehicles are resisting. It's a fight over
party property," said a provincial executive member.
Dakamela denied that he was repossessing vehicles from party members. Ndlovu
could not be reached for comment as his mobile phone was not reachable, but
last week he denied that there was infighting in Zanu PF in Bulawayo.
Zanu PF is continuing to lose support in Bulawayo where the party failed to
win a seat in the March 2008 elections. The country's second largest city as
well as Matabeleland North and South have become MDC strongholds. Both
formations of the MDC enjoy support in the region.
Insiders say of late, Zanu PF is slowly losing members to the revived Zapu
led by former politburo member Dumiso Dabengwa, who two years ago said, as
Zapu, they were pulling out of the December 22 1987 Unity Accord, accusing
President Mugabe and his top aides of sidelining former PF-Zapu members.

Brian Chitemba

‘Credible elections only possible after reforms’

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:58

ZIMBABWE will not be ready for elections in eight months time because the
national healing process is yet to take effect and democratic reforms are
still to be implemented, analysts said this week.
They said credible, free and fair elections could only be held after
addressing issues which have dented the credibility of the last elections
held in 2008.
Past elections have been marred by political violence, intimidation, torture
and abuse of state machinery by Zanu PF and its leader, President Robert
Mugabe.Zimbabwe’s institutions are too weak and compromised to prevent
state-sponsored violence or to deliver a democratic election, the analysts
pointed out. Mugabe, who under the constitution sets the date for elections,
last week said polls would be held by mid-next year, ending the marriage
between the three main political parties in the inclusive government.
Elections have lost their elixir in Zimbabwe, analysts said, adding that
credible elections could only be held after government implements
substantive electoral reforms, cleans up the voters’ roll (which has
thousands of ghost voters), entrenches national healing and allows for
proper voter education.
The MDC wants the Southern African Development Community (Sadc) to supervise
elections to ensure full compliance with its 2004 Grande Baie principles and
guidelines governing democratic elections, which include impartiality of
electoral institutions, full public participation, prevention of
state-sponsored violence and non-interference in electoral processes by the
state security sector.
Harare-based analyst Trevor Maisiri, who is also executive director of the
African Leadership Reform Institute, said eight months were too short a time
to put Zimbabwe’s house in order.
“There are several factors that seem to work against this deadline,” said
Maisiri. “Firstly we must realise the contentions that have been expressed
with the state of the voters’ roll. If we are going to an election with the
old voters’ roll which has lost credibility then we must also be aware of
what outcome it may give us.”
Maisiri said the political violence which characterised past elections
continued to threaten future polls as no “meaningful effort has been relayed
into creating a peaceful, reconciliatory and integrative political
environment in Zimbabwe”.
The Organ on National Healing, Reconciliation and Integration balked under
the weight of the polarisation in the country and an ambiguous and hazy
mandate which has seen it failing to record significant success. Another
analyst, Psychology Mazivisa, said while the constitution and the GPA were
supposed to play complementary roles, and this disjoint has contributed
towards a failed national healing.
“The constitution contemplates a free, open and democratic society while the
GPA specifically makes provision for an organ on national healing,” said
Mazivisa. “However, in practice, our constitution is subservient to Mugabe.
He is the law. As far as the organ on national healing is concerned it
exists in name, but not in deed.”
Maisiri added that there was no guarantee that the electoral reforms
proposed since the formation of the inclusive government in February 2009
would pass through parliament in time for the plebiscite as there “seems to
be no time congruence for a comprehensive electoral legislative agenda”.
Takura Zhangazha, a political scientist, said a free and fair election could
only be guaranteed after the full implementation of reforms agreed to by the
political parties signatory to the GPA.
“Issues that must be addressed in order to arrive at a stage where free and
fair elections can be held relate to initially an independent review of the
reforms that the inclusive government has undertaken as regards national
healing, elections and constitutional reform,” said Zhangazha.
Zhangazha added that it was possible to have a much “less ambiguous
negotiation of the extension of the mandate of the inclusive government and
GPA until the greater majority of the undemocratic tendencies of the
inclusive government have been transparently addressed”.
The path towards the next elections appear jagged and littered with legal
and political landmines which threaten to derail the staggering economic
recovery.
Business was unequivocal last month, appealing to the political leadership
to put elections on hold until a much firmer ground for economic recovery
has been established. However, events in the last two weeks could drown
their plea as both Mugabe and his bitter archrival Prime Minister Morgan
Tsvangirai appear to have gone for broke calling for an election. According
to the GPA, a new constitution should come first, but of the problems which
emerged during the constitutional outreach programme, there is now talk that
the country might go for elections under a provisional legal framework or
the current document. Analysts have, however, warned that such an
arrangement, which would bring in a negotiated constitution leading to
elections, would result in a messed-up process. There are also fears of
violence breaking up before the polls.
“We do not write constitutions in order to go to elections, we write
constitutions in order to lay a solid ground for current and future
governance of nations,” said Maisiri. “So we are likely to have a situation
where a quick-fix constitution may be intimated so as to allow the rollout
of elections. How does one then govern after those elections on a
constitution that would have primarily been meant for that very election?”

Leonard Makombe

Extend multiple currency use –– BAZ

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:48

THE Bankers Association of Zimbabwe (BAZ) has asked government to extend the
use of multiple currencies by five more years amid fears of massive
externalisation ahead of next year’s general elections.
Externalisation falls under the Exchange Control Act and is applicable only
to residents of Zimbabwe who are obliged to remit their foreign currency
through authorised dealers.
Bank deposits have since the adoption of foreign currencies grown to US$1,86
billion from US$1,4 billion in the first half of the year.
BAZ president, John Mushayavanhu told stakeholders attending the National
Budget consultative workshop at a local hotel in Harare that treasury should
maintain the use of foreign currencies, a policy adopted last year to stem
hyperinflation. Finance Minister Tendai Biti is expected to present the
Budget Statement before Parliament next month (November).
The BAZ position could be a response to President Robert Mugabe’s weekend
remarks that he was unwilling to extend the tenure of the coalition
government which he said would lapse next February. Mugabe cited sharp
differences with his long-time rival and partner in the inclusive
government, Prime Minister Morgan Tsvangirai for holding the election.
“The currency position needs to be clarified in the budget statement so that
it can be legislated in the Finance Act,” Mushayavanhu said. “The budget
statement should clearly state the minimum duration of the multi currency
regime. A minimum period of five years is recommended. This will stem
externalisation as we head for elections next year.” Government announced
that it would “revise” the policy in 2012 although it remains unclear
whether Zimbabwe will restore the use of the now worthless local unit or
join the South African Customs Union anchored by the rand.
The BAZ also warned that the non return of Statutory Reserve Balances is
threatening the viability and liquidity of banks. A statutory reserve is the
amount of money any bank has to maintain with the Reserve Bank for every
customer. The bankers however advised government to issue Special Treasury
Bills with “staggered maturity dates” at a nominal interest rate. The bills
according to Baz should have a final maturity date by June 2011.
“In the absence of a clear payment plan by the Finance ministry, these
balances will be regarded as non performing assets which should be fully
provided for. This has the effect of reducing banks’ profitability (and
capital) by plus or minus US$80 million, which is the total outstanding in
unpaid Reserves.”
Following an increase in bank robberies after the introduction of multi
currencies as legal tender, the bankers association advised government to
waive duty on imported security systems for banks.
“It is therefore recommended that duty be waived for the importation of
point of sale machines and ATMs to enable banks to import more gadgets. Also
it is recommended that taxes on automated transactions be removed or reduced
to promote use of plastic money,” Mushayavanhu said.
Meanwhile, the Zimbabwe Association of Pension Funds also backed BAZ
submissions saying government should maintain the monetary regime up to
2016.
“The industry would appreciate clarification on the currency policy up to
2016 to ascertain value preservation on any future bond issues,” reads ZAPF
proposals submitted to treasury.

Bernard Mpofu

 

Air Zim buys two Airbuses

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:43

AIR Zimbabwe has bought two A340-500 Airbuses which will service the
Harare-London and Harare-Beijing routes, the airline's chairman Jonathan
Kadzura said this week.

The first plane will be delivered by the end of November and the second will
be expected either in December or early January next year.
The planes will fly to London three times a week and twice a week to China.
Air Zimbabwe's management has been pressing government to replenish its
ageing fleet to give it a competitive edge.
The airline currently flies two Boeing B767-200s, two B737-200s and one
Chinese Modern Ark 60 turboprops.
Kadzura confirmed to businessdigest that the new planes would arrive in the
country by December.
"It is our desire to ensure that the national airline is completely revived
for the better. We are expecting the two aircrafts by December," he said
Kadzura could however not disclose the cost of the planes. The Airbus
A340-500 operates the world's longest commercial air routes linking
Singapore non-stop with New York.
The Airbuses are coming at a time Zimbabwe is trying to lure other national
airlines to fly to Zimbabwe
A total of 18 international airlines have left the country due to negative
publicity on  Zimbabwe as a result of the political crisis.
These include Lufthansa, Qantas, Austrian Airlines, Swissair, Air India, Air
France and TAP Air Portugal. African airlines that are no longer flying into
Harare include Egyptair, Air Mauritius, Linhas Aereas de Mocambique, Air
Namibia, Royal Swazi Airlines, Air Seychelles, Air Tanzania, Ghana Airways,
Air Uganda and Air Cameroon.
Insiders said the delivery of the two aircraft will give Air Zimbabwe the
opportunity to service West Africa and the Dubai route with the Boeing 767
as the national airline re-launched its expansion programme in line with the
economic stability.
However, they said the introduction of the new aircraft alone without
dealing with issues like debt, retrenchments and retiring of the old Boeing
737 will not bring a quick turnaround to the national airlines.
Aviation sources said the airline had been struggling because it embarked on
cost-cutting measures which have seen Air Zimbabwe pulling out of several
lucrative routes such as Harare-DRC, Harare-Dar-es-Salaam, Harare-Lilongwe
and Harare-Nairobi.
They believe such cost-cutting measures should have been complemented by
other strategies to salvage and maintain market share.
Analysts said the airline had lost out on potential investors or meaningful
investment due to their failure to produce up to date audited financial
accounts.
Air Zimbabwe and other parastatals in the country are facing serious
challenges relating to public accountability as a result of poor business
culture, which has been compounded by the economic challenges the country
faced over the past decade.
Air Zimbabwe's attempts to go regional in partnerships with Air Malawi, Air
Mauritius, Zambia, Tanzania and Kenya have not yielded anything.
It is also alleged that these partnerships have been aborted on claims that
some of the airlines were not performing, although it has since been
realised that more foreign currency earnings could have been earned from
such partnerships.

Paul Nyakazeya

Annual inflation to close at 4% –– Mining sector

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:43

THE mining sector says inflation pressures have subsided in the second half
of the year and will see the annualised inflation closing the year at 4%.
In its macro economy perspective report, the Chamber of Mines of Zimbabwe
sees a deceleration of inflation after inflationary pressures eased in the
second half of the year.
“Inflation pressures, which had picked up considerable pace during the first
half of 2010, have subsided, with annual headline inflation decelerating
from 5,3% in June to 4,1% in July 2010,” the Chamber of Mines said: “The
annual headline inflation is forecast at about 4% through December 2010.”
In July, inflation stood at 4,1%, while in August it dropped to about 3.6%
and then in September it picked up by about 0,6% making it 4,2%.
The Chamber of Mines said the strengthening of the South African rand
against the US dollar, productivity and capacity utilisation, borrowing
costs, international food and oil prices and other exogenous factors would
determine the inflation trend for the rest of the year.
“The strengthening of the rand against the US dollar exerts upward price
pressures on prices in Zimbabwe and a weaker rand exerts downwards price
pressures through a buildup of price pressures in South Africa which is
Zimbabwe’s largest trading partner,” the chamber said.
“A combination of enhanced productivity, higher capacity utilisation and
retaining zero duty on food imports implies containment of inflation
pressures, while high domestic costs of borrowing, utilities and food
prices, exert upward pressures on domestic prices.”
Meanwhile economic growth is said to be growing with fiscal revenue
collections now at US$143 million per month and the growth of individual and
corporate taxes is picking up, albeit unevenly across sectors of the
economy.
Growth is estimated at 6,3% in 2010, on the back of mining and agriculture
performance with mining growth projected at 35.3% and agriculture projected
at 18% in 2010.
The economy emerged from the deflation that immediately accompanied the
official introduction of the multicurrency in February 2009.The annual rate
was -7.8% in December 2009, reflecting the pronounced deflation that
occurred at the beginning of 2009.
During the first quarter of 2010, month on month inflation averaged 0,9%,
and by March the year on year inflation was 3,5%, effectively ending
deflation.

Winfilda Shana

ZAPF looks beyond borders

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:40

THE Zimbabwe Association of Pension Funds has asked government to outlaw a
piece of legislation barring the association from investing beyond the
country's borders owing to a subdued performance on the local capital
markets. The sector is emerging from a low base after years of
hyperinflation. Low industry capacity resulting from limited access to lines
of credit and unsustainable interest rates on short term loans being offered
by the banking sector has led to low pension contributions,  ultimately
stifling investment options for pension funds. The inclusive government
formed last year has only managed to channel just over US$1 billion to
revive the once moribund economy.
Davidzo Chitengu, spokesperson of the ZAPF told delegates attending the
pre-budget consultative workshop in the capital on Wednesday that pension
funds, which contribute to the bulk of trade on the ZSE, have resolved to
look elsewhere for business growth. The ZAPF, whose mandate is to mobilise
resources for retirement age and domestic savings for economic growth also
has investments on the property market.
This proposal comes at a time when the local bourse is struggling to tick
owing to liquidity challenges and investor anxiety over indigenisation laws
compelling foreign-owned companies to dispose  controlling stakes to black
Zimbabweans over the next five years.
"Current pension legislation does not allow pension funds to invest
offshore. We propose that offshore investment be allowed in order to
diversify the funds' portfolios and reduce country or currency risk,"
Chitengu said. "The amount invested offshore should be limited to a
percentage,we suggest a maximum of 10-15%, of the fund's assets to avoid
concentration risk."
The associationalso urged government to grant further tax concessions to
pensioners within 10 years of retirement to allow them to build  an adequate
retirement provision needed to alleviate the adverse impact of
hyperinflation on their savings over the past decade.
The pension funds also appealed to government to extend tax exemption policy
on income from a pension fund for pensioners aged over 55 years. Government
introduced the reprieve for pensioners four years ago. Apart from this
reprieve, banks are currently exempting pensioners earning US$25 monthly
pensions from paying service charges.
"We note that non-working widows and surviving children under the age of 18
years who do not qualify for tax exemption for elderly citizens are
grappling with the taxes which are almost wiping away the meager benefits.
We propose that the tax exemption for elderly pensioners be extended to
surviving spouses and children," Chitengu said.
Finance minister Tendai Biti however said government was satisfied with the
recovery in the sector whose investments were wiped out by  hyperinflation
that came to an end last year after the adoption of multiple currencies.
"Insurance companies and pension funds have been revitalised by the improved
macroeconomic environment," Biti said."The recovery in the sector has made
it possible for my ministry to reintroduce prescribed assets that had been
suspended and that encouraged the Insurance and Pensions Commission to
implement minimum capital requirements for companies conducting insurance
business".

Bernard Mpofu

Muckraker: Sanganai and the ZTA kiss of death

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:02

YOU would think that a meeting of women involved in politics would reflect
intelligent debate around the issues of the day such as stimulation of the
economy, investment opportunities, and infrastructural development.
Instead we were treated to a dose of hero-worship from Zanu PF's supine
Women's League last weekend. Their national assembly resolved unanimously to
endorse President Mugabe's candidacy in the next presidential poll because
of his "leadership prowess".
This presumably includes the near collapse of the economy over the past 10
years and the marginalisation of women in nearly every facet of the nation's
life!
"As the Women's League we endorse your candidature," secretary for Women's
Affairs Oppah Muchinguri proclaimed. "We are saying stand in the next
election and rule forever."
Couldn't she think of anything better to say? Like "we urgently need fresh
ideas to extract us from the quagmire we are now stuck in"?
"Your work cannot be compared to that of anyone else," Mugabe was told at
the meeting.
At least we have no quarrel with that statement!
The president told the women that we are now in transitional mode. "We want
to get to elections and get into a situation where Zanu PF can rule the
country."
So what's it been doing up until now?

In this context we are grateful to Tafataona Mahoso for reminding us of what
Morgan Tsvangirai had to say recently on the sanctions issue.
"All Zimbabweans know that Mr Mugabe and his colleagues brought the
restrictive measures on themselves through the flagrant abuses of human
rights and the economic disaster which they inflicted on this country,"
Tsvangirai said. "All Zimbabweans know that these restrictive measures are
the result, not the cause, of that economic disaster."
In a normal national environment, Mahoso spluttered with indignation, the
media alone would have forced the PM not only to apologise but to resign for
such statements. But the muted response to Tsvangirai's "outrage", he
claims, is "a measure of the corruption of both worldview and daily practice
in the media industry and corporate sector".
In other words, when nobody buys Mahoso's baloney, he passes it off as
"corruption".
He will have to do better than that. One of the most noteworthy aspects of
the 2008 campaign was the refusal of the electorate to swallow Zanu PF's
threadbare ideological mantras. Mahoso concedes as much when he blames the
party leadership for refusing to make sanctions a priority issue.
Tsvangirai's reminder that Zanu PF brought sanctions on itself was timely.
This is a truth the MDC should hammer away at without worrying about how
Zanu PF will take it.
Zanu PF has already advertised its agenda of dishonesty. It is refusing to
learn the lesson of 2008 when it was defeated by an electorate which had no
wish to swallow the blandishments of a  predatory ruling  class.
Mahoso should try another tack. His Sunday pronouncements are evidently
unconvincing.

In a poorly argued (even for him) article by Isdore Guvamombe in the
"Reflections" column of the Herald last Friday, a supposed case is made for
re-branding the hugely successful Kariba Invitation (not "Invitational")
Tiger Fish Tournament.
Guvamombe bemoans the fact that "although a tourist event" (is it?) the
Zimbabwe Tourism Authority was nowhere mentioned or invited and its flags
weren't flying at Charara Harbour in Kariba's Eastern Basin.
We have no idea whether ZTA was invited; that's up to the organisers, but
why should they be "mentioned" at an event that has run almost seamlessly
smoothly under unpaid, volunteer management for the past 49 years?
As almost all tourism insiders and professionals know, the presence of the
dreaded ZTA and its bully-boy boss "Karaoke" Kaseke is an almost certain
kiss of death.
Guvamombe's poorly researched and spelled piece, ironically, was being read
in stunned disbelief by Muckraker Minor when a breathless underling from ZTA
arrived with a stack of invitation cards for staffers of this paper and its
sister titles.
It was nearly noon. The invite was for a Sanganai/Hlangani "Buyer's (sic)
Cocktail" at Wild Geese Lodge six hours later!
Now ZTA ­- funded by a two-percent levy on every dollar spent on
accommodation, food, drink etc in every hotel, lodge, bar, restaurant and
club in the country - had a full year to organise Sanganai, grandiosely
sub-titled World Travel and Tourism Africa Fair, and the associated events
including parties.
Why six hours' notice to a function which, rightly, should have been held
on-site in the Andy Millar Hall at Harare Exhibition Park and was originally
slated for the nearby government-owned, RTG-run Rainbow Towers  and not at a
venue almost 20km away, at night, on one of the worst maintained roads in
the city?
MM's diary was full, so he declined, but muses if any "Buyers" were actually
there. Certainly the vast number of reluctant exhibitors (nearly all
complained of being pressured, threatened and virtually blackmailed into
booking expensive non-profitable space) spoken to said no international
travel buyers  had been seen when he visited, at lunchtime Friday and again
on Saturday.
Normally the Herald of Absolute Candour, or the Sunday Wail would have
images of these "buyers" (often from former communist-bloc satellite states)
snapped at the Falls, enjoying a fabulous freebie paid for from the
extortionate two-percent levy, but nary a pic nor a peep from them this
year.
One "buyer" MM heard about was a UK specialist surgeon, courting a
Zimbabwean girl. Apparently because he occasionally organises golf outings,
he was classed as a pro golf tourism fundi and came along for a jolly,
protesting that his fellow rabbits would have neither time nor money to play
in Zimbabwe.
The famous ZTA kiss of death was squarely planted on his forehead. A much
anticipated side-trip to play 18 holes on the breathtaking Leopard Rock
Hotel course was simply cancelled, without apology, at the 11th hour.

Sanganai was even more chaotic than usual. Despite the city being bedecked
with crossed Expo/Zimbabwe flags as if some major state visit was in
progress, there was no plan or map of exhibition space.
MM needed the Malawi Tourism Board. When he found it on Friday, all "opinion
formers and decision makers" had been summoned to a previously unannounced
event at Rainbow Towers.
A return visit on Saturday was overshadowed by advancing time, as he was
anxious to be offsite before the "official opening" (about three hours
before official closing!) On previous occasions, exhibitors, genuinely
interested visitors, tyre-kickers, rubber-neckers, pickpockets and even
ice-cream vendors were forced by police and army to hear the tourism
minister's platitudes.
MM was particularly tickled by Zimbabwe Defence Forces' stand.
"Guarding Our Heritage" they proclaimed in a slogan surrounded by dramatic
pictures of Zimbabwean wildlife. In pride of place was a Cape buffalo.
Talk to any resident or regular visitor to the Zambezi Valley and you'll
hear the reason you no longer see massive herds (1 000-beasts plus, as in
Chobe, Botswana) - indeed you'll be lucky to see any - is that ZDF (Army and
Air Force helicopter gunships) shot out almost every last one of the
creatures to provide our troops in the DRC pantomime with rations!

Talking of herds, Guvamombe says that National Parks and Wildlife (who, he
claims, weren't visible at KITFT when they were actually everywhere and
charging massively for their increasingly poor services!) are responsible
for disease control, poaching control (really ?. poachers' nets can be seen
in every creek mouth) and "herding" of tiger fish.
Well that's a new one on MM, a veteran of at least 15 tiger tournaments.
Herding fish? Hmmmm?

Thanks to the Sunday Mail for its revelation that the Nuanetsi Ranch maize
project initiated seven years ago by government to grow maize on 4 000
hectares of land has been abandoned under "unclear circumstances".
Broken-down tractors now lie idle in the middle of the bush. A Chinese
company hired to clear the area has given up.
Don't we recall commenting on this scheme some years ago?
This was an Arda scheme. Has Minister Joseph Made, agricultural advisor to
the president, explained how this disaster occurred on his watch?
It's funny because as soon as one hears his name, the "circumstances"
suddenly become "clear"!

Those parents seeking some intellectual stimulus for their youngsters may be
disappointed by Zimsec's simplistic question and answer exam papers.
This week pupils were asked: "Why was there apartheid in South Africa?"
Answer? "Because the whites didn't like the blacks."
And the Coloured folk? Were they there because the whites liked the blacks
too much!

We liked the picture on the front page of the People's Voice of President
Mugabe congratulating Joshua Sacco for being the last white man standing in
Zanu PF. You couldn't miss him. Sacco was wearing one of those Mugabe
fan-club shirts George Charamba used to wear!

Gauteng Police have just announced the discovery of an arms cache of 200
semi-automatic rifles with 250 000 rounds of ammunition, 10 anti-tank
missiles, four grenade launchers, two tonnes of heroin, R80 million in
forged South African banknotes and 25 trafficked Nigerian prostitutes all in
a block of flats behind the Hillbrow Public Library.
Local residents were stunned.
A community spokesman said: "We're shocked. We never knew we had a library!"

Finally, we chuckled at the heading in a local newspaper last weekend: "Male
circumcision: Bone of contention".

Eric Bloch: Reversing industry’s collapse

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:01

LAST week the Ministry of Industry and Commerce disclosed that it was
vigorously pursuing formulation of a draft 2011-2015 Industrial Policy
Framework targeted at revitalisation of the economy as a whole, and with
special focus upon the recovery and growth of the manufacturing sector. The
ministry’s declared intent is that upon completion of the draft, it will
consult substantively with the private sector, and will then dynamically
pursue the policy implementation so as to restore industry to its former
prominence, and major growth thereafter.
For 80 years Zimbabwe had a manufacturing sector of which it was justly
proud, and which contributed significantly to the country’s economic
wellbeing.  The sector was much diversified, including engineering, textiles
and clothing, pharmaceuticals, furniture, food processing and much else. To
a major extent it was dependent upon imported inputs, instead of a focus
upon value addition to Zimbabwe’s quality primary products.  Until
government dogmatically destroyed Zimbabwe’s agricultural sector,
manufacturing was the second largest employer of labour, and contributor to
total economic output   and, after the collapse of agriculture, was Zimbabwe’s
economic front-runner.  However, over the last two years it ceased to be so,
in part because of the growth in the mining sector, but primarily because
abysmal, unnecessary circumstances forced a mammoth contraction in
manufacturing.
Initially, the contraction of the sector was primarily attributable to the
immense decline in consumer spending power, as ever more Zimbabweans were
rendered unemployed, and soaring hyperinflation eroded the consumers’
resources.  Concurrently, that hyperinflation caused intense escalations in
manufacturing production costs, rendering many of the products’ prices
uncompetitive in export markets, enabling imported products to be highly
competitive in the domestic market.
Thereafter, the trying circumstances confronting the sector intensified
exponentially, resulting in progressive and accelerated contraction of many
operations, and recently fuelling the unavoidable closure of many companies.
In 2009 there was a brief period of upturn, following upon more ready access
to imported inputs and the cessation of hyperinflation, with production
rising from a niggardly 8% of productive capacity to almost 40%.  Sadly, the
upturn was short-lived, and currently the sector is exceptionally fragile
and decimated.
Major measures are critical and urgently necessary if the sector’s decline
is to be halted and reversed, and hopefully will be constructively addressed
in the forthcoming 2011-2015 Industrial Policy Framework, although even that
will not yield the desired results unless government (including the Zanu PF
elements who have consistently negated and undermined necessary policies)
are absolutely and unreservedly supportive of necessary corrective, recovery
measures.  Those measures are many and greatly varied, and include:
Most critical is that adequate working capital funding becomes available
rapidly, for almost without exception the manufacturers are grossly
undercapitalised. The intense hyperinflation of 2008 escalated the funding
required to finance inputs, operational costs and overheads, and extension
of credit to customers, multifold, resulting in previously adequately funded
enterprises being almost devoid of resources.  Whatsoever limited funds they
still had in early 2009 became valueless upon the demonetisation of the
Zimbabwean currency.  Since then, the money market has been consistently
highly illiquid and, therefore, unable to provide working capital to almost
all in the economy in critical need.  What little monies  available were
subject to immense charges, for the financial institutions had to resort to
high levels of interest in order to fund ongoing overheads.  The inadequacy
of money market funding was, and continues to be, partially attributable to
most of the populace being reluctant to utilise banking services as they
fear for the security of their funds, and to a major extent is a consequence
of the high risk perceptions of the international money market of any
lending to Zimbabwe.
If this critical circumstance is to be addressed effectively, minister
Welshman Ncube’s first action is to prevail, undoubtedly with difficulty,
upon the Minister of Finance Tendai Biti to draw down the substantial IMF
Special Drawing Rights (available to Zimbabwe and unutilised for over a
year) and make those funds available to industry.  Soon thereafter, and
inevitably with even greater difficulty, he needs to motivate government,
and especially the president and his hierarchy, to reconcile with the
international community, and to pursue policy revisions which will restore
harmonious relationships and accord Zimbabwe an acceptable international
credit risk rating.  That would generate substantial developmental and
recovery aid, loan funding and investment, which would restore substance to
the money market and, therefore, to the economy.
Concurrently, a key focus must be to ensure that government finally, and
belatedly, enables comprehensive, viable, affordable service delivery by
parastatals.  Industry cannot survive when it is confronted with
consistently erratic, extremely unreliable energy supplies from the Zimbabwe
Electricity Supply Authority, only intermittent telephonic and
telecommunication services by TelOne, uncertainty in rail and air services,
and the like.  Most of the parastatals strive to provide requisite services,
but are grievously lacking in necessary finances, technological skills and
other resources.  Government’s insolvency is so intense that it cannot
adequately address the needs of the parastatals, and it needs to recognise
that only Public/Private Sector Partnerships, total or partial
privatisations can effectively address their crisis circumstances with
reasonable speed.
Yet another area which urgently requires action by government is to bring
about a regime of sense and reason in the field of labour relations.
Currently most labour relations are horrendously constrained.  The wellbeing
of labour has been exceptionally straitened by the magnitude of past
inflation, grossly eroding spending power and thereby precluding ability to
finance essential needs. Those still in employment have ever-increasing
numbers of dependants as a result of escalating unemployment and of the
impact of HIV-Aids and increasing community malnutrition and ill-health.
Consequently, labour feels oppressed, exploited and has ever-decreasing
morale, and this has greatly impacted upon productivity, with consequential
prejudice to the employer.    Employers and labour have to work together to
bring about recovery for their mutual benefit, and that of Zimbabwe as a
whole.  Government must play a lead role in bringing about employer/employee
reconciliation, conciliation and harmony, and joint endeavours for mutual
wellbeing.
Numerous other actions are essential for the survival and resurrection of
industry, and some of them will be addressed in next week’s column, and
hopefully all will be constructively addressed in the forthcoming policy
framework.

Impediments to free and fair polls in Zim

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:56

OVER the past decade, elections have been a controversial business in
Zimbabwe. The question on many people's minds is whether Zimbabwe, two years
after signing a global political agreement (GPA) that ushered in a
power-sharing interim government in February 2009, is indeed ready for
another election in 2011.
This question can be better answered by looking back at the conditions
prevalent during the previous elections, highlighting the main causes for
the violence and electoral irregularities that ensued in these instances.
In 1999, in response to mounting popular discontent over the lack of
implementation of economic and political  reforms, gross mismanagement,
excessive government expenditure and rising corruption, the Zimbabwe
Congress of Trade Unions  formed a political party - the now well-known
Movement for Democratic Change (MDC).
This was also around the time when the fast-track land reform process became
increasingly violent, with President Robert Mugabe encouraging the forcible
acquisition of the mostly white-owned farms as a means of rewarding Zanu PF
supporters for their loyalty, a move which further crippled the economy and
led to chronic shortages of basic commodities.
In the 2000 parliamentary elections, Mugabe's Zanu PF faced serious
competition for the first time since Independence (Zanu PF won 62 seats and
MDC won 57 seats out of the 120 contested seats). Later, elections in 2005
were marred by gross manipulation and suppression of dissent, and the MDC
split in November 2005 after Tsvangirai overruled senior members who voted
to participate in upcoming senate elections. The split led to the formation
of two factions: the MDC-T led by Morgan Tsvangirai, and the MDC-M led by
Arthur Mutambara.
In March 2007, Sadc mandated the then South African President Thabo Mbeki to
mediate between the government and the MDC. The goal was to pave the way for
a new constitution and to create the conditions for free and fair elections.
However, Mugabe proceeded unilaterally to declare March 29 2008 as the date
for the next elections, although the MDC had wanted to postpone them until a
new constitution was adopted. Violence and intimidation of opposition
supporters was again expected in the run-up to the March 2008 parliamentary
and presidential elections. Some observers claimed that there was a skewed
playing field ahead of the elections due to pre-poll manipulation and the
accreditation of only friendly countries and institutions to observe the
polls.
Such reports notwithstanding, and for the first time since independence in
1980, Zanu PF lost its majority in parliament to the opposition MDC.
The Zanu PF-led government, however, withheld the results of the
presidential elections for several weeks, raising suspicions that Tsvangirai
may have won an outright victory.
After finally releasing the results - with Tsvangirai winning 47,9% of the
total votes compared to Mugabe's 43,2%- the country was geared for a run-off
on June 27 2008. A few days prior to the event, however, Tsvangirai
announced his withdrawal from the race, citing the increased violence
against his supporters as cause for his decision.
Have the conditions that led to the violence of 2008 changed enough to
guarantee the holding of peaceful, credible elections in 2011? The answer is
a resounding no. While the realisation of a power-sharing agreement in
September 2008 saw an end to the international isolation of Zimbabwe, the
negotiations failed to address the fears and demands of hardliners and
potential spoilers on both sides of the political divide.
Most prominent in this regard is the failure to clarify the position of the
security apparatus, or offer any assurances, such as amnesty for offences
committed against the population, to secure the support of this set of
actors when the deal was struck.
Prior to the inauguration of the interim government, the Joint Operations
Command (JOC), chaired by the Minister of Security and comprising army
commanders, air force, intelligence service and prisons, served as the
central oversight body for all government operations and policies. Given the
pivotal role played by the JOC commanders in the past, securing the future
of this particular group of potential spoilers is essential for any
sustainable political transformation to take hold.
Nearly six months into the rule of the inclusive government and following
five failed attempts at scheduling its first meeting, the newly established
National Security Council (NSC), - headed by Mugabe with Prime Minister
Tsvangirai as a member - finally met in August 2009. However, it is reported
that  JOC, while officially dismantled under the GPA and replaced by the
NSC, still meets regularly and continues to maintain an influence on
developments in the political sphere, particularly with regards to the
implementation of the GPA and the associated difficulties in resolving the
well-known outstanding contentious issues.
In conclusion, it should be noted that democratic procedures tend to
exacerbate existing tensions in an already divided society. Social and
political conflicts intensify with the launch of election campaigns as
opportunistic politicians exploit such tensions to pursue their own vested
interests. We have already witnessed this trend in the case of Zimbabwe.
An initial delay of elections could allow for an improvement of relations
between the adversaries before entering into this inherently conflictual
process. The South African transition in the early 1990s is a case in point.
By the time elections were held, the confidence-building efforts undertaken
during the negotiation process had begun to bear fruit. The parties had
begun to trust each other, political forces had collaborated with each
other - hence decreasing the likelihood of a contested election or, in the
case of South Africa, a hardening of the ethnic divide. In Zimbabwe,
conditions have not been established to render any electoral process to be
free of rigging, violence or intimidation.
However, one key challenge faced in Zimbabwe is the question of buy-in from
all stakeholders involved in the transitional process. And given the lack of
progress in fully implementing the GPA, the statement made by Mugabe at the
signing of this historical document almost two years ago points to a
not-so-promising absence of political will for reform: "The opposition will
always want more than what it deserves. It will devise ways and means of
getting power."

    * Dr Judy Smith-Höhn is a senior researcher in the African Conflict
Prevention Programme of the Institute for Security Studies in Pretoria.

By Judy Smith-Höhn

Mugabe’s plan to retain power

http://www.theindependent.co.zw/

Thursday, 21 October 2010 19:53

THE MDC-T road map for resolving the political and economic crisis in
Zimbabwe was very simple — a campaign of democratic resistance to force Zanu
PF into negotiations  for a transitional government, the drafting and
adoption of a new constitution followed by a national election to resolve
the issue of leadership of the state.
This road map has been more or less achieved and ever since Zanu PF signed
the global political agreement (GPA) in September 2008 they have been
fighting a rearguard action to avoid the agreed reforms.
The impression that has been created by the propaganda machine of Zanu PF
has been to try and establish the image that they are still in control and
that the only reason why the economy is in such a state and further reforms
are impossible, is the “illegal” imposition of “sanctions” on Zimbabwe. The
reality is that they know that if the GPA is implemented in full, they are
unlikely to be able to control the next elections and the consequence will
be a comprehensive and humiliating defeat.
They do not believe the fiction about sanctions and they understand full
well why the economy collapsed under their watch from 1997 to 2008. They
have a clear understanding of the remedies as evidenced by minister Patrick
Chinamasa’s skilful presentation of the fundamental economic reforms needed
to stabilise the economy a month before the swearing in of the current
transitional government.
Their biggest problem is that their leader, Robert Mugabe, signed the GPA
and now the region and African leadership in general  is actually demanding
that they abide by that signature.In particular, the leadership in South
Africa has adopted a hard stance on the issue and as South African Planning
Minister Trevor Manuel said last Thursday, “we expect African leaders who
sign agreements to live up to them”.
Zanu PF’s strategy since February 2008 has been to delay reforms and trigger
a snap election under existing conditions. They want an election held under
conditions where the new Independent Electoral Commission is ringfenced and
powerless, the voters roll heavily manipulated and bloated with dead and
absent voters, and the delimitation of constituencies remains the same with
a 60:40 split between rural and urban constituencies, despite the 63:37%
split in the actual population, urban to rural.
They want an election where they can ring-fence the former commercial
farming districts as no-go areas for the MDC.
They want to be able to control the media, especially radio and the print
media; they want to be able to conduct a programme of political intimidation
and targeted violence behind a screen of anonymous silence. They want to use
the traditional leaders to control the communal population and to use fear
and patronage on a massive scale to herd people towards the Zanu PF flag.
They have the diamonds tightly controlled and this has given them new
confidence and capacity. They have their campaign strategy all worked out
right down to an advertising campaign and radio jingles.
Their only problem is that they signed the GPA and now, unbelievably, the
region is holding their noses to the grind stone. We saw that at the Sadc
summit in August and there is every sign that it is happening again right
now. The facilitators were here last Tuesday and Wednesday after the failure
of the principals to agree to a resolution of the outstanding items in the
GPA the previous Monday.
Mugabe’s statement at the Youth meeting of Zanu PF last Friday was
instructive and clearly showed the influence of the discussion with the
South Africans on Wednesday night. We are going to shortcut the Copac
process, he said, and hold the referendum on the new constitution before mid
2011, and then we are going on to hold an election before the end of the
year. Nelson Chamisa’s statement that the MDC is ready for an election at
any time was a clear response and confirmation that this is the thinking in
the highest levels of political leadership in the region and in Zimbabwe.
The first reaction of most people to such a scenario is “not again”; more
violence and killings, more house burnings and intimidation. In a nutshell,
rape and mayhem.
I am not so sure. I think the South Africans are going to insist on
compliance with the GPA and are going to force adoption of the essential
reforms required for a free and fair election that is recognised by the
international community. In fact recognition by the major powers in the
world is so critical to the region, that they are likely to be more amenable
to pressure from the US and Europe than normal on issues such as the
Zimbabwe crisis.
What we have to decide is what steps lie on the roadmap to an acceptable
electoral process? I would list the following:

    * A truly independent electoral commission with its own budget and
freedom to control the whole electoral process, independently of the
Registrar General’s Office.

    * A new voters’ roll conducted by a private contractor employed for this
purpose.

    * A new delimitation based on the new voters roll and the political and
institutional structures agreed in the new constitution.

    * Full implementation of the GPA media reforms and in particular
community-based radio stations and the return of the Daily News.

    * The dismantling of the Joint Operations Command and the appointment of
all MDC governors at provincial levels to oversee the dismantling of the
State control of all instruments of violence and intimidation and deliberate
targeting.

    * The promulgation and implementation of the electoral reforms already
negotiated and agreed.

    * The provision of a comprehensive system of supervision and observation
of Sadc and AU monitors of the electoral process, campaign and subsequent
elections.

    * The provision and supervision of election monitors in every polling
station in the country, and the secure collection of all signed polling
station returns to ensure rapid tabulation of results and total
transparency.

    * Regional guarantees that the results of the election will be respected
and implemented without delay after the poll.

Is that too much to ask for? I do not think so, but it is the minimum that
we need if we are to conduct a free and fair election in Zimbabwe which will
finally resolve the political and the economic crisis.

    * Eddie Cross is MDC-T MP for Bulawayo South.
www.eddiecross.africanherd.com.

 

Candid Comment: Mugabe desperate to secure his future

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:10

PRESIDENT Robert Mugabe seems to be pushing hard to have elections next year
at whatever cost, even if it means doctoring the Global Political Agreement
(GPA) and misrepresenting issues. This reveals his desperation to extricate
himself from the GPA.
Mugabe last week told his party's youths that he wants early elections,
preferably mid next year after the referendum on a new constitution which he
fancies in the first quarter of the year.
There is no doubt that Mugabe's strategy is to go for early elections when
his faltering health still permits and when his arch-rival Morgan Tsvangirai
and his MDC-T are on the ropes and floundering. Mugabe wants to secure his
future in this process and ensure that he becomes life president. There is
no other motivation than his personal interests, particularly safe-guarding
himself against all sorts of possible consequences of his disastrous rule,
including prosecution for gross human rights abuses.
His expedient agitation for elections is motivated by his own sense of
insecurity. This suits the collective interest of his Zanu PF cronies who
want him to remain in office so they can continue looting and protect their
ill-gotten wealth.
Electioneering has actually started. Besides Mugabe's recent moves and
statements, the hullabaloo over the Big Brother Africa reality show outcome
and Munya's impressive performance has been hijacked and politicised by Zanu
PF. While ordinary people who supported Munya did it for national pride and
entertainment, Mugabe and his Zanu PF lackeys are busy politicking and
campaigning.
The ridiculous posturing and the charade of goodwill exhibited around the
issue are a thinly-veiled - but certainly hopeless - attempt to capture the
national mood and with a bit of luck votes, especially among the young
people who have long tergiversated the party which is now home to political
dinosaurs and their failed policies.
Since when has Zanu PF mandarins and surrogates been so generous when they
have through misrule and corruption ruined schools, hospitals and clinics,
roads, water systems, electricity and other utility infrastructure without
scruples? They even have a record of stealing public funds.
And are there no other serious causes for them to rally around like taking
care of the kids who are not going to school because they can't afford
exorbitant fees, the elderly who are neglected and suffering or orphans
instead of trying to project Zimbabwe through Big Brother?
Why are they not concerned about people who have no water, electricity and
jobs out there? How about local refugees in South Africa and elsewhere who
fled Mugabe's economic tsunami and political violence?
The plot is clear. Mugabe is pushing for early elections and is already
campaigning.
But before fresh elections Zimbabwe needs first to fully adopt Sadc
principles and guidelines governing democratic elections. These include
creating conditions to ensure full participation of citizens in the
political process, freedom of association, assembly and speech, political
tolerance, equal opportunity for political parties, independence of the
judiciary, impartiality of electoral institutions, opportunity to exercise
the right to vote and be voted for, voter education, acceptance of election
results and the opportunity to challenge contested results in terms of the
law of the land.
The Zimbabwe Electoral Commission, which runs elections, must be impartial
and competent. A new voters' roll which is accurate and up to date is
needed. Impartial voter education must be freely allowed. Delimitation of
constituencies must be transparent and credible, and there should be no
gerrymandering.
Elections are a process, not just an event. The entire process leading up to
and including the actual voting must be peaceful, free and fair. Political
parties must be able to campaign freely and peacefully. Violence or
intimidation and bribery must not be allowed.
Political parties contesting elections must have fair and
equal access to the public media. Polling stations must be accessible to
voters and be adequately manned. Monitors and observers must be given free
access. The counting of votes must be done accurately and efficiently and
results announced promptly.

Dumisani Muleya

Editor's Memo: A lot needs to be done before election

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:09

THE growing chasm between President Robert Mugabe and his arch-rival Prime
Minister Morgan Tsvangirai lays bare the surreal world we live in where
politicians pursue personal and party goals at the expense of social
development and the electorate.
Last week Mugabe publicly shredded the Global Political Agreement (GPA) he
signed with Tsvangirai and the smaller formation of the MDC led by Arthur
Mutambara when he arrogated to himself the power to determine the lifespan
of the inclusive government and to declare when fresh polls should be held.
The ageing Mugabe told his captive Zanu PF party youths at "Shake-shake"
building in the capital last Thursday that the unity government's term of
office will end in February and that he will not consider extending it. He
said the constitutional referendum should be in the first quarter of next
year followed by elections before June.
His decision was informed by Tsvangirai's protestations against the
octogenarian leader's unilateral re-assignment of ambassadors, the
re-appointment of provincial governors, and the refusal by Mugabe to
swear-in Roy Bennett as Agriculture deputy minister, among other outstanding
issues of the GPA.
Tsvangirai wrote letters locally and abroad saying Mugabe was in breach of
the constitution and the GPA, a move which irked the 86-year-old veteran
leader and his party which insisted that the pact "did not affect the
president's constitutional powers".  Put succinctly, Mugabe and Zanu PF said
the GPA cannot supersede the constitution.
There lies the problem!
It is common cause to everyone who has read the GPA and Constitution of
Zimbabwe Amendment No19 Act that gave effect to the inclusive government
that that piece of legislation took away Mugabe's powers to solely make key
appointments.
Article XX of the GPA, which is an integral part of the constitution through
Amendment No19, deals with the framework of the inclusive government a clear
that the president, among other things, is bound by the supreme law to
appoint service/executive commissions; make key appointment; and dissolve
parliament after consulting the prime minister.
A constitutional watchdog, Veritas, this week said Amendment No19 made it
"clear beyond argument that during the life of the GPA, Article XX prevails
over other provisions of the constitution".
"The mistaken interpretation must come from the fact that prior to
Constitutional Amendment No 19 the constitution did give the president the
sweeping powers he still, incorrectly, claims," the watchdog said.
The constitutional amendment also had a domineering effect over other
provisions of the constitution that were in place before it was passed.
"For the avoidance of doubt, the following provisions of the Interparty
Political Agreement (known popularly as the GPA), being Article XX thereof,
shall, during the subsistence of the Interparty Political Agreement, prevail
notwithstanding anything to the contrary in the constitution," amendment
reads.
Mugabe also incorrectly claimed that the lifespan of the inclusive
government ends in February. Nowhere is this stated in the GPA. What is
stated in both the GPA and the constitutional amendment is that the
agreement "and the relationship agreed to hereunder will be reviewed at the
conclusion of the constitution-making process".
"According to the current constitution the next elections must be triggered
by dissolving parliament," Veritas said. "This is done by the president by
proclamation in the Government Gazette.  But as long as the GPA lasts, the
president cannot act alone; he must first obtain the Prime Minister's
agreement."
This follows from the constitution Schedule 8, GPA Article 20.1.3(q), which
states that the president "may, acting in consultation with the Prime
Minister, dissolve Parliament", and Section 115 of the constitution, which
says that in Schedule 8 "in consultation" means "that the person required to
consult arrives at the decision after securing the agreement or consent of
the person so consulted".

Constantine Chimakure

Comment: Biti’s position not enviable

http://www.theindependent.co.zw/

Thursday, 21 October 2010 20:07

FINANCE Minister Tendai Biti faces a daunting task next month when he
presents his 2011 fiscal policy.  Whereas there appeared to be a common
purpose when he prepared the current fiscal policy statement, next year’s
budget is definitely going to be different. And President Robert Mugabe and
his Zanu PF party have ensured that he will have a torrid time.
This time around his major headache will not be just ensuring key areas such
as health or education get the best out of the budget, but he has to fund
elections as well — thanks to Mugabe who is agitating for the polls.
Mugabe and his party have led the electorate down the garden path insisting
the government of national unity cannot exist for more than two years as
stipulated by the Global Political Agreement (GPA). Owing to such political
chicanery, Biti has been ordered to budget US$200 million for elections to
be held around June next year, according to Mugabe.  This is asking for too
much from an already troubled treasury that generates a mere US$140 million
monthly and cannot even keep its own workers happy. To drive the point home,
one has to realise that the US$200 million represents close to 9% of this
year’s total budget and the major question is where will this amount come
from?
It is likely that other areas will be starved as funds have to be made
available for the elections. Instead of making sure that the economic
stability registered after the adoption of multi currencies last year
translates into sustained economic growth until the political environment
becomes conducive for polls, eyes are now on having new debilitating
elections. Mugabe would rather see good money thrown into the bin. In spite
of all these issues, Biti is faced with the reality that he has to come up
with a fiscal policy and get the job done. For the Finance minister, the
uphill task is to bring new impetus into the economy as there has been
stagnation for the greater part of the year after a promising start in 2009
following a decade of decline.
Capacity utilisation remains stagnant. Also multilateral institutions have
not supported budget deficits from last year and chances are they will not
in the coming year owing mainly to Mugabe’s failure to fully implement the
GPA.
Biti’s homework is to ensure expenditure is within the range of what the
state can collect and at the same time initiate new capital projects,
especially infrastructure development. Roads need repair, dams have to be
constructed, local authorities need to replace sewer and water systems, and
all these may be hoping for something from the minister.
The real sectors are also hoping for something and agriculture which has
been identified as a potential early responder to the stable economic
environment may be the largest beneficiary in terms of allocation of
resources and policy changes. It is expected that the minister will come up
with a clear policy on how this sector can be supported. This, however,
should not be to the neglect of other sectors such as mining, tourism and
manufacturing which also have potential for positive growth.
It is also incumbent upon the minister to reassure investors on how secure
their property is in the country, as the indigenisation regulations gazetted
earlier this year  compelling foreigners to cede controlling stakes in
companies valued at US$500 000 to indigenous Zimbabweans continue to taint
Zimbabwe’s image. In terms of policy, the minister is expected to give
directions to the financial service sector which has failed to take off
since the adoption of multiple currencies in February last year. This could
be the biggest challenge as the previous budget statements have tried to
reignite the flames but they have died down on the weight of the conflicting
policy statements, the indigenisation regulations and a complete failure by
the financial sector to come up with solutions to the current problems.
Biti is clearly in an unenviable position.

 

Zimbabwe – can Tsvangirai salvage his credibility?

By Clifford Chitupa Mashiri, Political Analyst, London 22/10/10

Morgan Tsvangirai, President of the Movement for Democratic Change (MDC)
should ratchet pressure on the Zanu-pf dictator if he still wants to salvage
his credibility amidst concerns that he was warming up to Mugabe until the
recent fallout over governors and ambassadors.  In July last year Tsvangirai
drew criticism from his own party after apparently apologising to Mugabe
over a boycott of a cabinet meeting by MDC ministers. The general perception
has been that Tsvangirai was warming up to Mugabe until his outburst last
week declaring that he could no longer let Mugabe and his Zanu-pf  party
“act as if they own this country.”

Before then, there was disbelief last month when Morgan Tsvangirai described
Mugabe as “a hero, a liberator and the founding father of Zimbabwe”(The
Guardian, UK 16/09/10). The ill-timed praise of someone regarded as
“genocidal” attracted much indignation as it came after the classification
of Gukurahundi massacres as genocide by US-based Genocide Watch. The
Zimbabwean on 18 September quoted analysts as saying Tsvangirai was “skating
on thin ice” after he apparently reached a gentlemen’s  agreement with
Mugabe that he will handover power should he lose elections next year. A
comment in The Standard (ZW) on 18th September asked: “Has Tsvangirai joined
Mugabe’s praise singers?”

“Shockingly” said the Zimdiaspora website on 19 September, “Tsvangirai now
seems to be singing the same hymn with Mugabe’s bootlickers.” It would be an
understatement to say that the Prime Minister outraged many by hinting on an
amnesty for the security chiefs for their alleged political crimes in an
effort to placate them in a post-Mugabe era. A statement released by the
Union for Sustainable Democracy labelled the Prime Minister as dangerously
delusional and demanded an apology from the Prime Minister. ”This is an
agreement that bears the gravest and most telling signs of political
insanity which has no place in present day Zimbabwe,” the USD said (The
Zimbabwean, 15/09/10).

Even the foreign media was surprised by Tsvangirai’s stance at the Economist’s
conference held in Johannesburg last month. On 23 September, the Guardian’s
David Smith commented in an article entitled ‘Tsvangirai seems to find
coalition easier than Nick Clegg does’ saying, “Zimbabwe’s prime minister
has been beaten and had an election stolen, but he speaks warmly of Mugabe
and power sharing,” adding, “I heard the Zimbabwe Prime Minister tell how
the coalition government is holding together, the economy is picking up and
he even has a good strong working relationship with President Robert
 Mugabe.” There is speculation that Tsvangirai’s unguarded praise of Mugabe
could have cost him the Nobel Peace Prize twice.

Also disturbing were claims by Zanu-pf Justice Minister, Patrick Chinamasa
last month that the coalition government had agreed that the Zimbabwe Human
Rights Commission would only probe cases committed after the enactment of
Constitution of Zimbabwe Amendment Number 19 that paved the way for the
creation of the coalition between Mugabe and Tsvangirai. This means that the
new human rights watchdog would not be allowed to investigate cases
committed before December 2008. As this gives the impression that MDC has
struck a deal with Zanu-pf, it is very important for Tsvangirai to clarify
his position. There are genuine fears of a possible cover-up by Zanu-pf of
murder, rape and human rights abuses committed during Gukurahundi,
Murambatsvina, the military incursion of Chiadzwa and election violence
2008. Already, the matter has attracted international interest after a
diplomat from the European Union commented: “It seems your leaders
repeatedly refuse to face up to their past and we are gravely concerned with
such attempts to sweep under the carpet gross human rights violence that
have been committed as recently as two years ago,” (Zimonline, 15/09/10).

An online survey by the Zimbabwe Standard on the question whether the Prime
Minister Morgan Tsvangirai is warming up to Zanu-pf, had very interesting
findings as the majority of the respondents felt that Tsvangirai was
perceived by many people as warming up to Zanu-pf. Of the 6714 voters polled
between 16 May 2009 and 22 October 2010, 58.1% or 3901 voted Yes, while 41%
or  2809 voted No. (Source: the standard.co.zw accessed 22/10/10). Although,
not scientifically flawless e.g. through multiple voting, the survey
confirms the strong sentiments cited above.

It was therefore with much relief last week to see a lengthy statement read
by Tsvangirai castigating Mugabe’s breaches of the so-called Global
Political Agreement (GPA) by among other things making unilateral
appointments to various public posts. Accordingly, EU’s rejection of Mugabe’s
new ambassadors (Dailynews ZW, 20/10/10) if it goes through, is a big morale
booster for Tsvangirai despite threats of a “tit-for-tat” by George
Charamba, Mugabe’s spokesman.

Although Charamba played down the ambassadorial appointments saying they
were just ceremonial, his unconvincing account contradicts recent reports
that top Zanu-pf officials have secretly recalled Zimbabwean diplomats in
order to replace them with relatives and friends of officials linked to
Zanu-pf as a carefully designed plan to circumvent targeted travel
sanctions. It has also been alleged that in some Asian countries, the
relatives are playing a key role as agents for diamond smuggling and other
business deals including illegal arms trading and money laundering
(Zimbabwemetro, 14/10/10). It’s important that MDC draws a line on such
issues.

Tsvangirai’s reported boycott of a cabinet meeting and refusal to attend the
so-called high-powered Monday morning meetings over tea and biscuits with
Robert Mugabe (Newsday, 19/10/10) was a positive development that could help
cool relations which were becoming too warm between the two political rivals
at the public’s expense.

People are pleading with Tsvangirai to get rid of self-styled ‘war vet’
Jabulani Sibanda who is terrorising villagers in Masvingo on behalf of
Mugabe because Sibanda is allegedly spreading fear by making death threats
against political opponents.  Whereas, Sibanda was 9 years old or too young
to have been involved in the Second Chimurenga or Zimbabwe War of Liberation
which ended in 1979 according to Wikipedia, he seems to have blessings of
Zanu-pf’s top hierarchy.

While it is not being suggested that the prime minister should leave the
coalition government, it is very concerning that farm invasions continue two
years since signing the GPA which is supposed to also protect the white
commercial farmers as Zimbabwean citizens or investors. The inclusive
government of which Tsvangirai is part, agreed to ensure productivity in the
agricultural sector through a land audit and security of tenure to all
landholders but none of that has materialised. Instead some white farmers
and their workers are now destitute. Sadly, the Commercial Farmers Union and
10 of its members have been left with no option but sue the Zimbabwe
coalition Government for racism against white farmers after the SADC
Tribunal was suspended in August following pressure from Mugabe. Ironically,
MDC Finance Minister, Tendai Biti is among the seven charged (Voanews,
30/09/10). In order to absolve his party, Tsvangirai must ratchet pressure
on Mugabe to implement the GPA without fear or favour. There is no doubt
that Tsvangirai can still salvage his credibility. Zimbabweans have given
him the thumbs up in MPOI poll ahead of Mugabe.

An excellent summation of Mugabe’s controversial hold on power was given by
none other than his current senior spin doctor Jonathan Moyo in an article
entitled: ‘Unravelling Zanu-pf’s extraordinary congress’
(Zimbabwesituation.com, 26 October 2007). “If the decision (to convene the
extraordinary congress) has any political message about Mugabe, it is to be
found in the adage that when roses are gone, nothing is left but the thorn.
Bereft of his disputed rosy appeal and with the vagaries of his old age
combining with his arrogance from having been in power for too long, Mugabe
has now become an irksome thorn that is hurting not only the soul of the
bleeding nation but also the interests of his own besieged party,” said
Jonathan Moyo.

Clifford Chitupa Mashiri, Political Analyst, London
zimanalysis2009@gmail.com