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Consultation, Horse-Trading In Zimbabwe Ahead Of Power-Sharing Deal Closing

VOA

By Patience Rusere, Chris Gande & Taurai Shava
Washington & Gweru
13 September 2008

Political party leaders in Zimbabwe were deep in consultations and haggling
over cabinet posts Saturday in preparation for Monday's signing of a
power-sharing deal reached late Thursday by the former ruling ZANU-PF party
and the Movement for Democratic Change.

Sources said President Robert Mugabe was briefing the politburo of his
ZANU-PF party on the deal contracted with the former opposition party, while
leaders of both formations of the MDC were focused on the ministerial
portfolios they hope soon to control.

The unity government accord took shape on Thursday ending eight weeks of
negotiations under mediation of South African President Thabo Mbeki. The
quest for a power-sharing government was launched as a way out of the
impasse created by contested elections followed by months of political
violence mainly targeting the opposition.

The two formations of the MDC in those elections claimed a majority in the
lower house of parliament, and MDC founder Morgan Tsvangirai defeated Mr.
Mugabe in the March 29 presidential ballot. But a contested official count
said he fell short of a majority.

Reactions to deal continued to emerge from regional and international
players. African Union Commission Chairman Jean Ping said the political
compact marked "a turning point" on Zimbabwe's path toward reconciliation
and socio-economic recovery.

From the European Union Presidency currently held by France came a statement
saying the EU welcomes the agreement. The EU said on Friday that it is
reconsidering its earlier decision to extend targeted sanctions against top
officials in light of the accord.

In Washington, U.S. State Department Spokesman Sean McCormack told reporters
on Friday that the American government is waiting for more details on the
power-sharing arrangement before taking a position on it.

Handel Mlilo, representative of the Tsvangirai MDC formation in the United
States, said he understood U.S. caution but expressed optimism on expanded
assistance on the basis of the power-sharing arrangement.

The big question for many observers in Zimbabwe was which ministerial
portfolios the former opposition would claim and which would remain in
ZANU-PF hands.

The Reuters news agency quoted MDC sources as saying the former opposition
wants its people in the home affairs, justice and finance ministries.

Deputy Spokesman Renson Gasela of the MDC formation led by Arthur Mutambara
said Mutambara, Mr. Mugabe and Tsvangirai met Saturday to allocate
ministries.

In the Midlands town of Kwekwe, meanwhile, youth leaders said the crisis in
education is among those the new government must urgently address.

As ZANU-PF's youth militia was deeply implicated in post-election violence,
there is need to focus on healing and reconciliation targeting young
Zimbabweans in particular, the youth leaders told correspondent Taurai Shava
of VOA's Studio 7 for Zimbabwe.


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MDC seeks control over Zimbabwe's economy, police

Reuters

Sat 13 Sep 2008, 13:32 GMT

By MacDonald Dzirutwe

HARARE, Sept 13 (Reuters) - Zimbabwe's opposition MDC wants to head the home
affairs, justice and finance ministries under a landmark power-sharing deal
agreed with President Robert Mugabe, an opposition official said on
Saturday.

The three portfolios would give it control over the police and prisons, and
responsibility for rescuing an economy reeling from the world's highest rate
of hyper-inflation, more than 11 million percent.

In return, the MDC is ready to agree to leave Mugabe's ZANU-PF in charge of
other key power ministries.

"Mugabe can have the defence and state security ministries but the MDC
should get the home affairs ministry, that is our position, along with the
finance portfolio," the opposition official said.

"The reasoning is that security ministries should be shared and ZANU-PF is
agreeable to that and for the MDC to have the finance ministry."

Thursday's South African-brokered deal is aimed at ending months of crisis
in Zimbabwe, where MDC leader Morgan Tsvangirai defeated Mugabe in the first
round of a presidential election in March, but pulled out of a June run-off
citing a systematic campaign of violence against his supporters.

The two were scheduled to meet at the weekend to craft a new cabinet, and
Mugabe was briefing ZANU-PF's top decision-making body, the politburo.

"The president will brief the emergency session of the politburo on the
agreement reached during the inter-party negotiations, upon which the
politburo will adopt that agreement," a politburo member told Reuters.

"ENEMY WITHIN"

The politburo is dominated by Mugabe loyalists, and is expected to endorse
the deal, under which the opposition is to get more senior ministers than
ZANU-PF.

An opposition senator said on Friday Tsvangirai, leader of the MDC (Movement
for Democratic Change), would be prime minister and chair a council of
ministers that supervised the cabinet under the power-sharing deal.

ZANU-PF would have 15 cabinet seats, Tsvangirai's MDC 13 and a splinter MDC
faction three seats.

There is widespread caution among commentators over how quickly the
power-sharing deal can end the crisis or persuade Western powers -- deeply
opposed to Mugabe -- to step in with much needed financial support to aid
recovery.

Mugabe, 84, has repeatedly called the MDC a puppet of the West and political
analysts said the deal was fragile.

Writing in the state-run Herald newspaper, Nathaniel Manheru -- thought to
be a pseudonym for a senior Mugabe aide -- said the MDC was now an
"embedded" enemy and that ZANU-PF should be on guard.

"For a party that has always relied on government and intellect for policy
incubation, it (ZANU-PF) now has to learn to govern in a new environment
where the enemy is now within, well embedded," Manheru said.

"The West will now have an eager listening post, right up to cabinet. There
will be lots of policy pre-emption." Zimbabweans are desperate for an end to
a crisis that has ravaged the economy and pushed millions of refugees into
neighbouring countries.

(Editing by Mark Trevelyan)


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Troubled Times Ahead for Service Chiefs



SW Radio Africa (London)

12 September 2008
Posted to the web 13 September 2008

Tichaona Sibanda

A senior advisor to Morgan Tsvangirai on Friday said that they expect the
country's service chiefs to follow the laws of the country and support the
government of the day and the new political dispensation, or resign.

The heads of the country's army, police, air force, CIO and prison services
have often repeated statements that they will not salute the MDC leader.
Tsvangirai is expected to be confirmed next week as the new Prime Minister
of the country. Meanwhile, Defence Forces Commander General Constantine
Chiwenga was opposed to making Tsvangirai sit on the Joint Operations
Command, which according to the deal agreed on Thursday will be renamed the
National Security Council. Chiwenga remains fiercely opposed to any
elevation of Tsvangirai.

But the MDC MP for Lobengula-Magwegwe in Bulawayo, Sam Sipepa Nkomo said
there was a very reasonable answer to that problem.

"As a party, we strongly believe that those that really do not want to
salute anybody who is properly placed to a position democratically to be
Prime Minister, President or Minister should simply resign," he said.

Speaking to Newsreel a day after ZANU PF and the MDC agreed to a deal that
would see the country's political parties share power, Nkomo, who is also
the party secretary for Home Affairs, said they cannot claim they got
everything they wanted from the talks.

"In any negotiation, you win some and lose some. I believe we could have got
65% of what we wanted, so the mood in the party is that our negotiators did
a sterling job because they constantly consulted us," Nkomo said.

Turning to Matebeleland, a region marginalised by the regime over the last
20 years for voting for the opposition, the MDC legislator said they hope
the new government would be fair in its distribution of wealth and job
creation.

"The region needs urgent support from the government. In the short term, we
need seeds and fertiliser to prepare for the planting season but in the long
term, we will look at reviving the city's industry," he said.

Nkomo explained that Bulawayo used to be the industrial hub of the country
but 'bit by bit' companies started relocating to Harare because of political
reasons.


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Deal Should Ensure Free Media

http://www.radiovop.com

Harare - The Media Institute of Southern Africa (MISA) Zimbabwe
chapter has hailed a Zimbabwe unity deal and is calling for an immediate
cessation of the arrest, harassment and torture of all journalists and media
houses reporting on Zimbabwe.

It also demanded the granting of permission to all media houses, (both
foreign and local) to cover the political situation as it unfolds as well as
the suspension and subsequent repealing of all repressive legislation that
targets the media, and in particular, the Access to Information and
Protection of Privacy Act, the Public Order and Security Act, the
Broadcasting Services Act and the Interception of Communications Act.

It said media policy should be guided by the principles outlined in
the African Charter on Human and Peoples Rights, the Windhoek Declaration
and the African Charter on Broadcasting.

MISA - Zimbabwe also called for an immediate conversion of the
Zimbabwe Broadcasting Corporation from a state broadcaster into a public
broadcaster under the guidelines outlined in the African Charter on
Broadcasting.

"MISA-Zimbabwe welcomes the signing of the agreement by Zanu PF and
the two Movement for Democratic Change (MDC) formations as a development
that should usher in a new era of tolerance and diversity of views
underpinned by fundamental reforms that respect the right to freedom of
expression and access to information by citizens," it said in a statement.

"The media and most critically radio and television because of their
wider reach, play a critical role in creating the required platform for
national dialogue that will input into the envisaged era of national
healing, stability, harmony, reconciliation and economic development."


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Top of the agenda?

http://www.cathybuckle.com

Saturday 13th September 2008

Dear Family and Friends,
A power sharing deal between the MDC and Zanu PF has been agreed. This is
not what Zimbabweans voted for but it seems we must make the best of it if
we are to save the country from complete ruin. The very people who designed
and implemented the 9 year collapse of Zimbabwe will now sit alongside the
victims of their ruinous policies. What will be top of the agenda?

Should it be electricity? Supplies are down to 6 or less hours a day in most
places. Businesses, manufacturing and industry are close to collapse.
Schools, hospitals and institutions are barely functional.

Should it be water? Supplies to urban, residential and industrial areas are
down to 2 hours a day in most places and non existent in others. Cholera and
other water born disease are commonplace.

Should it be food? Shops are empty of all basic goods and individuals have
resorted to imported their own supplies in order to survive. Food growing on
seized farms is negligible and in most cases barely enough to feed one or
two families. Almost half the population will need international food aid by
Christmas.

Should it be money? Bank queues run into thousands as the Reserve Bank
Governor restricts daily withdrawals to the current equivalent of just 2
British pence per customer. Without access to their own money people cannot
buy food or medicines or pay their bills.

Should it be Health? Hospitals have no drugs, equipment, food, linen or
staff. Pharmacies increase their prices at least once every day and people
are dying for lack of basic, simple life sustaining medication.

Should it be education? Teachers earn less than street cleaners and so they
are always on strike. Pupils have no books. Parents cannot afford school and
examination fees, uniforms or even food for their children. What hope for
our next generation.

Should it be land and the environment? Restoring property rights and Title
Deeds. Controlling gold panning, diamond digging, tree cutting, poaching,
streambank and roadside cultivation and fires.

Perhaps it should be repealing legislation which has destroyed freedom of
speech, movement and association; freedom of the press and media and
citizenship laws which have made born and bred Zimbabweans into aliens.

I could go on and on but perhaps my own favourites will be top of the
agenda: law and order and accountability. Until Zimbabwe's Police stop
saying "It is political" and start arresting people who break the law,
regardless of their political affiliations, we can surely not move forward.
So too the people who raped, murdered, burned. looted, tortured, stole and
incited others to do likewise - they must be held accountable and punished
for their deeds. Zimbabwe stands at the threshold and we pray that our trust
is not betrayed because we have suffered so much and for so long.
Until next week, thanks for reading, love cathy


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Zim deal 'signals a move from the vicious cycle'

http://www.mg.co.za

HARARE, ZIMBABWE Sep 13 2008 08:04

Zimbabwe's power-sharing deal was hailed as a success of regional diplomacy
on Friday, but the animosity between President Robert Mugabe and the
opposition led some analysts to fear the agreement is fragile.

"The devil is always in the detail, but I doubt if [opposition leader]
Morgan Tsvangirai was going to sign if he was not happy," Charles
Mangongera, a Harare political analyst, said.

"We have to look at the deal as the best opportunity to get Zimbabwe out of
this crisis," he added.

However, Mangongera said he was worried about the reaction of Mugabe's
ruling Zanu-PF party, in power since 1980, to the agreement.

"My major fear is that there are a lot of people, especially in Zanu-PF, who
would want to throw spanners into this deal as they have a lot to lose," he
explained.

The intensive negotiations on power sharing, which started in late July
after pressure from Southern African leaders who feared the crisis could
destabilise the region, ended on Thursday with a deal on a unity government.

The details of the new power-sharing government and who holds what power
will only be made public on Monday after a formal signing ceremony in
Harare, with regional and international leaders keenly awaiting specifics.

Sources close the talks say the deal is a balanced agreement that reflects
Tsvangirai's Movement for Democratic Change (MDC) win in the March
parliamentary elections.

Veteran president Mugabe, who has spent 28 of his 84 years at the helm of
the country, will keep the title of head of state but will have to share
executive power with Tsvangirai, who will take up a newly created prime
minister's post, the sources said.

The two men will share the power to appoint ministers and set policies. The
president will still head the Cabinet, but Tsvangirai will chair a new
council of ministers that controls the implementation of government
policies, according to the sources.

'Positive development'
"It's clearly a positive political development which has the potential of
breaking the protracted crisis that had come to characterise Zimbabwe,"
Eldred Masunungure, a political scientist from the University of Zimbabwe,
said.

"It signals a move from the vicious cycle, but I am deliberately avoiding
premature celebration because we are dealing with deeply entrenched
interests and hostilities," he warned.

In South Africa, the deal was mainly seen as a victory of regional
diplomacy.

"We have seen African mediators brokering peace and stability solutions in
African conflicts like in Burundi, Côte d'Ivoire and other places. This is
another example of that," Olmo Von Meijenfeldt, an analyst from the
Institute of Democracy in South Africa, said.

The deal, brokered by South African President Thabo Mbeki amid increasing
pressure from the Southern African Development Community (SADC) regional
bloc, is a "fantastic achievement" for both, the analyst added.

"The deal will change perception about African-led mediation," Meijenfeldt
said.

The same sentiments were expressed by professor Shadrack Gutto at the
University of South Africa's Centre for African Renaissance.

"Mbeki's mediation efforts must be praised," Gutto said.

The deal allows the region to breathe a sigh of relief, the analyst said.

Zimbabwe's dire economic crisis "saw the citizens of Zimbabwe flocking to
neighbouring countries in great numbers, causing an economical strain to the
entire SADC region", Gutto explained.

"The deal shows that rival political parties realised that solving the
country's crisis could not be done single-handedly," he added. -- AFP


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African Union hails Zimbabwe "turning point"

Yahoo News

30 minutes ago

NAIROBI (Reuters) - The African Union (AU) has hailed Zimbabwe's
power-sharing deal as a "turning point" for the nation and urged the world
to give it full support.

A statement issued late on Friday by AU Commission chairman Jean Ping
welcomed this week's accord between President Robert Mugabe and the
Zimbabwean opposition.

"The chairperson commends the Zimbabwean parties for arriving at this
agreement which marks a turning point in the efforts aimed at promoting
reconciliation, stability and fostering conditions conducive for the
recovery of their country," it said.

The AU praised South African President Thabo Mbeki's "skilful diplomacy and
tireless efforts" as a mediator.

"The chairperson urges the international community as a whole to do its
utmost to support the implementation of this agreement and provide the
requisite assistance to that end," the statement added.

Giving first details of the deal reached on Thursday, an opposition senator
said on Friday that Mugabe would keep his job and head the cabinet. Morgan
Tsvangirai, leader of the main opposition MDC group, would be prime minister
and chair a council of ministers supervising cabinet, the senator said.

Zimbabweans are desperate for an end to a political crisis that has
destroyed the economy, hitting the once-prosperous country with the world's
highest rate of hyper-inflation and sending millions of refugees into
neighboring countries.

(Reporting by Andrew Cawthorne)


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UN welcomes Zimbabwe power-sharing deal

SABC

September 13, 2008, 07:45

By Thami Dickson
The United Nations Security Council has welcomed the historic agreement
between Zimbabwean President Robert Mugabe and his country's opposition
leader, Morgan Tsvangirai, to form a government of national unity.

UN Chief Ban Ki Moon has also joined in supporting the agreement, saying he
hopes that it will pave the way for durable peace in Zimbabwe. The world
body has heaped praise on President Thabo Mbeki's tireless efforts to
facilitate the political deal.

Zimbabwe's political crisis has long been a controversial issue in the
Security Council. Super powers such as Washington and the United Kingdom
have been at the forefront of a campaign to impose sanctions on Zimbabwe,
intended to punish Mugabe for the humanitarian crisis and violence that
erupted in that country after the disputed March elections.

They also wanted to force him into a government of national unity with the
Movement for Democratic Change. But Africa's leaders stood their ground
arguing that the mediation process should be given a chance.

With the support of a double veto from Russia and China, the sanctions
resolution was aborted, giving a huge boost to the otherwise difficult
mediation process.

The details of the agreement reached in Zimbabwe will be released on a
much-awaited ceremony in Harare on Monday.


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U.S. Officials Waiting for Assessment of Deal



America.gov (Washington, DC)

12 September 2008
Posted to the web 13 September 2008

Stephen Kaufman
Washington, DC

U.S. officials are withholding comment on a power-sharing deal between
Zimbabwe's President Robert Mugabe and Movement for Democratic Change (MDC)
leader Morgan Tsvangirai pending their study of the agreement.

The agreement was announced September 11 after weeks of negotiations
mediated by South African President Thabo Mbeki.

"Clearly . Mr. Tsvangirai is comfortable with the deal, so I would expect in
the coming hours and days we'll have an assessment of it," State Department
spokesman Sean McCormack told reporters September 12.

McCormack said Bush administration officials are beginning to get details of
the agreement, but said he would "withhold any more definitive comment"
until he thinks "we have a full understanding of it."

The government's political violence and economic distress have forced many
Zimbabweans to flee to neighboring South Africa.

He repeated the U.S. position that any power-sharing arrangement between
Mugabe's ruling Zimbabwe African National Union - Patriotic Front (ZANU-PF)
and the opposition MDC "must reflect the will of the Zimbabwean people as
expressed through the ballot box during their last election," which took
place March 29.

In that election, MDC candidates won a majority of the country's
parliamentary seats and Tsvangirai received more presidential votes than
Mugabe. However, the opposition leader did not earn enough votes to avoid a
runoff election.

In the weeks before the June 27 presidential runoff, Mugabe's government and
ZANU-PF activists engaged in a sustained campaign of violence and
intimidation against MDC supporters, real and suspected, and halted the
activities of foreign aid workers. The MDC says 200 of its supporters were
killed.

Tsvangirai decided to pull out of the election rather than continue to
endanger his voters, and Mugabe declared himself the victor, but he has
faced international condemnation and isolation as well as increased
sanctions against his regime by the United States and the European Union.

A senior State Department official, speaking on condition of anonymity, said
that although the United States has not yet decided on a definitive response
to the political deal, "certainly, it is a turn in the right direction."

Amid its political turmoil and international isolation, Zimbabwe has
continued to see its economy shrink and has an inflation rate of 11 million
percent.

Asked if the agreement could mean that sanctions against ZANU-PF and its
affiliates might be lifted, the official said: "We'll see. We'll see if it
does mean anything."


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Commonwealth Secretary-General's statement on Zimbabwe

http://www.thecommonwealth.org

12 September 2008

Kamalesh Sharma welcomes power-sharing agreement

The Commonwealth Secretary-General, Kamalesh Sharma, has welcomed the
announcement yesterday of a power-sharing agreement reached by Zimbabwe's
political parties

He expressed the hope that the agreement, due to be signed on Monday, will
herald a new dawn for the people of Zimbabwe.

The Secretary-General commended the SADC Facilitation Mission under the
leadership of President Thabo Mbeki of South Africa, for its perseverance
and resolve in assisting Zimbabwe leaders to come to an agreement to work
together. Mr Sharma said "I hope this will now lay the foundation for
reconciliation and reconstruction for which the people of Zimbabwe have
waited so long."

He reiterated that the Commonwealth would maintain its ongoing consultations
with the United Nations, the African Union and the Southern African
Development Community on the way forward. "The Commonwealth stands ready" he
added, "to support the process as appropriate, particularly in areas of its
proven expertise and experience".


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Mugabe's fall not as far as foes would like

http://www.chicagotribune.com

Sources: Control of police, army to be split
  By Angus Shaw | Associated Press
  September 13, 2008
HARARE, Zimbabwe-President Robert Mugabe and his main rival agreed to divide
control of the police and army and strike a delicate balance in Zimbabwe's
Cabinet, sources familiar with the deal said Friday.

Some members of opposition leader Morgan Tsvangirai's party were already
complaining Friday that the compromise didn't do enough to sideline Mugabe.

But David Coltart, an opposition member of parliament, said the agreement
gives Mugabe "greatly reduced powers to those he enjoys today" and while
Tsvangirai will not get "absolute power, he does have substantial power."

Five officials from Tsvangirai's opposition Movement for Democratic Change
spoke to The Associated Press on Friday, on condition of anonymity because
of a media blackout, with two providing details of the deal.

Tsvangirai would be in charge of the country's police, who have terrorized
the opposition. The two opposition officials also said Tsvangirai broke a
deadlock in talks by proposing a new Council of State made up of Mugabe and
two deputies of his ZANU-PF party, and Tsvangirai and two of his deputies.

Tsvangirai will be in charge of the Cabinet, and Mugabe will be in charge of
the council, which will oversee the Cabinet's activities, the officials
said.

But Coltart said Mugabe will preside over the Cabinet, with Tsvangirai as
the vice chairman. He said Tsvangirai will be chairman of the Council of
Ministers, which will supervise the Cabinet. He acknowledged the arrangement
is "slightly cumbersome."

The two officials who spoke on condition of anonymity said Tsvangirai's
party will get the most seats in the Cabinet, 16, one more than Mugabe's
party. But Coltart said the 16 included Tsvangirai's party and a smaller
opposition faction.

One official said the deal includes disbanding the country's feared Central
Intelligence Organization and replacing it with a smaller National Security
Authority.


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A letter from the diaspora

http://www.cathybuckle.com

12th Septemver 2008

Dear Friends.
"We've got a deal"! With those words Morgan Tsvangirai told waiting
journalists at the Rainbow Towers Hotel that the unbelievable had happened;
the long months of agonising on/off indecision were over. There had finally
been a breakthrough. Later at an official press conference Thabo Mbeki
announced, "An agreement has been reached on all items on the agenda. All of
them endorsed the document tonight. I am absolutely certain that the
leadership of Zimbabwe is committed to implementing this agreement." The
formal signing ceremony, attended by regional leaders will take place on
Monday, Mbeki added, but gave no further details.
For Zimbabweans at home the news may well have come too late at night. By
that time they may well have retired to their beds, hungry and without
lights or power to cook their evening meal or listen to their radios and
televisions. Here in the UK diaspora I heard it first on BBC News at Ten
after another day of watching and waiting for hard news. Mugabe had attended
the Chiefs' Ndaba in Bulawayo earlier in the day and had given no indication
that a settlement was anywhere near. On the contrary, he had told the
chiefs, "We have not gone anywhere. We're still stuck at the same point
where those from the MDC want to govern. They want Mugabe to go. Where shall
I go? I can't go anywhere.It is humiliating to be negotiating with a party
sponsored by countries pushing for regime change," It seemed nothing had
changed, the Old Man was just not prepared to budge. Yet there was something
different; after his speech, the traditional leaders had most
uncharacteristically given Mugabe's government a positive tongue-lashing
about the food shortages, the corruption of government ministers and police
involved in food scams. Had the chiefs' words perhaps reminded Mugabe that
he has no money to solve the problem of hunger and food shortages? Could
that be the reason he finally put his name to a document that virtually
entails sharing power with the hated enemy , the man he has done his level
best to destroy? Only a couple of days before Kofi Annan had launched a
scathing attack on the AU, "they should have endorsed the results (of the
March elections) and said to Mugabe; You are not a legally elected
president". With those words ringing in his ears, Mugabe perhaps realised
that the game was almost up. Whatever the reason, he arrived back in Harare,
ninety minutes late apparently, to sign the deal that was to change the
status quo.
No one knows the details of the Agreement yet but we all understand 'the
devil is in the detail'. So many questions spring to mind. How long is the
'Inclusive' government going to last? Are we in for another five years of
Mugabe's presidency? One thing is clear: Mugabe's henchman in the state
media have not come to terms with the new reality. On the very day the deal
was announced the state controlled Herald was still spreading its lies about
Morgan Tsvangirai, claiming that the new Prime Minister was about to appoint
a retired Colonel, one Lionel Dyck (a white man of course) to the post of
Commander of the Zimbabwe National Army; MDC MP's are still incarcerated,
the violence goes on against MDC supporters and Gideon Gono announces the
setting up of licences for one thousand retail and wholesale outlets who
will for the next eighteen months buy and sell in US dollars. No prizes for
guessing who will get these licences; it will be Zanu PF fat cats but for
ordinary Zimbabweans with no access to forex it is a pointless exercise
which will only increase the shortages and extend their suffering. Right up
to the last minute before the deal was announced, Mugabe was busy trying to
ensure that his appointees were in place as Provincial Governors and, if
rumour is to be believed, under the terms of the agreement, Mugabe will be
forced to revise these appointments.
Zimbabweans have three days to ponder the deal and from what I hear no one
is dancing in the streets. What they are all asking themselves is will this
bring an end to our suffering, will this deal bring an improvement in our
lives. And above all, can we trust Mugabe to stick to his word? Will he
really allow Morgan Tsvangirai and his ministers to operate without
interference? 'Sources' tell us Mugabe will continue to chair the cabinet
while Tsvangirai controls a Council of Ministers but what happens when those
two bodies clash? We have to wait until Monday and the formal signing before
we have the answers to these questions - and maybe not even then. Three days
in which the so-called war vets and youth militia may resort to even more
violence against opposition supporters. Will they listen if or when Mugabe
tells them to desist and what of the police and army who, again if rumour is
to be believed, have been promised immunity for their horrendous crimes.
Will they now enforce the law impartially?
It's going to be a very long weekend but despite all our reservations and
whatever the future holds the truth is that Zimbabwe will never be the same
again. Something has changed forever.
Yours in the (continuing) struggle. PH.


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Zimbabwe political deal raises hope for economic outlook for southern Africa

http://www.apanews.net



APA-Harare (Zimbabwe) The political settlement between Zimbabwe's
rival parties has created a heightened sense of hope for an elusive economic
turnaround, with positive spin-offs expected on the wider southern African
regional economy.

The stock markets closed more than 10 percent higher on Friday when
news of a power-sharing deal between President Robert Mugabe and main
opposition leader Morgan Tsvangirai of the Movement for Democratic Change
(MDC) was announced on Thursday.

Stockbrokers said demand for dual-listed stocks such as insurance
giant Old Mutual, cement manufacturing PPC and hotel-to-retail conglomerate
Kingdom Meikles Africa weakened on Friday, pointing to tumbling appetite for
foreign currency-hedged shares.

The fungible nature of the dual-listed stocks had until now made them
a hot favourite with investors who used them to hedge against the weakening
Zimbabwe dollar.

Fungible shares can be traded on more than one stock exchange on which
they are listed.

Old Mutual is listed in about six countries, including at the London
Stock Exchange, while PPC has a dual listing in Harare and Johannesburg.
Kingdom Meikles Africa is listed in London and Harare.

"Prospects of a political settlement have seen investors starting to
offload their holdings in dual-listed stocks in anticipation of an
appreciation of the exchange rate," a Harare-based stockbroker told APA.

The settlement also sent tremors through the illegal foreign currency
market where traders were Saturday keeping a close eye on political
developments.

"We are anxiously awaiting the finer details of the agreement on
Monday and subsequent government action to see which way the wind will be
blowing. As of now, we are trading cautiously," said an illegal foreign
currency dealer at the main international bus stop in Harare.

The Southern African Development Community (SADC) is also expected to
benefit from a stronger Zimbabwean economy, which until its crisis began in
2000 was the region's second largest economy after South Africa.

At the height of its economic heydays, Zimbabwe used to export food
and manufactured goods to the SADC region.

All that changed in the past eight years after the country plunged
into a debilitating economic crisis highlighted by the world's highest
inflation rate of more than 11 million percent, a rapidly contracting Gross
Domestic Product and shortages of foreign currency, food and fuel.

Critics blame the crisis on repression and wrong policies by Mugabe,
in power since Zimbabwe's 1980 independence from Britain. He denies the
charge.

The knock-on effects of the Zimbabwe deal were felt in neighbouring
South Africa where its currency, the rand, recovered two percent Friday
against the US dollar.

A resurgent Zimbabwe is therefore expected to contribute positively to
the attainment of the SADC vision of a harmonized economy, with single-digit
inflation by the end of this year and a common currency by 2018.

JN/daj/APA
2008-09-13


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'Anything's better than what we've got now'

http://www.channel4.com/

Last Modified: 13 Sep 2008
By: Guest blogger

We should have been celebrating a power sharing deal but the passport office
queues were longer than ever, writes Zimbabwe blogger Helen.

The morning after a power sharing deal between the MDC and Zanu PF was
agreed in Harare, one British pound was fetching twenty six thousand
Zimbabwe dollars on the black market.

In reality that British pound should be worth 260 quadrillion Zimbabwe
dollars because 10 zeroes were recently removed from the currency. But those
figures are just too absurd for every day life.

Just a month ago even the least educated people were talking and calculating
in trillions, but we've all very quickly reverted to thinking in hundreds
and thousands again.

In fact it wouldn't be too far from the truth to compare the Zimbabwe dollar
to those sweet sprinklings (hundreds and thousands) used in cake decorating.

There was no sign of jubilation or euphoria on the streets on the day after
the power sharing deal was agreed. In fact the mood was more cautious,
skeptical and not very optimistic that it could work.

There are a lot of questions. Impunity is uppermost: "What about the people
who did all the violence? The burning, rape, looting, torture," one man
said. "Will they just get away with it all?"

Timing is another: "How soon will I be able to afford to buy food again? How
soon before there is any food to buy in the shops again?" a woman asked.

Disbelief in the ability of Zanu PF and MDC to work together is widespread:
"They'll just argue about everything and nothing will improve."

"Anything's better than what we've got now" is the most commonly expressed
sentiment and it is food, money and medicines that dominates every minute of
our lives and our conversations.

We are only allowed to withdraw 500 Zimbabwe dollars a day from the banks
which, at today's exchange rate, is equivalent to just two British pence.

Assuming you can afford to get to the bank, assuming the bank have cash and
assuming you can spare two hours to queue, with Z$500 I can buy four and
half fresh eggs!

This is today's price only, it changes every day. One friend I met told me
excitedly that a new market had opened up selling cracked eggs for 32
dollars each.

"Who cares about germs and salmonella when you're hungry" she said.

A teacher I met told me her pay is presently Z$9000 a month (less than 50
British pence a month) She is an epileptic and her tablets cost Z$22 000 a
month - more than double her entire monthly salary.

She needs three tablets a day but with each single pill costing $244 she can
only get 2 with the maximum withdrawal limit of five hundred dollars.

These are the daily issues that Zimbabweans need resolved right now and on
the day when we should have been celebrating a power sharing deal, the
queues outside the passport office were longer than ever.


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Q&A: Zimbabwean Women Have Had ''More'' Trauma After Independence

http://www.ipsnews.net/news.asp?idnews=43860

Interview with Women of Zimbabwe Arise (WOZA) National Coordinator Jenni
Williams

CAPE TOWN, Sep 13 (IPS) - Zimbabwean women have experienced higher levels of
trauma, including violence and lack of food, after the country's
independence from Britain in 1980 than before.

This is one of the findings of a study conducted by the civic movement Women
of Zimbabwe Arise (WOZA) on trauma in the collapsing southern African state.

The study reveals the complexities of the emergency caused by the political
and economic crisis. Trauma has not only been inflicted through direct
violence (beatings, torture and rape) but by food deprivation and a lack of
access to medical treatment and shelter.

State violence, economic decline and the destruction of social capital have
had severe consequences for women.

According to the report, most women interviewed experienced more incidences
of trauma after the country's independence from Britain in 1980 than before
independence.

Of the 1,983 WOZA members interviewed, 14 percent experienced a lack of food
in 1979, compared to a staggering 66 percent between 1980 and 1999. While
nine percent did not have access to medical treatment in 1979, this figure
shot up to 24 percent between 1980 and 1999. Similarly, while six percent
did not have access to shelter in 1979, 12 percent reported a lack of
shelter between 1980 and 1999.

From 2000 the incidences of ''experienced trauma'' were annually higher than
incidences of ''witnessed trauma''. Children, who are often in the presence
of their mothers during these incidents, are equally victimised. Stephanie
Nieuwoudt spoke to Jenni Williams, national coordinator and one of the
founders of WOZA. WOZA is the Ndebele word for ''come forward''.

IPS: How do women survive financially in a country where the price of a loaf
of bread is millions of Zimbabwean dollars?

Jenni Williams: That is the trillion dollar question. The answer is that we
simply do not know how it is done. In Zimbabwe, it is a huge achievement if
one manages to send your children to bed at night with one meal in their
bellies.

I was at a conference in South Africa where I ate three meals a day at the
hotel where I was staying. I felt sick. My system could not handle three
meals a day. Zimbabweans do not eat that much any more. The meals we have
are substandard.

Yet women survive. They are scavenging all the time. The informal trade is
still very much alive. A woman will, from somewhere, find a few vegetables
to sell at the side of the road and when they are gone she will look
everywhere to find more to sell.

Some people go shopping in neighbouring countries and bring back goods to
sell in Zimbabwe or they look for piece work. They survive from day to day.

The efforts by (Zimbabwean president) Robert Mugabe to criminalise informal
trade have to stop because it is an important part of the economy. For
thousands of people in Zimbabwe it is the only way they can survive.

It is mostly women who are involved in informal trade. They are the ones who
support their families financially. The irony is that many of the top brass
in Zimbabwe who support the actions against illegal traders probably come
from homes where their mothers were informal traders.

Women are still the backbone of rural agriculture, but they are mostly
forced to hand over their crops to the army.

Zimbabwe has great agricultural potential. It was one of the most important
agricultural countries in Africa. It is an agricultural giant which has been
forced into unconsciousness. If women and other farmers can be supported
with inputs -- seeds, fertiliser and so forth -- there can be a quick
recovery.

The people in Zimbabwe are ill. Their health is jeopardised by eating
irregularly and when they do eat, it is substandard produce. Many are HIV
positive and suffer from opportunistic HIV-related illnesses. But there are
too few people to care for the sick.

Many doctors and other healthcare workers have left the country. There is no
medicine. It is even difficult to find a headache tablet. The hospitals are
like ghost towns.

Zimbabwe was one of the most educated nations in Africa. Robert Mugabe
promised free primary education but the education system is in shambles.

Stress, trauma and illness are killing people. The life expectancy of a
woman is 34 and that of a man 37. I am 46 and there are not many people of
my age around.

IPS: What has been the most surprising finding of the research WOZA did on
the trauma suffered by Zimbabwean women?

Jenni Williams: On average we found that violence increased more than three
times since 2000. People suffered an average of more than 16 events of
trauma since 2000, compared to 2.9 in 1979 and 5.8 from 1980 to 1999.

The increase seems improbable when one remembers that the 1970s was a time
of open struggle. Yet the figures prove that the increase since 2000 was
dramatic. This is under the rule of a man who was once regarded as a
liberation war hero. History will judge Robert Mugabe harshly for this.

It is also surprising that when women do get counselling, they prefer to
discuss issues of displacement rather than their experiences of violence and
torture.

IPS: The report focused to a large extent on trauma suffered by women in
Matabeleland, in the south of the country. Why?

Jenni Williams: My generation suffered under ''Gukurahundi'' - the 1980s
conflict between government forces and opposition movements in Matabeleland.
Over 10,000 Ndebeles in this region were executed by government forces. In
one case 55 men and women were shot and killed in one day.

People were burnt alive in their huts or executed publicly. They were
suspected of being members of the opposition party Zimbabwe African People's
Union (ZAPU). These people suffered a lot of trauma.

There is huge support for the opposition party, the Movement for Democratic
Change, in Matabeleland. The people are ready to be mobilised.

IPS: The members of WOZA are often beaten and thrown into jail. You were
arrested in March this year and a court case is still ongoing. In August you
were arrested again but released after being severely beaten.

Jenni Williams: WOZA has more than 60,000 members. It is a mass-based
organisation. But members know when they sign up that they run a risk of
being arrested and beaten.

We have workshops training people on how to cope with reprisals. The members
are totally committed even though they know of the high risk.

Nine of our members were arrested in August on the charge of malicious
damage to property after they wrote our WOZA slogan, ''Woza Moya'' (come
healing spirit) on a road in Bulawayo.

I was arrested along with 13 others in May when we protested against the
election violence in Zimbabwe. I was kept in prison for six weeks on the
charge that I would mobilise a Kenya-style uprising against the government
during the run-off election.

I was freed after (Movement for Democratic Change leader) Morgan Tsvangirai
withdrew from the run-offs. This case is still pending.

Ironically we view police stations as the final place to get a particular
message across. When we are imprisoned and it becomes news, we know the
message has hit home - people from around the world take notice of what is
happening in Zimbabwe.

We often do not get arrested because the police officers are the sons of
members. They know that we are a community-based movement who address issues
which are Zimbabwe's issues and not just women's issues.

However, even though some police officers understand what we do, the police
remain the main perpetrators of violence against us. When they arrest us, we
focus on telling them that we are fighting for a better Zimbabwe with social
justice for us and them. WOZA has a history of six years of non-violent
protest.

The people of Zimbabwe live in fear all the time, regardless of who they
are. There is a deep awareness that one can be arrested at any moment and
tortured and killed. Our study revealed that repeated exposure to trauma has
a cumulative effect. Some 53 percent of the women who were surveyed had
scores indicative of a psychological disorder.

WOZA is investigating models of peace and reconciliation in Rwanda and South
Africa. Can one really start thinking about healing while Robert Mugabe is
still in power?

It is of the utmost importance that the people of Zimbabwe are healed. If
healing does not take place, we will continue to have a violent society. In
South Africa we are looking at what the Truth and Reconciliation Commissions
achieved and in Rwanda we are looking at the Gacaca courts.

WOZA was founded because of the oppressive regime of Mugabe and, in spite of
him, it grew into a massive organisation. We need a structure to promote the
agenda of healing. In the meantime we have ways and means of accessing
people and helping them on a one-to-one basis.

In the long term we hope to engage the security forces as well. We need some
form of reconciliation with the same people who are responsible for the
trauma and atrocities.

By openly writing peace slogans like ''Woza Moya'' on the streets and
marching against oppression, we show the next generation that one can fight
in a non-violent way against a terrible situation.


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Zimbabwe workers' federation demands wages in foreign currency

http://www.apanews.net



APA-Harare (Zimbabwe) Zimbabwe's largest trade union federation said
Saturday that its members would from now on demand salaries in foreign
currency following this week's central bank decision to legalise use of hard
currencies in shops, APA learns here.

The Reserve Bank of Zimbabwe (RBZ) announced Wednesday that it would
license shops to sell goods in foreign currency to help ease shortages of
goods and local banknotes.

RBZ governor Gideon Gono said some 1,000 retailers and 200 wholesalers
would be allowed to sell goods in US dollars, South African rands and the
British pound sterling while motorists could also buy fuel in foreign
currency.

Zimbabwe Congress of Trade Unions (ZCTU) president Lovemore Matombo
criticised the move Saturday, saying it reflected a failure of government
policies.

He said the ZCTU had advised all trade unionists affiliated to it to
negotiate in foreign exchange (forex) to protect their members against the
latest central bank move.

"This is the only way workers would be able to buy from the shops that
sell goods in forex," Matombo said in a statement.

Gono's new measure would adversely affect most Zimbabwean workers who
earn their wages in local currency.

The average wage of a Zimbabwean worker is about 5,000 Zimbabwe
dollars, equivalent to about $100 at the official exchange rate or just $10
at the more realistic parallel market rate.

Observers say Gono is caught between a rock and a hard place after
German suppliers of paper to print banknotes cancelled a contract to supply
the Zimbabwean central bank in July.

The pullout by the German supplier meant that the central bank chief
was left with no option but to allow the use of foreign currency in local
shops while a more permanent solution was being sought.

Local banknotes are in short supply, with depositors only allowed to
withdraw 500 Zimdollars daily which is enough for a one-way fare on public
transport.

Transport operators charge between 300 and 400 Zimdollars a trip,
which means commuters need at least 600 Zimdollars to travel to and from
home per day.

JN/daj/APA
2008-09-13


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UZ Student Leader Suspended

http://www.radiovop.com

Harare - THE University of Zimbabwe (UZ) has suspended yet another
student leader for challenging authorities at the country's premier
institution of higher learning over deteriorating standards.

Shadreck Vengesai, who was studying for a degree in War Studies, was
on Friday served with a letter of suspension barring him from the
institution for the next two years. The letter, dated September 3 but handed
to Vengesai a week later, said the student leader had attempted to incite
other students to engage in violence, in breach of University ordinances.

Vengesai is among student leaders who have been very vocal against the
delayed opening for the first semester of the 2008/2009 academic year, to
later this month.

"The student activist was being charged on allegations of breaching
Section 3.1.4 of Ordinance 30 which provides that no student shall engage in
any conduct whether on or off campus which is or reasonably likely to be
harmful to the interests of the University, members of the University staff
or students," reads a statement from the Students Solidarity Trusts, which
is assisting Vengesai and other expelled or suspended students.

The letter, signed by the UZ registrar Mr. S.M Chevo said "on or about
5 September 2007,during the orientation week, you unlawfully and wrongfully
addressed students at the Great Hall Foyer, wore a ZINASU T-Shirt which bore
a message which was intended to incite other students to engage in violence
and resisted lawful arrest."

Vengesai becomes the third student to be suspended from the UZ of
late, joining Shawn Matsheza and Caesar Sitiya.


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Panic Grips Foreign Currency Parallel Market



The Herald (Harare)  Published by the government of Zimbabwe

13 September 2008
Posted to the web 13 September 2008

Harare

THE days for illegal foreign currency dealers are numbered following the
signing of a power-sharing agreement between Zimbabwe's main political
parties and the impending introduction of foreign currency shops,
developments that have already begun to weigh down on activities on the
parallel markets.

As of yesterday, rates, which looked set to breach the $1 000 per US dollar
mark by this weekend, began to tumble to around $400 from $500. The Reserve
Bank of Zimbabwe predicts that the parallel market will almost be
non-existent within the next three to six months.

An atmosphere of panic has already engulfed that market ahead of the
official signing of the power deal scheduled for Monday, while the
announcements of the introduction of legal foreign currency shops and fuel
purchases had already begun to flash the red light for dealers.

On Wednesday, RBZ Governor Dr Gideon Gono announced measures that would
result in the licensing of at least 1 000 retail shops and 250 wholesalers
to sell goods in foreign currency while service stations and oil companies
would also be granted special licences to sell fuel in foreign currency, a
move that would disarm any clandestine and underground activities in this
regard.

On the political front, President Mugabe and the two MDC formation leaders
Morgan Tsvangirai and Arthur Mutambara finally agreed on a power-sharing
arrangement that will be formally sealed on Monday.

Analysts said these developments spelt doom for parallel market activities
and other clandestine deals in fuel and other such that had turned many into
millionaires overnight, building mansions, driving fancy cars and wearing
designer clothes at a time when most ordinary Zimbabweans could hardly
afford a decent meal.

"When one looks at these winds of progressive change all blowing at the same
time, they present a phenomenal platform of opportunities for the Zimbabwean
economy to stabilise and take off within three to six months," said a
prominent economic commentator.

"The inevitable outcome, therefore, is that those who hitherto were
profiteering from artificial briefcase enterprises will soon find their
empires crumbling as surely there will be no need and no room for arbitrage
and rent-seeking behaviour. The parallel market rates, particularly those
via the

RTGS (Real Time Gross Settlement System) transfers are seen crumbling by no
less than 80 percent and in the process burning fingers of those who had
wrongly positioned themselves thinking that Zimbabwe was going to collapse
into extinction," he stressed.

A comment on the impact of the measures announced on Wednesday would have on
the illegal foreign currency activities could not be obtained from Dr Gono,
who was said to be out of office on business.

However, his advisor, Dr Munyaradzi Kereke, said the recent developments
were bound to witness an economic rebound.

"We are very excited that as was naturally expected, Zimbabweans are once
again working together to resolve the challenges the common men and women in
the streets are facing.

"Our own estimates are that within the next three to six months the parallel
market and the hyperinflationary impulses in the markets will surely be a
thing of the past, given that our industrialists now have direct access to
foreign currency under the measures announced by the governor," said Dr
Kereke.

The parallel market had largely been driven by almost a decade of lack of
balance of payment support which, to market watchers, was a clear signal
that the local currency would completely collapse, feeding into the
pessimism that had been engendered into the economy.

Furthermore, the anticipated degeneration of the political environment into
bloodshed by the international community, the general public, business and
other stakeholders was driving the parallel market as many sought to "make
hay while the sun shines".

The official signing ceremony on Monday is largely expected to be
accompanied by an economic rescue package that could see significant amounts
of foreign currency flowing into the economy.

This would further subdue the parallel market as the factors of supply and
demand come into play.

The African Development Bank and the general donor community are said to be
bringing on board rescue packages to support ongoing initiatives.

Futhermore, with South African President Thabo Mbeki having steadfastly
co-ordinated the political settlement against all odds in what was termed "a
mission impossible, the latest developments give him higher moral ground on
the back of which SA, as Zimbabwe's largest trading partner, may consider a
win-win helping hand.

An analysis of Zimbabwe's trade basket shows that at least 50 percent of
this country's strategic imports come from South Africa, which would amount
to at least US$1 bullion annually.

"South Africa's extension of a helping hand to Zimbabwe is, therefore, far
from being a political gesture but a prudent decision on a win-win basis."

Between 2006 and 2007 negotiations between Zimbabwe and South Africa for the
latter to extend financial assistance were adjourned at an advanced stage.

In the meantime, the 15 percent of earnings expected to be remitted to the
central bank under the foreign exchange shops system is expected to bridge
the funding gap that had been worsening on a daily basis.

If these funds were allocated to quick-win sectors such as electricity
importation, strategic fuel purchases and medical drugs, the economy would
benefit immensely.

The foreign currency bond which has also been opened to the Diaspora will
also present a direct source of revenue while also rekindling the country as
a good destination for capital market investments.

Other commentators were also upbeat about Zimbabwe's future.

"Hopes are now that the economy will be formalised," said an economist with
a local bank.

Another economist, Emmanuel Chinyaukira, said all efforts should be
accompanied by policies targeted at stemming corrupt tendencies within the
economy.

"The black market is being driven by corrupt people who are in the system
and as such they are always ahead of time, for instance while most people
are crying foul over withdrawal limits dealers are actually having access to
huge sums of money," he said.

Takawira Magombedze, another economist, also echoed the same sentiments
saying a political settlement will usher in the conducive environment for
economic turnaround which would, in turn, promote economic growth that would
kill black market activities.


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'Bacossi' - Dealers' Source of a Quick Buck



The Herald (Harare)  Published by the government of Zimbabwe

13 September 2008
Posted to the web 13 September 2008

Lawrence Moyo
Harare

THE indexing of prices of goods and services to the transfer US dollar rate
has resulted in the costs of inflation being heavily borne by the
ordinary/poor people who have no access to foreign currency.

The withdrawal limit is still pegged at $500 and time lost at the bank
queues amounts to nothing, as that amount will not even buy even those
goods, which supermarkets are giving out as cash only products.

For instance a leading retail chain was selling a 2kg packet of sugar for
$800 in the city centre on Thursday and it was strictly cash.

With transport costs rising frequently, $500 is no longer meeting one's
transport costs per day while there are many other challenges in which one
would need cash.

The current status quo has in turn reduced the monetary authorities' control
over domestic liquidity by increasing the component over which little direct
influence can be exerted even though arrests of the Internet forex dealers
were made last week.

Over the past month, people -- mainly foreign currency dealers -- have moved
goods through electronic payments and have sold them at half or a third of
the price in order to raise cash.

Goods (nicknamed Bacossi) such as airtime (recharge cards), drinks, ice
cream and mahewu are being sold at giveaway cash prices with the cash being
used to buy more forex.

A $50 Buddie card -- bought using RTGS or bank cheques -- is sold at a
"Bacossi" price of between $25 and $40 so that the vendor or agent gets as
much cash as possible at the shortest possible period.

Econet Wireless' corporate communications manager, Ranga Mberi, said this
week that they are still accepting RTGS and cheque payments for bulk
recharge cards from dealers.

There had been a rumour that Econet were among a number of companies ordered
to stop accepting RTGS and cheque payments in a move aimed at stopping the
fuelling of the black market.

"Econet continues to accept RTGS and or Cheques from our dealers as a mode
of payment for bulk airtime purchases.

"Cash or POS air time purchases are for single unit recharge cards to the
end user who can make a purchase from any of our Econet Service Centres,"
explained Mberi.

'Bacossi' products are by far the fastest moving cash commodities at the
moment and the cash is in turn used to buy foreign currency on the black
market.

Over the last two weeks, cars loaded with "Bacossi" ice cream would be
parked outside Sports Diner in the city -between 5pm and 7pm- with a 2-litre
container selling for as little as $500.

Within minutes the "load" would be finished and the dealers would be loaded
with cash.

How it works:

One sells (kupisa) US$200 at a transfer rate of $20 000 and purchases
recharge cards with a face value of $4 million using either cheque or RTGS.

The recharge cards are then sold at between 60-80 percent of the face value
as "Bacossi" and this will fetch between $2,4 -- $3,2million in instant
cash.

This cash goes to the black market where (at a cash rate of US$1 =Z$500) it
will fetch between US$4 800 and US$6 400.

This amounts to an incredible profit of between US$4 600 and US$6 200 on an
investment of just US$200.

While life is rosy for those with foreign currency, the use of transfer
rates have left goods in shops very expensive (or even unaffordable) at most
supermarkets.

For instance, a kilogram of commercial beef is selling at between $60
000-$150 000 in most supermarkets for cheques or swipe while the cash rate
is $1500-$2400.

What this means is that they are using the transfer rate for customers using
credit cards or cheques.

It was even worse at a local sports bar along Samora Machel in the city,
which was demanding 40 times the cash price for those customers using
cheques last weekend.

For instance, a pint was costing $2 000 cash but one had to pay $80 000 when
using a cheque.

Innscor's fast food outlets are also using a dual pricing system where the
cash rate is a quarter of the value of the swipe price.

Yet even $5 000 for a two piece meal -- which used to be a basic meal
afforded by everyone on a daily basis -- is still expensive given that last
month the minimum wage for most workers was still below $10 000.

This is wiping out the middle class while the poorer have gone from bad to
worse as inflation has disproportionately affected those with modest
incomes.

Even on a more practical level the ordinary people lacking any real assets
have only their labour to offer, of which the level of wage increases has
lagged behind the rate or price increases.

On Wednesday, Reserve Bank of Zimbabwe chief -- Dr Gideon Gono -- announced
that he would license at least 1 000 retailers and 250 wholesalers to sell
their wares in foreign currency if INDEED such goods were imported.

Excluded from the list of such wares are basics like mealie-meal, cooking
oil, milk, sugar and medicine.

While this is a good move when everything is done lawfully, there are
genuine fears that this will trigger further increases in pricing.

Those without licences to sell goods in foreign currency are likely to index
their goods to the prevailing "transfer" rate. For instance if a product
sells for US$5 at a retailer licensed to sell in forex, a rival unlicensed
retailer is not going to use the inter-bank rate for such a product, instead
they will use the going transfer rate.

The excuse will be that they are cushioning themselves against inflation and
keeping themselves in touch with those licensed to sell in forex.

There are also fears that Zimbabwean traders are so fond of hiking prices
that they will be doing the same to the US$ commodities even when the
greenback is a stable currency.


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No 'exclusive' work permits for Zimbabweans in the UK

http://www.nehandaradio.com

13 September 2008

The Home Office has denied reports that it is considering exclusive
applications for work permits from Zimbabwean asylum-seekers.

The statement follows the publication of a article by an online publication
suggesting that the Home Office had made a special case of Zimbabwean
asylum-seekers seeking work permits.

Ever since, the Home Office says it has received hundreds of work permit
applications from Zimbabwean asylum-seekers.Most asylum-seekers in the
United Kingdom are not allowed to work unless granted special permission for
a limited period.

The Immigration Law Practitioners' Association (ILPA), a professional
association of lawyers, also told HAT News that the Home Office had informed
them that reports about preferential permission for Zimbabweans to work were
'incorrect.'

Two weeks ago, an article appeared on a popular Zimbabwean website
suggesting that asylum-seekers from Zimbabwe would enjoy exclusive
consideration for work permits.
The article was written by a private solicitor and columnist for the online
publication. It gave an address and fax number to which applications for
such permits should be sent.

Information appeared to have initially circulated through emails before
finding itself into the public domain. One such email from a solicitor with
the Refugee Legal Centre said: "A Zimbabwe client called me this morning to
tell me that her friend had given her a phone number to call and apply to HO
for permission to work.

"I called the number on her behalf and spoke to a woman from the CEBU team,
BIA, who told me that the Home Office are considering applications for
permission to work from any Zimbabwe national with an outstanding asylum
claim.

"The person has to fax CEBU , BIA - 0151 237 6391 with: name, address, HO
Ref number, person's signature and the following sentence 'I would like to
know if I can have permission to work'.

"If the case is straightforward, the CEBU team will deal with it, and if it's
more complicated, then it will be passed onto a Legacy Team."

Soon after, the online article appeared, triggering an instant flood of
applications from desperate Zimbabweans to the Home Office.

However, an official with the Home Office said while they considered work
permit requests from asylum-seekers, no special dispensation had been
granted to Zimbabweans.

He also said that fax number quoted in the article was for the wrong
department at the Home Office. As a result, the hundreds of fax applications
had to re-directed to the appropriate section.

He said the Home Office position on work applications from asylum-seekers,
including Zimbabweans, had not changed.

"The correct procedure is as follows: If the applicant has an allocated
caseworker, they should contact them directly if not they should write to
UKBA, Asylum Casework Directorate, Lunar House, Croydon , CR9 2BY or fax
0208 196 3248."

ILPA also said it had confirmed that Zimbabweans were not being granted any
exclusive treatment. Alison Harvey the General Secretary of ILPA said: "We
have raised this issue with the people in charge of implementing the policy
at a stakeholders' meeting on the 9th of September 2008 and sent them an
e-mail on the 10th and the Home Office maintains that there is no change in
policy pertaining Zimbabwean asylum seekers' application for permission to
work"

Thousands of Zimbabwean asylum-seekers across the UK - fleeing persecution
and grinding poverty under President Robert Mugabe's regime - either receive
minimal state support or have fallen into destitution.

Advocacy groups have been pressing the UK government for asylum-seekers to
be granted permission to work.

However the political climate in Zimbabwe has taken another turn after
Opposition leader Morgan Tsvangirai, the head of the opposition party the
Movement for Democratic Change, and President Robert Mugabe agreed on a
power-sharing deal brokered by South African President Thabo Mbeki last
Thursday. It remains to be known what position the UK Border Agency will
take regarding the issue of Zimbabwean asylum seekers.

The British Prime Minister Gordon Brown in July 2008 made an announcement
freezing the removal of failed Zimbabwean asylum seekers from UK. He told
MPs that while officials continued to deal with the issue on a case-by-case
basis, no returns were currently taking place.

"No one is being forced to return to Zimbabwe from the United Kingdom at
this time," he said then. -Hat News.


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Mbeki faces pressure to resign


http://www.thezimbabwetimes.com/?p=4058#more-4058

September 13, 2008

JOHANNESBURG (BBC) - South Africa's President Thabo Mbeki has come under
renewed pressure to resign after a High Court judgement.

It has been suggested he used his political influence to prosecute his rival
Jacob Zuma.

Mr Zuma was fighting corruption charges in the High Court, but on Friday
Judge Chris Nicholson dismissed the charges on technical grounds.

The court ruled that there was evidence that the investigation had been
politically compromised.

Even within his own party, Thabo Mbeki is recognised as a lame duck
president.

With less than a year to go before his term expires, he is now facing calls
louder than ever to quit the national leadership.

The latest demands come from the more militant wing of the ruling African
National Congress, which supports the party's leader, Jacob Zuma.

On Friday a High Court judge dismissed corruption charges against Mr Zuma,
saying there was evidence of political interference in the investigation.

The judgement appears to vindicate Mr Zuma's supporters who have always
claimed he was the victim of a political conspiracy led by Thabo Mbeki, who
should now resign.

The judgement also appears to clear the way for Mr Zuma to become the ANC's
candidate to succeed Mr Mbeki.

Now Jacob Zuma's supporters say it is time for the president to go or be
forced from office.

But that would trigger early elections and senior ANC officials admit they
are not as popular as they once were.

There is no suggestion that the ANC could lose the elections, but for a
party used to near total dominance of government, any back-sliding in
support would be politically damaging.

The calls for Mr Mbeki's departure will not go away, but political analysts
believe the ANC is simply not ready for early elections.

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