Attached is Dave Coltart's legal affairs report. He has also submitted this
to the Ncube/Sibanda meeting in Bulawayo. It is an important record of what
has been achieved by the legal department over the past 6 years.
Click here to read
it
VOA
By Blessing
Zulu
Washington
24 February 2006
A senior
International Monetary Fund spokesman criticized Zimbabwe's
economic and
monetary management on Thursday, in particular the
"quasi-fiscal operations"
of the Reserve Bank of Zimbabwe which have
contributed to a consolidated
public deficit including the government and
central bank equal to 60% of
national output.
IMF Director of External Relations Thomas Dawson took
issue with contention
by the governor of the central bank, Gideon Gono, that
Zimbabwe's roaring
inflation is due to the country's effort since late last
year to pay down
its debt arrears to the Fund.
"We do not believe
that is in fact the case at all," Dawson told an IMF
press briefing that was
carried over the Internet as well. "The reality is
that inflation in
Zimbabwe has been driven mainly by quasi-fiscal activities
of the Reserve
Bank of Zimbabwe."
"The government deficit that is reported at 3% of
(gross domestic product)
in 2005 is only a small part of the picture,"
Dawson continued. "A truer
picture of the public deficit is provided by the
consolidated deficit of the
Reserve Bank of Zimbabwe and central
government," which he said approached
60% of GDP in 2005, vs. 27% in
2004.
Dawson's response was sparked by a press query as to the IMF's view
on the
central bank's reported printing of Z$21 trillion in new currency to
purchase foreign currencies needed to pay down IMF arrears in recent months.
Gono has been quoted as saying that such money creation has been a prime
factor in driving inflation over 600%.
The IMF spokesman questioned
the link between debt payments and inflation,
saying government fiscal
policy and quasi-fiscal activities by the central
bank were to blame. The
central bank in recent years, and in accelerating
fashion, has made large
sums available to agriculture and industry in an
effort to stave off
economic collapse.
Dawson also expressed perplexity on the part of the
IMF as to the exact
source of funds Zimbabwe used to pay down its debt
arrears.
Explanations by Zimbabwean authorities "are not inconsistent
with the
revised reserves and balance of payments data reported" to the
Fund, he
said, "but we are unable to independently verify the data and
explanations
provided."
He urged better reporting and greater
transparency of financial accounts.
Above all, Dawson called for
implementation of "a comprehensive policy
package so that Zimbabweans can
benefit from a sustained non-inflationary
growth and a strengthening
external position" which would allow it to meet
obligations.
He
rejected charges that shortages of food, fuel and medicine are due to
heavy
IMF debt payments. "If in fact there have been shortages in that
regard, it
has been entirely because the authorities have chosen the course
of action
in not implementing (a) comprehensive package of macroeconomic and
structural reforms," he said.
From The IMF, 23 February
Question: Do you have any updates on Zimbabwe?
Mr
Dawson: Sure. And I might also add that we have an online question that
just
popped up at this point from The Zimbabwe Independent, stating Zimbabwe
printed 21 trillion, Zimbabwe dollars to raise foreign cash for arrears
payments. What is the view of the IMF on this strategy?
I could
perhaps start by answering a little bit of your question in terms of
the
state of play, and I'll get to that one in particular. Zimbabwe has been
in
arrears with the Fund for almost five years. They did increase
significantly
their payments to the Fund in recent months, and as we
indicated on February
15th, have fully settled their overdue financial
obligations to our General
Resources Account - that's our ordinary quota
based resources - on that day.
There are still arrears to the PRGF, on the
PRGF side of the account
amounting to approximately SDR 83 million.
There have been questions
regarding the sources of funds for the payments
that Zimbabwe has been
making during 2005 as well as in 2006. Since the
conclusion of our Article
IV consultation in September of 2005, we received
further information from
the authorities on sources of some of those
payments - and it would appear
the authorities have used a wide range of
sources including funds from
export proceeds, so-called free-funds, which
are funds not linked to
exports, and a credit facility. However, the
authorities's explanation of
the sources of payments to the Fund are not
inconsistent with the revised
reserves and balance of payments data reported
by the authorities to the
Fund, but we are unable to independently verify
the data and explanations
provided, and we have urged the authorities to
improve the reporting of
Zimbabwe's international reserve position to the
Fund and balance of payment
data, as well as the transparency of the central
bank's financial statement
disclosure framework.
In his speech last week, the Governor of the
Central Bank made some comments
about the payments to the Fund, and
attributed the high inflation of 2005
and 2006 to the printing of large
amounts of local currency to pay foreign
exchange. We cannot reconcile the
numbers that the Governor cited with the
information previously provided by
the authorities on the sources of
payment. But I would make it very clear
that - and I would note that there's
been the comment, allegations made both
within the government, but also from
others, observers, that the high
inflation in Zimbabwe in some fashion is
owed to repayment of the Fund
resources. We do not believe that is in fact
the case at all. The reality is
that inflation in Zimbabwe has been driven
mainly by quasi-fiscal activities
of the Reserve Bank of Zimbabwe. The
government deficit that is reported at
some 3 percent of GDP in 2005 is only
a small part of the picture. A truer
picture of the public deficit is
provided by the consolidated deficit of the
Reserve Bank of Zimbabwe and
central government, which is estimated to have
reached nearly 60 percent of
GDP in 2005, up from 27 percent of GDP in
2004.
We have repeatedly urged the authorities to implement a
comprehensive policy
package so that Zimbabweans can benefit from a
sustained non-inflationary
growth and a strengthening external position,
which would allow the country
to meet its payment obligations to the Fund.
There's also been comments made
that because of payments to the Fund in some
fashion, the Zimbabwean
Government, Zimbabweans have had to do without
medicines, adequate food,
fuel and other essentials, and we do not believe
that has been the case at
all. If in fact there have been shortages in that
regard, it has been
entirely because the authorities have chosen the course
of action in not
implementing the comprehensive package of macroeconomic and
structural
reforms, that the Fund and including the Fund Board have
repeatedly
recommended. Our regular assessment and policy recommendations on
Zimbabwe
are available on the website, and I think it's quite transparent,
but if
people have questions on these policies, you certainly can go through
that
and we're available to answer any additional
questions.
Finally, because it's a logical follow up, what are the
next steps? As we
indicated in the press release last week, the next Fund
Board meeting to
review the overdue financial obligations - these are the
remaining PRGF
obligations - is tentatively scheduled for March 8, and at
that point
Directors will have an opportunity to consider Zimbabwe's
cooperation with
the Fund on policies and payments, as well as remaining
sanctions and
remedial measures against Zimbabwe relating to its arrears.
And, again, the
history of what those are in our press releases over the
last year or so.
Business Report
February 25, 2006
Johannesburg - South Africa's state-owned
power company Eskom is unlikely to
lend Zimbabwe's state electricity utility
money to expand one of its power
plants, as reported by a Harare-based
newspaper, an Eskom official said on
Friday.
Zimbabwe's state-owned
Herald newspaper today cited Sydney Gata, executive
chairman of the Zimbabwe
Electricity Supply Authority, as saying Eskom will
lend his company $37
million (R223.8 million) to expand and upgrade the
Hwange Power
Station.
"I'm not aware of anything along these lines," Steve
Lennon, Eskom's
managing director of resources and strategy, said by
telephone from
Johannesburg today.
"It's highly unlikely. We are not
a bank.'' - Bloomberg
Deadbrain
19 Feb 2006 by Lore
The Guinness Book of Records 2007
is to have Zimbabwe and its President,
Robert Mugabe, listed in every
category - that alone being a new record,
which is likely to require a
reprint shortly afterwards.
"A stunning achievement for such a small
land," Lord Pint, the Guinness
press secretary, said as he made the
announcement. "Look anywhere in the
book, you will find an entry. We can
hardly keep up with the amount of
records the place is
setting."
Showing off the first draft of the 2007 edition, Lord Pint of
Guinness
pointed out some of the entries. "Look at this shit, man," he said
excitedly
to the large group of reporters, infiltrated with members of
Mugabe's feared
C.I.O. secret police, carefully camouflaged in Gucci suits
and mirror
sunglasses. "Most worthless currency, world's highest inflation,
Mugabe
voted into top three Dictators... stunning, see how he wiped out an
entire
commercial farming system in SIX years, now the place is a basket
case
instead of a bread basket. It goes on and on."
"We promise
however, to have all claims verified before publishing. We have
sent teams
of record proofers to Zimbabwe, but they all disappeared down
some
mineshafts," he added. "There are still 'grey' areas that need to be
checked
by experts."
Asked what he meant, the head of Guinness PR explained:
"Well, it is
difficult to work out if they have the highest incidence of
AIDS in percent
of the population. The people die even as we count them. The
statistics just
don't seem to stand up. Then there is the debate over how
many refugees
crossing the Limpopo river into South Africa were actually
eaten by
crocodiles. How many people were struck by lightning or were
actually fried
stealing copper wire from transformers, therefore cheating
the rules? Also,
was Mugabe's 'Operation Clean Out Filth', which made three
quarter of a
million people homeless in two weeks, really that
fast?"
Late news
Reports that the record for the fastest
disappearance of a test cricket side
is to be challenged by a group of
ex-England players have been denied by the
ECB.
Reuters
Sat Feb 25,
2006 4:53 PM GMT
By Cris Chinaka
MUTARE, Zimbabwe (Reuters) -
President Robert Mugabe told a crowd of
thousands at his birthday party on
Saturday that Zimbabwe was under threat
from imperialism, and delivered a
blistering attack on gays.
Mugabe, who turned 82 on Tuesday and has been
in power since independence
from Britain in 1980, is struggling to contain
an economic meltdown that
includes the highest inflation rate in the
world.
He frequently launches tirades against the West, which he accuses
of
sabotaging his once vibrant economy in retaliation for his seizure of
white-owned farms for redistribution to landless blacks.
"Bear in
mind that the monster of imperialism is continuously and
dangerously lurking
in the bush awaiting a more favourable opportunity to
devour our national
sovereignty," Mugabe said.
"We must never ever lose our sovereignty, our
power to rule ourselves, our
right as Zimbabweans to govern Zimbabwe, to
determine our own destiny," he
told the crowd at his official birthday party
in the eastern city of Mutare,
set in a scenic valley surrounded by rolling
mountains.
Western governments and African church, labour and human
rights groups have
in turn accused Mugabe of stifling dissent and stealing
elections through
intimidation and fraud.
BE READY
Mugabe said
Zimbabweans should remain "in a state of readiness to fight the
enemies who
might dare attack you, invade you or claim through the use of
arms that a
portion of Zimbabwe belongs to him. Unless you are committed to
that, you
are not a Zimbabwean in full."
In a one-hour speech, he recounted the
history of colonialism and said black
Zimbabweans were treated like slaves
by whites.
Topics included the HIV/AIDS pandemic which Mugabe
acknowledged was
decimating the population, attacking what he called falling
moral standards.
He also launched another blistering attack on
homosexuality -- he has
previously described gays as worse than dogs and
pigs -- saying it was
abhorrent.
He said in Shona, "leave whites to
do that", and condemned churches for
blessing gay marriages. He said his
government would jail clergy who granted
gay marriages in
Zimbabwe.
Thousands, including schoolchildren, packed the local stadium
to celebrate
Mugabe's birthday and were entertained by song, dance and
poetry.
The public celebrations, which saw Mugabe showered with gifts by
government
and party officials, came as Zimbabweans struggle with economic
problems
many blame on their leader, including chronic food, fuel, and
foreign
currency shortages.
Mugabe co-led Zimbabwe's national
liberation war in the 1970s, but critics
say he has ruined a once-prosperous
country. Unemployment is 70 percent,
while inflation is over 600
percent.
Mugabe denies the charges and accuses the West of seeking to
replace him
with a puppet government.
February 25,
2006,
By Tagu Mkwenyani
Mutare (AND) THOUSANDS of
residents have been disappointed at
President Robert Mugabe's birthday party
held in the eastern border city of
Mutare this afternoon.
The
residents left the venue of the 21st Movement Celebrations angry
after
failing to get food. The few who did get food, which was only made
available
after 2: 30 pm when Mugabe had finished delivering a long speech,
were
served with cabbages.
Children were mainly affected as they had
arrived at Sakubva stadium
as early as 9; 00 am. Disappointed residents said
they did not expect to go
home hungry after attending Mugabe's birthday. "It
has come as a major
disappointment for me, seven hours in the sun without
any food. This shows
great insensitivity to our plight. Speaking at the
function, Mugabe who has
turned 82 urged youths not to use
condoms.
"Personally I don't like condoms. People should get
married and when
they reach 82, they would be tired of sex," said Mugabe who
heads a country
that is afflicted by an HIV/AIDS pandemic. Mugabe also said
gays and
lesbians had no place in Zimbabwe saying his government would not
hesitate
to jail them. "We will throw them in jail," said Mugabe who also
threatened
to castrate rapists.
But while the ordinary people
have left the party hungry, chefs are
currently feasting at Queens Hall in
town where food has been reserved for
government officials and those
connected to Mugabe. The residents are also
bitter that the commissioners
running the city of Mutare, which has
organised the festivities, have used
their money without their approval to
spruce up the city in preparation for
the feast.
The commission forked out billions of dollars to fill up
potholes and
clean the streets ahead of Mugabe's visit to the city. Business
people were
also ordered to refurbish their building by putting a fresh coat
of paint on
their properties.
AND Zimbabwe
HARARE, Feb 25 (AFP)
Former student leader Arthur Mutambara, considered Zimbabwe's
"future
leader" in the 1980s, returned home a week ago after 15 years abroad
to be
elected president of the country's divided
opposition.
Mutambara was chosen the unopposed leader of the so-called
pro-Senate
faction of the Movement for Democratic Change (MDC) late Saturday
at the
first of two opposition leadership conferences.
The former
student activist arrived in Harare last Sunday, after more than a
decade in
the United States and neighbouring South Africa.
He returned to Zimbabwe
saying that the MDC needed new leaders following the
infighting which led to
the split in the party.
"As the party goes towards two separate
congresses, the infusion of a new
leadership untainted by the current
disagreements is imperative to
facilitate a reunification process,"
Mutambara said.
Born in May 1966, he attended school in the eastern
Zimbabwean district of
Mutare.
Synonymous with the militant student
activism of the late 1980s Mutambara is
credited with leading protests
against state corruption and profligacy which
led to the temporary closure
of the University of Zimbabwe in October 1989.
Following a series of
student strikes in 1989, Mutambara was arrested and
detained together with
trade unionist Morgan Tsvangirai, who was later to
become the MDC leader and
former opposition lawmaker Munyaradzi Gwisai under
laws that were used to
emasculate black nationalists before independence.
Mutambara was one of
the first two Zimbabweans to be awarded the prestigious
Rhodes scholarship
in 1990 to study at Oxford University where he became the
first Zimbabwean
to obtain a doctorate in robotics and mechanotronics.
In 1996 he was a
research fellow at the United States' National Aeronautics
and Space
Administration (NASA) before having brief stints as a researcher
and
lecturer at the Carnegie Mellon University in Pennsylvannia and the
Massachusets Institute of Technology.
Now based in South Africa, he
is chief executive officer and marketing
director of Africa Technology and
Business Institute and still commands
respect among students, academics and
civil society.
Political commentator Bill Saidi said mainstream politics
might be "a
different ball game" for the man whose name evokes images of
running battles
between anti-riot police and slogan-chanting university
students.
"He was quite radical...he revitalised the student movement and
we always
regarded him as a future leader bringing in something new to the
student
movement," Saidi said.
"But politics is a totally different
ball game and to think that he can lead
a party that aspires to rule this
country is a bit too ambitious. He needs a
bit of time."
MDC PRESS:
The events of this weekend of 25 and
26 February shall come and gone.
A group of former leaders of the Movement
for Democratic Change are
exercising their constitutional right of freedom
of association and could
decide to form a new political organization.
We
welcome them to the turbulent political scene in Zimbabwe as we continue
our
struggle to dislodge the Zanu PF dictatorship.
May we however urge them to
urgently look for a new name so that they are
not confused with the Movement
for Democratic Change founded by the working
people of this country led by
the Zimbabwe Congress of Trade Unions. That
formation of the working
people's convention remains intact and led by the
former secretary general
of the ZCTU, Morgan Tsvangirai.
The legal and constitutional position
regarding the leadership of the MDC
remains unchanged. Morgan Tsvangirai, as
confirmed by the unchallenged High
court judgment of December 2005 remains
the lawful President of the Movement
for Democratic Change until a Congress
convened, in consultation with him,
is held or until the High Court judgment
is set aside by a competent court,
whichever comes first.
We have no
doubt in our minds that our fellow citizens in the new political
formation,
the majority of whom claim moral constitutional superiority will
uphold the
rule of law and the Constitution of the MDC and do the right
thing without
being compelled to do so.
The struggle that we have is about removing a
dictatorship and resolve the
crisis of governance in our country in order to
usher in a new Zimbabwe and
a new beginning governed by a people driven
democratic national
Constitution.
The people's project is
unstoppable.
Nelson Chamisa MP
Secretary for Information and
Publicity
February 25,
2006,
By George Nyathi
(AND)BULAWAYO-ZIMBABWE:There
was commotion at the opposition MDC
congress in Bulawayo, Zimbabwe this
morning as party supporters denounced
party leadership for failing to
provide them with food.
The party supporters sang songs with
deragatory language accusing the
pro-Senate faction of being failures and
exposing them to the worst hunger
ever.
The supporters said
they had spent more than three days without eating
anything as the party
leadership had failed to provide them with food. Some
delegates from
Masvingo as well as students from the Harare-based University
of Zimbabwe
were stopped in their tracks as they tried to loot some food on
tables meant
for delegates. MDC security personnel had to be called in to
quell the
commotion but the hungry delegates did not budge. The delegates
said the
party had failed to book them into reasonable lodges where they had
been
told they would be accommpdated but instead forced them to sleep in the
open
without blankets.
Some women were seen with babies strapped on
their backs trying to
queue for food but the stronger youth pushed them
aside and headed for the
front where the food was being served. Party's
acting president, Gibson
Sibanda apologized for the confusion saying that
the party had
under-budgeted for the congress. "This is the Zimbabwe that we
are talking
about when we say that Mugabe must go. Look at what happened
this morning.
There was a lot of confusion and there was the shortage of
food. "We want to
apologize to our members and supporters that this was a
problem caused by
the ever-rising cost of food in Zimbabwe.
We
thought we had adequately budgeted for the congress and it was
unfortunate
that we got many people and the pices were too high. We want to
assure you
that we are looking into the issue and from today onwards, things
will be in
order," Sibanda said.
ANDZimbabwe
New Zimbabwe
By Lebo
Nkatazo
Last updated: 02/25/2006 13:40:40
THE Central Intelligence
Organization (CIO) has intensified a purge against
staff perceived not to be
towing the line at the Daily Mirror, amid
revelations of the firing of two
senior journalists this week.
The paper, previously one of Zimbabwe last
independent newspapers, has been
taken over by the spy agency using State
funds.
The axing of the two journalists follows the sacking of two other
managers
as the battle to weed out elements perceived to be loyal to
suspended Mirror
founder and Chief Executive, Ibbo Mandaza gathers
momentum.
Sources said Friday that the Mirror's chief reporter, Sydney
Kawadza, was
fired while senior reporter, Takunda Maodza, was suspended this
week on
allegations of non-performance.
This follows the suspension
of the Mirror group's financial director Ngoni
Mangadze and senior
accounting officer, Francis Kutinhi, also this week.
Since the CIO took
over control of the Mirror, three other reporters were
suspended and later
reinstated. News editor Patson Matsikidze remains
suspended. Last year, they
also chased away all journalists who were on
attachment.
The CIO is
said to be making frantic efforts to replace staff who were there
during
Mandaza's reign with satte agents and loyalists.
Sources said one of the
affected journalists, Maodza, who was assigned by
the paper's editors to
cover the "MDC desk", had been suspended on
allegations that he was a "MDC
correspondent".
"The fact is that the CIO-controlled board did not
understand that Maodza
was assigned by the editors to cover the MDC. They
constantly accused him of
being an MDC and ZCTU (Zimbabwe Congress of Trade
Unions) sympathiser," a
source said.
Late last year, the High Court
ruled that Mandaza should return to work, but
the CIO have been defying the
order directing workers not to co operate with
him.
Daily Mirror, Zimbabwe
The Daily Mirror Reporter
issue date :2006-Feb-25
HARARE
Metropolitan governor David Karimanzira says the resurfacing of
illegal
street vending and backyard tuck shops in some parts of the capital
indicated laxity on the part of the police and municipal
authorities.
Reviewing a pass-out parade of 257 police officers at Morris
Depot in Harare
on Thursday, Karimanzira said selling goods at undesignated
points was
unhygienic and precipitated criminal activities.
He said: "I
have also noted with concern the resurfacing of illegal street
vending and
backyard tuck shops in Harare.
"This trend is worrisome as it indicates
laxity on the part of police and
municipal authorities.
"The sale of
goods in undesignated places had not only precipitated a haven
for criminal
activity but it also posed a health hazard to members of the
public."
The
government embarked on Operation Murambatsvina/Restore Order last year
destroying all backyard shacks, tuck shops and illegal vending sites
nationwide in an endeavour to rid cities and towns of squalor and
vice.
However, the illegal activities are slowly returning while vendors have
devised ways to avoid detection while selling their wares in the Central
Business District (CBD).
The daring ones actually play cat and mouse
games with law enforcers.
Karimanzira, who is also the Resident Minister,
castigated corruption saying
the scourge was of great concern to the
government and was negating the
economic turnaround
programme.
"Regrettably, the effects of corruption have largely stalled
economic
recovery programmes resulting in dismal losses and a decline in
service
delivery especially in municipal authorities and major parastatals,"
he
said.
On corruption within the police force, Karimanzira said:
"I
wish to express my gratitude for the sterling job that the ZRP has done
to
exorcise corrupt malcontents within the organisation."
He said the police had
an important role to play in turning the economy
around by curbing
unprincipled business practices.
There were 108 females among the
graduates.
The governor commended the ZRP for affording equal opportunities
to both
sexes.