The ZIMBABWE Situation
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Reserve Bank Of Zimbabwe Reckons 2007 Inflation Totaled 24,000%

VOA

26 December 2007

The Reserve Bank of Zimbabwe has estimated that inflation over the past 12
months has totaled 24,000%, compared with its last estimated of 14,000% in
October, this in a circular sent to financial institutions to help them
close their 2007 books.

Zimbabwe's Central Statistical Office stopped providing data on inflation in
September saying it could not find prices for key goods because they were
not on store shelves. But the Reserve bank came up with the estimate for the
use of financial institutions and publicly trade companies in drawing up
their financial accounts for the year.

A memo leaked from the central bank told institutions and companies that
"you are hereby advised to use the 24,059 percent year-on-year inflation
figure for November in the compilation of financial results for the period
ending December 2007."

Recent estimates of Zimbabwean inflation by independent economists have
tended to run quite a bit higher, ranging from 50,000% to 100,000%.

Economist Prosper Chitambara told reporter Blessing Zulu of VOA’s Studio 7
for Zimbabwe that the central bank estimate of 24,000% is "conservative."

But economist Eric Bloch, who has been a consultant to the central bank,
said he reckons the 12-month inflation rate to be around 25,000%.

An IMF official recently said Zimbabwe was heading down the same path as
Weimar Germany, though if the more pessimistic current estimates are
correct, the country has already exceeded the Weimar peak of 32,400%
attained in 1923. However, it has a ways yet to go to match Yugoslavia's
1994 rate of 313 million percent (both figures cited by monetary expert
Steve Hanke in Forbes in June 2007).


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Boxing Day Brings Little Relief For Zimbabweans Caught In Cash Squeeze

VOA

By Patience Rusere
Washington
26 December 2007

The cash crisis in Zimbabwe continued on Tuesday as most banks again defied
the Reserve Bank of Zimbabwe by keeping their doors closed on Boxing day as
they did on Christmas, leaving automated tellers to dispense bills to
desperate consumers.

ZimBank and CABS building society were among the few banks open in Harare,
while sources in Bulawayo said Stanbic had just one ATM operating. Business
sources said banks remained closed on Christmas because they had no cash to
dispense.

There were conflicting reports as to how much the bank teller machines were
allowing consumers to withdraw; some said Z$5 million, others said up to
Z$20 million.

Reserve Bank Governor Gideon Gono announced Dec. 19 the issue of a new
family of bearer cheques - central bank promissory notes - in denominations
of Z$250,000, Z$500,000 and Z$750,000 to relieve chronic and worsening cash
shortages.

But the new notes did not appear until Dec. 21 and reports said banks
complained they had not received enough new notes to meet demand, and were
obliged to maintain limits on how much consumers and business could
withdraw.

Some economists said the central bank should have issued larger
denominations, at a minimum a note for Z$1 million, enough to buy a loaf of
bread. Others say the central bank does not understand or is unwilling to
recognize most economic activity is now taking place outside the official
financial system, thus the bank cash shortage.

RBZ Governor Gono has taken aim at what he calls the "cash barons" of the
parallel currency and goods markets who he says are hoarding cash. In an
effort to penalize black market dealers he has set a Dec. 31 deadline for
Zimbabweans to turn in all Z$200,000 notes, until last week the largest
denomination in circulation.

Gono has dubbed this "Operation Sunrise II," following his "Operation
Sunrise" of mid-2006 in which many Zimbabweans suffered severe financial
losses in the obligatory exchange of notes, at times through confiscation by
police and other agents.


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Zimbabwe central bank to pay for tip-offs on cash barons

Zim Online

by Thulani Munda  Tuesday 25 December 2007

HARARE – Zimbabwe’s central bank has offered to reward whistleblowers for
information that could lead to the arrest of illegal cash barons and retail
operators charging premiums on customers wishing to pay by cheque.

The Reserve Bank of Zimbabwe (RBZ), which has accused top officials of
President Robert Mugabe’s ruling ZANU PF party and government of hoarding
cash, did not say how much informers would be paid.

The latest offer to informants comes in the wake of cash shortages that have
hit the country despite the RBZ printing new higher denominated banknotes
and banks remaining open over last weekend.

"The Reserve Bank of Zimbabwe is calling on all patriotic Zimbabweans who
have been made to pay a premium by retailers and other cash barons for
encashing cheques or for Real Time Gross Settlement(RTGS) transfers to bring
forward such information to the whistleblower center," the RBZ said on
Monday.

"The Reserve Bank undertakes to refund the innocent victims the premium
charged under such transactions upon submission of acceptable evidence and
successful conviction of the offender."

The RBZ, which said it was working with the state Anti-Corruption
Commission, the national tax agency and law enforcement agencies to
crackdown on cash barons, said whistleblowers should submit information to
the bank by the end of day on January 21.

The latest appeal by the central bank comes in the wake of the arrest of a
Harare woman found in possession of Z$10 billion of the new notes, barely
four days after they were distributed.

RBZ governor Gideon Gono, who urged Zimbabweans to unite in the war against
cash barons, also said banks would remain open over the Christmas and Boxing
days to dispense cash to clients in an attempt to end shortages.

Zimbabwe is in the grip of a debilitating political and economic crisis that
is marked by hyperinflation, a rapidly contracting GDP, the fastest for a
country not at war according to the World Bank and shortages of foreign
currency, food and fuel.

The southern African nation has in recent months faced an acute shortage of
its own currency, forcing Gono to intervene by introducing higher
denominated notes with the highest for Z$750 000.

However, economic analysts say changing Zimbabwe’s currency without fixing
the root causes of the country’s unprecedented economic meltdown would do
little to stabilise a Zimbabwe dollar that continues shedding value faster
than any other currency in the world. - ZimOnline


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Anglican Church Congregations In Zimbabwe Roiled By Doctrine And Politics

VOA

By Carole Gombakomba
Washington
26 December 2007

Anglican parishioners in Marlborough, Harare, had to abandon their Christmas
church service on Tuesday when a row erupted between supporters of the
former bishop of Harare diocese, Nolbert Kunonga. and its interim head,
Bishop Sebastian Bakare.

Eyewitnesses said a priest suspected of being an agent of the government's
Central Intelligence Organization beat up a parishioner who was praying for
the well-being of Bishop Bakare, and the service was abandoned after police
were called in.

Some congregation members said they have resolved to stop collecting
offerings.

The Borrowdale, Harare, Anglican church was also said to have been in an
uproar on Sunday when the head of the parish barred Bishop Bakare from
leading mass, resulting in intervention by the police..

Kunonga, considered close to the ruling ZANU-PF party, is under pressure to
give up possession of Harare diocese assets following his withdrawal of the
diocese from the Province of Central Africa over the question of the
ordination of homosexual priests and homosexuality in general which has
rocked Anglicanism worldwide.

Anglican Church member John Masuku told reporter Carole Gombakomba of VOA's
Studio 7 for Zimbabwe that parishioners of Saint Peter’s Church in
Mabelreign walked out of church Tuesday as the Kunonga controversy flared in
that congregation.


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Zimbabwe Civil Servants Seek To Affiliate With Country's Main Union

VOA

By Jonga Kandemiiri
Washington
26 December 2007

Zimbabwe's Public Service Association, which represents the country's
non-teacher public employees, has informed the Zimbabwe Congress of Trade
Unions that it wants to become an affiliate of the country's main labor
confederation.

Labor sources said the PSA communicated its intentions to the Zimbabwe
Teachers Association and the Progressive Teachers Union of Zimbabwe, fellow
members on the APEX Council which negotiates with the government on behalf
of civil servants.

VOA could not reach senior PSA or ZCTU officials to directly confirm the
move.

Labor expert and consultant Davies Ndumiso Sibanda told reporter Jonga
Kandemiiri of VOA's Studio 7 for Zimbabwe that although the PSA enjoys
freedom of association in theory, the government could potentially block the
move as some members of the army and the police could not belong to a ZCTU
affiliate for security reasons.


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Zimbabwe's ills

International Herald Tribune

Letter

It would appear the very same blind faith in fellow corrupt African leaders
that is so prevalent among African heads of state has afflicted Abdoulaye
Wade, the president of Senegal ("Sanctions are not helpful," Views, Dec 22).

The sanctions against Zimbabwe that he calls to be lifted are not economic
sanctions. They are targeted sanctions against overseas travel of Robert
Mugabe and his corrupt cronies and the sale or export of military hardware,
spares or training. How can such sanctions possibly harm the country's
economy?

Wade laughably suggests an empowering of African nations to "deal" with the
Mugabe issue. While thousands of Zimbabweans (I am a former resident) have
been starved or murdered by the Mugabe regime, African leaders have stood
united behind Mugabe.

Until African leaders can show that they can criticize one of their own
instead of blaming the West for Africa's ills, I am afraid the continent
will continue down this road to ruin.

D. Turner, Colchester, England


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Why England must say no to Zimbabwe tour

The Telegraph

By Kate Hoey, former sports minister
Last Updated: 8:49pm GMT 25/12/2007

The period between Christmas and New Year is when most of us will reflect on
the past 12 months before turning our attention to 2008. For me one of the
joys of writing for the sports pages of The Daily Telegraph is the feedback
I get from you, the readers.

It is totally unlike the kind of response politicians generally receive from
the public. Instead of one line emails, or a two-sentence letter of abuse,
my correspondents have written in long hand and with perfect spelling and
punctuation. It is clear that they have properly read what I have written
and in the most polite way possible will chastise me if I have got the
slightest fact wrong.

Telegraph readers are hugely knowledgeable about sport and show a keen
interest in those minority sports which struggle for media coverage.
Whenever I have written about pistol shooting, for example, I am amazed at
the volume of mail I receive. So it was good news that the campaign to allow
our Olympic pistol shooters access to training in the UK has finally been
accepted by the Government. Although the details of the Ministry of Defence
establishments to be used have not yet been finalised nor the number of
athletes to be granted exemption decided, it is still a chink in that unfair
legislation which destroyed the sport of thousands and yet made not a single
person safer in the UK.

A theme running through the correspondence I received during the year was
that of bureaucracy. Much of it concerned government quangos like UK Sport
and Sport England, but governing bodies also came in for criticism.
Following on from a column I did on the state of athletics and the
overstaffing of the governing body, UK Athletics, I was inundated with
examples from the grassroots of the hoops that many of the smaller clubs had
to go through to get even a small amount of money.

UK Athletics became very defensive and accused me of exaggeration. However,
not long afterwards, Niels de Vos, their chief executive, announced that a
third of the staff at the Solihull headquarters would be going. He said that
he had been concerned at the sheer scale of the UK Athletics operation and
added that "we simply cannot justify the current levels of HQ expenditure
given UKA's primary purpose as a strategic body". Hopefully this means the
'top down' approach which was so denigrated by the clubs will be abandoned
as well as an end to the 'consultant appointments' syndrome so loved by
quangos.

Another U-turn will be of interest to all of the correspondents about drugs
and sport. At last UK Sport and the Government have recognised that they
were wrong in their opposition to those of us who have called for years for
an independent statutory anti-doping agency to be created. The conflicts of
interest for UK Sport of being both a lottery distributor and a drug-testing
agency were just irreconcilable. Back in 2001, one of the last things I did
as sports minister was to agree that we needed this independent unit. Sadly,
my replacement disagreed. It is encouraging to know that six years on, the
present sports minister, Gerry Sutcliffe, has backed this common-sense move.

Of all the issues I have written about in 2007 the question of cricket and
Zimbabwe elicited the most responses from you. This controversy has not been
resolved and will loom over the England and Wales Cricket Board throughout
the coming year. The news that the ECB's new chairman, Giles Clarke, met
recently with Peter Chingoka, the chairman of Zimbabwe Cricket, in
Johannesburg was not something announced to the press by the ECB.
It was only because of reports in a Zimbabwean newspaper, followed by
Cricinfo reporting the story, that we discovered that Clarke had made an
offer of about £200,000 to persuade Zimbabwe to withdraw from touring
England in 2009. They are scheduled to play two Test matches and three
one-day internationals here. But the World Twenty20 tournament is in England
in the same year and Clarke has realised that Zimbabwe taking part will not
be something either the Government or cricket lovers will want to encourage.

The solution is not to pay corrupt Zimbabwean cricket officials, but for the
ECB to work with the Government and for the Government to announce in clear,
direct language that the Zimbabwean cricket team will not be allowed to tour
England. In that way we show moral leadership and the England team are not
subject to financial penalties from the International Cricket Council.
Chingoka was refused a visa to visit London in October and he should not be
allowed to attend the ICC meeting at Lord's next June. We need a sporting
boycott of Zimbabwe and we should support the Australian government's
actions on this.

In 2008 the Government must spell out more clearly what genuine legacy to
sport there will be from the 2012 Olympics. As the costs of the Games rise,
openness and transparency has to be the rule.

The Government also need to answer the question asked of me more often than
any other in the past 12 months. Why are so many publicly-owned swimming
facilities being forced to shut as obesity increases? Now that is a question
we will all want an answer to.


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Merry Christmas to the people of Zimbabwe

http://www.marrily.co.uk/

 
Merry Christmas to the People of Zimbabwe
Those living in and outside Zimbabwe
Those buried within and beyond the borders of Zimbabwe
Dear Zimbabweans, a Merry Christmas to you all!
 
Let's celebrate Christmas from all corners of the world
At home, in exile, on the streets, in churches, in prisons,
Under the trees, above the clouds, over the seas - wherever we are!
We are one nation - let's celebrate Christmas!
 
Christmas is a time of love, joy, peace and harmony among men.
It's time to celebrate, acknowledge and welcome the Son of Man among men.
It's a time to forgive, make friends with enemies and live as neighbours.
Let's forgive all the wrong done and let only God be the judge.
 
Let's welcome and receive the Lord Jesus Christ into our lives.
Let's listen to Him and believe in none other than The One sent from above.
Let's take all our burdens and worries to Him for
This nation he loves and surely will never fail!
 
It is by the will of God that Zimbabwe was liberated from Rhodesia
Again, by His and only His Will, Zimbabwe will be liberated
From the selfish grasp and the ruthless claws of greedy politicians
For the benefit of all the people of this nation.
 
"United we stand, divided we fall." The saying goes.
Let's rise, join hands and liberate Zimbabwe
Not for ZANU PF, not for MDC - but for the people of this nation.
Black, white or coloured - We are all Zimbabweans.
 
Dear Zimbabweans, Merry Christmas to you all.
At home and in exile, Zimbabwe remains our country
It is our home, where all our hearts lie.
Black, white or coloured. We are all Zimbabweans.
MERRY CHRISTMAS!

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