http://www.theindependent.co.zw/
Friday, 11 November 2011 09:08
Faith
Zaba
ZANU PF politburo member Tendai Savanhu (pictured) has been linked
to
Chipangano — a shadowy militia group in Mbare that has terrorised people
perceived to be hostile to President Robert Mugabe and his party. However,
the Harare businessman yesterday denied ever funding the youth militia
gang.
In separate interviews with the Zimbabwe Independent this week,
sources
close to Chipangano, who preferred not to be named, fingered Savanhu
as the
key person behind the group. They claimed Savanhu was behind its
set-up and
was bankrolling it.
However, Savanhu dismissed the
allegations saying the youth militia group
was neither his creation nor a
part of Zanu PF’s strategy to reclaim
parliamentary seats in Mbare the party
lost to MDC-T since 2000.
Chipangano has been terrorising people
perceived not to support Zanu PF. The
group has of late almost taken over
Mbare making it a no-go area for none
Zanu PF supporters. The group was
allegedly behind the orgy of political
violence in Chitungwiza last weekend,
which resulted in the cancellation of
the MDC-T rally at Chibuku Stadium on
Sunday.
A member of Chipangano, who has been part of the group since
2008, said they
started as a small group, but were now boasting of a
membership of more than
1 000 youths.
“Some of the members are
recruited from secondary schools in Mbare,” the
member said. “They are
trained at bases where they receive political
indoctrination. We have three
bases in Mbare –– at Joburg Lines, Mbare flats
and Mbare Msika,” he
said.
“Tendai Savanhu is behind Chipangano. He is the one who
finances us and this
is done mainly through cash, beer and some have been
given stalls at
Mupedzanhamo flea market and Mbare Msika, while others are
rank marshals in
charge of collecting a monthly figure from people who
operate market stalls
and tables.”
But Savanhu said he does not
understand why people link him to Chipangano
when it is not part of Zanu
PF’s structures. He said he has also been trying
without success to find out
who these Chipangano members are.
“I don’t know why they say that. We
don’t have a group like that in the
party. We have our structures in the
party, which don’t include a group
called Chipangano,” Savanhu
said.
“I don’t know what they mean when they say Chipangano is linked
to Zanu PF
and we don’t know where this Chipangano outfit came from. I admit
that there
has been violence here and there, but it has mainly been between
Zanu PF and
MDC-T youths. We see this name in the newspapers, which tell us
that
Chipangano is linked to Zanu PF. We are also trying to find out who its
members are and where and who started it and for what
purpose.”
Savanhu added that: “I called (the Harare youth chairperson
Jimu) Kunaka and
asked him to explain and he told us that he was also
reading about it in the
newspapers.”
However, Kunaka has also
been named as one of the leaders of Chipangano.
Zanu PF spokesperson Rugare
Gumbo said in a separate interview his party was
concerned with Chipangano
and would want to see it disbanded.
He said if not dealt with, this
group could cost Zanu PF credibility in the
next elections when the party
was sincere in ending violence. “I must
confess to you I don’t know who
these Chipangano people are. Every time we
try to enquire who these people
are, they never come out. We have tried to
find out about who is behind
Chipangano and when we ask no one says
anything,” Gumbo said.
The
Harare Residents Trust has identified Chipangano leaders as Kunaka, one
Gobvu and Onismo Gore, who now heads the Zimbabwe Home Industries and
Marketers Association. Kunaka and Gore are losing municipal and
parliamentary Zanu PF candidates.
The key members named by the
Harare Residents Trusts are Namion Modern
Chirwa, Douglas Mutyoramwendo, who
operates Mbare district 3, Nathan
Mapuranga, Elizabeth Madzimure and her
husband Cornelius Mandizvidza Bwanya.
Efforts to get comment from those
fingered as the leaders of the group were
fruitless.
As the name
implies, Chipangano means “agreement” and implies an “oath”
among those
involved. Another member of the infamous outfit told the
Independent that
when the group was formed its objectives were to mobilise
support for Zanu
PF candidates in Mbare, control all council properties and
make money and
also to prevent the penetration of MDC-T into the area.
Currently
they control the levers of financial power in Mbare, especially
the
vegetable and farmers market, Siya-So and Magaba home industries, car
parks,
Mupedzanhamo flea market and the Mbare bus termini.
Mbare residents
live in constant fear of Chipangano members, a resident
said. They are
harassed, threatened with beatings and forced to attend
meetings. Mostly,
there is no notice of the meetings, but everyone is
coerced to
attend.
The most recent violent clashes which have been linked to
Chipangano include
an incident last week where the army had to deploy troops
in Mbare to end a
disturbance when police failed to contain the clashes
between members of
Chipangano and commuter omnibus operators and
touts.
Trouble started when Chipangano members set up their own
terminus near the
Zimbabwe Broadcasting Corporation studios in Mbare,
forcing omnibus drivers
to pay them money to pick up passengers there. The
operators refused,
telling the Chipangano members their activities were
illegal.
In this case, Savanhu said Zanu PF’s name was dragged into
the mud, when the
issue could have just been a turf war between rank
marshals and commuter
operators.
There are also reports of
Chipangano scuttling a U$5 million housing project
meant for the poor in
Mbare. According Harare Mayor Muchadeyi Masunda,
Chipangano is demanding
that 51% of the housing units to be constructed with
funds from a donation
by the Bill and Melinda Gates Foundation be given to
its members.
http://www.theindependent.co.zw/
Friday, 11 November 2011 08:44
Faith
Zaba
PRESIDENT Robert Mugabe personally blocked businessman Philip
Chiyangwa’s
bid to contest the chairmanship of Zanu PF’s Mashonaland West
province
despite some politburo members’ spirited fight to fast-track his
re-admission ahead of the conference next month, top party insiders revealed
this week.
The insiders told the Zimbabwe Independent this week
that there was a heated
debate at last week’s politburo meeting over whether
Chiyangwa (pictured)
should be allowed to contest the provincial
chairmanship. The debate fuelled
internal divisions.
Tycoons,
from a funding point of view, play an important role in shaping and
influencing Zanu PF internal politics. Factionalism in Zanu PF is mainly
driven by a fight for power and resources.
Chiyangwa, whose role
in the succession battle was prominent before the 2004
congress, had the
backing of senior Mashonaland West politburo members who
spoke strongly in
support of his re-admission, saying he should be allowed
to contest the
provincial elections scheduled for later this month. However,
sources say
Mugabe, said to be related to Chiyangwa, scuttled their bid.
Besides
getting the backing of politburo members from his province,
Chiyangwa also
had the support of veteran nationalist, Zimbabwe Defence
Industries boss
Tshinga Dube and Mwenezi East MP Kudakwashe Bhasikiti, among
others.
The insiders said Mugabe reminded the politburo that
Chiyangwa should not be
allowed to join the race for the chairmanship
because he was still
considered a “security threat” because of the espionage
case he previously
faced.
“There was a heated debate over the
issue,” said one politburo member.
“Mashonaland West politburo members
really tried to convince the politburo,
particularly the president, that he
be allowed to contest the elections.
But President Mugabe put his
foot down and reminded us of the party policy,
which we should follow. He
said Chiyangwa should only be admitted into the
party as an ordinary member
and that he should not be allowed to contest the
provincial
elections.”
The insiders said party chairman Simon Khaya Moyo agreed
with Mugabe and
suggested Chiyangwa be re-admitted but only as an ordinary
party member.
Zanu PF spokesperson Rugare Gumbo confirmed on
Wednesday that there was a
“healthy” debate on Chiyangwa’s issue but refused
to give more details.
Senior party members said the debate was intense in
the politburo and fierce
within other party structures.
“The only
thing I can say is that there was consensus in the party that he
be admitted
as an ordinary member of the party,” said Gumbo. Chiyangwa faced
espionage
charges in 2004, but was cleared by the High Court in 2005.
He
was accused of selling information to foreign governments, mainly South
Africa. He was arrested with four others and detained incommunicado for
weeks in the run-up to the explosive Zanu PF congress in
2004.
At the time Zanu PF heavyweight Emmerson Mnangagwa and his
faction were
accused of plotting a palace coup against Mugabe. An
unprecedented number of
six provincial chairmen were suspended during the
battle for the heart and
soul of Zanu PF.
Although charges
against Chiyangwa were dropped, they have proved to be an
albatross around
his neck in his comeback bid. Mugabe indicated that he
could not be
trusted.
The insiders said Mugabe had not forgiven Chiyangwa over the
issue. In 204
he said he did not care whether Chiyawngwa and others were his
“relatives or
close friends”, insisting they should be punished regardless
for the alleged
espionage.
“It does not matter whether you are my
relative or close friend; a sell-out
is a sell-out. Even my own mother’s
child, if he sells out, we condemn him,”
Mugabe said
then.
Chiyangwa was arrested along with former Metropolitan Bank
corporate
secretary Tendai Matambanadzo, former Zanu PF deputy director for
security
Kenny Karidza, the party’s external affairs director Itai Marchi
and former
ambassador-designate to Mozambique Godfrey Dzvairo on charges of
contravening the Official Secrets Acts.
During his trial,
Chiyangwa’s lawyers argued that passing information on the
country’s
political and economic developments as was stated in charges did
not mean
endangering the security of the country.
He was acquitted after a
lengthy trial but he had already lost his
parliamentary seat and Zanu PF
membership. Although Chiyangwa had resigned
from the chairmanship post and
said he would remain as an ordinary party
member, Zanu PF proceeded to expel
him leaving his then deputy John Mafa to
take over the
post.
Chiyangwa had announced his intention to contest the provincial
elections at
a party he held last month. Acting provincial chairperson
Reuben Marumahoko,
governor Faber Chidarikire, Ngezi MP Bright Matonga,
State Enterprises and
Parastatals deputy minister Walter Chidakwa and Mafa
have expressed interest
in contesting the elections.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 16:45
Paidamoyo
Muzulu
THE country’s agricultural system has increased the number of
people owning
land, but it needs to be supported by equipping the owners
with technical
skills and enabling easy access to inputs and dependable
financial support
as well as access to technical extension service, newly
appointed
Agriculture deputy minister Seiso Moyo has said.
Moyo made
these remarks to the Zimbabwe Independent on Tuesday in his first
media
interview since being sworn in last month to replace the MDC-T’s
treasurer-general Roy Bennett, whom President Robert Mugabe refused to swear
in since February 2009 when the present coalition government was
inaugurated.
Moyo said the government had resettled more
than 200 000 families on about
seven million hectares of land appropriated
from some 4 000 former white
commercial farmers since Zimbabwe’s
controversial and often chaotic land
reform programme started in February
2000. However, Moyo bemoaned the
limited technical, financial and inputs
support the new farmers had received
resulting in a sharp decline in
agricultural production.
“It is not enough that they have a piece of
land,” said Moyo. “They need
skills and inputs, not necessarily from the
government but also from private
financial institutions,” he
said.
Moyo said agricultural production could only grow sufficiently
to reach the
all-time 1997 record levels if a cocktail of interventions were
immediately
implemented. He believes that agricultural growth cannot be
discussed in
isolation of the macro-economic framework of the country since
agriculture
was tied to the economic fortunes of other sectors of the
country’s economy.
“When the basket of support is not adequately
filled, you can expect that
the kind of production would not be
satisfactory,” Moyo said. “Agriculture
will grow at an average 7% to 9% rate
as projected in the Medium Term Plan
for the next three to four years.
However, these rates are dependent on all
other sectors of the economy
growing at that level.”
He emphasised that most of the new farmers
had fallen victim to the erratic
weather obtaining in the country. The
summer seasons are now either late or
have long dry spells in the middle
which generally affects crops at their
most crucial growth stages. This
could, however, be mitigated by irrigation.
However, most irrigation
infrastructure was wantonly vandalised by rogue
elements during the infamous
land invasions at the turn of the century.
“Due to adverse effects of
climate change, it is important that the issue of
irrigation rehabilitation
and development be seriously considered. It is
important that the issue of
food security be seriously given attention,”
Moyo said.
The
government has since enacted the Protection of Water, Power and
Communication Infrastructure to curb cases of vandalism that had become
pervasive. Farmers are failing to irrigate despite the fact that Zimbabwe
has developed many irrigation schemes and dams in the
past.
Treasury this year released a combined US$75 million input
support scheme
for smallholder and peasant farmers for the 2011/12
agricultural season.
Farmers would receive seed and fertiliser under the
scheme to help
kick-start their operations. Some of the inputs would be
swapped for the
amounts farmers are owed for grain they delivered to the
Grain Marketing
Board in the previous farming season.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 16:44
Paidamoyo
Muzulu and Nqobile Bhebhe
CONSTITUTIONAL and Parliamentary
Affairs minister Eric Matinenga said the
decision to suspend payment of MPs’
allowances between July 2008 and October
2011 was legally defective and
could be challenged because the allowances
were an entitlement under the
law.
The decision was made a fortnight ago by the coalition government’s
principals President Robert Mugabe, Prime-Minister Morgan Tsvangirai and
Deputy Prime-Minister Arthur Mutambara.
MPs were outraged
by the decision resulting in the matter being extensively
debated at the
MPs’ pre-budget workshop in Victoria Falls last week.
The MPs get a US$75
sitting allowance.
“MPs are perfectly entitled to feel outraged
because they are owed. It’s a
negation of moral and legal responsibility and
there was no basis for that
with all due respect,” said Matinenga
yesterday.
The allowances are given under the Parliamentary
Privileges and Allowances
Act that is administered by the Office of the
President. However, due to the
coalition arrangement the decision was made
after consultation among the
three principals.
“There are two issues to
the allowance saga,” Matinenga explained.
“There is the entitlement
to allowance which comes due the moment an MP sits
and the issue of quantum
of that allowance. The principals should have only
quantified the
allowances.”
Matinenga believes the principals made the decision
without receiving
“sufficient argument or information having been proffered
to them”.
Parliament Welfare Committee chairman and Mberengwa East MP
Makhosini
Hlongwane said there was urgent need for change in legislation
by
introducing a Parliamentary Services Commission Bill to safeguard the
welfare of legislators at a time they are battling to get their allowances
backdating to 2008.
Mugabe, Tsvangirai and Mutambara recommended
that MPs should only start
getting their sitting allowances from November 1
this year.
Hlongwane said the legislators were not being greedy by demanding
their
allowances because they are legally entitled to the money since they
worked
for it.
“We will have to change the law by introducing a
Bill in parliament that
would usher in the Parliamentary Services
Commission. The public expects us
to play an oversight role to the
executive, the very same people who pay us
and that’s not normal. Now the
executive is refusing to pay our dues which
we have worked for all these
past three years. We are not demanding money
that fell from heaven and these
guys Mugabe and Tsvangirai just sign and
decide that we won’t be paid,” said
Hlongwane.
He said there was a misconception that legislators should
be subservient to
the executive, but “the statecraft requires that all there
three arms of
government be equal and none being subservient to the
other”.
According to Hlongwane, legislators should be entitled to the
same financial
perks as ministers.
“The public and media think
MPs are greedy but they are more conservative.
It’s not normal for ministers
to get a Mercedes Benz, pickup truck and
recently a Discovery. An MP, judge
and minister should get the same perks,
and the difference should be on
allowances because our jobs are different,”
Hlongwane said.
Paddy
Zhanda and Kudakwashe Bhasikiti, who are members of the Parliamentary
Welfare Committee, said the executive should reconsider its
decision.
“It’s unfair for the executive to treat us in this manner,” Zhanda
said. “We
rendered a service to this nation using our resources expecting
that we will
be paid,”.
Meanwhile, Matinenga said MPs would not
receive any Constituency Development
Fund (CDF) disbursements for 2011
because of fiscal space constraints. The
CDF was introduced in 2010 to spur
development at constituency level with
each MP receiving US$50
000.
“It is difficult for me to say that CDF will be released this
year when one
looks at the issue practically. The fund competes against
demands such as
civil service salaries and social services in a continuously
shrinking
national budget,” Matinenga said.
He was optimistic
that funding for CDF next year would be secured “with the
developments on
diamond sales”. He said his ministry would engage treasury
on the
matter.
Some MPs missed the deadline to submit accounts for the 2010
disbursement
amid concerns that they had abused the facility funds. Only 173
out of 210
constituencies had submitted their returns by October 30, 2011
deadline.
The Constitutional and Parliamentary Affairs ministry has
started auditing
the accounts and would table a report to parliament soon.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 16:30
Paul
Nyakazeya
MINES minister Obert Mpofu says he would not allow the
destruction of
Zimbabwe’s mining sector by heeding calls to nationalise
diamond fields.
MDC-T MP for Bulawayo South Eddie Cross, who is also the
party’s policy
coordinator, last month called for the nationalisation of the
Marange
diamond fields to fund the national fiscus.
But Mpofu told
journalists in Harare on Wednesday that Cross’s comments were
“reckless and
irresponsible” and his ministry would not be advised by the
MP.
“His party has distanced itself from his statements. Look at
where he came
from, for example the CSC (Cold Storage Commission). The
company will never
recover because of what he did to it. I will not allow
him to destroy the
mining sector with such strange ideas. We know what we
are doing. He wanted
to pre-empt results of the plenary last week in the DRC
to please his
handlers but he failed,” said Mpofu.
Mpofu said
Zimbabwe would go ahead with exporting its diamonds regardless of
how long
it takes for the Kimberley Processing monitoring team to release a
report of
their findings about the local diamond industry. The team
comprises Abbey
Chikane and Mark van Bockstael.
The Kimberley process last week lifted its
ban on exports of Zimbabwe’s
diamonds.
Should the monitors
observe compliance at Marange with KP specifications,
the mining firm would
then begin exporting its two million-carat stockpile.
“The team highlighted
areas that they felt needed attention,” Mpofu said.
“The prospects of the
final report are positive but we will not be
restricted in our exports
because their report is not out officially.”
Zimbabwe’s current
diamond production is estimated by volume to be in excess
of 25% of world
production.
Mpofu said going by the value realised to date per carat,
Zimbabwe is set to
earn in excess of US$2 billion annually in gross
revenue.
He said mining was now the country’s major foreign currency earner
contributing in excess of 50% of the Gross Domestic Product (GDP). The
mining sector was also expected to grow by 44% this year.
Mpofu
conceded that there would always be leakages when it comes to minerals
no
matter how powerful a government could be or how much arsenal it
had.
“You can mention any country in the world they are facing
leakage
challenges, even the US has failed to control leakage of drugs,” he
said.
On Core Mining and Mineral Resources director Lovemore Kurotwi’s claims
that
he (Mpofu) had solicited for a US$10 million bribe, Mpofu dismissed the
allegation as a “joke”.
Mpofu said it was an insult for Kurotwi
to allege that he demanded a bribe
from him.
“If you as
journalist look at him, do you think he can give you US$500
dollars? His
allegations are a serious joke and I am not a joke,” he said.
Mpofu said his
ministry was not running a parallel ministry to that of
Finance but
complementing and assisting Tendai Biti’s ministry.
“As a ministry, we have
been contributing as much a US$30 million every
month to treasury. If we did
not do so, Biti would not be in a position to
produce such results,” he
said.
Commenting on his wealth, Mpofu said he had been a businessman
for “many”
years.
“I have never been poor. I have an expanding business
which I started a very
long time ago and will not apologise for that. In
fact I am even going to do
more unless you tell me that what I am doing is
wrong,” he said.
He said he did not acquire his wealth when he was
appointed Minister of
Mines.
“Since 1993 I was into cattle
ranching. I have more cattle than anyone in
Zimbabwe and am a proud owner of
one of the tallest buildings in Bulawayo.
It is not the tallest as alleged
by some media houses and I bought it before
I was appointed minister. One
thing I can tell you is that I am not into
mining (as a business),” Mpofu
said.
http://www.theindependent.co.zw/
Friday, 11 November 2011 09:05
Paul
Nyakazeya
FINANCE minister Tendai Biti is expected to present the 2012
national budget
before month-end amidst high expectations from different
sectors of the
economy that it will guide the nation from stabilisation to
economic growth
and to move from non-performance to
delivering.
No firm date has yet been established for the
presentation of the budget,
with various sources in the ministry quoting
different dates. Biti himself
could not be contacted for confirmation of the
date as he was said to be out
of the country.
Major issues raised
by people at budget consultative meetings held
countrywide by the Finance
ministry ahead of the budget include increases in
the allocation for the
health, power, education and social sectors.
Civil servants implored
the minister to look into their salaries while
businesspeople asked Biti to
reduce customs duty on imported goods. The
businesspeople said they ended up
smuggling goods as import duty was too
high.
Biti is on record
assuring people that all their needs will be addressed
accordingly. However,
the minister asked civil servants to bear with
government when it came to
the issue of their low salaries as it did not
have adequate revenue since
the economy was on a recovery path. The
bureaucrats have however been
promised annual bonuses, courtesy of the
Marange diamond
proceeds.
Analysts said Biti should allocate more money to sectors
that have strong
primary-multiplier effects on employment creation, so that
the secondary
effect on government revenue-creation will equally assist in
repaying loans
and put the economy on a sustainable growth
path.
Biti told parliament in July that the government faces a
deficit of about
US$700 million this year as expenditure exceeds revenue,
particularly in
light of the salary increment granted to civil servants
earlier this year.
While the 2011 budget provided for expenditure of US$2,7
billion, revenue
fell short in the first half of the year to leave a
cumulative deficit of
US$65 million.
Against a backdrop of
extraordinary uncertainty ahead of the elections and a
liquidity crisis,
Biti may downgrade his initial growth forecasts, or strike
a remarkably
upbeat national budget, with a consistent approach to
longer-term planning
focused on increased production, analysts say.
They warn that Biti‘s
economic policies should focus on the country’s
longer-term interests, and
not on populist appeal. They also want to see how
the Finance minister will
deal with the country’s financial health and
liquidity challenges at a time
when the world financial markets are still
recovering from a “destructive
implosion”. This brings in the question of
where he would get money to
finance the projected deficit.
“Is he going to rely on money from
multilateral institutions such as the
International Monetary Fund and the
World Bank to meet the budget’s
shortfalls? Is he going to set aside money
for elections,” one analyst
asked.
Economist Eric Bloch said
despite Biti saying you only reap what you sow he
had failed to recognise
that you can only eat that which you gather.
“Whilst limiting fiscal
consumption to the funding inflows he was able to
gather, he has not
sufficiently sought to increase the ability to gather
more, other than by
pursuit of burdensome taxes excessively beyond the
sustainable means of the
economy,” Bloch said.
“In failing to achieve significant growth in
state revenues other than by
ongoing imposition of onerous taxes, and by
ensuring greater national
compliance with taxation laws, he impairs
attaining the objective of raising
sufficient revenue to meet necessary
expenditures.”
http://www.theindependent.co.zw/
Thursday, 10 November 2011 15:22
Paul
Nyakazeya
AIR ZIMBABWE passengers in Harare, Beijing, Kuala Lumpur and
London were
stranded last week after the cash-strapped national airliner
cancelled
flights following its failure to procure fuel. Airline officials
told
businessdigest this week that the national carrier was struggling to
buy
fuel.
“Air Zimbabwe is failing to pay for fuel, forcing
suppliers, who are owed in
excess of US$1 million, not to deliver the
commodity occasionally,” said an
official.
The flight from Harare
International Airport to Gatwick International
Airport was cancelled on
Sunday while the Harare-Beijing flight which goes
via Kuala Lumpur also
failed to take-off last Friday. The fuel situation,
which is affecting
mainly long haulage flights, had still not improved as at
the time of going
to press.
Some passengers had to make alternative arrangements during
the week after
the Boeing 767’s flights were cancelled. The plane carries
201 passengers.
Travellers who wanted to fly on the airline to London, Kuala
Lumpur and
Beijing were also left stranded.
The cancellations
could prove costly for Air Zimbabwe, which has an
international obligation
to house and feed passengers or compensate them for
cancelled
flights.
Contacted for comment on Wednesday, Air Zimbabwe chairman
Jonathan Kadzura
said the fuel situation was a result of the financial
problems that the
airline was facing.
“Air Zimbabwe requires a
complete and proper restructuring which is in the
interest of the nation.
Pointing figures and labelling each other is not
helping the problem,” he
said
“The shareholder (government) must have interest and be
responsible in all
that transpires at the national airline. That is the only
way it can be
revived,” Kadzura added.
Failure by the national
airline to attract passengers for domestic
destinations has also thwarted
Air Zimbabwe’s attempt to resuscitate. In
September, the airline flew back
to Harare from Victoria Falls with only one
passenger as customer confidence
remained very low.
The airline had earlier landed in the resort town with 16
passengers on its
MA60 plane from Harare. The Chinese-made plane carries
more than 60
passengers.
Air Zimbabwe resumed flights two months
ago after receiving US$2,8 million
from government. The airline said it had
incurred a US$6,8 million loss
because of a strike by
pilots.
Analysts say Air Zimbabwe may collapse if the shareholder —
government--
does not chip in and re-capitalise the loss-making national
carrier.
The airline, said to be currently saddled with debts amounting to
more than
US$100 million, has been battling intermittent strikes by pilots
since the
country adopted multiple currencies in February
2009.
Wholly-owned by government, Air Zimbabwe is grappling with an
ageing fleet,
alleged mismanagement, questionable commercial decisions,
a
reduced route network and over-staffing.
The airline is reported
to be making a loss of US$4 million every month and
is currently locked in a
wage dispute with retrenched workers who are
demanding their outstanding
salaries and allowances.
Some staff members have not been paid for
nearly four months.
The airline has six aircraft that are
operational; three Boeing 737s, two
Boeing 767s and one MA60, with analysts
estimating the combined value of the
planes at less than US$119 million
dollars. One of the Boeing 737s is
currently under
maintenance.
But despite the dire financial stress, Air Zimbabwe
management insist both
the management and the shareholder are committed to
revamping operations at
the airline, one of the 10 state enterprises
earmarked for either
privatisation or restructuring.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 15:21
By Linda
Tsarwe
ZIMBABWE yet again faces one of the most important periods for the
country;
another agricultural season. A lot depends on a successful
agricultural
season: The economy is expected to grow by 9,3% this year, with
agriculture
forecast to grow by 19,3% to support this growth. The success
of
agriculture is vital for the country’s food security. Once known as the
bread basket of the region, Zimbabwe’s tables have turned and the country is
now a net importer of agricultural products. Such a development is sad
indeed.
Many have placed the blame on the lack of preparedness on
the part of the
new farmers. Ideally, one should have inputs in place before
the season
begins so that no delays are experienced as soon as the rains
start. That,
however, is not the case on the ground. One season after
another, the
farmers are always found wanting and the whole farming process
is delayed
from the onset.
During hyperinflation, farmers found
it difficult to secure inputs which,
like any other goods, were scarce.
Although there was some form of
governmental assistance, it was not enough
to cater for the high demand of
inputs by both subsistence and commercial
farmers.
However, that is no longer the case. From input scarcity,
the issue has
shifted to that of funding. The CFU immediate past president
was recently
quoted as saying that a total of US$2,5 billion was needed to
revive the
agricultural sector each season. It is an interesting figure,
considering
that our economy’s estimated GDP for 2011 is around the US$8
billion level.
This means that we require more than 30% of our economy to
support
agriculture alone! Although this seems like a very high estimate,
the point
that the CFU president was trying to make is that the sector
requires
significant amounts of funds to operate
efficiently.
Another point of interest is that according to the
October issue of the
African Development Bank monthly economic review for
Zimbabwe, as at August
2011 bank deposits stood at US$2,95 billion, of which
91,2% were demand and
short term in nature. Clearly, our own local market
cannot on its own revive
the agricultural sector with these sorts of
liquidity levels.
Government only managed to allocate US$350 million
for A2 farmers in the
2011 budget, which is far below what the farmers
reckon would revive their
sector. The Government is working on a very tight
budget as it is currently
facing a US$700 million budget
deficit.
Additionally, institutions such as the GMB have only
worsened the problems
that farmers are facing. Recent reports alleged that
the GMB still owed
farmers about US$40 million for grain delivered to them
from the 2010/2011
season. If this is the case, then surely GMB is doing a
disservice to both
the farmers and the nation. Firstly, the farmers do not
have money to
prepare for next season, which compromises their
success.
Secondly, because farmers now do not have any income streams
to repay their
debts, this creates bad credit records for them, closing all
avenues of
financing. Banks have tightened measures to minimise defaults and
as such
are demanding security before on-lending funds. Most farmers do not
have any
acceptable security and are unable to access the loans that the
banks are
offering.
Agribank, which was mainly established to
assist farmers in accessing
funding without much difficulty, has got no
capital to carry out such a task
at the moment.
Farmers have not
been entirely innocent in the demise of the agricultural
sector. After the
land reform programme, most new farmers lacked the
know-how of commercial
farming and there was a significant drop in farming
output.
One
would expect that more than 10 years after the exercise there should be
some
significant improvement coming from the new farmers. Without
discrediting
the ones that have done well on their new farms, some resettled
farmers
misused farming equipment and inputs availed to them by government.
This
contributed significantly to the underperformance of the sector.
With
such a history, serious farmers are finding it difficult to source
funding
from outside the country. There is a lot of risk attached to farming
and
also the low performance levels that have characterised the sector in
recent
years can only worsen things. Investors would rather invest their
money at a
later stage of the agricultural cycle than fund it from the
start.
Dr Oliver Hartwich, a research fellow on environmental
issues at
International Policy Network, mentioned in his 2006 report that
resolving
problematic issues such as rule of law and respect of property
rights will
go a long way towards ensuring growth in the sector. More people
are willing
to put their money into farming if they are guaranteed that
their investment
is safe.
However, we cannot rule out that some
outsiders might be interested in
undertaking some contract farming. Grain in
particular is not an attractive
option for investors who would rather fund
attractive crops such as tobacco
and cotton. The bulk of the programmes
carried out for funding crops such as
grain are humanitarian-based and do
not go far in reaching the levels that
would grow the
economy.
Banks, on the other hand, could also venture into contract
farming as an
indirect way of funding the agricultural sector. Recent
reports mentioned
that BancABC has entered into partnership with Tongaat
Hullett to provide
US$30million for their contract farming needs.
The
bank is not directly exposed to the risk inherent in contract farming,
as
its recourse is with Tongatt Hullett. On the other hand, banks like CBZ
are
on-lending directly to farmers, which increases their exposure to
risk.
As things stand, the 2011/2012 agricultural season is not going
to be any
better. The CFU immediate past president, Deon Theron, is quoted
in the
press as saying that maize output for the 2011/2012 is forecast to be
1.3million tonnes.
This is against the national demand of about 2
million tonnes, meaning the
balance would have to be imported. The same
story goes for wheat,000 whereby
the country is facing a possible deficit of
339 000 tonnes, for which
importation would be the only option to cover the
gap.
Just weeks before the agricultural season starts, it is
saddening to note
that not much improvement is expected in the coming
season. Farmers have
expressed pessimism and it looks like the country will
continue to require
importing staples.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 15:07
Brian
Chitemba
THE much-hyped Kimberley Process Certification Scheme (KP)
approval of the
sale of Zimbabwe’s diamonds has raised hopes for the
improvement of the
battered economy, but change can only be realised if the
money is accounted
for through the fiscus, analysts have warned. The sale of
the alluvial
diamonds was banned in 2009 following revelations of gross
human rights
abuses of largely illegal miners by military personnel guarding
the 60 000
hectares Marange fields, whose existence became widely known in
2006. But
the ban was lifted two years later at a meeting of the KP, an
intergovernmental group that certifies trade in diamonds, in the Democratic
Republic of Congo.
The World Diamond Council (WDC) said companies
mining in Chiadzwa —
Marange Resources and Mbada Holdings — could now
start exporting rough
diamonds.
Mines minister Obert Mpofu was
quick to state that the economy would take a
sudden turn for better.
“We
are going to shock the world. We are going to unleash our worthiness.
Zimbabwe will no longer be begging for anything from
anybody.”
But analysts have warned that as long as the diamond money
is not channelled
transparently, the economy will continue to bleed.
It
is estimated that Zimbabwe has been sitting on 4,5 million carats of the
precious stones worth US$2 billion, an amount that can turn the ailing
economy around.
Finance minister Tendai Biti is optimistic that
the proceeds from the
diamond sales will boost the $3,4 billion 2012 budget,
which he had
projected without taking into account the funds from the
gems.
Previously, Biti has had a tough time dealing with the Zanu PF
ministers who
accused him of refusing to offer civil servants a salary
increment using
proceeds from the diamond sales.
Biti said about
US$300 million from diamond sales never reached treasury.
Analysts fear that
the same could happen again if the 4,5 million carat
diamond stockpiles are
sold and whether the exchequer will not face an
onerous task getting the
money into the fiscus.
“If there is transparency and the diamond
money is accounted for through the
Ministry of Finance just like funds from
lines of credit, then definitely
Zimbabwe will see an improvement,” said
Witness Chinyama, an economist with
a local bank.
Last year
Zimbabwe sold 900 000 carats of what Mpofu said was part of a six
million
carat stockpile after a protracted battle to get certification from
KP. Biti
said of the US$45 million realised from the sale, the government
only
pocketed US$15 million.
According to the New York-based Rapaport
Diamond Trading Network, soldiers
abused villagers through torture and rape,
rendering the Marange diamonds
dirty.
Chinyama insisted that if
the diamonds generate US$2 billion per annum, like
Mpofu claims, then the
money should be channelled towards modernisation,
recapitalisation and
revitalising of ailing industries.
“Even in Sadc we are lagging behind in
technology and this is the chance to
upgrade antiquated industrial
machinery, some of which was installed in the
1970s,” he
said.
Companies are facing serious operational challenges, with firms
in Bulawayo
scaling down and closing shop due to crippling viability
problems. Last
year, 87 companies closed, leaving 20 000 jobless and the
US$40 million
Distressed and Marginalised Areas Fund is seen as a drop in
the ocean for
the myriad of challenges facing Bulawayo
firms.
Chinyama said money realised from the Marange gems should
improve liquidity
challenges that have been dogging Zimbabwe since the
introduction of the
multi-currency system in 2009.
“The sale of
diamonds will be a major breakthrough for the economy, which
will water down
the adverse effects of sanctions,” he said.
Economist and long-time critic of
President Robert Mugabe, John Robertson,
warned against inflating what
Zimbabwe will get from the gems.
He said it was disturbing that authorities
were mean with the exact figures
of the stones stockpiles, making it
difficult to make realistic projections
of the impact of the alluvial
diamonds on the economy.
Robertson said Mugabe and his cabal had
strategically thrown around varying
figures of the diamonds stockpiles to
cause confusion and continue
plundering the resources at the expense of the
suffering Zimbabwean masses.
Thousands of Chiadzwa villagers were
forcibly moved from their homes to
allow the exploitation of the gems which
will not benefit the local
community. According to Human Rights Watch,
Mugabe’s soldiers killed more
than 200 people, forced children to search for
the precious stones and raped
women.
The removal of soldiers from Marange
is still pending, although a green
light was given for the sale of the
diamonds.
MDC-T MP for Bulawayo South Eddie Cross recently testified
in parliament
that millions of dollars from the diamond profits could not be
accounted for
while rampant theft and smuggling continued
unabated.
“There is no consistency on the real figures of what is
being mined in
Chiadzwa. But there is likely to be continuation of plunder
of the diamonds
by the elite, particularly the military and Zanu PF. The
rest of Zimbabweans
will not benefit anything,” said
Robertson.
Analyst Chamu Mutasa said the cash-strapped coalition
government formed by
Mugabe and Prime Minister Morgan Tsvangirai would
receive a lifeline from
the gems although there was a risk of Zanu PF
diverting the money to
campaign for the next elections.
The
inclusive government, Mutasa said, failed to resuscitate the economy but
managed to bring stability to a decade-long political and economic strife.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 15:49
By
Eddie Cross
WHEN I asked the Mines minister Obert Mpofu to declare to
parliament the
production and sales of diamonds from the Marange Diamond
fields over the
past five years he reported on July 27 that they had reached
over 11 million
carats worth over US$200 million, of which US$174 million
was paid to
Treasury. As these numbers were suspicious, I set out to find
out for myself
just what the situation actually was. After three months of
investigation I
came to the conclusion that production and sales from
Marange in 2010 had
been worth up to US$4 billion and that the figures given
to the House of
Assembly represented just five percent of that and that this
was for five
years production and sales.
I discovered that not
only had the minister failed to declare the number of
carats actually mined,
but also that the value had been understated, which
had actually been nearly
US$70 a carat instead of US$18.
When these facts were presented to
the House in the subsequent debate,
no-one inside the House or outside
questioned my estimates. They attacked
the proposal that we nationalise the
diamond fields to gain control and to
achieve transparency and
accountability, they attacked the allegations of
gross human rights abuse,
but no-one, attacked the estimates.
In fact, last week at a
pre-budget workshop for MPs, Mpofu admitted that
production and sales could
reach US$2 billion a year, admitting for the
first time the scope and size
of real production and sales. This compares to
the figures he gave in an
earlier workshop which were quoted by a fellow MP
as being up to 600 000
carats a day. ACR gave a figure of 160 000 carats
purchased in one day on
the site in 2006 from vendors on the side of the
road.
To my own
satisfaction this indicates that Marange is one of the largest
diamond
discoveries in the history of the industry. Geologists who have
studied the
field intensively estimate that they contain between two and
seven billion
carats of raw diamonds. These have a face value, if properly
accounted for
and sold in world markets of US$200 to US$1 400 billion.
Compare that to our
national budget this year of just US$2,7 billion,
national debt of US$9
billion and GDP of US$10 billion, or the national
civil service wage bill of
US$2 billion.
In any country, these numbers are so large that they
would be significant.
In Zimbabwe they are simply astounding. If properly
accounted for and sold
in open markets at world market prices, the fields
could yield to the
exchequer sufficient revenue for the Finance minister to
repair all our
hospitals, schools and roads. We could negotiate and pay our
civil servants
a liveable wage and retain scarce skills in all sectors. It
would wipe out
our current account deficit and enable us to service our debt
obligations.
Over the past weekend Mpofu was able to persuade the
countries involved in
the supervision of the world markets for raw diamonds
that Zimbabwe should
qualify for membership of the Kimberley Club. They got
a response that said
“yes” if you can comply with our standards for
transparency and
accountability.
My own view is that this
qualified approval of membership of the Kimberley
Club is premature. Not
only is the above ample evidence that on both counts
we fall far short of
the standards required, but in addition there is the
issue of whether or not
we comply with all the other criteria laid down for
membership. Forget the
allegations about human rights abuse and slave
labour, those sorts of issues
play little role in the club. It is the
possible use of these massive
resources to undermine democratic states and
the democratic basis of the
Zimbabwe state that is critical.
There is now ample evidence that the
people who control the diamond fields
in Marange are linked to four main
groups — senior figures in Zanu PF,
senior figures in the security
establishment and a shadowy group of mafia
style figures who operate on the
edge of global diamond and illegal gun
running substructures. The fourth
shadowy group about which nothing is known
are the Chinese
government-related agencies operating on the fields using
Chinese labour.
This last group is also tied in with the Zimbabwe security
establishment.
The existence of a “parallel government” in
Zimbabwe since the GPA was
signed and the present transitional government
was sworn in has been often
suggested. The mystery is how the Zanu
PF-controlled ministries in the
present government are funding their
activities. The allocation to the
military in the present budget was a
paltry US$165 million, given the
manpower levels in these security
establishments (over 45 000 men and women)
this is not enough to do much
else but pay basic salaries at a very low
level.
Then there is
the obvious lavish lifestyle of those individuals linked to
the mines — the
lavish lifestyles of senior security heads.
But it does not end there — this
is enough money to destabilise regional
governments that differ with the
Zanu PF leadership who control the flow of
diamonds and the revenues that
emanates from them. It is a real threat to
the whole of the GPA process into
which the region has put so much time and
other resources in the hope that
they might resolve our ongoing and
interminable crisis.
In my
view, that is the main reason why we should be denied access to the
Kimberley Club and in the process it should be made quite clear, that until
we put our house in order, every carat we try to sell will be regarded as an
illegal gemstone in the eyes of the world. Remember that if we put our house
in order, it would restore stability to global markets for diamonds and
would raise revenues from sales by a third or more. In addition, this is
enough money to put Zimbabwe back on its feet and to transform the lives of
every Zimbabwean. This is the goal that the Kimberley Club should be
dedicated to achieve.
lCross is MDC-T MP for Bulawayo South.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 15:51
Paul
Nyakazeya
ECONOMIC analysts believe that the challenges facing the
manufacturing
sector are a reflection of the performance of the country’s
economy as a
whole.
Zimbabwe’s manufacturing sector output has increased
five-fold since the
economy was dollarised, but lack of capital and low
demand for goods are
undermining industry, according to the Confederation of
Zimbabwe Industries
(CZI). The main industrial body says capacity
utilisation rose to 57,2% by
the end of the first half of 2011 from 43,7% in
the same period last year.
“Notwithstanding the increase in capacity
utilisation, the sector is still
constrained by several factors which
include low product demand, lack of
working capital and machine breakdowns,”
the CZI said.
The CZI said the cost of production also remained high,
making locally
manufactured goods less competitive than imports from
countries such as
South Africa, whose products have flooded the local
market.
Economist David Mupamhadzi said the challenges the
manufacturing sector was
presently facing were not unique to that sector
alone.
“A number of companies across all sectors of the economy are currently
reeling from lack of liquidity, a situation which is badly affecting the
sustained recovery of the economy,” said Mupamhadzi.
He said
Zimbabwean firms and the banking sector in particular were
struggling to
raise credit lines because of the high country risk.
“The issue of high
utility cost is another cross-cutting factor affecting
the full recovery of
the productive sectors of the economy. However, looking
at the manufacturing
sector in particular, it is failing to compete with
imports from the region
and beyond, particularly Chinese imports,”
Mupamhadzi said.
He
said the cost structure of producing goods and services was higher in
Zimbabwe and hence the unit cost of production was also higher compared to
the region and beyond. This was largely because of structural rigidities
which are inherent in the production chain in Zimbabwe.
The CZI
said the high cost of production coupled with the low levels of
capacity and
inferior product quality had largely rendered Zimbabwe’s
manufactured
products uncompetitive on international markets. As a result,
levels of
exports have remained depressed, with export destinations being
limited to
the southern Africa region.
Volume of output production over the last
three years has continued to
increase. The rate of increase decelerated with
2011 recording a percentage
increase of 14% compared to 34% recorded over
the same period in 2010. There
has also been a decline in terms of the
supply of raw materials, both local
and imported.
Locally sourced
raw material supply declined by 8% from the second half of
2010 to the first
half of 2011.
The price of sourcing raw materials has also increased
significantly, with
the cost of local raw materials increasing by 7%, while
that of imported raw
materials increased by almost 100%.
CZI
president Joseph Kanyekanye says the cost of labour is greatly impacting
on
the cost of production.
Wages and salaries as a percentage of total expenses
range from 12% to as
high as 60%.
“In an economy where inflation
levels are averaging 4%, the continued
awarding of salary and wage
adjustments in excess of 20% is only serving to
render business unviable in
the medium to long run,” said Kanyekanye.
Kanyekanye said working capital has
remained one of the largest factors
impacting on business performance. This
had hampered the retooling of the
manufacturing sector.
Even
though survey results showed an improvement in the number of firms that
have
undertaken capital investments, the level of investment still falls far
short of what is required.
Economist Brains Muchemwa said long
tenured lines of credit, reasonable cost
of funding and labour, optimal
import duty levels on raw materials and
functional public infrastructure
were some of the key issues that would help
ensure that capacity utilisation
in the manufacturing sector continued to
rise.
“However, it needs
to be noted that some sections of the manufacturing
industries can no longer
stand the global competition and only those that
are able to tap into our
most competitive advantages will be able to remain
relevant in the face of
global competition and continue to see capacity
utilisation rising,” said
Muchemwa.
Most analysts believe that the state of the manufacturing
sector was in a
precarious position. Although there have been vast
improvements on the
economic front, the challenges enshrined within the
economy have continued
to hinder the full growth
potential.
Ultimately, the effective and efficient functioning of any
single economy
depends on the policies and regulative mechanisms that give
guidance to how
the sectors operate respectively and in
tandem.
Economist John Robertson said government should put in place
policies and
regulations that focused on the effective operation of the
manufacturing
industry because it was the wealth-generating sector of the
economy.
“It is important to appreciate that the effective management
of such an
important sector as manufacturing begins with the implementation
of
broad-based economic policies,” said Robertson. “Adoption of appropriate
economic policies by the government is useful if complemented by the
adoption of parallel and relevant regulative
mechanisms.”
Following a decade of economic stagnancy in the country,
most companies are
still grappling with establishing a strong financial base
for their
operations, with some opting to retrench as a means to make the
most of
their capital output.
Initially, direct subsidies from
government may be an effective way to
ensure that new indigenous
manufacturing enterprises emerge and continue to
operate viably within the
prevailing economic dispensation that largely
seems to favour cheaper
imported products.
However, the companies quickly need to wean themselves
from such dependency
if they are to grow.
What is important, the
analysts argued, is for government to adopt a
protectionist approach for
local productive industries to remain competitive
when the forces of
globalisation are bludgeoning the industries of
developing
nations.
Zimbabwe’s current rate of importation of ready-made goods
is tantamount to
de-industrialisation as the local industry is failing to
cope with foreign
competition, especially relating to the issue of
pricing.
Protectionist policies include customs tariffs, exchange
rate regulations,
direct subsidies and import quotas, and they function to
protect local
manufacturers and at the same time encourage import
substitution.
Although protectionism has lost favour, analysts
believe it should be
categorically stated that it was still the best
economic approach that could
be adopted by developing countries such as
Zimbabwe.
Most of the areas in which the country still retained
competency in
manufacturing are facing stiff competition from cheap imports
available on
the market. Some of these cheap imports include foodstuffs,
alcohol and
tobacco, clothing and footwear, chemicals and petroleum
products, and metals
and metal products.
http://www.theindependent.co.zw/
Thursday, 10 November 2011
16:04
LINDIWE Mazibuko, parliamentary leader of the Democratic Alliance,
in her
first speech to the House in Cape Town, gave a forceful rebuttal to
President Jacob Zuma’s claims that there should be no “encroachment” of one
arm of the state on the terrain of another.
“The executive must
be allowed to conduct its administration and
policy-making work as freely as
it possibly can,” he said in welcoming new
Chief Justice Mogoeng
Mogoeng.
“The powers conferred on the courts cannot be regarded as
superior to the
powers resulting from a mandate given by the people in a
popular vote.
“We must not get a sense that there are those who wish to
co-govern the
country through the courts when they have not won the popular
vote during
elections,” Zuma said.
Mazibuko replied that the
drafters of the constitution understood that
limiting the abuse of power was
the key to preventing a recurrence of
tyranny.
“They sought to ensure
that the law will never again be used by the strong
to oppress the weak,”
she said.
“There are some in our country who believe they are above
the law, who
believe that might is right. They enrich themselves at the
expense of the
poor and use race to divide South Africa’s citizens. They
wish to destroy
our constitution,” Mazibuko said. “They are the bullies of
our time.”
Amazing isn’t it, that the president of South Africa
doesn’t understand that
the role of the courts is to defend individuals from
an overweening
executive.
If South Africans want to see what a country
looks like that has had its
judiciary undermined by the executive, they need
travel no further than
Zimbabwe.
It seems that church
business is big business these days. And with any gold
rush, opportunism is
not far behind. The Standard reports that musician
Hosiah Chipanga, who
claims to be a great prophet, said he would attract a
following bigger than
another popular prophet, Emmanuel Makandiwa’s
congregation.
Chipanga said that as soon as his church, Messiah
Apostolic Prophetically
Inspired People’s Institution (Mapipi), is granted
space and facilities by
Mutare city council he would begin “working
miracles”.
He said Makandiwa is preparing people for heaven but he is
going to
establish that kingdom on earth –– in Zimbabwe.
“I will be
greater than Makandiwa who has a large following now because he
is preparing
people for the heavenly kingdom. Mapipi will establish the
kingdom of God
here on earth,” said Chipanga.
All we can say is Mutareans be
warned!
As if that was not enough, the Standard also reports that
former Zifa chief
executive officer Henrietta Rushwaya, who lost her bid to
represent Zanu PF
in the 2008 harmonised elections, says she has quit
politics and intends to
become a pastor. Rushwaya’s bid for a political
comeback had suffered a
major blow when she was disowned by the Affirmative
Action Group after an
announcement that she was set to become the
organisation’s vice-president.
Rushwaya had also been kicked out of Zifa for
maladministration.
Rushwaya, who according to Zifa may face arrest
for alleged match fixing,
said she has “turned to God”.
“I am turning to
God and becoming a born-again,” she said. “I intend to go
for pastoral
training at a theological College.”
Rushwaya will no doubt join the ranks of
“Reverend” Obadiah Musindo whose
place of worship is still a mystery to
Muckraker.
Meanwhile Muckraker was intrigued by Zanu PF
chairman Simon Khaya Moyo’s
sentiments in an interview in the Saturday
Herald.
Asked about the WikiLeaks issue, Moyo claimed to “know very little”
about
it.
“I only hear about them, read about them but certainly
I have not taken time
to digest their content and implications,” Moyo
said.
The reporter further probed, asking whether those mentioned in
WikiLeaks had
escaped censure. To this Moyo responded by saying: “I am not
responsible for
that. I am only national chairman of this revolutionary
party and the issue
you are raising is not part of my mandate.”
This is
puzzling! Moyo seems not to know much about the WikiLeaks when
senior party
officials had supped with the “enemy” and talked about regime
change. What
then is his brief as national chairman if such things elude
him?
Moyo was also asked about the 2008 harmonised elections and
how the
president got less votes than the local MP at the same polling
statiion.
“I wouldn’t know how widespread that phenomenon was, except
to say it’s
certainly anomalous…
“On our side we attribute that to
imposition of candidates and this should
never be repeated in the coming
elections.”
We couldn’t agree more Cde Moyo, particularly the
top-most candidate, who it
seems Zanu PF supporters also don’t want.
Moyo
was also asked about the Generation 40 concept to which he replied: “I
know
nothing about that, absolutely nothing.”
We thought that was party policy, as
Jonathan Moyo would have us believe!
‘Violence reared its
ugly head again when MDC-T and Zanu-PF youths clashed
in Chitungwiza
yesterday,” the Herald reported on Monday.
They “attacked each other”, we are
told, “with stones, knobkerries and iron
bars”.
Residents in the
neighbourhood were forced to stay indoors to avoid being
caught in the
crossfire.
However, Zanu-PF spokesperson, Rugare Gumbo, had his own version
of events
saying that MDC-T youths had provoked the situation by forcing
people to
attend its rally.
“I was briefed of what they were
doing on Saturday night and I think this
morning (Sunday) they met their
match in the form of angry Chitungwiza
residents who did not want to go to
the rally,” Gumbo said.
NewsDay reported that the infamous Chipangano militia
group,had forced MDC-T
to abandon the rally scheduled to be addressed by
Prime Minister Morgan
Tsvangirai.
The Chipangano youths, who had
been bused-in, turned Chibuku Stadium and the
nearby Unit H residential area
into a war-zone as they fought running
battles with riot
police.
Police spokesperson Chief Superintendent Oliver Mandipaka on
Monday said
they were “still investigating” the violence.
We see a
pattern here: When Zanu PF attacks MDC-T supporters, the police
seem keen on
“investigating” until the issue dies a natural death. Remember
the attacks
on MPs at parliament building; on MDC-T supporters at the
official opening
of parliament as well as in Highfield in
September?
In this connection, what does Morgan
Tsvangirai think he is doing agreeing
with President Mugabe that elections
“are the best way forward”. He said
there was “tension in the country” as
evidenced by increasing violence. Zanu
PF ministers refused to report to
him, he complained, or attend the Council
of Ministers. The inclusive
government was malfunctioning, he said.
If that is the case, why does
he think he should be giving Zanu PF a gift
such as elections? Those
elections, as we all know, will under current
circumstances be manipulated
to give Zanu PF a false victory. Is that what
Tsvangirai wants? The law
enforcement process has been suborned, the
resources of the state have been
placed at Zanu PF’s disposal including
diamond revenues, the so-called
public media has been transformed into a
clumsy and unprofessional agency of
partisan propaganda while MDC-T cannot
even hold a rally to get their
message across.
The South African facilitators are only too aware of
the structural failure
of the inclusive government. But they lay the blame
squarely at Zanu PF’s
door. If Tsvangirai and his party now go for elections
when the voters roll
is still a shambles, when they have no freedom of
expression and no freedom
of movement, then Tsvangirai will be giving a
hostage to fortune with his
naďve call to arms.
The time is
manifestly not right for elections. He hasn’t even got his
supporters on the
voters roll. Zanu PF are serial losers. Why should
Tsvangirai help them win
the next election when they don’t command popular
confidence and when they
promise to inflict on the nation more of the
punishment and misrule that is
their hallmark.
US Assistant Secretary of State
Johnnie Carson told the House Foreign
Affairs Committee, Sub Committee on
Africa, last Wednesday that “politically
motivated harassment, intimidation
and violence continue and state
institutions are beholden to partisan
agendas.”
One area where a state institution is “beholden to partisan
agendas” is the
Zimbabwe Media Commission. We warned some time ago when
commenting on a
complaint from Emmerson Mnangagwa that there was a danger of
the ZMC
becoming an agent of state control in the media
sector.
Further evidence came to light this week when the
ZMC announced it would
notify the responsible authorities to effectively ban
foreign publications
from entering the country after the lapsing of a
deadline given to them to
regularise their stay.
ZMC chair Godfrey
Majonga gave the warning at a meeting in Bulawayo. In a
throwback to the
totalitarian era of eight years ago, Majonga confirmed the
move.
“Yes, the commission recently passed a resolution
compelling all media
houses in the country to register in line with the
media laws of the
country,” he said. “Those that are not registered face
closure while foreign
publications that are coming into the country were
required to have a
representative office where complaints could be laid in
the event that they
cross their professional line of
reportage.”
Why does Majonga think it is OK for him to
arrogate to his commission these
powers? Why does a newspaper need a
representative office to function in
this day and age of the Internet?
Mathew Takaona who sits on the ZMC said
the Bulawayo meeting was held to
find the best route for a hotch-potch of
conflicting regulatory
instruments.
“Some were suggesting the Voluntary Media Council of
Zimbabwe was the way to
go while some felt that the statutory Media Council
(the complaints arm of
the ZMC) should take effect.
“We are not saying we
are out here to completely effect a ban on the VMCZ.
We are saying let’s
help each other and see how we can complement each
other.
“I know
for certain that media practitioners are behind VMCZ,” Takaona added
in a
remarkable example of detective work, “but we are worried about its
effectiveness and capabilities.”
Takaona should be careful here.
We are worried about his effectiveness and
capabilities.
The statutory
body has a credibility problem because of its relationship
with the state at
precisely the moment the state has stepped back onto the
path of
delinquency.
Banning newspapers is the worst thing he could do. Why
does Zimbabwe always
have to look bad? Why is it the only country in the
region that bans
newspapers? Consider the lost revenue to vendors and their
families as well
as to the state in terms of lost registration fees.
Everybody will lose in
Zimbabwe thanks to the ZMC.
http://www.theindependent.co.zw/
Thursday, 10 November 2011
15:56
LAST week’s newspaper headlines and those on television and radio
enthused
vociferously on an alleged substantial upturn in the productivity
of the
manufacturing sector. Tragically, the reality is that such upturn is
naught
but wishful thinking and misinterpretation of statistics. Very few
recognise
that statistics bear a remarkable likeness to the bikini; they are
very
revealing, but conceal the essentials! Based upon the media reports,
the
latest survey of the Confederation of Zimbabwe Industry (CZI) shows a
marked
increase in industrial activity. That is undoubtedly correct,
insofar as
pertains to many of the respondents to the survey, but that does
not give
comprehensive recognition to the innumerable enterprises that did
not
participate in the survey.
In the past 18 months, at least 87
industrial enterprises ceased operations
in Bulawayo and, although a lesser
number, many others have done likewise in
Harare and elsewhere in Zimbabwe.
In addition, innumerable manufacturers
have considerably downsized
operations from the levels that they were
operating at only a few years
ago. As a result, and notwithstanding that
some industries have attained
growth in their production volumes since 2010,
the overall levels of output
of the manufacturing sector have undoubtedly
declined or at best remained at
approximately the same levels as applied in
the equivalent period of last
year.
The causes of the general paucity of industrial production are
many, and to
an overwhelmingly great extent, the removal of those causes is
contingent
upon government adopting as well as vigorously and unhesitatingly
pursuing
remedial policies, notwithstanding the extent that such policies
may be
political anathema to it. Foremost amongst the necessary actions to
redress
the industrial decline are:
Ensuring adequate capital
availability for industry. The world
record-breaking hyperinflation that
prevailed in 2008 eroded almost the
entirety of the working capital
resources of almost all sectors of the
economy, including manufacturing.
Although government successfully halted
that hyperinflation in 2009,
reducing Zimbabwe’s inflation levels to amongst
the lowest in Africa, it did
not reverse those that had been sustained.
The erosion of their
working capital was exacerbated in February 2009 by the
demonetisation of
the Zimbabwe dollar, albeit that that demonetisation was
very necessary.
For many, the depletion of their capital was further
worsened by the
non-payment to them by the Reserve Bank of the proceeds of
their export
sales.
In an orderly economy, replenishment and enhancement of
working capital
would be attained by recourse to borrowings from banks and
other
institutions, or by sourcing new investment, or by a combination of
such
actions.
However, the ability of industry to do so has been
minimal. The financial
sector is devoid of the resources with which to fund
the required borrowings
other than on occasion and on a short-term basis,
due in part to their own
capital erosion, partially because of pronounced
and prolonged absence of
confidence in the security of the sector on the
part of many potential
depositors.
This is also in part due
to minimal international loan funding forthcoming
to the banking sector
because of worldwide scepticism as to the future of
Zimbabwe’s economy, and
as to the security of such loan funding. It is also
because of the central
bank’s inability to operate as a lender of last
resort. Such limited
funding as can be provided by the financial
institutions is generally only
available for very short-terms, and at
exceptionally high, non-viable
rates.
Similarly, investment funding availability is exceptionally
limited as few
potential investors perceive Zimbabwe as a secure investment
destination,
having regard not only to the generally distressed state of the
economy, but
also because of the pronouncedly counterproductive legislation
and
regulations to attain economic indigenisation and
empowerment.
The never-ending deterioration in parastatal and
local authority service
delivery is a further negative factor impairing
industrial productivity.
Recurrent non-availability of energy supplies, the
incapability of National
Railways of Zimbabwe and of Air Zimbabwe to service
the needs of industry,
erratic water supplies, poor sewerage and refuse
removal services, erratic
telecommunications, and the absence of many other
essential services, all
impact adversely upon the ability of industry to
operate productively.
Recently, a further ill has been the inability of the
Zimbabwe Revenue
Authority to effect import clearances timeously,
jeopardising the
expeditious receipt by manufacturers of essential
inputs.
Consumer demand for all but absolutely essential basic
commodities remains
at very low levels, with more than four-fifths of the
population struggling
to survive on incomes below the poverty datum line
(PDL).
That consumer demand insufficiency is intensified by the
extent to which
imported products are available at markedly lesser prices
than the
locally-produced goods, mainly as a result of the magnitude of
export
incentives provided by the exporter countries, by unrealistically low
customs tariffs on such goods and by the magnitude of goods smuggled into
Zimbabwe to evade the very same low duties.
Most industries also
suffer poor productivity levels because their plant and
machinery is old and
financial constraints preclude adequate maintenance,
refurbishment and
replacement thereof. In addition, the industries have
suffered a
considerable loss of skills, due to the gargantuan “brain drain”
over the
past decade.
Most industrial labour is exceptionally demoralised and
demotivated, for
incomes are far below the PDL, albeit that the employers
cannot afford to
pay greater salaries and wages due in part to their
financial constraints
and in part to the consequential worsening of ability
to compete in export
markets as well as against imported products. The
demoralisation and
demotivation leads to low levels of productivity and in
much output being of
substandard quality.
Zimbabwe has great
industrial potential, especially with regard to its
considerable and diverse
high quality resources to which industry can effect
substantive value
addition, and due to the country’s geographic location
which can be the
fulcrum for major export trade throughout the region and
further afield.
However, realisation of that potential is contingent upon
government
belatedly recognising realities and therefore setting aside
political and
self-centred objectives in order to pursue the common good. It
therefore
needs to do all that which is necessary to bring about a virile,
vibrant
economy.
This includes curtailing its own expenditure, concurrently
with creation of
a conducive, nationally-beneficial taxation structure. It
also includes
genuine investment security in order to attract much-needed
foreign
investment and lines of credit and ensuring the efficiency of
operations and
service delivery of parastatals. There is also need to
motivate and enable
export competitiveness whilst levelling the playing
field between imported,
and locally-produced, goods and facilitating
development of new skills,
reconciling and collaborating with the
international community.
Of particular urgency is to ensure
availability of industrial capital. This
includes depoliticisation of the
Distressed Industries and Marginalised
Access Fund, realistic, substantial
capitalisation of that fund instead of
the minimal, notional, endlessly
cited amount of US$40 million. The fund
needs to be made operational instead
of only endless talking about it. Its
modalities and application processes
are still not in place, more than a
month after it was “launched”, and more
that three months after it was first
announced as the intended industrial
rescue vehicle. Until all those
actions materialise, upward industrial
transformation remains a mirage.
http://www.theindependent.co.zw/
Thursday, 10 November 2011 16:10
By Wallace
Chuma
THE recent public interviews convened by the Broadcasting Authority
of
Zimbabwe (BAZ) featuring four shortlisted applicants competing for two
available commercial radio licences betrayed the fractured course of media
reform in the country in the wake of the Global Political Agreement (GPA).
For the nearly three years of its existence, the coalition government’s
attempts at media reform can best be described as kukiya-kiya — an urban
lingo that loosely translates to “survival by hook or crook”. But allow me
to digress a bit.
If you happened to be in Zimbabwe early May
2009, with loads of time to kill
and a fast car with a full tank, you would
have probably ended up at
Kariba, especially if teaching media studies and
keeping a sort of awkward
relationship with journalists is what paid your
bills.
The much-hyped “All Stakeholder Media Conference”, organised
by the Media,
Information and Publicity ministry in the newly-minted
Government of
National Unity (GNU) was too promising to miss, even if one
was not an
invited delegate!
And so I went to Kariba. Inside the
Carribea Bay Hotel — that seductive
piece of Mediterranean architecture — I
sat for hours through fierce and
often highly polemical debate about the
future of the country’s media policy
in the context of the new
dispensation.
The GPA, signed eight months earlier, had made a bold
promise of media
reform as a matter of urgency. There was a justifiable
sense of expectation
all around. But the content and meaning of such reform
was up for profound
contestation. In fact, the contest was
bifurcated.
Let’s get the “pirate” radios out of the way first, said
the one camp, and
create a media system that safeguards our “sovereignty” as
a country. Such a
media, the argument went, should be patriotic, support the
gains of the
“revolutionary” struggle(s), expose the West for what it is,
and so forth.
The other camp, thinly represented following the decision by
civil society
and independent media journalists to boycott the conference,
argued in
favour of a wholesale liberalisation of the airwaves, the creation
of a
public service broadcaster in the place of a state broadcaster, the
lifting
of the ban on international media in the country, and the repeal of
restrictive legislation, among other things.
The presentations
were spirited, if often theatrical. And so were
interventions from the
floor. Some presenters were cheered and jeered in
almost equal measure. They
were drawn from a cross section of public life:
pastors, lawyers, academics,
politicians, journalists, activists and
possibly the Cee Ten (CIO). The
tension was palpable throughout the day,
despite the conciliatory note that
the Information minster (Zanu PF) and his
then deputy (MDC-T) struck at the
commencement of the conference.
As the proceedings of day one drifted
toward the end, it became clear to me
that there was never going to be a
common position on media reform among the
“stakeholders”. It felt like a
complete waste of time. And so, nursing a
bout of nihilism, I bolted out and
headed back to Harare at dusk.
But it turned out that I was probably
too pessimistic. Two days later, the
state media reported that the
conference had been a “resounding” success and
commitments had been made to
push for an accelerated reform process,
especially in areas of licensing new
players in both the broadcasting and
print sector, media law reform, and
self-regulation, among others. There
was even talk of a Kariba “declaration”
outlining these preferred policy
interventions, but I never got to see it
despite sustained efforts to get
the document from the Information
ministry.
As I write, nearly three years later, the only semblance of
“reform” since
then has been the licensing of newspapers, a process that
dragged so slowly
and painfully it was akin to the extraction of teeth. The
creation of a
Zimbabwe Media Commission, though done through Parliament, was
arguably an
exercise in political horse-trading between the two major
parties when it
came to the selection of personnel driving
it.
While media policymaking is inherently political, policy
implementation
should ideally not be. This allows for both impartiality and
continuity.
Even if the ZMC had not been a political creature, the fact that
its mandate
is limited to licensing newspapers and journalists renders it
largely
peripheral to any substantial media reform in
Zimbabwe.
The newspaper as we know it is a medium in its death throes
world over and
Zimbabwe will not be an exception. The brief frenzy of
licensing within the
past two years has yielded just two national daily
newspapers: Newsday and
Daily News. Several other licence-holders are yet to
launch (if they are to
launch at all, given the declining economics of the
newspaper business), and
I suspect a couple of community/provincial would-be
newspapers are headed
for stillbirth. Already one recently licensed
newspaper, The Mail, has had
its premature rendezvous with
fate.
Regarding the ZMC’s other task — licensing journalists — the
less said the
better. There should be no need for licensing in the first
place.
It strikes me that for most of 2011, media reform was largely kept off
the
political radar except for an occasion or two. This way, momentum was
lost,
and any loss of momentum on a subject like this represents victory for
the
status quo.
Much of the public imagination in 2011 has been
exercised around the issues
of elections, the constitution-making process,
indigenisation laws,
President Robert Mugabe’s health and of late,
increasing levels of urban
violence.
The issue of media reform
came up a few months ago when BAZ invited
applications for two commercial
broadcasting licences. And then it’s back
again now, with the convening of
public interviews for the shortlisted
candidates. We are told 14
applications were received. What criteria was
used to select the four for
interviews out of 14 is anybody’s guess. But if
you suspect that the
successful applicants to be awarded licences will be
drawn from the ranks of
the nomenklatura, then you’re not alone.
The four shortlisted
candidates include AB Communications, Zimpapers Talk
Radio (yes,
Zimpapers!), Hot Media/Kiss FM, as well as Vox Media
Productions. During the
interviews, Kiss FM told the panel that it will run
ZBC news in its
programming, a laughable negation of the whole idea of media
diversity.
Then there was Supa Mandiwanzira, representing AB
Communications. He told
the panel that his station’s programming would
“uphold national values and
sovereignty and will respect national events,
Zimbabwe’s security concerns
and economic interests”. Anybody who’s been
following Zimbabwe’s politics,
even remotely, will know which political
party this sort of drivel has been
associated with over the past
decade.
The BAZ still has not explained to Zimbabweans how it came to
the conclusion
that only two national commercial licences were needed in the
country now,
when technologically it is possible to have dozens of
commercial and
non-commercial (community and public service)
stations.
Even the way the BAZ itself is constituted is hugely
problematic. The
political loyalties of its chairman Tafataona Mahoso and
majority of its
members are public knowledge. You can hardly expect a
partisan broadcasting
regulator to superintend over a media reform process
that creates a
genuinely pluralistic and diverse media
system.
Dr Chuma is Senior Lecturer, Centre for Film & Media
Studies, University of
Cape Town, South Africa. This article was first
published on
newzimbabwe.com.
http://www.theindependent.co.zw/
Friday, 11 November 2011 09:26
THE
eruption of political violence at an MDC-T rally in Chitungwiza on
Sunday
was not surprising given recent events which include the banning and
disruption of rallies, as well the country’s history of brutality and
bloodshed, mainly around elections.
Judging by the recent events,
including the violence and intimidation
witnessed on Sunday, it is clear
Zimbabwe is heading for yet another round
of blood-spattered sham elections.
Sunday’s disturbing events were a
harbinger of worse things to come. The
cycle of political violence has not
been broken and things can only get
worse.
Unless the GPA and the elections roadmap are firmly
implemented, reinforced
by key political reforms and fundamental changes in
the environment, we are
going to have a throw-back to the 2008 polls marked
by brutality, killings
and bloodshed.
It is clear the state
security forces, whose unlawful interference in
partisan politics has always
created upheavals, are still pulling the
strings behind the
scenes.
Certainly, as elections loom they will again aggressively
dip into politics
in a bid to influence the outcome to protect their own
self-serving
interests and possibly front their candidate as a future
national leader.
This seems to be the game-plan of a ruthless and go-getting
clique
straddling Zanu PF and state structures.
Recent events
have clearly shown there is a Fifth Column at work in this
country
comprising ambitious elements from the state security forces and
Zanu PF
opportunists trying to influence the direction of politics and
future of the
country.
This group — trying to undermine the will of the people
- is however
motivated by a narrow agenda and self-aggrandisement — the
Marange alluvial
diamonds being one of their major
motivations.
The stakes in the battle for the future of Zimbabwe are
now very high
because of the diamonds factor. That is why it would be naďve
and even
dangerous for those struggling to remove Mugabe and steer the
country
towards a democratic course to under-estimate Zanu PF and its
leaders. They
are going to fight to a bitter end.
The battle is
going to be bruising given that Zanu PF now relies
considerably on state
structures, including those of the military, for
survival. The inexorable
decline of President Robert Mugabe’s power and
rule, as well as the
subsequent growth of a power vacuum has emboldened some
elements in the
military and their civilian backers to try to subvert
democratic processes
and grab power.
Recent political statements by prominent figures
within the security forces,
followed by political violence and intimidation,
show there is a militarised
group operating behind the scenes to seize the
initiative and shape of
events. It is encouraged by deteriorating
civil-military relations.
Whereas the institutional boundaries
between civilian government and the
military were initially blurred, now the
distinction has been lost
altogether, hence the military’s direct
interference in politics.
This group, which is against the
continued existence of the GPA and GNU, as
well as the crafting of the
elections roadmap, seems to think the two main
Zanu PF factions have also
failed to sort out Mugabe’s succession issue.
It is thus looking
beyond Mugabe in all this, although it would conveniently
continue to use
his name to push their agendas. While other parties spend a
substantial
fraction of their resources in attracting voters through
ideological
exhortation and manifestos, Zanu PF, now hijacked by this group,
is putting
more emphasis on coercion to win elections.
Thus given Zanu PF’s
dramatic decline and the high stakes, it is not
surprising, although
appalling, to realise the political economy of
elections in Zimbabwe is now
characterised by open violence, bribery and
fraud.
While Zanu PF
has used ideological arguments to make its case before
elections, it has
also used violence, especially in recent years, as a tool
of
mobilisation.
Brutality has escalated as the party’s popularity
declined due to leadership
and policy failures, exacerbated by corruption
and incompetence. Besides
violence, bribery and ballot fraud have also been
the stock-in-trade of Zanu
PF.
The party has systematically
employed vote-buying and ballot fraud to cling
to power. Now as Mugabe faces
his last major battle in post-Independence
electoral politics and Zanu PF
faces disintegration, violence, intimidation
and fraud are bound to worsen
ahead of the next elections.
http://www.theindependent.co.zw/
Thursday, 10 November 2011
15:47
BELOW is an edited testimony by the US assistant secretary of state
Johnnie
Carson to the Foreign Affairs Committee Subcommittee on Africa,
Global
Health, and Human Rights last Wednesday in Washington
DC.
Zimbabwe is a country of enormous economic, agricultural and
regional
potential. Unfortunately, a history of fiscal mismanagement, poor
governance
and a culture of political violence have limited that potential
for nearly
15 years. While some visible improvements have been made, serious
challenges
remain.
After a deeply flawed and violent election in
2008, Zimbabwe’s former
opposition parties are now part of a transitional
coalition government that
has lasted nearly three years. This coalition
government was established
under the stewardship of the Southern African
Development Community (Sadc)
as a key tenet of the Global Political
Agreement, which was negotiated
between the opposing parties to end
political violence and move past
contested elections.
Although
significant challenges remain on the political front, there has
been
progress. A tri-partisan parliamentary committee has sought input for a
new
draft constitution from millions of Zimbabweans. Zimbabwe’s economy,
which
dollarised in 2009, has made a remarkable recovery. The International
Monetary Fund estimated that Zimbabwe’s gross domestic product grew at 9%
in 2010. Humanitarian need has decreased significantly since 2009, when
seven million people received humanitarian aid. In January 2012, the number
of people needing humanitarian assistance is projected to be just one
million.
Schools and health clinics previously closed due to a
lack of staff and
supplies have re-opened and are providing vital social
services to the
Zimbabwean people.
At the same time, substantial
progress has been impeded by censorship, weak
rule of law, and the continued
politicisation of state institutions.
Politically motivated harassment,
intimidation and violence continue, and
state institutions are beholden to
partisan agendas.
The US has always supported the people of
Zimbabwe’s aspirations to create a
country that would truly empower its
citizens. In the 1960s and 1970s, we
supported UN efforts to pressure
Rhodesian authorities to accept majority
rule. The US was the first country
to extend diplomatic relations to the
newly independent Zimbabwe in
1980.
We have also voiced our concern when the liberation-era
leadership has taken
actions that posed a threat to Zimbabwe’s stability,
prosperity, and
development as a modern democratic state. The US sanctions
programme is the
most visible manifestation of that concern, as it targets
121 individuals
and 69 entities pursuant to executive orders issued to
address the
undermining of democratic processes or institutions in
Zimbabwe.
These sanctions began in March of 2003. Much has changed in
Zimbabwe since
then.
Over the past year, the Department of the
Treasury’s Office of Foreign
Assets Control has modified the sanctions list,
adding or deleting names on
the list to reflect some of those changes. The
administration will continue
to ensure the targeted sanctions programme
remains meaningful and accurate.
At the same time, the US is working to help
develop a strong, democratic,
market-oriented Zimbabwe and respond to
humanitarian needs. We have provided
nearly a billion dollars in assistance
from fiscal year 2006 through fiscal
year 2011.
We are mindful of
the current fiscal climate and the existing legal
restrictions on our
assistance and we will continue to consult closely with
Congress, especially
with this committee, on any proposals to change our
assistance programme to
Zimbabwe.
The next two years will be a test for Zimbabwe, and the
world will be
watching to see if its political leaders stick to the
commitments they made
and hold free and fair elections according to a
roadmap negotiated with the
assistance of the Sadc.
Zimbabwe’s
future will not depend on the actions of any one individual or
even one
political party. It will depend on the collective decisions
Zimbabwe’s
people make to replace a legacy of political violence and
one-party rule
with a culture of tolerance, reconciliation, and the
de-politicisation of
state institutions. We are contributing to empowering
Zimbabweans to build
the markets and institutions necessary to determine
their own
future.
The US values partnerships with nations whose leaders
demonstrate a
commitment to the rule of law and the free flow of
information. These
features form the foundation of stable, growth-oriented
democracies all over
the world, and will be a key factor governing our
relationship with the
government of Zimbabwe in the years to
come.
If Zimbabwe’s political parties implement the commitments that
they
themselves have made in the GPA and the electoral roadmap, there will
be a
clear imperative for the US to reconsider our current sanctions policy.
Specifically, this would mean the holding of free, fair, and internationally
monitored elections. It will also require state institutions to be de-linked
from Zanu PF.
The Department of State will continue to press for
the protection of human
rights and accountability for those who abuse them
while acknowledging
progress where it is made. Zimbabweans have already
enshrined these rights
in their own laws, constitution, and international
obligations, and we will
continue to stand by Zimbabweans who are working to
protect these rights.
We are also doing what we can, within the
confines of the targeted sanctions
programme, to promote Zimbabwe’s economic
recovery and to highlight
opportunities for investment that will benefit US
and Zimbabwean businesses
alike. We will continue to provide guidance to US
businesses interested in
taking advantage of opportunities in Zimbabwe about
how they can move
forward in a way that complies with US law.
I
would be remiss if I did not mention Zimbabwe’s importance to the southern
African region. Zimbabwe shares borders with South Africa, Botswana, Zambia,
and Mozambique. It is a critical transport hub, a rich resource of talent,
and a country with great economic potential. Unfortunately, as we saw in
2008, the unstable political situation in Zimbabwe affects all the countries
around it.
Partisan influence over elements of the security
sector and the use of these
forces for violent actions against political
opponents has led to a
darkening of the security sector’s reputation, both
at home and abroad.
Zimbabwe’s neighbours are still feeling the effects of
the refugee flows and
economic collapse.
It is important to note
the areas of concern and stalemate, as we often do,
but also to recognise
progress and change in Zimbabwe. Zimbabwe is a young
nation with a long
colonial legacy to overcome. Social, political, and
economic advances do not
happen quickly, nor will they necessarily follow an
American or western
model.
Implementation of the Global Political Agreement has been
problematic from
the beginning, but Sadc takes its mediating role seriously,
and I am
confident that they will not allow elections to go forward if it
appears
that the prevailing conditions will lead to a repeat of the 2008
crisis.
http://www.theindependent.co.zw/
Friday, 11 November
2011 09:24
THERE has been so much said about how the Chiadzwa diamonds
will be the
panacea for Zimbabwe’s ills. Civil servants will get bonuses
from the sale
of diamonds, Zimbabwe’s debt will be wiped out by the sale of
diamonds,
diamonds may fund elections; the list is
endless.
Of course the most euphoric appears to be the Mines
minister himself, Obert
Mpofu, whose eyes sparkle like the precious stones
when he imagines the
magical effects of the diamond wand.
“We are
going to surprise the world,” Mpofu said when the Kimberley Process
Certification Scheme allowed Zimbabwe to resume exports of the stones. Yes
please minister, please go ahead and surprise us
all.
Surprise us by actually telling us the truth as to exactly
how much diamond
stockpiles our nation is sitting on. Surprise us by
actually accounting for
the sales of the stones prior to the KPCS and
surprise us by telling us the
truth about where our money from the sales of
those diamonds of ours went.
Above all, surprise us by telling us who the
true owners of the companies
running the Chiadzwa mines are. Don’t we all
love surprises, pleasant
surprises at that?
Mpofu is elated that
the mining sector will now account for 50% of Zimbabwe’s
GDP. I’m sure many
others, including players in the mining sector, share
this
excitement.
It’s always great to know that you’re the one who
brings home the bacon. It’s
like being the top scorer in a team. However,
for as long we continue to
make primary production the cornerstone of our
economy, we’ll perennially be
facing problems.
The objective
should really be to reduce the proportion of the contribution
of the mining
sector and extraction industries and increase the proportion
of the
value-adding industries.
Countries such as South Korea, which
were once weak economies like ours,
have now anchored their economies in
value addition, and so have many of the
so-called South East Asian Tiger
economies. Our friend Malaysia, for
instance, was once a monoculture
economy, mainly exporting rubber.
That clearly would have not got it
where it is, even if the prices of rubber
shot up to the same as those of
diamonds. Closer to home, Mauritius was yet
another monoculture economy,
centred on sugar production. But it has since
transformed
itself.
Zimbabwe instead seems to be heading the other way. At
Independence,
manufacturing (value addition) accounted for 26% percent of
GDP; this has
since more than halved. But that’s not the only worrying part.
Mpofu then
raps Tendai Biti for allocating his ministry what he terms a
meagre
budgetary allocation. He doesn’t’ state exactly what he wants more
money
for, but more likely than not, it’s for recurrent
expenditure.
This is where the biggest threat to the diamond
issue lies. It’s good that
as the minister says, we will never need to
borrow from anybody. Coming from
a cabinet minister, we take it to mean that
“we” refers to government.
Correct, before the discovery of diamonds,
government used to borrow to
finance its budget deficits, and we know what
the consequences were. Now,
the government will finance its deficit from the
diamonds proceeds.
The moral of the story is there seems to be no
more drive to curtail
expenditure. So the government can now safely be
profligate unchecked; more
shopping trips outside the country, bigger
delegations to international fora
(including, perhaps,
housemaids).
Lest we be misunderstood to be against the lifting
of the ban on diamonds,
we are merely saying now that it is the case, let’s
put the proceeds to good
use.
Itai Masuku
http://www.theindependent.co.zw/
Friday, 11 November 2011 09:21
THE
quest by Zanu PF hardliners to attain political papacy for President
Robert
Mugabe at all cost is plunging the country into anarchy rendering the
spirit
and letter of the global political agreement (GPA) unattainable.
The
GPA was inked in September 2008 to deliver a legitimate government
through a
free and fair election, but the re-emergence of political violence
has
created a toxic environment that will culminate in the nation sliding
back
to the disastrous period prior to the signing of the pact which was
characterised by murder, rape, torture and numerous other
vices.
Clearly thought-out benchmarks were tabulated in the GPA on
how to achieve a
violence-free poll, where the wishes of the electorate
would be upheld and
respected. Among the benchmarks are national healing,
media reforms, the
cessation of violence, a non-partisan security sector as
well legislative
reforms. Most of these reforms have not being undertaken,
largely as a
result of Mugabe and Zanu PF’s intransigence.
Talk
of elections next year has reignited the political violence powder keg
as
Zanu PF functionaries have gone into the trenches to secure victory by
hook
or by crook. The situation is made worse by Prime Minister Morgan
Tsvangirai
and his deputy, Arthur Mutambara’s agreement with Mugabe that we
must have
elections soon. They are once again playing into the hands of the
wily old
fox Mugabe.
Since June we have seen political violence rearing its
ugly head. We
witnessed supporters and members of the MDC-T assaulted in and
at parliament
despite Mugabe’s calls for an end to violence. Rallies of both
formations of
the MDC have been banned by the police for no apparent reason.
In some cases
the police ignored court orders sanctioning the
rallies.
Last weekend’s orgy of violence in Chitungwiza pitting Zanu
PF and MDC-T
youths brought to the fore the fact that Zimbabwe cannot have
free and fair
polls any time soon unless and until real reforms are put in
place.
Why has Mugabe’s calls for an end to violence fallen on
seemingly deaf ears?
Why is the 87-year-old ruler failing to order the
police to arrest
perpetrators of political violence regardless of the party
they belong to?
These questions put paid to the notion that
Mugabe is not really in charge
with other dark forces now running the
government. There is absolutely no
doubt that Mugabe is now a prisoner of
the hardliners.
Early elections, minus reforms, would be tantamount
to ruin. Our leaders
should not be so preoccupied by the end-state but the
process.
Rashly-arranged polls are a poisoned chalice for Zimbabwe which
will result
in a bloody and contested poll.
The likely result is
another hollow victory for Mugabe as happened in June
2008. He might get
legal legitimacy, but not political or moral legitimacy
and then another
round of talks, ending with another inclusive government,
will ensue. No
sane Zimbabwean would want another political cul-de-sac.
There is no
doubt that we have been seized with a Machiavellian moment,
where each of
the political leaders has set their sights on attaining power.
The winner
will literally walk over bodies to State House.
As stated time and
time again, to create an atmosphere for free and fair
elections the
benchmarks agreed in the GPA should be met. The police should
not be attack
dogs of Mugabe and Zanu PF, hence the need for their urgent
reformation.
Selective application of the law has been the
major source of the
escalation of violence. Reforming the security sector
doesn’t entail a
change of guard, but introducing professionalism. Cases of
political
violence should not be bailable as a deterrent to would-be
perpetrators.
Numerous lives were lost needlessly in 2008 and unless
Mugabe walks the talk
his pleas for peace will be meaningless and he will be
guilty of complicity.
The ball is in his court!
Constantine
Chimakure
cchimakure@zimind.co.zw
