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Chombo sucked into bribes saga

FinGaz

Nelson Banya

HARARE regional magistrate, Lillian Kudya, last week put Local Government
Minister Ignatius Chombo under the spotlight in the long-running Zimbabwe
United Passenger Company bribes-for-buses saga when she convicted ZUPCO
board chairman Charles Nherera.

Following the ruling, speculation was rife that Chombo would be picked up in
connection with the case, but police spokesperson Wayne Bvudzijena said the
police would only question the minister as a witness.
"The police are viewing Local Government Minister Chombo as a witness and
not the accused. We will record his statement but we cannot give details as
to when since it is an ongoing investigation," Bvudzijena said.
In handing down a guilty verdict in the corruption case against Nherera, who
is also an associate of Chombo, the magistrate posed serious questions about
the minister's involvement in the case - in a manner reminiscent of the
controversial Shabir Shaik case in South Africa.
Judge Hilary Squires' statement that the convicted businessman's
relationship with former South African deputy president Jacob Zuma was
"generally corrupt" led to his dismissal from government. Zuma's subsequent
indictment on corruption charges has put the skids on his political career.
Kudya also raised questions about Deputy Information and Publicity Minister
and former ZUPCO chief executive Bright Matonga's evidence. Matonga has also
been arraigned, along with Nherera, after further evidence of corruption at
the public transport company was reportedly unearthed.
"The court also observed from the outset when Minister Chombo and Deputy
Minister Matonga gave their evidence that there were a lot of unspoken
features about the case, which if they had been clearly laid out would have
been easy to calculate whether they were in as defence or state witnesses.
"It was clear that their non-committal evidence spoke volumes of what was
happening in the instant case, hence without evidence to support that level
of involvement in the alleged scam, the court also treated their evidence
with utmost caution, lest it be swayed and make unsound conclusions. In
essence in particular, the two witness' evidence left a lot to be desired.
"The court is of the opinion that if the police were to delve into it, they
would be able to get to the bottom of what exactly was happening as regards
the purchases of the buses," Kudya said.
She noted that bus supplier Jayesh Shah, who brought the bribery charges
against Nherera,
had told the court that Chombo had "stalled" him when he initially wanted to
report the matter to the police, citing " bad publicity" around the time of
last year's March 31 parliamentary elections.
Kudya said Chombo's evidence was "totally contradictory" when he, on one
hand, admitted receiving funding for his political campaign from Shah and,
on the other, seeking to impugn Shah's standing as a businessman.
"He (Chombo) kind of admitted getting a cheque from Shah, but hastened to
state that a lot of companies and individuals were giving donations for his
campaign, hence if Shah did give him one it would not have been out of the
order of things. He, however, changed to say Shah seemed to have just been
pushing for the sale of his buses yet ZUPCO preferred the cheaper
alternative of Chinese buses. His evidence was totally contradictory in that
respect."
On one hand, she said, he appeared to have been intent on ZUPCO getting
buses from Shah to ease the shortage of transport and because he had earlier
successfully delivered. Yet on the other hand he seemed to be labelling him
a liar and a unworthy business counterpart whose product they were not
anxious to get as they were keen on getting the buses from China, thus
promoting the 'Look East' policy.
"As earlier mentioned, the minister's evidence left a lot of unanswered
questions, which one hoped can only be cleared with further investigations
into the matter," Kudya said.
Referring to Matonga, the magistrate said she had noted a change of
statements during the course of the trial.
"Deputy Minister Matonga's evidence was pertinent to the extent that his
change of statements clearly added credence to the fact that something shady
was happening vis a vis the sales involving Shah's buses. The court noted
that he was more of a defence witness than a state witness but, as already
mentioned, depending on the level of his involvement in the issue, such
would determine the kind of evidence that he was going to tell the court,
hence notwithstanding the fact that he was not impeached etc, the court
noted that the evidence was almost motive based, hence could not detract
from the main body or the manifest evidence led by the state.
"In one breath he (Matonga) argued that he did not attend the meeting Shah
referred to where he claims the accused first asked for the bribe. Later on
he (Matonga) said as Shah put it he would have been busy on the phone. Later
on under cross-examination, he tells the court about Shah's ploy to
influence him to change his statement and his desire to bribe the accused.
Why such pertinent evidence would come only under cross-examination left a
lot to be desired.
"In short, thus, very little could be gathered from his evidence, save to
leave, again, a lot of unclear issues that may need further probe," Kudya
said.


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Military police hunt down 'terror' soldiers

FinGaz

Kumbirai Mafunda

THE Zimbabwe National Army (ZNA) has deployed members of its dreaded
military police to hunt down errant soldiers who unleashed a terror campaign
against some commuter omnibus drivers, conductors and touts who had
allegedly assaulted one of their colleagues.

Simon Tsatsi, the ZNA director of public relations confirmed the
investigation into the alleged brutal assault of civilians on Tuesday,
saying the ZNA had deployed its military branch to probe the reports of
harassment of civilians.
"We have posted the military police to check on that because we are equally
disturbed by what we are hearing," said Tsatsa.
A group of 10 soldiers last Thursday allegedly terrorised commuter omnibus
drivers and touts in central Harare whom they accused of beating up one of
their colleagues the previous day.
The soldier had allegedly refused to pay $200 000 for a single trip to
Kuwadzana arguing that another passenger, a policeman, had not been asked to
pay a fare.
The soldiers first descended on the commuter omnibus rank at the corner of
Albion and Mbuya Nehanda Street where Kuwadzana, Avondale and Greencroft
residents board commuter buses around 5:00 pm. They allegedly punched the
drivers and touts indiscriminately accusing them of assaulting one of their
workmates.
Eyewitnesses told The Financial Gazette that even passers-by were not spared
the soldiers' wrath while some uniformed and plain-clothes policemen fell
victim to the soldiers operation.
"They were careless in their approach as we ended up being victims of their
operation," said one eyewitness who was assaulted by the soldiers.
He said the drivers and touts took to their heels as the soldiers ran amok
while the commuter rank was briefly deserted by the commuter drivers and
rank marshals fearing the soldiers' retribution.
Other observers said an OK supermarket located at the intersection of Albion
and Mbuya Nehanda street was briefly shut down as commuters sought refuge in
the shop.
But not satisfied the soldiers allegedly fortified their retributive
exercise last Friday by widening it to other commuter ranks such as Market
Square and the one located near Denenga supermarket.
The terror team allegedly warned that they will not rest until after the
Heroes and Defence Forces holidays scheduled for next week.
Soldiers, some members of the police and some Central Intelligence
Organisation agents have previously been charged for beating and maiming
innocent civilians during the run up to the contested presidential and
parliamentary elections.
They at one time allegedly forced revellers at a nightclub at Chikwanha
Centre in Chitungwiza to have unprotected sex after they stormed it late
into the night.


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Court challenge for cash crackdown

FinGaz

Njabulo Ncube

ZIMBABWE'S civil society is preparing a legal challenge to test the legality
of emergency powers used in the crackdown against cash hoarders, as a ZANU
PF-dominated Parliamentary sub-committee seeks to pressure Reserve Bank of
Zimbabwe (RBZ) governor Gideon Gono to abandon his currency reforms.

As the Law Society of Zimbabwe (LSZ) declared that the seizure of cash was
illegal and condemned the direct exercise of executive powers, the Zimbabwe
Lawyers for Human Rights (ZLHR) cobbled up a legal challenge to the
crackdown.
In Parliament, the Finance Committee agreed to seek a meeting with Gono, in
a bid to lean on him to reverse the reforms. The committee also wants to
hold "public hearings" on the matter, a member disclosed. The currency moves
are believed to be jeopardising the commercial interests of many powerful
figures.
Under the Presidential Powers (Temporary Measures) (Currency Revaluation)
Regulations 2006, more than $10 trillion in the old currency has been seized
as part of far-reaching reforms announced by the RBZ last week. But the LSZ,
which groups the country's lawyers, said the cash seizures were illegal.
"While the regulations do provide for confiscation, against the issue of a
currency stabilisation bond at a time when an individual 'deposits or brings
for exchange' amounts in excess of those prescribed for individuals and
traders, they do not provide for the confiscation of money," the LSZ said.
Individuals and corporates are now prohibited from carrying cash in excess
of $100 million ($100 000 in new currency) and $5 billion ($5 million in new
currency) respectively as the central bank authorities seek to punish
suspected money launderers and individuals that have kept large amounts of
cash outside the formal banking system.
But as authorities lay siege to the travelling public at roadblocks and exit
points, The Financial Gazette can reveal that human rights lawyers are
finalising a court challenge to the legislation being used to confiscate
cash from individuals and businesses.
"We are indeed working on a High Court challenge on the legality of the law
being used to enforce the new monetary policy regulations as it is felt that
some of the things being done are unconstitutional or in viola-
tion of human rights," said Otto Saki, a human rights lawyer with ZLHR. "We
are in fact finalising the court application and hope to lodge the papers
with the courts tomorrow (Thursday) or soon," added Saki.
Jacob Mafume, coordinator of the Crisis in Zimbabwe Coalition (CZC), also
expressed concern at the way authorities were enforcing the new regulations,
confirming legal action was being instituted by the civic society.
"Apart from the legality of the laws the government and central bank are
using, the action seeks also to challenge the setting up of the roadblocks,
the use of unauthorised people, in this case, the militia, who do not have
the authority to search people. It is believed that there is no reasonable
justification in a democracy for the central bank and government to do what
they are doing, seizing hard earned money from the citizens," said Mafume.
Lawyers are opposed to Section 5 (6) of the regulations which grants
immunity from any civil suits arising from losses suffered by financial
institutions resulting from the process of rounding off during the
conversion, and section 12 which provides that no suit shall be brought
against government, the RBZ or any government employee for anything "done in
good faith" under the regulations.
"It is of the view that such blanket and generous protection does not only
promote and cultivate police and state agent impunity, but also amounts to
an ouster of the jurisdiction of the courts to decide whether the private
individual's rights have not been infringed or violated by any person acting
under these regulations," the LSZ said.


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CBZ swoops on Beverley

FinGaz

Rangarirai Mberi

CBZ HOLDINGS is in talks for the takeover of a building society, believed to
be Beverley Building Society, the country's second largest mortgage lender.

The bank is also setting up a separate insurance business, The Financial
Gazette confirmed, as it moves closer to its stated goal of becoming an
all-in-one financial services group
CBZ officials declined to comment on the talks yesterday, saying they could
not comment beyond a cautionary statement that is out today.
The bank last year acquired Datvest, recouping the price it had paid for the
asset manager within six months.
The Datvest buy was the first step that CBZ took towards group CEO Nyasha
Makuvise's plan to turn the
institution into what he has previously called a "one stop shop" that would
include the
banking business, asset management, insurance and mortgage finance.
The bank has recently set up CBZ Properties, which will rent out properties
to the group.
Although CBZ paid cash-and-scrip to acquire Datvest from Interfin, observers
will be keen to see how the bank will choose to finance this latest
takeover.
The bank would however afford a cash payment, despite having paid out a $340
billion dividend in April.
The bank ended 2005 with cash of
$4,3 trillion, but could still choose a cash-and-scrip offer.
Beverley remains the only independent building society on the market, with
larger rival CABS owned by Old Mutual.
The other two main mortgagers are Intermarket Building Society and FBC
Building Society, a subsidiary of FBC Holdings.
Beverley had total assets of $690 billion last June, with mortgage advances
at $82 billion.
The building society cut lending rates at one point in an attempt to spur
demand for lending last year, but this did not happen.
There will be questions about CBZ's move on Beverley, given the current
state of mortgage finance.
But a source said the bank treats the acquisition more "as a long-term than
a short-term play".


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Probe into ZANU PF firms widens

FinGaz

Staff Reporter

INVESTIGATIONS into the arcane world of ZANU PF businesses have deepened as
it emerged this week that investigators were in Botswana to interview some
fugitive directors of the web of ruling party companies.

While police spokesman Wayne Bvudzijena could not immediately confirm the
visit to Botswana by members of the Criminal Investigating Department (CID),
sources said there has been contact with the directors who fled the country
in April 2004 after ZANU PF launched investigations into the operations of
its companies.
They said Dipak Pandya and the Joshi brothers, Jayant and Manharlal, who
were holed up in Britain, had insisted on meeting the CID officers at a
neutral venue.
Earlier efforts to meet the fugitives in Harare failed after the trio,
through their lawyers, demanded that their specification be lifted first.
The government flatly rejected the condition.
Sources said the state, which is on an anti-graft crusade that has netted
some of the bigwigs in ZANU PF, is hoping to bring in Pandya and the Joshi
brothers as state witnesses.
It has not been denied however, that the investigations could be targeted at
Emmerson Mnangagwa, who, as the chief architect of ZANU PF's investments
until four years ago, superintended over the party's business empire.
Mnangagwa has not dismissed the possibility of ulterior motives behind the
probe.
"I believe those who have an agenda against me are firing their salvo
through this umbrella of the need to inform the politburo of the extent to
which ZANU PF investments have spread," he was quoted as having said.
"Not that the leadership was unaware, because accounts were distributed
every year.," he said.
The companies under investigation include Zidco Holdings, M & S Syndicate,
FBC Holdings, Treger Holdings, Ottawa, Catercraft and Zidlee Enterprises.


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Cash riots feared

FinGaz

Nelson Banya

WITH only five full banking days left before the August 21 deadline for the
changeover to the new currency system, security forces have raised their
levels of alertness, fearing that long queues at banks could degenerate into
riots.
Police in Harare have already petitioned the Reserve Bank of Zimbabwe over
the continued issuing of old bearer cheques by banks to the public, saying
this could increase pressure on the banking sector as the deadline
approaches.
Police have painted a scenario of possible volatility should the restive
public find itself stuck with obsolete bearer cheques.
Indications are that many businesses - especially those in the countryside
without easy access to banks - could stop accepting the old bearer cheques a
few days ahead of the deadline, to avoid a last-minute banking rush.
The RBZ has, however, hinted at an extension of the deadline in the
countryside, but is reportedly wary of creating a convenient loophole for
those intent on beating the system.
Last week, small-scale farmers were reportedly inundated with astronomical
bids for their cattle as hot money sought conversion into corporeal assets.
Police, operating in concert with officials from the RBZ, the Zimbabwe
Revenue Authority and the infamous 'Border Gezi' youths, last week launched
a blitz to mop up cash that was outside the banking system, after the
government invoked Presidential Powers to promulgate regulations limiting
cash deposits back into the system.
Until the expiry of the changeover deadline, individuals can deposit up to
$100 million, while companies can deposit up to $5 billion only. Deposits
above these limits would not only be probed by both the police and ZIMRA,
but would be converted into non-interest earning anti-money laundering bonds
for a period of two years.
To date, $11 trillion - a quarter of the total currency in circulation - has
been impounded in the joint operation, dubbed 'Project Zuva Rabuda/Ilanga
Seliphumile.'


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Menu offends Mugabe

FinGaz

Kumbirai Mafunda

A TYPOGRAPHICAL error that replaced a "v" with a "d" on a menu item during
the First Family's flight to the Far East last Friday left four Air Zimbabwe
staffers suspended -and a sour taste in the mouth.

President Robert Mugabe and the first family, on the Harare-Singapore-China
flight last Friday, were handed a menu card where an item should have read
"Chimukuyu and Dovi". But there was a disastrous typo when a 'd' replaced
the 'v'.
The national airline on Tuesday reacted to the embarrassing stinker of an
error by suspending the four employees involved after holding an emergency
executive meeting.
Air Zimbabwe spokesman David Mwenga yesterday confirmed the suspensions.
"We have suspended four staff members pending investigations into
operational issues," said Mwenga who could not be drawn into detailing the
"issues" in a terse response to The Financial Gazette.
The suspended include Masi Gambanga, the cabin services manager, Victoria
Munzara, the acting flight services officer, Chipo Sikireta the secretary to
the senior flight operations manager and an unnamed worker who is employed
in the airline's reservations section.
Robert Jr, the President's second born, reportedly stumbled upon the typo
before alerting the veteran liberation war leader and the rest of his
travelling party to the embarrassing blunder. First Lady Grace Mugabe was
not on the flight, having travelled ahead earlier.
Sources said a furious Transport and Communications Minister Chris Mushowe
took issue with Air Zimbabwe's management over the error and summoned the
top officials to his offices early this week.
The four workers will appear before a disciplinary hearing next week. "They
(suspended workers) were served with their suspension letters after
submitting reports detailing the incident at around 3 pm," our source said.
Unconfirmed reports suggest that management has since apologised to the
First family, which arrived back home yesterday.
The family was on a trip to the Far East, a frequent destination for the
President. The national carrier has faced a series of crises in recent
years, but this latest one takes its troubles to new depths.


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Matonga remanded

FinGaz

Zhean Gwaze

INFORMATION and Publicity Deputy Minister Bright Matonga and Zimbabwe United
Passenger Company (Zupco) chairman Charles Nherera, accused of corruption in
bus procurement deals at the state-run transport company, were yesterday
remanded to October 4.

Harare magistrate Olivia Mariga further remanded the two, who are out on a
$15 million bail, to facilitate the conclusion of investigations in the
matter.
Matonga and Nherera are alleged to have received US$10 000 each from Gift
Investments director Jayesh Shah to enable him to supply the transport
utility with buses.
Nherera was last week convicted in another corruption case involving
soliciting a US$5 000 bribe for each bus supplied to Zupco by Shah and is
awaiting sentence on August 21.
Matonga's bail conditions were also temporarily relaxed to enable him to
attend to government business tomorrow in Victoria Falls.
The deputy minister was ordered to reside at his Chigwell Farm in Chegutu as
part of his bail conditions.


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Non-resident governors still get allowances

FinGaz

Nkululeko Sibanda

THE government has continued to dole out millions of dollars in allowances
to three Matabeleland governors who are yet to secure permanent residences
in their respective provinces. Matabeleland North governor, Thokozile
Mathuthu commutes from either Bulawayo or Victoria Falls to her provincial
capital Lupane while her counterpart, Angeline Masuku, is reportedly
accommodated in rented properties in Mzingwane district of Matabeleland
South. Bulawayo governor, Cain Mathema, sources said, commutes from his
Tsholotsho home to his Mhlahlandlela offices in Bulawayo.

According to sources, the government officials are each paid $25 000 (new
currency) for bed and breakfast, $12 000 lunch and supper allowances and a
$3 000 supplementary allowance every day.
They are also entitled to a mileage allowance.
Their aides and drivers are also reportedly paid similar allowances albeit
at a lower rate.
Local Government Minister Ignatius Chombo defended the payments, saying the
governors were entitled to the allowances since the government was in the
process of constructing houses for the officials.
"There is nothing sinister in that governors are paid allowances for
accommodation. These governors are government employees and they are
entitled to that allowance because we are still constructing their houses.
What do you expect them to do if they do not have accommodation?" asked
Chombo.
"They have limited time in which they can have their accommodation paid for
by government. Once that limited time has lapsed, then they will be expected
to secure their own accommodation and thus government stops paying for
 them," Chombo said.


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Zanu PF Politburo to probe Jongwe Printers

FinGaz

Njabulo Ncube

THE Politburo, ZANU PF's top decision-making body, has set-up a committee to
investigate management woes bedeviling Jongwe Printers, the ruling party's
printing arm and publishers of the defunct party official mouthpiece, The
Voice.

Party insiders said the investigations into the company came after a
decision was made to be salvage the company from its severe financial
squeeze under the Distressed Companies Fund.
The Financial Gazette is reliably informed that the management of the party
printing firm had indicated they needed about $90 billion to put the company
back on a sound financial footing after last publishing an issue of The
Voice nearly six months ago.
The sources said indications were that the first tranche of about $50
billion would be released soon as the ministry of Industry and International
Trade had approved Jongwe's application under the Distressed Companies Fund.
According to Industry and International Trade minister Obert Mpofu, about
300 companies listed in critical condition have applied for assistance under
the Distressed Companies Fund facility, among them Dunlop and Jongwe
Printers.
"We (Politburo) have set up a committee to look into the management
problems. We need to get to the root cause of the problems because we cannot
be seen to be pumping money when the firm is a victim of dilatory
supervision. We want the firm restructured and this is the mandate of the
committee," added the source, speaking on condition he is not named.
It is believed that some officials on the board headed by businessman
Nhlahla Masuku want certain employees purged on suspicion that they are
sympathetic to the main opposition Movement for Democratic Change.
Another contentious issue, according to the same sources, is the question of
the incumbent editor who is accused of various misdemeanours including being
involved in an accident while driving a company vehicle and abusing funds.
However both issues
were said to have been swept under the carpet after senior party officials
allegedly intervened.
"The senior party officials involved will be asked to appear before the
cabinet committee to explain and clarify what is going on. As a party we can't
continue going on like this when we are saying we are fighting graft," added
another source.
Masuku declined to comment when approached by this newspaper to shed light
on the latest goings-on at Jongwe Printers especially in view of revelations
the firm's application to the Companies Distressed Fund had been successful.
"I am too busy," said Masuku.
Jongwe Printers owe several creditors various debts.


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Chinamasa trial postponed as power failure hits Rusape

FinGaz

Nkululeko Sibanda

THE trial of Justice, Legal and Parliamentary Affairs Minister, Patrick
Chinamasa, who is facing charges of attempting to defeat the course of
justice, was yesterday postponed to next week after a power failure hit the
Rusape magistrate's court.

Chinamasa's lawyer, James Mutizwa of Chihambakwe, Mutizwa and Partners told
The Financial Gazette that retired magistrate Phineas Chipopoteke had to
defer the hearing to next week after the power failure.
Said Mutizwa: "The trial had to be postponed because we could not record the
proceedings due to a power failure. The judge, (Chipopoteke) then set down
two days for the continuation of the case, that is August 17 and 18," said
Mutizwa.
He added that yesterday, a key witness, James Kaunye continued with his
evidence before Chipopoteke and was likely to take to the witness stand
again on resumption of the trial.
"We will continue with the witness (Kaunye) on the 17th and we also hope to
call to court other witnesses to testify," said Mutizwa.
Charges against Chinamasa arose after he allegedly tried to coerce the
witness into making a withdrawal of public violence charges that Kaunye had
pressed against the Minister of National Security, Lands, Land Reform and
Resettlement, Didymus Mutasa in the run-up to the 2004 ZANU PF primary
elections.
It is Kaunye's contention that Chinamasa made several "lucrative" offers to
him in exchange for the withdrawal of the charges. The offers included the
construction of a dam at his Yorkshire farm in Headlands.
Chinamasa, Kaunye added, also promised that he would assist Kaunye get an
offer letter for a farm in the area. However, Chinamasa, in his defence,
argued that he went to visit Kaunye at his farm in Headlands to negotiate
for a peaceful solution of the standoff between Kaunye and Mutasa.


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Wrong art of war could cost RBZ

FinGaz

Rangarirai Mberi

RESERVE Bank of Zimbabwe (RBZ) governor Gideon Gono loves using military
imagery; brave knights slaying fire-spitting inflation dragons, patriotic
troops rallying to the front, plus other Sergeant Major-style motivational
speech. So one other thing he would probably know about war is that winning
one gets a lot trickier without the trust of "the people".

What brave efforts against speculative activity Gono had laid out when he
launched his landmark currency reforms last Monday have, over the past 10
days, seen their credibility badly tarnished in the eyes of the public after
the operation was hijacked by a combined brigade of youths, soldiers and
police.
The governor has had to issue a statement to remind the overzealous
uniformed forces that he had actually set ceilings on what amounts could be
legally carried.
His intervention came after reports that all sorts of brigades wearing all
manner of badges and hats were harassing and seizing cash from travellers
and businesses, leaving no evidence that they had ever done so.
"A fresh breeze of hope and optimism," is what Gono had hoped the reforms
would bring, making the important confession that the zeros had eaten into
everybody's self-esteem: "Our dignity as Zimbabweans is affected as much as
our currency."
But it's hard to imagine that the crackdown has won the central bank enough
public support to really blow "a fresh breeze of hope and optimism".
That's because suddenly, Zimbabwe dollars have become contraband, wound-up
youths in green uniforms are rummaging through people's bags and poking
around their homes, while policemen are having a good time confiscating
whatever amount of currency they feel like stashing away for themselves on a
given day.
You do not heal anybody's wounded dignity by stripping them down.
As Mao said, "the army is the fish and the people the water". Over the past
10 days, the water has been muddied by menacing soldiers on horseback
patrolling market stalls manned by the poor, by roadblocks where officials
seize anything from grain to bundles of dollars and by policemen stalking
the streets, waving AK47s in their hunt for speculators.
Announcing the new currency measures last Monday, Gono had warned there
would be need "to protect the public from potential abuse by fraudsters who
may want to take advantage of the transitional adjustments to rip-off other
members of the community".
According to the governor, there was "tremendous hardship among the majority
of people, the majority of workers and students, the majority of women".
Was it not possible then, that energy in the transition period would have
been put more into what Gono said would be "widespread publicity
campaigns" - convincing those same ordinary poor that this needed to be
done - and less energy into a military style crackdown that has only managed
to reduce public backing for what the RBZ is trying to do?
As Gono himself said, the success of the currency reforms depends on an
educational campaign "anchored on credible macro-economic policies that
effectively address the root causes of high inflation and other structured
rigidities".
The Reserve Bank boss must be worried that what he launched as a monetary
policy initiative has quickly turned into a military enterprise that appears
to punish "the people" for inflation, losing the governor a key ally in his
battle to smoke out the real barons of the black market who are the most
opposed to his reforms.


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Natfoods sits on 3 850 tons wheat

FinGaz

Kumbirai Mafunda

AT a time when Zimbabwe is grappling with critical shortages of wheat, a
leading milling company is sitting on 3 850 metric tonnes of wheat stocks
which it cannot utilise before making payment to suppliers in hard currency.

National Foods Limited (Natfoods), which is listed on the Zimbabwe Stock
Exchange (ZSE) said it had been unable to successfully source for foreign
exchange amounting to US$1. 232 million from the country's financial
institutions due to a cash crunch and thus could not pay foreign suppliers.
"The company has imported wheat in its silos brought into the country under
a collateral management agreement over 15 months ago," said Linda
Musesengwa, the milling company's spokesperson. "This wheat cannot be used
for the manufacture of flour as it belongs to the external supplier until it
has been paid for in foreign currency. National Foods has made repeated
applications for foreign currency with commercial banks, but to date, has
not been able to source the necessary foreign currency to pay for the
 wheat," she added.
According to milling industry officials, wheat sourced under the collateral
management agreement can only be utilised once foreign currency has been
sourced through the banks.
Zimbabwe is grappling with an acute shortage of wheat and maize grain
spawned by a six-year-old foreign currency crisis and the decimation of the
agriculture sector following a government-backed plan to resettle landless
blacks.
The suspension of crucial balance-of-payment support by the Bretton Woods
institutions and other multilateral lenders has left Zimbabwe in a fix as
the government cannot pay for energy imports and drugs.
The disclosure of the stored wheat stocks comes at a time when the demand
for flour and bread is outstripping the level of grain allocations to
millers.
Millers say they have not been receiving their weekly allocations from the
grain parastatal, the Grain Marketing Board.
In response to the wheat shortages, bakers have hiked the retail price of a
loaf of bread by more than 50 percent citing the recent increase in the
price of flour from $3.5 million/50kg to $6 million/50kg.


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Agribank hands $40 bln to govt

FinGaz

Rangarirai Mberi

STATE-RUN Agricultural Bank of Zimbabwe (Agribank) has handed nearly $40
billion in dividends to government despite the farm lender's recent stated
concerns over its capital adequacy and earnings.

Finance Minister Herbert Murerwa disclosed last Wednesday that he had
received $38.5 billion ($38.5 million) in dividends from the former
Agriculture Finance Corporation (AFC).
Agribank chief executive officer Sam Malaba was not immediately available
for comment this week.
Last year, the bank needed $45 billion in additional capital from government
to raise its capital adequacy ratio to above the required 10 percent.
And in remarks accompanying Agribank's financial statements in April, bank
chairman Steven Makonyere said he was concerned the bank was failing to grow
earnings as fast as the loans it was handing out.
"The major factor affecting capital adequacy is the low margin on the bank's
loan book. The growth of the risk weighted assets is not being matched by
similar growth in earnings from the same assets," Makonyere said then.
The bank had $519 billion in non-performing loans in December. Bad and
doubtful debts had risen from $31 billion in 2004 to $401 billion in 2005,
blamed on crop failure and input shortages.
The bank made a provision for doubtful debts of $434 billion, up from $36
billion in 2004. Loans and advances to farmers stood at $1.53 trillion, with
the bulk of that loan book in 91 days to 180 days maturing loans.
The bank wrote off $3 billion in bad debts in 2005, up from $415 million.
The heavy provisioning hit profits, which came in at $77.4 billion, up from
$16.3 billion.


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Search for new AirZim boss narrows to 5

FinGaz

Kumbirai Mafunda

FIVE candidates have been shortlisted to spearhead the turnaround efforts of
the country's national airline Air Zimbabwe, which has gone for close to a
year without a substantive chief executive officer. Informed sources say a
panel of the troubled national airline's board conducted the second round of
interviews with the candidates in the capital where they each made
presentations to the Mike Bimha-chaired board.

Among those vying for the job are Nkosinathi Sibanda, who runs an aviation
consultancy, Peter Chikumba, who has worked at the International Air
Transport Association (IATA) regional office in Nairobi, a Mr R Chirimuuta,
George Mwase and the acting chief executive officer Oscar Madombwe.
The search for a new boss follows the elbowing out of former chief executive
officer Tendai Mahachi in December 2005 after a series of bungling episodes,
which culminated in the grounding of the national airline's fleet.
Insiders tipped Madombwe for the hot post considering his curriculum vitae,
which has seen players in the tourism and hospitality industry backing his
candidature.
Madombwe holds the distinction of being probably the only airline chief
executive officer who still gets to clock a captain's flight hours.
Under Madombwe's nine-month leadership, Air Zimbabwe has gone into a code
sharing arrangement with Air Tanzania and Air Malawi. The arrangement is
expected to reduce operational and marketing costs while boosting passenger
loads on the busy Dubai, Dar es Salaam and Nairobi routes. The airline is
also searching for strategic partnerships and regional cooperation with the
key players in southern Africa.
Madombwe's tenure, has however, also been marred by controversy as three of
the Chinese-made aircraft which the airline bought from Beijing in 2005,
have at one time broken down due to technical faults and engine failures.
Air Zimbabwe board member Luxon Zembe, who chairs the human resources
committee confirmed holding interviews but could not be drawn to say
further.
"We cannot discuss those things now because the process is still going on.
Hopefully within the next four weeks, all things being equal, we would have
announced the substantive CEO," said Zembe.
Air Zimbabwe has been split into five strategic business units (SBU)s - the
core airline business Air Zimbabwe, Air Zimbabwe Cargo, Air Zimbabwe
Technical, National Handling Services and National Distribution Company
(Galileo), a distribution service.
The national carrier, which for years has been battered by serious
maladministration, is probably the only parastatal with a high turnover of
chief executives.
Air Zimbabwe lost $2.6 trillion in revenue between April 2005 and May 2006
and owes foreign creditors US$23 million and is saddled with a $400 billion
local debt.
Apart from owing creditors billions of dollars, the airline late last year
broke aviation records by cruising more than 6 000 kilometres with a lone
passenger on its maiden trip to Dubai.
In his 2006 Monetary Policy Review statement, central bank governor Gideon
Gono disclosed that the debt load excludes a $1.381 trillion loan that was
extended to the airline by the central bank under the Parastatals
Re-Orientation Programme (PARP). In addition, Air Zimbabwe still has to
cough up a further $ 2.6 trillion that was advanced to it by the central
bank outside the parameters of the PARP.
"Some of the challenges faced by Air Zimbabwe include weak financial control
systems, poor marketing and revenue generation initiatives, poor cost
management systems, weak corporate governance structures and systems, and
poor equipment utilisation at the institution," said Gono.
He added that the national airline had continued to service routes that had
failed to bring into its coffers income that would boost its income base.


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Highlights of the 2006 Finance Bill

FinGaz

Deemed benefit on disposal of a motor vehicle to an employee With effect
from 1 September 2006: Formula amended to base the benefit on the market
value of the vehicle less the original cost less an inflationary allowance
on cost based on the increase in the Transport Consumer Price index from the
time of purchase by the employer to the time of disposal.

Tax Exemptions for Individuals
With effect from 1 January 2006:
Taxpayers over the age of 55 years are exempt from
- Income tax on the first $144 000 of rental income accruing in a year of
assessment
- Resident Tax on Interest on the first $144 000 of interest accruing during
a year of assessment from deposits with financial institutions and the first
$144 000 of income accruing during a year of assessment from bankers
acceptances and discounted instruments traded by financial institutions.

Contributions to Pension Funds
For the purposes of computing the maximum annual deduction for contributions
to approved pension and retirement funds contributions paid in the year of
assessment ending on 31 August and 31 December 2006 will be treated as if
they were a single pension contribution paid in a single year of assessment
ending on 31 December 2006.
The maximum deduction in each period will be a pro ration of the maximum
annual deduction calculated on this basis.

Companies and Trusts - Rates of Tax
Rates unchanged 30%
Subject to 3% Aids levy
Provisional Tax
With effect from 1 September 2006: Provisional taxpayers required to submit
with each quarterly payment returns, in a prescribed form, disclosing the
estimated total taxable income for the year of assessment in respect of
which the provisional tax payment is made.
Failure to forecast quarterly tax payments within a 10% margin of error may
result in penalties.
Due to difficulties of forecasting in the volatile macro-economic
environment consultations will be held with stakeholders to determine an
appropriate method of forecasting.

Presumptive Tax
With effect from 1 September 2006: Taxi Cabs and Commuter Operators to
display a tax clearance certificate on their vehicles at all times for
inspection by law enforcement officers

Automated Financial Transactions Tax
With effect from 1 September 2006: The rate is increased from 50 cents to
$10 per transaction.

Carbon Tax
With effect from 1 August 2006: Carbon Tax is chargeable at the rate of $5
per litre on the importation of petroleum products by the State procurement
entity, any oil company or person or entity engaged in oil procurement or
wishing to use the petroleum for his or her own consumption.

Noczim Debt Redemption Levy
With effect from 1 August 2006: The debt redemption levy is increased from
11cents per litre to $ 25 per litre of leaded, unleaded and diesel fuel
imported by oil companies.

Capital Gains Tax
With effect from 17 October 2005: The rate of Capital Gains Withholding Tax
on sale of listed and unlisted securities is confirmed as 5% and 10%
respectively
With effect from 1 September 2006:
Donations of immoveable property by a company or group of companies to an
approved employee housing trust fund are exempt from Capital Gains Tax.

Value Added Tax
With effect from 1 January 2006: Sales of second hand vehicles by motor
dealers that are subject to Special Excise Duty are exempt from VAT.
We are advised that the legislation is to be amended to extend this
concession to sales of second hand vehicles by all registered operators who
will, then not be required to recover VAT on any vehicle sale on which
Special Excise Duty is payable by the purchaser.
The VAT liability on imported services paid for in foreign currency is no
longer payable in foreign currency.
Only VAT received in foreign currency on importation of goods or services is
payable to ZIMRA in foreign currency.

Customs & Excise Duty
With effect from 1 January 2006: Special Excise Duty is payable by motor
dealers on vehicles sold by them buyers of second hand motor vehicles
purchased from non motor dealers.

In Duplum Rule
With effect from 1 January 2006:
For the avoidance of doubt it is declared that the in duplum rule does not
apply to fiscal debts for outstanding taxes, duties or penalties.
This was the position before 1 January 2006 as well.

Employee Share Options Schemes
A regulatory framework to safeguard the interests of workers and facilitate
the required approval of these schemes for tax purposes will be in place by
December 2006.

Disclaimer: This publication contains information in summary form and is
therefore
intended for general guidance only. It is not intended to be a substitute
for detailed research or the exercise of professional judgement. Neither
Ernst & Young Zimbabwe nor any other member of the global Ernst & Young
organisation can accept any responsibility for loss
occasioned to any person acting or refraining from action
as a result of any material in this publication. On any
specific matter, reference should be made to the appropriate advisor.


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Respite for Zesa

FinGaz

Kumbirai Mafunda

MOZAMBIQUE has augmented the amount of Hydroelectrica Cahora Bassa (HCB)
power purchased by Zimbabwe's troubled power parastatal, ZESA Holdings, in a
gesture that could help compensate for diminished supply from other regional
suppliers.

ZESA Holdings acting group chief executive officer Ben Rafemoyo told The
Financial Gazette this week that HCB, which had been supplying the southern
African country with 200MW, had agreed to add on another 250MW bringing its
total supply to 450MW.
"HCB has increased our contractual supply from 200MW to 450MW," said
Rafemoyo.
This, he said, could help offset the diminished supply from Eskom of South
Africa and Snel of the Democratic Republic of Congo (DRC), which has not
been supplying power since the vandalism of its transmission towers early
last month.
Eskom has been failing to supply the 100MW contractual supply ZESA is
entitled to from Eskom.
"South Africa is still struggling with its peak although during off peak we
are picking some supplies," said Rafemoyo.
The power authority, which is reeling under a heavy operational loss,
imports 35 percent of its power needs from Eskom, HCB, Snel and recently
ZESCO of Zambia. The other 65 percent is generated from local sources,
which, however, have been slowed down by shortages of coal and foreign
currency needed to source replacement spares.
Rafemoyo said power generation at Hwange Thermal Power Station was set to
improve as the power parastatal is now operating three generators, up from
two following increased supply of coal from Hwange Colliery.
"Once coal is sufficient we would want to bring the fourth machine," said
Rafemoyo. "Things should start improving in terms of availability. We must
improve generation then we improve in terms of load shedding," he added.
The acting ZESA boss also disclosed that generators at Bulawayo Thermal
Station began firing at the weekend following the delivery of eighteen
wagons of coal to the Bulawayo plant, while two other small thermal stations
at Munyati and Harare which were not generating electricity will soon been
switched on.
"Hwange has promised to give us enough coal and that should also boost our
local production," stated Rafemoyo.
Zimbabwe is grappling with an energy crisis spawned by the growing
consumption of power in the southern African region and this has prompted
ZESA to introduce power rationing, which is inconveniencing industry and
most households.
Observers say the power shortage is likely to be catastrophic in 2007 when
the region's power resources will be under intense pressure.


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High Court nullifies Muchero suspension

FinGaz

Staff Reporter

SUSPENDED Grain Marketing Board (GMB) chief executive officer (CEO), Martin
Muchero, might bounce back at the grain monopoly after the High Court
nullified his six-year-long suspension. The loss-making parastatal is likely
to lose hundreds of thousands of dollars of the new currency after Justice
Chinembiri Bhunu declared that Muchero be entitled to his salary and all
benefits with effect from the date of suspension being October 24 2000. GMB,
which has unsuccessfully tried to fill up the CEO's post in the past, will
also bear the costs of Muchero's application.

"It is common cause that the respondent (GMB) filed its opposing papers out
of time. The respondent was therefore, automatically barred. There has been
no application for the upliftment of the bar," said Justice Bhunu. "All what
its lawyer has done is to tell the court that the delay was due to him being
taken ill. There being no application for the upliftment of the bar, it
remains firmly in place," he noted.
Former agriculture minister Dennis Norman appointed Muchero GMB CEO and ex
officio member of the board in 1996. He was suspended in March 2000
following allegations of misconduct. The suspension was later withdrawn
having been realised that it was invalid. Muchero was, however, again
re-suspended a week later. That too was aborted when it was realised that
the GMB's code of conduct was inapplicable to Muchero in his capacity as the
board's CEO.
The GMB board finally suspended Muchero without pay and benefits in October
2000 citing some sections of the Labour Act, which require an employer who
suspends an employee without pay to apply to a labour officer for an order
terminating the employee's contract of employment. In reaching his
conclusion, Justice Bhunu noted that GMB had not complied with certain
aspects of the law, which was a "fatal procedural irregularity".
"The applicant (Muchero) has been on suspension from October 24 2000 to date
without any application being made for his dismissal that is today a period
spanning almost six years. There has been no reasonable explanation for this
lengthy delay. The respondent (GMB) cannot now comply with Section 3(1) of
S.I. 371/85 because it has since been repealed and labour officers no longer
have the necessary jurisdiction to preside over the matter," he said.
Muchero and a local businessman Lastworth Kadirire were this year fined $500
000 ($500) each by the magistrates' courts after being convicted of
defrauding the parastatal of $115 000 ($115) in February last year.


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Tel One reaps US$10 mln from agriculture

FinGaz

Rangarirai Mberi

FIXED phone monopoly, Tel One has earned US$10 million (Z$2.5 billion at the
official exchange rate) from its involvement in agriculture. Tel One is
desperate for cash to replace its ageing equipment, over half of which is
well past its use-by date, and is saddled with foreign debt of US$18
million, said Hamton Mhlanga, Tel One technical director.

"Financing of inputs into tobacco and horticulture will continue as a means
of earning foreign currency. We expect to earn US$10 million from tobacco,
which we will use to implement capital projects," said Mhlanga.
According to Mhlanga, over half of Tel One's equipment is obsolete and
should have been replaced years ago. This means Zimbabwe cannot use any of
the new technology in telephony that most telecoms companies worldwide are
using to ramp up earnings.
"Most of the equipment we are using has outlived its useful life. We are
having to go with non-repairable equipment. Value added services can't be
provided using such equipment, which is more than 50 percent of what we
have," Mhlanga said.
Tel One has followed power utility ZESA's lead into agriculture, giving
further evidence that state-owned enterprises - cramped by government
controls on their pricing - are not able to turn in profits from their
operations despite their monopolies. Government has been reluctant to
privatise companies such as Tel One, and attempts at attracting foreign
investment has been foiled by investor fright at legislation that places a
cap on tariff charges.
Total parastatal debt stood at $76.43 trillion in June, Finance Minister
Herbert Murerwa said last Wednesday.
Tel One holds 32 percent of the overall telecommunications market, lagging
behind mobile phone company Econet, which has a 38 percent share of the
market.


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Zim slips in Coca-Cola rankings

FinGaz

Kumbirai Mafunda

ZIMBABWE has lost its ranking as Coca-Cola Central Africa's sixth largest
consumption market, slipping to ninth position owing to distributors'
mounting operational constraints and worsening poverty. In 2005 the country,
which is muddling through an agonising economic crisis, was positioned sixth
after losing its ranking as the fifth largest consumer market to Kenya.

Latest rankings show that the country slipped three places down to ninth
position in the first six months to June 2006.
Zimbabwe now trails South Africa, which maintained its pole position,
Nigeria, Morocco, Egypt, Kenya, Tunisia, Tanzania and Angola.
Some statisticians use the consumption of luxury foods and goods such as
soft drinks to measure the general wealth of ordinary citizens. The decline
in the consumption of carbonated soft drinks could be a reflection of waning
per capita incomes as Zimbabweans prioritise other consumables.
Sheree Shereni, Coca-Cola Central Africa's public affairs and communications
director, confirmed that Zimbabwe had lost its footing.
"Zimbabwe is Coca-Cola Africa's 9th largest market by volumes sold as of 30
June 2006," Shereni said.
The US multinational is Africa's leading carbonated soft drinks seller and
the continent's largest foreign consumer product investor. Its beverages are
marketed and distributed by bottling partners in more than 160 plants,
serving more than 830 million consumers in Africa.
Harare's slide in the Coca-Cola rankings is synonymous with the country's
general decay marked by severe shortages of food, hard currency, fuel and
worsening poverty.
Economic analysts and bottlers attribute Harare's lower ranking to a
cocktail of constraints currently rocking its three bottlers - Delta
Beverages, Mutare Bottling Company and Schweppes.
Zimbabwe's retail and supermarket shelves have gone for several months
without soft drinks due to a deep-seated shortage of hard currency to import
beverages concentrate from Swaziland.
Underlying shortages of closures, plastic granules, carbon dioxide, fuel,
spares and intermittent power outages are some of the foreign currency
induced import shortages that have aggravated the erratic supply of soft
drinks.
Apart from the foreign currency induced raw material shortages, price
dictates imposed on soft drinks in 2001 have had a bearing on supply.


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IT will not meet currency deadline switch: experts

FinGaz

Staff Reporter

COMPUTER systems will not to meet the deadline for changeover to the new
currency, an information technology (IT) expert has warned. Zimbabwe dropped
three zeros from the currency last Monday, weeks after over 70 bank IT
experts had recommended the measure to central bank, citing the failure of
computer systems to read the inflated figures of the old value.

However, IT experts say the 21-day changeover period may be shorter than
required for IT systems and businesses to fully convert to the new
denomination.
There will be need for engagement with IT vendors, and with source codes -
the original programme instructions that would be needed to make
adjustments - having to be sourced abroad, there will be "foreign currency
implications" to consider, said Edmore Verenga of the Computer Society of
Zimbabwe.
"The 21 days may simply not be enough. There is need for further engagement
with authorities, not to ask for more time, but to explain the position
factually," Verenga said.
Verenga also said dropping the zeros had been recommended only as a short
term measure, saying the currency reforms would only help for a short while
unless inflation was slowed down from its current rate.
Businesses are concerned over the effect the abrupt changeover will have on
their accounting. According to Verenga, conversion will be smoother for
businesses with simpler systems, but bigger businesses that lean heavily on
IT will find it harder.
Experts say businesses now need to urgently reform their Enterprise Resource
Planning (ERP) - a business management system that integrates all facets of
the business, including planning, manufacturing and sales designed to help
managers implement ERP in business activities such as inventory control,
order tracking, customer service, finance and human resources, will need
time to conform to the new system.


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New CZI boss seeks bigger role

FinGaz

Rangarirai Mberi

EVERY new Confederation of Zimbabwe Industries (CZI) has found it harder
than the last to decide where to position the group in its relationship with
government. For new CZI president Callisto Jokonya, that task will be a lot
harder.

The Zimbabwe government has grown very touchy about criticism from big
business, which it frequently accuses of trying to "derail" the economy and
even funding the opposition. This makes being CZI president quite a tricky
job. On one side are members angling for stiffer criticism of government,
and on the other side is the need to remain relevant in the eyes of
government.
However, Jokonya, elected to take over leadership of the CZI from Patison
Sithole last Tuesday, says he will seek to edge the industry body closer the
centre of the country's decision making process.
"We are positioning CZI to a position where it can play its rightful role in
the economy, an active role. The CZI should not shy away. It's not only
about government," says Jokonya.
And when dealing with such an ultra-sensitive government, public displays of
optimism have always been seen as a trusted tactic for the CZI to retain at
least some influence over government. So, even when surveys - many of them
commissioned by the CZI itself - show that business confidence is down in
the dumps, Jokonya sees a recovery only a year away. "Give it another twelve
months and we will be back on our feet. I am positive about that," Jokonya
enthuses. "There is an element of seriousness to take corrective action."
According to Jokonya, CZI, together with other business groups, must look to
share with government the responsibility of pulling Zimbabwe's economy
towards recovery. "From the government point of view they have done their
part. For once I would like to put the onus on the private sector to go out
and manufacture and export," he says.
Critics last week charged that the CZI was letting government off, not
criticizing it enough for its ruinous management of the economy. But others
say rabid, Pius Ncube-style condemnation would only lose CZI the ear of
government, and industry would have lost that precious little influence it
still retains in the formulation of economic policy.
Jokonya has also cheered the new foreign currency retention system for
exporters, saying this had been one of the biggest concerns industry had. He
however argues that there is need for the currency and exchange rate reforms
to be backed by "more sound policy".
Firm recovery is unlikely to come unless economic policy is able to help
companies lift production, Jokonya says.
"Nothing will happen unless they take action and get their hands dirty.
Industry at the moment is operating below capacity, almost about 30 percent.
The key thing is that we increase our capacity to over 60, 70 percent."


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Leaders ought to walk the talk

FinGaz

Ray Mawerera
TALKING TO TOMORROW
"THE most critical challenge facing leadership today," says Simba Makoni,
"is the need to reaffirm and reassert the mission of service." Makoni was
supporting his own assertions to a conference of Rotarians recently that,
for the people of Africa to have a quality of life that is better than the
one we have today and one that is continually improving, it is critical to
combine good leadership with discipline and hard work.

You all know Simba Makoni, so I won't bore you with his long impressive CV.
Suffice to say that he remains one of our country's foremost respected
paragons of virtue. True, not everyone likes him or agrees with him, but
then who can boast universal popularity? The fact is that most people I know
listen when he speaks, and that alone says a lot.
Promoting his thesis that leaders need to identify and characterise the
problems and challenges facing the communities in which they live and serve,
Makoni suggests that African societies and nations are currently facing a
leadership crisis.
"(This) arises mainly from abandonment, by those in high positions, of the
basic mission of leadership - which is to serve, in preference to themselves
being served."
In this rare perspective, Makoni points to what he sees as pervasive styles
and forms of leadership which demand "rote obedience and subservience" from
the led. He quotes international observations on the requirement of a new
and different style of leadership that is sought from all leaders throughout
the world, whether they be politicians, businesspeople, voluntary
organisation leaders or community and religious leaders.
"I would . . . like to urge those of us already in leadership, and
especially those aspiring to it, to accept our main role as being to
facilitate, guide and assist those we lead," pleads Makoni.
I quote extensively from Makoni's address to Rotarians to make this moot
point, that in these trying times, organisations that will emerge
successfully from the depths of crises may well be those that manage to
rally behind a vision that they all understand and subscribe to.
Like Makoni, I fully believe that it is not enough for leadership to have
farsighted vision; it is better that this be shared and buy-in achieved with
those they lead.
How has this subject come about? The realisation, from a public relations
perspective, that for as long as we continue to harp on reputation
management and image profiling programmes for organisations without the
necessary backup from top to bottom, we would be engaging in futile academic
discourses.
Organisations all want a good reputation and image. The paradox is that very
few appear willing to spend the requisite resources to do so. When we
analysed the issue carefully, we found that it was a leadership issue. We
came across leaders who said all the right things, pronounced all the right
platitudes and urged the people they led, onto higher levels of achievement,
only to go back into the comforts of their offices to demand performance
reports on projects they didn't resource. They then proceeded to attack
performance from all angles, for lack of results.
In certain specific cases, full public relations campaigns were chopped up
into little fragmented events that ended up in disjointed projects whose
main message was lost as a result. While the leaders celebrated the little
"successes", a disgruntled PR practitioner in some office reflected on how
much opportunity had been lost because they had not been given a chance to
do it "properly".
I suppose we are all guilty of this, if we are leaders. We fail to realise
that our vision is unlikely to be executed in exactly the way we want it to,
mainly because we do not give our people a chance. We get too domineering to
the point of being autocratic. We have all the answers, and the people we
lead get intimidated by us. In the end, we fail to achieve the mission of
our vision, and are at a loss as to why.
Yet it's supposed to be so easy, if you listen to people like Milton
Kamwendo, the motivational guru. His take on it is that it comes down to the
individual psyche, the attitude and mindset that grows an internal idea
outwards, harnessing all available resources to advantage.
There has, in fact, been so much focus on leadership in the first half of
this year that we all ought to not only pay attention but motivate ourselves
to proactive responses. The Rotarians whom Makoni was addressing are
progressing their community enterprise projects this year under the theme
Lead The Way, with their current president, Bill Boyd, proclaiming:
"Our communities today need real role models, not distant celebrities;
practical minds, not idealistic dreamers . . . "
And he joins Simba Makoni in asserting that true leaders lead by example.
Makoni: "We are all judged more by our actions than by our words. In this
respect, leadership faces another critical challenge: do we lead by example?
How often do we hear leaders shout their voices hoarse, denouncing one vice
or another, and yet they themselves are at the forefront of its commission?"
In the words of the cliché, leaders ought to walk their talk.
lRay Mawerera is a Harare-based public relations consultant and the
president of the Zimbabwe Institute of Public Relations.
rayma@wordsandimages.co.zw


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African Americans and the heroes of Africa's liberation

FinGaz

Geoff Nyarota
The Geoff Nyarota Column
I HAD never heard of Dwight Kirk until I read in mid-July an article on
Zimbabwe written by the Washington-based American journalist, who usually
writes on employment and union issues.

Neither had I come across the name of William Lucy whom Kirk wrote about.
Lucy is the president of the Coalition of Black Trade Unionists (CBTU). Kirk
reported that the CBTU had launched "a major campaign to clip Mugabe of his
liberator image in the African American community by exposing the thuggish
actions of his regime against the Zimbabwean people".
Strong words these. Lucy announced that the CBTU would aggressively reach
out to African American media, labour websites or blogs, as well as other
progressive media to get Americans "tuned into the Zimbabwe crisis". Lucy
intimated that the CBTU would join other organisations in demonstrations at
the Zimbabwe Embassy and other locations. I don't believe the first of the
threatened demonstrations has occurred, unless I missed this particular news
item, which can easily happen in this vast and information-inundated land.
While the majority of Zimbabweans are obliged to read The Herald or The
Chronicle every morning, depending on which part of the country they live
in, or to "tune into the Zimbabwe crisis", to borrow Lucy's catchy phrase,
courtesy of the Zimbabwe Broadcasting Holdings, for their American
counterparts the choice is literally mind-boggling.
In Boston, for instance, they have a choice of three daily newspapers - The
Boston Globe, owned by the same company that publishes The New York Times or
The Boston Herald, owned by Rupert Murdoch's mega-media empire. Then there
is The Metro, which the publishers distribute freely. At The Metro brevity
is the spice of journalism. Commuters pick up a copy as they enter the
train, peruse the encapsulated news and discard the copy on the train when
they reach their station for other commuters to update themselves on the
major events of the day on the international scene or across the United
States. Unlike its staid Harare namesake, The Boston Herald is a racy
tabloid in the mould of it's London counterpart, Murdoch's hot-selling The
Sun.
The average Bostonian also has access, on a daily basis, to The New York
Times, The Washington Post and other out-of-state newspapers. He or she also
tunes into the major networks, ABC, CBS and NBC as well as a host of
national and local radio channels. In addition many Americans subscribe to
cable news networks, MSNBC, CNN and Fox News.
Even Gutu and Tsholotsho would have local television stations of their own.
The range and variety of news and media in the US can be quite overwhelming
to a journalist arriving from Zimbabwe where media institutions are targeted
for bomb attacks for the mere crime of disseminating news and propagating
views contrary to those espoused by the government.
During the last US presidential election, a popular car sticker in the
liberal state of Massachusetts was "Somewhere in Texas a village is missing
its idiot." This reference to the sitting President, George Bush, was
daring, to say the least. A Zimbabwean political campaigner displaying such
a sticker would become an instant guest at either Rhodesville or Matapi
police station.
Apart from my growing concern over what I view as the overzealous patriotism
of sections of the US media following the invasion of Iraq in 2003, another
cause of disquiet on my part was the attitude of some black American
journalists to those Africans from the continent who express views regarded
by their American counterparts as being uncomplimentary of the heroes and
icons of the struggle for the liberation of the African continent from
colonial bondage.
The President of Zimbabwe was one of the leaders singled out for such
protection.
In June, 2003, I had occasion to address the annual congress of the National
Association of Black Journalists in Dallas. After my presentation I was
flooded with a barrage of questions, some bordering on outright accusation
that I dared to cast aspersion on the performance of the government of
Zimbabwe under the revolutionary President Mugabe. I stood my ground,
insisting that, in my opinion, their characterization of the Zimbabwean
leader was no longer consistent with the reality on the ground. The
performance of the Mugabe government in causing and failing to arrest the
decline in the state of the economy and in the gross abuse of human rights
had become a matter of great concern to the majority of Zimbabweans. The
majority of them now regarded, perhaps with justification, the former hero
of the liberation struggle as a ruthless dictator, responsible for the
suffering of millions of his people.
I gave the example of the demise of The Daily News, in particular, and the
Zimbabwe media in general, as a fine example of the betrayal
post-independence national aspirations. I cited the decline in the general
standard of life and the erosion of those very social benefits - education
and health delivery - that had contributed to the enhancement of Mugabe's
initial image as a revolutionary leader and great statesman. Some African
Americans have a tendency to view the current crisis of Zimbabwe through
liberation struggle glasses, their view often tinted by a preoccupation with
racial conflict, which is no longer an overriding issue, at least in the
eyes of the majority of Zimbabweans. For one to argue that the struggle in
Zimbabwe has transcended racial barriers to assume the countenance of
black-on-black confrontation is often to invite instant censure or ridicule
by African Americans.
The ongoing perception of the Zimbabwe crisis as a racially-inspired
struggle is to an extent fuelled by coverage of events in the western media,
which since 2000 has tended to highlight the plight of the white commercial
farmers, while glossing over the anguish, the poverty and the humiliation
endured by the black majority.
In Dallas I cited the melodramatic intervention of the December 12 Movement
of Harlem of New York in a bid to rescue the falling political fortunes of
Zanu-PF. It transpired that not too many of my listeners had ever heard of
Comrade Coltrane Chimurenga or Sister Violet Plummer who shot to prominence
in Zimbabwe on the front pages of government-controlled newspapers or on
through the medium of government-controlled television.

Zimbabweans with a sharp memory will remember that the annual
Harlem-to-Harare pilgrimage of Chimurenga and Plummer coincided with the
celebration of Zimbabwe's national independence.

In-between living in the lap of luxury in Harare's five-star hotels and
being flown to exotic tourist destinations, all at tax-payers expense, the
December 12 Movement delegation found time to grant exclusive interviews to
The Herald and The Sunday Mail and the Zimbabwe Broadcasting Corporation's
radio and television channels. Banner headlines then proclaimed boldly that
Chimurenga had once more endorsed the Third Chimurenga, as defined by the
then Minister of Information, Professor Jonathan Moyo..
I never tire of reminding politicians who care to listen that while Zimbabwe
may be a nation of docile citizens, they are not imbeciles, by any stretch
of the imagination. By 2002 Chimurenga and Plummer had become the butt of
uncharitable jokes among politically perspicacious Zimbabweans.
What the December 12 Movement did to undermine the faith of the average
Zimbabwean in the judgement of the African American, Lucy did much to undo
when he issued his statement of intent on behalf of the CBTU in July.
Lucy is not push-over; he is an influential man. He is the
secretary-treasurer of the 1.4 million-member American Federation of State,
County and Municipal Employees. He has excellent African credentials. Back
in the 1980s he played a role in the forefront of the Free South Africa
Movement, which mounted the most vigorous anti-apartheid campaign at
grassroots level on US soil.
"CBTU will not be a silent witness to this tragedy unfolding on distant soil
liberated by heroic freedom fighters," he declared. "Zimbabwe's people, who
are suffering crushing poverty, homelessness, hunger and rampant violations
of human and trade union rights, need to know that their cries for help echo
in our hearts, no less than those of our sisters and brothers in South
Africa who prevailed over the racist apartheid regime."
Kirk reported in his article that Josh Williams, who is president of the
Washington, DC central labour council, had experienced a face to face
encounter with the authoritarianism of the Harare regime. He attended the
25th anniversary convention of the Zimbabwe Congress of Trade Unions in
Harare in May. On return to DC he took off the kid-gloves.
"He has lost touch with the people," he pronounced of Mugabe. "In the past
10 years Mugabe has become a totally different person. Workers there find it
hard to accept that many of them are being beaten, arrested and harassed by
the same people that they marched with 25 years ago for liberation."
The Zimbabwe Congress of Trade Unions (ZCTU) Secretary General Wellington
Chibebe flew across the Atlantic to speak at CBTU's 35th anniversary
convention in Orlando, Florida also in May.
"It is one thing to be independent," he told the 1,500 cheering delegates.
"It is another to be free. We are still fighting for our freedom in
Zimbabwe. Oppression is oppression, whether by a white person or a black
person."
"Amen," the audience responded as they gave him that kind of standing
ovation for which American Americans are renowned.
Saying of the Week

"As Judge President, I occupy a senior position in the judiciary and my
reputation was damaged considering that I also sit on international
judiciary boards" - Paddington Garwe testifying in a case in which he is
suing The Zimbabwe Independent, Vincent Kahiya and reporter, Augustine
Mukaro, for Z$75 billion following a story that was published in the weekly
claiming that the former Judge President had been blocked by his two
assessors from passing judgment in the treason trial of MDC President Morgan
Tsvangirai. Readers should delete three zeros from the amount demanded by
Garwe's lawyers.


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Gono's fight to bell the fat cats threatened

FinGaz

PERSONAL GLIMPSES
IT is scary. Corruption has reached such high and dangerous levels in
Zimbabwe that its perpetrators have begun adopting mafia-style tactics used
by organised crime syndicates in other countries. A report published in a
daily newspaper on Monday to the effect that Reserve Bank of Zimbabwe
Governor, Gideon Gono had lost a crop yield of both seed and commercial
maize estimated to be worth about $45 million in the re-based currency made
disturbing reading. The enormous loss of 1 300 tonnes of maize through an
act of arson is linked to the announcement of Gono's mid-term monetary
policy last week in which he declared war on the corrupt and greedy in high
places who have brought the country to its knees economically. The fire at
Gono's farm is believed to have been started by individuals who took umbrage
at the RBZ chief's determination to take on cash hoarders and those involved
in shady deals.

Their criminal act is a warning to Gono to lay off or face more serious
consequences. This is because corruption has become such a lucrative way of
generating instant wealth that the culprits now think they are entitled to
be left alone to engage in these unscrupulous activities. Their strike at
Gono's farm is a warning that they are prepared to protect their ill-gotten
gains at any cost. These greedy vultures, whose illegal and immoral pursuits
have pauperised the rest of the population have now shown they are ready to
commit any number of further criminal acts to ensure that they continue to
enjoy an unfair advantage at the expense of the rest of the populace. Dare
the nation hope that this alarming development will be enough to finally
convince the head of state to take decisive action to tackle graft within
his administration?
Addressing delegates during a Zimbabwe Chamber of Commerce congress in
Bulawayo, Gono vowed that he would press on with the anti-graft war despite
the attempts to bully him. "There is no amount of intimidation that will
force me to abandon the task at hand. I will not let the Presidium and the
majority of the people of Zimbabwe down," he said.
Gono's fearless determination could however expose him to mortal danger if
he is thrust forward to bell the ferocious fat cats in high places
single-handedly without the unequivocal backing of the head of state. These
vultures, after all, know that the President has come to the rescue of
wrongdoers in the past by vetoing moves to tackle their abuses. A case in
point is when the head of state overruled both Vice President Joseph Msika
and Speaker of Parliament John Nkomo when they spoke out on the issue of
farm invasions.
The kind of support Gono needs to succeed in his crusade would require
President Robert Mugabe to abandon his softly-softly policy of protecting
undesirable and unworthy elements in his administration simply because they
have liberation war credentials or because he has a soft spot for them. It
is time to name and shame these culprits and allow the law to take its
course. A statement by Police Commissioner Augustine Chihuri quoted in
yesterday's issue of a daily newspaper indeed confirms that the President is
now the only person who can speak authoritatively against those continuing
to thumb their noses at the rest of society.
Following the seizure of $10 trillion in old bearer cheques, Chihuri said;
"The problem is that we are becoming too much of crooks. Each one of us is
busy crooking one another and I just hope Zimbabweans would stop this
madness so that the system can become normal." What Chihuri neglected to say
is that if he had provided the kind of leadership necessary to ensure that
the police force remained professional and apolitical, this anarchic
situation would never have arisen. As it is, the police long ago succumbed
to political manipulation and contributed to the subversion of the rule of
law in the country by agreeing to apply it selectively. The nabbing of some
senior police officers in the RBZ blitz shows that instead of being the
custodians of the law, the force is as guilty of corruption as any other
sector of society. The Anti-Corruption Commission has proved equally
toothless and impotent.
As a result of a dereliction of duty by the police, powerful and influential
culprits have got away with murder for so long that they regard whatever
official policy or plan is touted publicly as designed to cater for the
needs, welfare and aspirations of the people as an encoded message for them
to seize the opportunity to feather their own nests and to hell with the
suffering masses. They have adopted this corrupt and greedy approach with
impunity with respect to the War Victims Compensation Fund, The VIP Housing
Scheme, the land redistribution exercise and lately Operation
Garikayi/Hlalani Kuhle. The President has occasionally breathed fire and
brimstone over this plundering and looting by his lieutenants, but that is
as far as it has gone. He has been reluctant to sack or discipline
wrongdoers and non-performers.
His inertia has emboldened crooks in government to such an extent over the
years that it now seems that the roles have been reversed and the head of
state is a hostage to his subordinates.
A press report published after Gono had declared his anti-graft war
describing the reaction of individuals in high places shows just how
arrogant they have become. The report said some members of cabinet and the
ruling party had reacted angrily to the fact that they had not been
pre-warned about the RBZ's crackdown! From this, the long-suffering public
can be excused for concluding that it has been the President's policy all
along to deem government and party officials to be more equal than the rest
before the law.
The President now needs to go beyond mere rhetoric to deal with his corrupt
ministers. They have proved beyond doubt that they are impervious to gentle
chiding and appeals to their consciences. Facing the full wrath of the law
is the only language they would understand at this stage and as a
long-suffering ordinary person who longs to lead a normal life again, I say
the ball is in your court, Mr. President.


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The only way out

FinGaz

      Comment

            SINCE 2000, the issue of scant regard for the rule of law has
been a major point of bitter attacks on Zimbabwe not only by the
international community but also by local civic and human rights
organisations. And they are not cutting the country some slack.

            Zimbabwe's problems of law and order started with the violent
and chaotic land reform exercise, which turned Zimbabwe into a land of
contagion shunned by circumspect investors. Indeed, that is when the
question of the independence of the judiciary became an issue. While as
citizens, Zimbabweans were overjoyed by their political independence, they
were certainly bewildered at the political meaning and basic significance of
the actions of government whose political thinking seemed to be that
violence can be admissible and certain laws such as the law of persons, the
law of property and the law of contract could be infringed for the sake of
drastic socio-economic change.
            In the eyes of Western critics and Zimbabweans who are in a
better position to judge events in the country and the role of the ruling
ZANU PF government, that the aggrieved dispossessed commercial farmers got
little if any joy when they sought recourse to the courts, even before the
eleventh-hour controversial constitutional amendments, gave the lie to
official assurances that all citizens enjoy equal protection under the law.
Yet in well-functioning civilised societies, no citizen can be legally
deprived of his possessions except by the decisions of ordinary courts of
law. Of course, with the temperament characteristic of their party, ruling
ZANU PF officials reject charges made with regard to the political system of
the country, which is directly responsible for the breakdown of the rule of
law. What else could they say?
            But over recent months, the situation as regards the
independence of the judiciary has become truly worrisome. Rightly or
wrongly, critics are clearing their throats and warning investors that they
should prepare for the worst, insofar as the rule of law in Zimbabwe is
concerned. This has in part been prompted by what we feel were the low
points in the history of judiciary intimidation and threats in the country.
            Apart from continued farm invasions, we have in mind the case of
arms caches allegedly discovered in Mutare early this year. The widely
publicised case took a bizarre twist when state security agents, according
to Justice Charles Hungwe, acted unlawfully and brought the administration
of justice into disrepute through the manner in which they handled both the
accused and the prosecution which said it was bullied by the security
agents. As if that was not enough, the independence of the judiciary once
again came under scrutiny a fortnight ago when magistrates in Manicaland
refused to try Justice Minister Patrick Chinamasa, citing alleged
intimidation by State Security Minister Didymus Mutasa. Mutasa denied this
allegation last week. But if it indeed happened then the minister's judgment
and motives are questionable. And if he had the gumption, he should have
sensed it. These are just but only two cases in which a dark cloud has been
cast over the country's judiciary.
            Yes, Chinamasa, facing obstruction of justice charges is now
back in court after a retired magistrate Phineas Chipopoteke agreed to
preside over the case. But what should be done to avoid a repeat of what
happened when magistrates refused to try the minister? Under normal
circumstances we would be wary of advocating what would be seen as
special-interest legislation. But given the travesty of justice and the
absolutely sickening assault on the judiciary in Zimbabwe, it is our
considered opinion that the prosecution authority should be a
constitutionally established, non-partisan, independent body.
            Such an authority, as has been proven elsewhere, will go a long
way in helping in the administration of justice, observation of the rule of
law and the doctrine of separation of powers which will bring with it what
critics are unanimous is missing in Zimbabwe today - the accountability of
executive power to legislative power. Thus whatever our station in life,
whether rich or poor, coloured or white, all of us will be liable to
punishment in the ordinary courts of law for breaches of the law.
            This is not possible under the current arrangement where
magistrates are employees of the Ministry of Justice where retribution could
manifest itself through arbitrary and insensitive transfers or postings,
among others. As it is, there are those who justifiably feel that the
country's criminal justice system has been twisted into tenuous threads of a
spider's web to protect the powerful and frustrate those working for
positive change. Indeed, under the circumstances, it is not possible to
discount manipulation, unfairness and bias. Thus the only solution lies in
an independent prosecution authority.


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FinGaz Letters

When nationalists walk alone

SOME decades ago Zimbabwe experienced its own share of events that engulfed
other parts of Africa. As it turned out, men and women of different stature
ran around and organised into what came to be called a "Nationalist
Culture". In any case the period in question witnessed the convulsions of a
self-governing settler colonial system.

Given such a background, the forces of the prevailing status quo found
themselves antagonised and prepared for a fight. Several developments began
to take shape on the political front. One Prime Minister considered more of
a liberal weakling was at the helm of the Rhodesian political system towards
the mid sixties. Mr Winston Field, as he was known, led the much talked
about Rhodesia Front. However the high stakes of the conflict with the ever
growing Nationalist Movement called for a vigilant and cunning leadership.
Under those circumstances there emerged a man who had been an active pilot
in the Second World War.
Part of his unfortunate flying career resulted in him being shot down. Later
he furthered his studies preferring to be well read in commerce. As it
turned out he was the son of a couple who had settled to farm in Rhodesia in
the early part of the 20th Century. Based in Shurugwi (then Selukwe), Ian
Douglas Smith became the Rhodesian Prime Minister around the mid-sixties.
Coincidentally, organisations like the People's Caretaker Council (PCC), the
National Democratic Party (NDP), Zimbabwe African Peoples' Union (ZAPU) and
the Zimbabwe African National Union (ZANU) became part of the political
vocabulary of those days. Such organisations were the outcome of varied
efforts of the nationalist cause. It was inevitable that bannings and splits
were obviously going to affect the cause for national liberation.
Such possibilities were not only peculiar to the then Rhodesia. In the South
African scenario for example, the African National Congress had seen the
birth of another party, the Pan Africanist Congress of Azania (PAC). As for
Angola, the Front for the Liberation of Angola (FNLA) led by Holden Roberto,
The Popular Movement for the Liberation of Angola (MPLA) led by Augustino
Neto and the Union for the Total Liberation of Angola (UNITA) under the
leadership of Jonas Savimbi had at one time related as more or less one
movement. The same situation applied to the then South West Africa where the
South West Africa Peoples' Organisation (SWAPO) and the later defunct South
West Africa National Organisation (SWANO) had also come from possibly
similar objectives.
However, Rhodesia then came under the serious scrutiny of British foreign
policy as well as the interest of the Organisation Of African Unity (OAU).
By 1965 Ian Smith had effected the Unilateral Declaration of Independence
(UDI). In those moments Zimbabwe (Rhodesia then) was subjected to an
escalation of armed confrontation between the nationalist forces and the
Rhodesia Front government.
Similarly the same predicament manifested itself in Angola, Mozambique,
Portuguese Guinea, South West Africa, (Namibia) and to some extent South
Africa. Armed action to remove settler colonial governments as well as
apartheid became generally known as the "armed struggle". However the
powers-that-be preferred to refer to such activities as "terrorist" or
simply armed "insurgency".
Quoted in one of his Parliamentary presentations around early 1966, Ian
Smith indicated that terrorists were being trained in the countries "to the
north of us". The strong implication was that Tanzania, Algeria, Egypt and
Zambia were somehow involved. It should be noted that the essence of any
process of struggle was to create a critical mass of ideologically sturdy
cadres. In that case the trained and ideologically armed combatants were to
be prepared to be able to effectively run the political structures of an
independent country.
On the other hand, the ideological strength of those involved in the effort
to liberate their nations from the hegemony of the industrialised primarily
European nations would sustain such individuals throughout the struggle.
Thus it became necessary to continuously impart the required mindset into
those who were taking part in nationalist activity.
Taking into account the circumstances which surrounded the status quo of
those years, there were many variables that would influence the general
ideological growth of Africa's liberators. One has to bear in mind that the
powers which supported Africa's nationalist endeavors had also come from
their own political experiences. The Chinese had seen a nationalist war on
their soil. The former Soviet Union had also witnessed the commotion of the
Bolshevik Revolution of 1917.
On that note Zimbabwean and other nationalists came to reflect upon these
various brands of ideological inclinations. For that reason some spoke as
Marxists Leninists, others behaved as Maoists, an unconfirmed number became
outward socialists, a notable grouping identified themselves as avowed
communists and the rest stood up as Pan-Africanists. In that context
everyone became someone. It is also possible that in the hotchpotch of
things, certain members of the nationalist movements remained without
anything to believe in. In other words they were an available human
resource.
Back home such a scenario was going to have its own implications. It should
be borne in mind that at independence the former system had left an economic
and political infrastructure in place. The masses of an independent Zimbabwe
were to look up to the returning nationalists with the hope of a better
life. In any case the country was to develop in a way to uphold its
political, moral and social fibre. Having said that, the critical mass of
ideologically equipped minds was necessary. Such a mass was to be the basis
of governance and create an environment which was conducive for the well
being of the country. The nationalist culture had the option of perpetuating
itself among the people of an independent Zimbabwe. That is to say the
features and benefits of nationalist commitments could be sold to the
populace.
Judging by the events that followed the proclamation of Zimbabwe as an
independent state in 1980, a lot can be said or observed in relation to the
ideological substance of the nationalist mind -essentially the extent to
which one committed himself or herself to the country before anything else.
The making of such thinking was to be a vulnerable trait in the
personalities of many, the reasons for shortcomings as varied as the colours
of a clown's gown.
Interestingly not all managed to attend the nationalist school in an
exhaustive manner. To add some pain to the whole process, it still remains a
fact that some minds were at their developmental stage throughout the
struggle. There was room to dilly-dally in the face of intense practical and
psychological obstacles. Given the intensity of the struggle and the notable
capacity of the settler colonial system, it followed that one had to be
strong in spirit and in truth.
The Zimbabwe of 2006 can be viewed as a reflection of the past and present
ideological circumstances. Comprising 15 million people, the country has
obviously had its share of heavenly and difficult moments. However it is
interesting to note that the economy has become a subject of much
discussion.
The arguments and analysis that have been adopted disagree on all but one
thing. That is, the need for the country to move forward and afford its
citizens a better life. In the mix up of things there has arisen a scourge
in which those who are strategically placed can have unethical access to the
means of wealth.
It can, therefore, be argued that the nationalists walk alone. When
corruption, dirty deals, inconsiderate statements that smack of tribal
overtones, an outward complex of fearing to openly identify oneself as
Zimbabwean and generally extravagant tendencies begin to manifest
themselves, it becomes necessary to check the ideological barometer in some
of us.
The lack of nationalist ideological strength can be cited as one of the many
reasons for such a predicament. The nationalists are few and possibly walk
alone. Arguably some of the Zimbabwean minds came out of the pre- and
post-independence process as half cooked nationalists. Others graduated as
tactful tribalists.
In a way there is a crop of smartly dressed technocrats who lack the
thinking of practical nationalism. They never had the opportunity or
interest of attending the nationalist school. For that reason the country's
resources can easily be exchanged for temporary gain backed by the power of
the other "currencies". It pays to be optimistic that the next critical
minds will be those of ambitious nationalists who identify with the country
and are anointed by the spirit of commitment. For the time being the few
nationalists will continue to walk alone.
--------------
Mthwakazi issue revisited

EDITOR - The following is a letter written to Fingaz columnist Geoff Nyarota
by a reader, Bendict Maricho: I very much enjoy reading your exciting,
intelligent and enlightening articles in The Financial Gazette. I have read
many letters to the editor commenting on your articles. As expected, some of
the letters oppose your views, while others support them. I have, however
been surprised by one strange observation about the majority of these
letters. Most of them seem to be written by people who do not thoroughly
read and understand what you write.

If these people who comment on your articles really read what you write, I
do not understand how the tribal connotations they attribute to you can
arise.
I think two articles which you wrote incensed these people. In the first one
you suggested that ZANU PF does not necessarily segregate on the basis of
tribalism. You stated that some of the leaders who perpetrate evil against
the people are Ndebele, while some of the victims of ZANU PF violence are
non-Ndebeles.
You gave the examples of Enos Nkala and Jonathan Moyo as Ndebeles who in
their heyday with ZANU PF committed some evil things against the people. You
then mentioned Patrick Kombayi as one non-Ndebele who fell victim to ZANU
PF.
I believe the other article that irritated them was when you exposed details
of the proposed Mthwakazi Republic. I have read these two articles and it is
difficult to see where they offend Ndebele people. Generally, I think their
responses do not respond to the objective issues raised in your articles.
I wish to make a suggestion on your Mthwakazi article. Many people from
outside Matabeleland like me do not really know whether the majority of the
people of Matabeleland support secession, or whether they want Matabeleland
to remain a part of Zimbabwe, as it is today. Don't you think that the
people of Matabeleland must be given an opportunity to express what they
want in a referendum? This happened in Quebec, Canada, and recently in
Montenegro.
If the majority of the people of Matabeleland support secession, don't you
think we the Shonas are depriving them of their right to exercise that
option? If the majority supports federalism don't you think they have a
right to that option. There are many federations such as Nigeria and
Australia in the world. But if the majority want Zimbabwe to remain one
united country as it is today, that would be good for most of us.
For some of us it would be painful to see Victoria Falls cease to be part of
Zimbabwe. But let the people of Matabeleland choose for themselves in a
referendum, rather than create the impression that we want to subjugate
them. I am sure that, given the choice, the majority would choose to
continue to live in Zimbabwe.

Bendict Maricho
----------------
Politicians put Gono's effort to waste

EDITOR - Thanks vey much for your paper. It's good to see that we still have
journalists with such a fine moral fibre. My contribution is directed at
Reserve Bank governor Gideon Gono and the economy.

Gono is being criticised by many people over his policies. It is important
for us to remember that every individual has an enemy and an enemy does not
want to acknowledge good things. The governor is under attack from
armchair-approach executives and fly-by-night economic analysts.
The governor should be supported as he is doing a good job. Where he is
getting off the road due to overworking, let's assist, not stop the journey.
We have learnt from the governor that criminals are dirty. So dirty that
they want to kill an honest and hardworking professional. It is not easy to
make bold decisions when unscrupulous see-no-evil politicians surround you.
Gono has done that and now the bloodsucking witches want his blood.
Corruption is being fuelled by influencial people and it has caused all
these economic boils. Some people want a cure for inflation without solving
the corruption equation. It is impossible to halt the runaway inflation
unless we have decisively dealt with corruption.
ZEXCOM was looted by known people who are today running businesses from
ill-gotten money. Who was arrested?
Our judiciary needs a complete overhaul. Without highly moral and upright
professionals, our governor's efforts are worthless. The President needs to
act as talking alone will not solve anything. Ministers have been named in
timber and fuel licence scams, adulterous affairs, looting of farm
equipment, tender violations, exchange control violations and deliberately
ignoring tender procedures. The list is endless but President Mugabe has
done nothing. Tacitly he is authorising immoral and unethical behaviour by
his lieutenants.

Revive Economy
Harare
-----------
Thumbs up to Gono

EDITOR - Congratulations to Dr Gono for the marvellous job that he is doing.
Shame on all the politicians who are corrupt and who only think of
themselves and their families.

Keep up the good work , Unonzwa vanhu vachiti Mugabe auraya nyika aiwa
maminister ake ndivo vanhu vauraya nyika and they must go.

Fadzai Nyarita
Australia

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