The ZIMBABWE Situation
An extensive and up-to-date website containing news, views and links related to ZIMBABWE - a country in crisis
Return to INDEX page
Please note: You need to have 'Active content' enabled in your IE browser in order to see the index of articles on this webpage

Mugabe to give back MDC ministers’ portfolios

http://www.zimonline.co.za/

by Own Correspondent Friday 19 March 2010

HARARE – President Robert Mugabe has agreed during his two-day meetings with
South African President Jacob Zuma to give back ministers from Prime
Minister Morgan Tsvangirai’s MDC party functions and responsibilities he had
unilaterally stripped them of, a source close to the power-sharing talks
told ZimOnline Thursday.

The source, who spoke on condition that he remained anonymous, said the
amendments gazetted two weeks ago, which saw several MDC ministers being
stripped of their powers will now be shelved.

“The amendments which were gazetted will now be shelved,” said the source.
“There is also an agreement pertaining to the issue of (central bank
governor Gideon) Gono, (Attorney General Johannes) Tomana and (Tsvangirai
top aide Roy) Bennett and a decision will be announced,” said the source
declining to disclose further details.

Gono and Tomana are at the centre of a dispute between Mugabe and Tsvangirai
with the Prime Minister insisting that they must be fired because the
President appointed them without consulting him.

But Mugabe has vowed never to fire the two men who are among his staunchest
allies. Mugabe has refused to appoint MDC treasurer Bennett as deputy
agriculture minister insisting that he must first be cleared of treason
charges.

The source added: “The issue of the appointment of the provincial governors
was also raised and it was agreed that their appointment should be
finalised. “The main issue is that if the agreement is not adhered to, then
the issue will be referred to the SADC troika. We hope now the focus will
now be on the 25 and 26 to make sure there is implementation.”

Both MDC spokesman Nelson Chamisa and ZANU PF's Rugare Gumbo were not
immediately available for a comment on the matter.

The South African leader who yesterday wound up his visit to assess the
year-old power-sharing government of Mugabe, Tsvangirai and Deputy Premier
Arthur Mutambara told reporters that he was “encouraged” by the “spirit” of
cooperation shown by Zimbabwe’s political leadership in their efforts to
fully implement their September 2008 power sharing agreement.

“I am very encouraged by the spirit of cooperation displayed by the leaders
and all their parties,” Zuma said after meeting in Harare former long time
rivals Mugabe and Tsvangirai.

“I have had fruitful discussions with all the signatories to the global
political agreement (GPA), their negotiating teams, leading Zimbabwean
personalities and other key stakeholders,” Zuma, the Southern African
Development Community (SADC)’s mediator in Zimbabwe.

The South African President met all the three Zimbabwean principals
separately on Wednesday before meeting them together yesterday. Zuma also
met Tomana, Gono and Bennett on Wednesday night.

“The parties have agreed to a package of measures to be implemented
concurrently as per the decision of the SADC troika in Maputo,” said Zuma
without disclosing any details. “I believe that the implementation of this
package will take the process forward substantially.”

Zimbabwe’s unity government has stabilised Zimbabwe’s economy to improve the
lives of ordinary citizens. But a dispute between Tsvangirai and Mugabe over
how to share executive power, senior appointments and security sector
reforms is holding back the administration and threatening to render it
ineffective.

The unity government’s failure to win financial support from Western powers
and multilateral institutions has also crippled its efforts to rebuild an
economy shattered by a decade of political strife and acute recession. –
ZimOnline


Click here or ALT-T to return to TOP

Zuma encouraged by ‘concessions’

http://www.businessday.co.za/

DUMISANI MULEYA
Published: 2010/03/19 06:52:27 AM

President Jacob Zuma poses for a photograph with Zimbabwe’s President Mugabe
in the capital Harare. Photo: REUTERS

PRESIDENT Jacob Zuma yesterday managed to squeeze a raft of concessions from
Zimbabwe’s rival political parties and their leaders in a bid to resolve the
country’s decade-long political crisis which has ruined the economy.

Zuma, who spent two hectic working days holed up in a Harare hotel engaged
in critical marathon meetings, told journalists after long behind-the-scenes
negotiations that the parties had agreed on “a package of measures” to be
implemented soon.

If the parties stick to the agreement and make progress it would bolster
Zuma’s efforts to mediate and keep Harare’s teetering unity government
afloat.

“The parties have agreed to a package of measures to be implemented
concurrently as per the decision of the (Southern African Development
Community) Sadc troika in Maputo,” Zuma said. “I believe the implementation
of this package will take the process forward substantially.”

Zuma said President Robert Mugabe, Prime Minister Morgan Tsvangirai and
Deputy Prime Minister Arthur Mutambara have agreed to get their negotiators
to pull out all the stops to resolve the outstanding issues.

The negotiators will meet next week and have a March 31 deadline to report
back to Zuma, who will then present a comprehensive progress report to the
chairman of the Sadc troika, President Armando Guebuza of Mozambique.

The negotiators, Patrick Chinamasa and Nicholas Goche for Zanu (PF), Tendai
Biti and Elton Mangoma for the main Movement for Democratic Change (MDC)
wing and Welshman Ncube and Priscillah Misihairabwi-Mushonga for the smaller
MDC faction, would come up with ways of implementing the measures. They will
work with Zuma’s facilitators Charles Nqakula , Mac Maharaj and Lindiwe
Zulu.

Informed sources within the negotiating teams and facilitators said the
measures referred to proposed solutions to deal with disputes over the
appointment of provincial governors, attorney- general Johannes Tomana and
Reserve Bank governor Gideon Gono, the swearing-in of Deputy Agriculture
Minister Roy Bennett and targeted sanctions.

As Zuma said the issues would be addressed “concurrently”, Mugabe can no
longer claim progress cannot be made until sanctions are removed.

The sources said negotiators were tasked to put in place implementation
mechanisms and final touches on how to share the governors’ positions and
when they would be sworn-in, when Bennett should come in, and whether Tomana
and Gono should be removed from office in the “national interest”.

Procedures to remove economic sanctions and travel bans on Mugabe and his
party elite will also be discussed. The Gono and Tomana issue would finally
be decided by Mugabe, Tsvangirai and Mutambara.

Zuma met with Tomana and Gono in a bid to resolve the issue. He also met
Zanu (PF) power brokers, Emmerson Mnangagwa and Solomon Mujuru. Mnangagwa
and Mujuru lead factions viciously fighting to produce a successor to
Mugabe.

Zuma’s package also deals with media reforms.

On sanctions, the parties are going to work through a cabinet committee
established last year. It will approach the European Union, US, Commonwealth
countries, multilateral financial institutions and bilateral institutions.

 


Click here or ALT-T to return to TOP

Zuma forces Mugabe to back down

http://www.capetimes.co.za

March 19, 2010 Edition 2

Stanley Gama Foreign Service

HARARE: President Jacob Zuma has persuaded Zimbabwe's squabbling coalition
partners to settle their differences and to fully implement their
commitments under the agreement which underpins the unity government which
was launched in February last year.

In two days of intense discussions here, Zuma forced President Robert Mugabe
to back down and make concessions he had so far refused, such as appointing
members of Prime Minister Morgan Tsvangirai's Movement for Democratic Change
(MDC) to senior government posts, sources said.

They also said that Mugabe had grudgingly agreed to fire his controversial
Attorney-General Johannes Tomana who has been accused of selective
prosecutions against MDC supporters. But Tsvangirai and Deputy Prime
Minister Arthur Mutambara, leader of the smaller MDC faction, had agreed
that Mugabe's equally-controversial Reserve Bank Governor Gideon Gono, could
stay on.

The government has been stalled since its founding by bitter haggling mainly
between Mugabe's Zanu-PF and Tsvangirai's main faction of the MDC. But,
flanked by Mugabe and Tsvangirai, Zuma announced yesterday that the
Zimbabwean leaders had agreed to implement the Global Political Agreement
(GPA) which they signed in September 2008.

"I have had fruitful discussions with all the signatories to the GPA, their
negotiating teams, leading Zimbabwe personalities and other key
stakeholders," Zuma said.

"I am encouraged by the spirit of co-operation displayed by the leaders and
all the parties.

"The parties have agreed to a package of measures to be implemented
concurrently as per the decision of the SADC Troika in Maputo," he said,
referring to the summit of the troika of the Southern African Development
Community's (SADC) security organ in November last year which instructed the
Zimbabwean parties to resolve their outstanding differences, including a
more equal distribution of top government posts among the parties.

I believe that the implementation of this package will take the process
forward substantially," Zuma added.

"The leaders have instructed their negotiating teams to attend to all
outstanding matters during their deliberations on 25, 26 and 29 March and to
report to the facilitator by the 31st March," said Zuma, who, however, did
not allow journalists to ask questions.

After he receives the report from the negotiators, Zuma will present a
progress report to the chairperson of the SADC Troika, President Armando
Guebuza of Mozambique.

It is understood that Zuma used robust and effective tactics totally
different from the soft approach by former president Thabo Mbeki to secure
yesterday's agreement.

After meeting the three leaders of the unity government separately on
Wednesday, Zuma yesterday met them again together where he reportedly flexed
his muscles.

And taking a more practical approach, Zuma also had a faceto- face meeting
with individual officials whose positions have become controversial issues
among the parties. These were Gono, Tomana and deputy minister of
agriculture designate Roy Bennett , the Tsvangirai MDC's treasurer-general.
He personally negotiated

with the three individuals on the best ways to resolve their roles in the
political impasse, sources said. After the meetings, it was felt that Gono
could continue as the Reserve Bank governor but that Tomana will be
sacrificed.

Bennett's position was not resolved, the sources said. The negotiators were
reportedly instructed to come up with a plan on whether Bennett should be
sworn in after his court case or before. Mugabe also buckled under pressure
on the issue of provincial governors, agreeing at last to swear in several
MDC officials to some of the governorships as soon as the negotiators come
up with a formula.

On the thorny issue of European Union-targeted sanctions against Mugabe and
his Zanu-PF cronies, Zuma managed to get a deal whereby a committee from
government comprising all three political parties would be dispatched to
Brussels next month to tackle the subject directly with the EU.

This decision reportedly mollified Mugabe who had previously insisted that
he would not budge on his commitments, such as the appointing of MDC
governors and the sharing of other top posts, until the sanctions had been
lifted.


Click here or ALT-T to return to TOP

Australia gives $13 million to Zimbabwe

http://news.theage.com.au

March 19, 2010 - 10:24AM

AAP

Australia will give Zimbabwe $13 million to improve access to clean water,
sanitation and food.

Foreign Minister Stephen Smith said the money included $8 million for a
UNICEF program that works with local authorities to build water
infrastructure.

"This will increase access to safe drinking water, sanitation and hygiene
services for over two million people in urban and rural areas, including
Zimbabwe's second largest city, Bulawayo," Mr Smith said in a statement.

A further $5 million will be provided to Australian non-government
organisations for work in Zimbabwe.

Late last year, Australia decided it would consider engagement with
Zimbabwean ministers making a genuine contribution to the troubled country's
social and economic recovery.

Mr Smith on Friday met with Zimbabwe's Finance Minister Tendai Biti in
Sydney to discuss reconstruction efforts since the swearing in of Prime
Minister Morgan Tsvangirai's inclusive government last year.

Relief agencies estimate two million Zimbabweans still require food
assistance, with food insecurity likely to persist into 2011


Click here or ALT-T to return to TOP

Gono, Mugabe clash over empowerment

http://www.thezimbabwetimes.com/?p=28096

March 19, 2010

By Our Correspondent

HARARE - Central Bank chief Gideon Gono has clashed with President Robert
Mugabe over the country's recently enacted empowerment laws and revealed
that there have been attempts to seize foreign-owned banks since the coming
into effect of the country's controversial regulations on March 1.

Gono's criticism of the law puts him on the side of Prime Minister Morgan
Tsvangirai who is currently pushing for its review.

Four weeks after Mugabe said there have been "vultures" who intend to stop
indigenization; Gono said there wee "vultures" that made moves to seize
foreign banks in line with the regulations that stipulate that 51 percent of
shareholding in foreign firms must be handed to locals.

"Let us face facts. Already, in my own backyard in the financial sector,
there have recently been unfortunate incidences of "vulture-style" attempts
by some cohorts to wrest stakes in some foreign owned banks," Gono said in a
"question and answer" interview published on Thursday in a local newspaper.

In celebrations to mark his 86th birthday in Bulawayo last month, Mugabe
said: "We know there are vultures, aggressors , imperialists, and neo
imperialists who want to interfere with our systems.The policy, like the
land reform programme, was designated to redress the historical imbalances
in the ownership of the economy."

But on Thursday, Gono poured scorn on Mugabe's land reform mantra.

"Some people would want to mischievously equate and interpret the land
reform type of indigenization as the one that should, must and could be
applied to other sectors of the economy," said Gono.

The Reserve Bank of Zimbabwe (RBZ) governor added that the central bank
would not seek to dilute or disrupt the current shareholding, unless it is
voluntary in such banks as Stanbic, Barclays Bank, Standard Charted, MBCA
and CABS.

And in an apparent salvo at Youth and Indigenization Minister Savior
Kasukuwere who has maintained that the regulations remain in force even
though Prime Minister Morgan Tsvangirai had said they are null and void as
they were gazetted without consultation within government, Gono said:

"Fellow Zimbabweans, let us avoid falling into the trap of being driven by
the shrill war cries and voices of a few who are driving their own private
agenda's for personal gain in the name of the empowerment of the masses. We
definitely need to sober up."

In the interview, Gono repeated the advice he gave to politicians in his
October 2007 monetary statement

Legislators and government in general must strike a balance between the
objectives of indigenization and the need to attract foreign investment,
Gono said then


Click here or ALT-T to return to TOP

Zim launches new economic blue print next month

http://www.zimonline.co.za/

by Caroline Mvundura Friday 19 March 2010

HARARE - Zimbabwe will next month launch a new blue print to succeed the
Short Term Emergence Recovery Programme (STERP) hastily cobbled up in March
2009 following formation of a power sharing government between President
Robert Mugabe and Prime Minister Morgan Tsvangirai.

Officials from the Ministry of Economic Planning told ZimOnline on Thursday
that the new Medium Term Plan (MTP) was expected to help spearhead the
recovery of Zimbabwe's ailing economy up to December 2015.

"The final draft of the MTP document will be edited, bound and the launch
date will be on April 21 2010," said a government economist, who declined to
be named because the new economic plan is not yet official.

Officials said the new plan seeks to increase capacity utilisation in the
manufacturing sector currently hovering between 40 and 45 percent and to
increase investment in the economy.

But the officials did not say how the government hopes to attract foreign
investment while at the same time pursuing a controversial indigenisation
policy that seeks to force foreign shareholders to cede controlling stake in
their businesses to locals.

Under the empowerment regulations announced last month by Indigenisation
Minister Saviour Kasukuwere from Mugabe's ZANU PF party, foreign-owned
businesses, including banks, mines and factories will be forced to sell a
majority stake to locals by March 2015.

The rules have been a source of controversy and besides dividing the unity
government along party lines, they have rattled foreign investors who
analysts say will continue to stay away from the country.

The MTP, championed by Economic Planning Minister Elton Mangoma from
Tsvangirai's MDC party seeks to establish a vibrant market and private
sector driven economy and a large part of the financing and investment of
programmes and projects under the plan is expected to come from the private
sector through the public private partnerships.

The ratio of investment to GDP is targeted to average 25 percent of GDP
during the next five years while that of domestic savings to GDP is targeted
to rise to the same level during the same time period.

Other than high growth rates, the MTP will place a premium on job creation,
poverty reduction and equity while also ensuring that balance is attained in
development across all regions of the country.

The policies, reforms and structural and institutional changes are aimed at
transforming Zimbabwe from a primary product producer to a producer of
diversified manufactured products.

"The ultimate objective is to make Zimbabwe a growing, transforming and
globally competitive developed economy, occupying its niche in the world
economy. To achieve this Zimbabwe needs to draw lessons from its past
economic performance, invest in acquiring new technologies, knowledge and
ideas, entrepreneurship, research and development and innovations," said
part of the draft MTP.

The STERP was expected to stabilise the economy and lay the basis of a
mid-to-long term recovery programme. While the economy has stabilised, the
STERP has largely fizzled out after key Western donor governments and
multilateral institutional declined to bankroll the programme demanding more
political reforms.

Zimbabwe's coalition government - that Mugabe and Tsvangirai agreed to form
only because of pressure from southern African leaders - is seen as offering
the country its best opportunity in years to turn around its economy after a
decade of severe recession.

But analysts remain skeptical about the government's long-term
effectiveness, citing unending squabbles between Mugabe's ZANU PF and
Tsvangirai's MDC parties and refusal by rich Western countries to provide
financial support. - ZimOnline


Click here or ALT-T to return to TOP

"Protect Jewelry Industry from the Taint of Blood Diamonds"

http://www.hrw.org/

By Loubna Freih Georges and Walter Stresemann, members of Human Rights
Watch's Geneva Committee
March 18, 2010

From March 18 to 25, Basel will be filled with excitement and beauty as
nearly 2,000 companies and 100,000 people in the watch and jewelry business
in 100 countries gather for BaselWorld, the world's largest jewelry show.

As is well known, the watch and jewelry business is an important commercial
sector in Switzerland, which is also planning to develop an international
diamond exchange in Geneva.

If Switzerland wants to play an even greater role in the global and domestic
jewelry trade, it should demonstrate more leadership in ending the sale and
production of "blood diamonds," gems procured in the context of the most
severe human rights abuses. It can do so as a member of the Kimberley
Process Certification Scheme, an international group that monitors the
diamond trade.

Switzerland, in fact, was a founding member of the Kimberley Process, which
was formally established in 2003 by governments, industry, and civil society
to provide both jewelers and consumers with guarantees that their diamond
purchases were not underwriting grave abuses, particularly by violent rebel
groups.

But those abuses continue. In Zimbabwe, for example, a June 2009 Human
Rights Watch report exposed a massacre of 200 people, forced labor,
beatings, and rape committed by the Zimbabwean military on diamond fields in
Marange. Blood diamonds from Marange continue to be smuggled out of
Zimbabwe, and, in part because the Kimberley Process has refrained from
taking strong action, these stones are entering the showcases of the world's
leading jewelers.

The diamond industry and those who buy fine jewelry need a Kimberley Process
that works, and that requires stronger leadership by member countries like
Switzerland to curtail the continuing abuses in Zimbabwe.

The Kimberley Process has three major weaknesses. First, the group's charter
refers to conflict diamonds only in connection with their use by rebel
groups to finance wars against legitimate governments. The definition should
be expanded so that the Kimberley Process explicitly condemns human rights
abuses connected with diamond production, regardless of whether they are
committed by governments or rebel armies. Second, there is little
independent monitoring of compliance with Kimberley Process rules and few
penalties for violations. Third, the group makes decisions by consensus,
rather than by voting, which means that it is difficult for well-meaning
countries to take action against a member that violates the rules if even
one other member votes to block that action.

Thus, despite a harsh report last summer by a Kimberley Process review team
about abuses in Marange, the group voted in November not to suspend Zimbabwe
from membership. The Democratic Republic of Congo, Namibia, Russia, South
Africa, and Tanzania - all Kimberley Process members - blocked the
suspension. Instead, the group voted to allow Zimbabwe to implement an
action plan that Zimbabwe itself developed. The plan has not yet resulted in
any positive changes on the diamond fields.

As a founding member of the Kimberley Process, and in concert with other
members, particularly the European Commission, Canada, the United States,
and Israel (the current chair), Switzerland should work to correct
Kimberley's deficiencies. More immediately, it should publicly condemn
Zimbabwe's abuses and call for tougher action against the country.

Switzerland should also join forces with the jewelry industry here and
across the globe to stop the sale of blood diamonds and keep them out of
Switzerland, including the tax-free zones at Zurich and Geneva airports. The
Swiss government, for example, could require importers to audit and publish
their supply chains and conduct spot checks of rough and polished diamonds
at customs.

Retailers and wholesalers, in particular, should refuse to purchase diamonds
that originated in Marange. These diamonds can easily be detected by their
hue and the use of a "footprint," or analysis developed by the Kimberley
Process. Those in the jewelry industry should ask their suppliers to confirm
that the diamonds they sell are not from Marange, are not blood diamonds,
and have genuine certificates attesting to the stones' legitimacy.

Switzerland has a lot to lose if its jewelry industry becomes corrupted by
blood diamonds. On behalf of its jewelers, consumers, and the people in
Marange who have suffered grievously from diamond mining, the Swiss
government should make a strong stand. It should not allow human rights
abuses to tarnish its gem of a commercial sector.
 


Click here or ALT-T to return to TOP

New Zealand's decision to pull out of Zimbabwe tour criticized as being 'factually incorrect'



By: THE ASSOCIATED PRESS

18/03/2010 5:12 PM

HARARE, Zimbabwe - Zimbabwean authorities criticized New Zealand's decision
to withdraw from a tour of the southern African country for the second
straight year as being "factually incorrect" on Thursday.

Last year, the New Zealand Cricket board postponed the tour until June 2010
but now wants to push it back till 2011 or play it in a neutral venue.

"It is clear from our recent discussions that the government's assessment of
the security situation in Zimbabwe has not changed from that of a year ago,
when the scheduled tour was postponed," NZC chief executive Justin Vaughan
said this week.

Zimbabwe Cricket managing director Ozias Bvute said his organization would
not agree to either suggestion.

"We have found the decision taken by the New Zealand Cricket board to be
factually incorrect and unfortunate," Bvute said. "It was a unilateral
decision that was presented to us without discussion."

Zimbabwe Sport Minister David Coltart expressed disappointment at the
cancellation.

"It seems it's a decision taken by the government rather than the team
itself," Coltart told The Associated Press. "I believe the use of 'health
and safety risk' reasons is wrong. I said it last year and I repeated it
again this year: Zimbabwe is one of the safest places to visit and play
cricket. Harare and Bulawayo have good health facilities and, to that
extent, there is no health risk whatsoever."

"We are in the process of transition as a country. It's a national
experiment and that process should be supported by the international
community. The decision taken by New Zealand sends wrong signals to
potential visitors from New Zealand and other country."


Click here or ALT-T to return to TOP

Indigenisation, empowerment: Fine words but flawed ideas

http://www.zimonline.co.za/

by Showers Mawowa Friday 19 March 2010

OPINION: The promulgation of Statutory Instrument 21 of 2010 meant to
breathe life into the Indigenisation and Economic Empowerment Act, legally
referred to as Chapter 14:33 of 2007, which inter alia requires all foreign
companies to cede at least 51 percent stake to indigenous Zimbabweans has
been cause for much consternation.

Not least in triggering this widespread apprehension is the timing of the
regulation coming as it does in the wake of an inclusive government battling
to salvage and resuscitate the little that is left of the economy as well as
restore lost confidence among investors, local and international.

Ironically, this is a time when companies are struggling to come out of the
hood and looking at raising capital through public sale of shares among
other things.

Frankly speaking, after a decade-old downward economic spiral there is very
little of the economy left to indigenise.

But a careful reading of the modus operandi of President Robert Mugabe ZANU
PF party informs us of the fact that for them it is not the size of the
economy that matters.

The size would only matter if the intention was to support the majority: but
far from it, this is a strategy to complete the Zanufication of the economy
and enrich a few political elites.

ZANU PF has a serious accumulation agenda that goes beyond the present
political interregnum. It is no wonder that the law's orientation is toward
giving access to Zimbabweans that are already rich enough to buy shares in
big companies.

If one is able to mobilise as much capital, why not start up own companies.
In so doing we increase the number of players in the economy and create more
jobs and spread the benefits wider.

That the Act has as its prime objective transfer as opposed to creation of
wealth betrays entrepreneurial laziness and serious lack of innovation.

Like the post-2000 land seizures which led to the multiple ownership of
farms by individuals within the ruling elite this is meant to accommodate
political elites who want to own businesses instead of promoting business
people who want to do business.

The African tragedy has been partly due to a preponderance of "comrades in
business" to use Gavin Capp's characterisation of South Africa's Black
Economic Empowerment (BEE).

For ZANU PF it seems, because the perpetuation of the political kingdom is
becoming more and more elusive by the day pursuing an economic one is worth
the while and certain to guarantee a survival enclave of sorts.

"Indigenisation and empowerment" are sweet words. Nice words but flawed
ideas!

The post-colonial so-called empowerment initiatives as is with this broadly
disempowering and narrowly empowering (temporarily for that matter) Act
derive their logic from a poisonous political-economic doctrine that says,
"Land is the economy".

On the contrary land on its own is not the economy. There is also
production, trade and consumption as well as the laws and the politics
governing these processes. The sum is the economy.

Soon the seized companies will be run down leaving workers worse off. If
land was the economy then why have we become the poorest among nations?
Owning companies, dying companies is not empowerment.

Day in and day out we are told that we are the richest nation on earth
because we have an abundance of mineral resources - but the majority is
wallowing in abject poverty. So what's the point?

Gold does not equal to wealth! The point is how you use it! It is from this
standpoint that meaningful empowerment should emanate.

While there is need to create a more equal society Zimbabweans need not pay
with their jobs, stomachs and skins. A nation must produce. The purpose of
wealth is to sustain life - and that for everyone.

"There is no wealth but life," once remarked the great art critic cum
economist John Ruskin in 1860. What empowerment is there when "empowerment"
threatens the right to full and reasonable employment, a livelihood for
many?

In my view, politics and the love for wealth must always be subservient to
the human spirit.

In spite of an inclusive government in Zimbabwe, there remains a strong
tendency within ZANU PF to pursue an obviously destructive course with
forcefulness comparable only to religious conviction.

One is thus left to conclude that perhaps ZANU PF has become irredeemably
corrupt and solely guided by a private acquisitive agenda and the power
retention project that guarantees so much that the party has completely lost
any trace of national interest in its thinking.

Within this context any attempt to engage with them meaningfully on matters
of national interest becomes a futile exercise. ZANU PF needs to give people
a reason to take it seriously when it comes to the national development
question.

"Zimbabweans must own the means of production," so the argument goes. I will
momentarily take a detour and ask; does the indigenisation law in its
present form have the potential to give control and ownership of means of
production to Zimbabweans? Who is Zimbabwean? Should all become owners of
the means of production? What is meant by means of production? What is the
purpose of production?

These are questions for another day. There is a difference between economic
indigenisation and economic empowerment. The former tends to be narrow and
by no means leave the majority better off. It refers to the mere transfer of
ownership from one minority to another minority.

There is nothing empowering to the majority about the law under discussion.
It is simply bringing to sum a decade-long process that has been underway in
Zimbabwe - the transfer of ownership of means of production to a minority
blacks.

While it may appear as if Zimbabwe is nearly outliving the post-colonial
phenomenon where the local bourgeoisie serves a primarily compradorial
function for the imperial core the reality is more complex than that.

Today networks and alliances with residual elements of white colonial
capital exist as a clear sign of failure by the black political and business
elite to independently pursue a meaningful and sustained accumulation
programme.

There is a problem with equating transfer of property to empowerment. The
philosophy that equates transfer of company ownership to empowerment is the
same that mistakes untapped recourses for wealth.

The Peruvian public intellectual Hernando de Soto reminds us that resources
must be made to "produce value beyond their natural state" otherwise they
remain "dead capital".

A look at what has become of Shabanie mine shows how easily a once
productive company (or farms) can be turned from 'active' to 'dead capital'.

What produces wealth is man's ability to tame nature and give it value. So
what use is untapped or unrefined gold? Even after being extracted the gold
must be tradable. What use is an uncultivated fertile land? It is precisely
what we do with what we have that generates wealth.

Thus any serious national economic empowerment project must focus on
capacitating the nation to produce. On its part a government must create a
favourable environment, legislative, political and otherwise to enable those
who wish to produce to do so.

African countries need to liberate themselves from the obsession with
extractives as the alpha and omega of empowerment. History has taught us the
dangers of relying on commodities production. As a nation we should be
engaging in a holistic economic empowerment programme whose main objective
is to create a better life for all through the creation of a dynamic,
diversified and competitive modern economy.

This is no mean task and cannot be a preserve for a single ministry let
alone one political party. The conceptualisation of a natural resource needs
to go beyond the preoccupation with extractives, to include individual
endowments, arts, culture, development of a globally comparable IT sector,
services industry, innovation and other aspects that define a 21st century
modern economy.

The problem with most empowerment programmes in Africa, such as the BEEE in
South Africa, is that they have not created entrepreneurs, innovative
business players. By their nature and design these programmes cannot - for
the simple reason that they are geared to accommodate a few political
well-placed blacks to share a limited cake especially in the commodity
industry.

These processes do not enlarge the cake. A national economic project for
this day must be developmental; production oriented and aimed at enlarging,
broadening and diversifying the economy.

It is time the "Land is the Economy Slogan" be jettisoned not only from
campaign posters and political slogans but also from minds. The country's
farms and firms must produce for its citizens and for trade with other
nations.

****Showers Mawowa is PhD Candidate (School of Development Studies -
University of KwaZulu Natal in Durban, South Africa) and Research Fellow at
the Crisis in Zimbabwe Coalition Harare.


Click here or ALT-T to return to TOP

Regulations dash ZSE recovery hopes

http://www.theindependent.co.zw/

Thursday, 18 March 2010 19:29

HOPE for recovery of the Zimbabwe Stock Exchange (ZSE) and equity investment
has turned into a nightmare as the volume of trade and share prices continue
to shrink following the introduction of indigenisation and empowerment
regulations. Never since dollarisation has the market recorded such a big
loss as that suffered in February after the regulations were gazetted by
Indigenisation and Empowerment minister Saviour Kasukuwere.
The benchmark industrial index lost 9,8% to close at 140,37 points having
opened the month at 155,60 points.
The market went for 10 consecutive trading sessions in the red. The
downtrend has continued in March.
According to the ZSE, the value of shares traded in February fell by 7,6%
compared to January.
February also recorded the lowest turnover since April 2009 with only US$29
million changing hands on the market.
Previous heavy losses had been suffered in August last year when the market
lost 7,7% and October when it shed 5,7%.
The reporting season has however stimulated the ZSE, an indication that the
bourse has some value, but is still failing to find direction.
Chengetai Zvobgo, an analyst with Kingdom Bank, said a sectoral analysis
shows that the losses were being recorded across all sectors.
"The resultant panic by investors turned the equities market into a sellers'
market as investors began offloading their holdings in anticipation of a
fall in share prices as companies rearrange their shareholdings structure,"
he said. "The new regulations could have scared away investors as they
digest the way forward in light of this development. Business coming from
foreign investors averaged 40% last year and contributed 29% in January and
below 20% in February."
The indigenisation regulations, among other things, require businesses to
cede a controlling interest of not less than 51% of their shares to
"indigenous" Zimbabweans.
From March 1, companies were given 45 days to disclose their shareholdings
or indigenisation plan, and they must fully comply with the law within five
years.
ZSE chief executive Emmanuel Munyukwi was however diplomatic on the impact
of the regulations on the market saying: "They could be, of course, some
challenges since the shares are traded on a free-buyer/free-seller basis,
but I believe listing could be the best option to meet the desired goals."
Munyukwi said most companies on the market were already indigenised "and we
are conducting a verification exercise".
"Listings would help companies to raise working capital. Companies used to
borrow money from banks but bank finance remains a challenge," he said.
Stockbrokers said the political situation in the country had a bearing on
the general sustainability of the equities market.
"Politics will continue to play a big role in determining the direction of
the market and more progress is still to be seen on that front. Political
developments should mirror a country that is ready to do business," an
analyst with ZABG stockbrokers said.
Economist Brains Muchemwa believes that the bearish trend was temporary, and
pins his hopes on transparency from both government and private sector.
"The market prices risk, and as such thoughts of doubt and fear can
crystallise and solidify into negative perception that may weigh on the
market for unnecessarily long periods. Therefore the media, government and
private sector have to remain objective, fair and transparent to assist the
markets," he said.
Muchemwa said most of the ZSE-listed companies were compliant with the
indigenisation regulations, and "we should expect more unlisted
non-compliant entities to approach the market in search of fair valuation
for their assets as they gravitate towards compliance with the
indigenisation regulations," Muchemwa added.
For the fairest implementation, Muchemwa said the ZSE offered "the best
platform where the private sector will get market value for their assets,
while the empowerment will have a greater chance to filter to many
disadvantaged people in the streets, unlike compliance via private
placements that may result in asset manipulation by greedy and corrupt
elements, or outright distortions and deceit by the private sector through
phoney schemes".
According to Lynton-Edwards Stockbrokers, the legislation could not have
come at a worse time in the country's economic reform process.
"The biggest threat facing business is if government decides to disregard
the law and simply help itself to cherry-pickings of the Zimbabwean
 economy," Lynton-Edwards Stockbrokers said.
It said in the short term the market is expected to trade flat.
"The majority of trade will probably involve strategic moves from counters
with small market caps to large blue chips shares as investors seek security
in anonymity and large numbers," the stockbrokers said. "The volume of trade
will remain suppressed and liquidity in the market should worsen. It is
probably too early to predict whether or not companies will begin selling
assets or demerging, but the protection offered by free floating
shareholdings (and the legislation's complete inability to adequately deal
with them) will probably prevent this in most counters," said
Lynton-Edwards.
Economist Eric Bloch said the market was expected to trade flat as the
legislation was as "unjust and pernicious as was legislation during the
abysmal UDI era".
"It is as iniquitous and contrary to the best interests of Zimbabwe and its
people as was the ill-conceived, counter-effective Land Acquisition Act of
two decades ago, devastatingly implemented since the turn of the century.
And yet again it is in blatant conflict with the diverse Bilateral
Investment Promotion and Protection Agreements," Bloch said
Bloch said no investors, providers of technology-transfer and of access to
their markets, could realistically be expected to subjugate themselves to
being junior partners, devoid of authority in the investment ventures.
"With such an expectation in the hands of government, the markedly increased
interest in investment that has progressively been developing has now been
annihilated," he said.
Going forward, analysts said investors should brace themselves for further
losses as long as the factors highlighted above continue to exist.

Paul Nyakazeya
 


Click here or ALT-T to return to TOP

Foreign direct investment an unmet expectation

http://www.theindependent.co.zw/

Thursday, 18 March 2010 21:48

WHEN the GNU came into effect a year ago there were high expectations on the
"expected flood" of foreign direct investment (FDI). Many anticipated that
the economy would get a boost from foreign capital directed towards the
ample opportunities the country presents. There were extremely optimistic
FDI figures thrown around' at the signing of the GNU. The general sentiment
was that investors who had a historical presence in Zimbabwe, such as the
South African and British companies, would re-establish their presence in
the country.
Over the last decade, FDI into the country peaked at US$444 million in 1998
before it became virtually non-existent as the political environment
deteriorated thereby increasing country risk.  The Chinese global influence
was also expected to contribute towards more FDI coming into the country.
The general perception was that the "Look East" policy tends to be more
effective as the investment consideration model from China does not come
with "strings attached" to the developments on the political front. The
question to be asked is, have any of these expectations been met and to what
degree?
There has been excitement generated by the press of "impending" corporate
transactions from external investors but for most cases these have not
materialised.  In late 2009 the local press reported that China and Zimbabwe
had signed an accord which would see China investing US$8 billion towards
mining, housing and energy. The state utilities privatisation scheme which
had also generated interest has been slow in implementation. The Zisco
privatisation which aroused interest is yet to be concluded.
Furthermore there has been an unclear position on how the other utilities
would be privatised, if at all. Public-Private Partnerships have not
materialized with most deals reaching the Memorandum of Understanding (MOU)
stage, but none have been concluded due to the economic uncertainty.
The political front has not been stable with unresolved issues pertaining to
the GNU resulting in investors waiting on the sidelines. Policy enactments
with the latest one being the "Indigenization Act" have also dampened
investor sentiment and reduced the amount of long-term finance available.
If the banking sector deposits are anything to go by, the Zimbabwean banking
sector is currently sitting on US$1,3 billion which in the broader global
perspective is insignificant. The sector has not been able to mobilise
external credit lines for specific projects due to the perceived country
risk. The country currently does not have a sovereign credit rating which
also has an impact on its ability to mobilise funding from both the private
investors and international funding institutions. African countries with a
good credit rating like Ghana and Congo Brazzaville have been able to raise
sovereign debt through US$ denominated bonds for infrastructure development
among other country needs.
The recession did not help the situation as liquidity dried up and investors
started looking at opportunities which made the most commercial sense with
emphasis being on the return on investment and other risk factors. There was
competition amongst emerging market economies for the same "US dollar" which
would be invested in the best market amongst a plethora of opportunities.
The country presents a lot of compelling investment cases: a learned
workforce with a literacy rate of 90% which is amongst the highest in
Africa.
The key to ensuring that FDI inflows are harnessed into the country will be
the creation of an enabling environment where there is security guaranteed
for foreign investments without policy inconsistencies.
Respect of property rights will also instil confidence in would-be
investors. A Bilateral Investment Promotion and Protection Agreement (Bippa)
with South Africa was signed late last year - after protracted
negotiations - which offers protection to South African investments in the
country against possible forfeiture. This also gives an assurance that they
will be able to take their money out. If this agreement is observed to the
letter it should also stimulate FDI; assuming all other factors are also in
sync.

By Precious Mhlandhla


Click here or ALT-T to return to TOP

Increased confidence as bank deposits rise 35%

http://www.theindependent.co.zw/

Thursday, 18 March 2010 21:43

BANK deposits increased by 35% during the last quarter of 2009 from US$1
billion to US$1,35 billion due to growth in business activity, increased
confidence in the financial sector and rising industry capacity utilisation.
The average monthly deposit growth was US$113 million, a 9% increase or 26%
of GDP.
Loans and advances for the quarter grew by 39,6%, while loans to deposit
ratio increased from 55,2% to 57,7%.
According to figures obtained from the Reserve Bank this week, CBZ emerged
as the market leader controlling 24,6% of the deposits.
Standard Chartered had 16,7%, while Stanbic received 12,6% of the deposits,
Barclays 9% and FBC 7%.
The apex bank said growth in industry loans had been curtailed mainly by the
shortage of term deposits.
"The future of the banking sector lies mainly in private/wealth management
banking and small and medium-sized business sector," the bank said.
The bank forecasts deposits for the first quarter of 2010 to reach US$1,69
billion.
Major market movers were Standard Chartered Bank with a market weighted
growth of 33%, CBZ 29%, FBC 18%, Barclays 4% and Premier 3%
"Market shakers were Stanbic and MBCA, having market weighted loses of 13%
and 2% respectively," the central bank said.
The market weighted growth for the rest of the banks was 1,4%.
"The high deposit growth rate has had a ripple effect on the stock market as
evidenced by high and positive correlation of 80% between the growth rates
of deposits and the indices," said the Reserve Bank.
The bank said one of the reasons for such strongly correlated growth was
because of an increase in advances for working capital, thereby increasing
capacity utilisation of companies.
Of the deposits, commercial banks accounted for US$1,2 billion or 89,3%
while merchant banks handled US$110 million (8,2%), Post Office Savings Bank
accounted for US$11,9 million (1,4%) and building societies US$15,7 million
(1,2%).
The current industry deposit structure is 46% for 1-7 days, 17,2% for 8-14
days and 27,8% for 15-30 days.
Volatility of banking deposits shows that wealth or income was concentrated
in a few hands hence the future of the banking sector lies mainly in private
wealth management banking and small and medium-sized business sector.
"Given the recent boom in mobile phones and internet accessibility, another
key area for growth will be the telephone and internet (electronic)
 banking," the central bank said.
The deposit concentration by the top five banks (all commercial banks)
averages 68,4% during the last quarter of 2009.
The increase in bank deposits has enhanced banking sector capacity loans and
advances with banks such as CBZ Bank now offering 180 days loans.
Loans and advances for the quarter grew by 39,6% from US$558 million as at
30 September last year to US$779 million as at December 31.
The market monthly average advances were US$613,7 million.
"During the period under review, the industry loans to deposit ratio
increased from 55,2% to 57,7%, the bank said.
Growth in loans has been curtailed by the shortage of deposits. The fact
that demand deposits restrict banks from providing funding to the productive
sectors of the economy limits the rapid take-off of these sectors.
Analysts said default risk remained very high with most loan applications
being businesses trying to recover.
Some banks cited high risk profiles associated with some sectors of the
economy such as agriculture, resulting in the industry loan book being
skewed towards the retail and distribution sector where working capital
cycles are in sympathy with the structure of deposits.
Despite a sustained increase in bank deposits during 2009, there was limited
interbank trading because of the absence of acceptable collateral
instruments and absence of lender of last resort.
Going forward after banks have published their first set of audited US
dollar denominated accounts, inter-bank trading may resume although at a
slower pace.
"The survival of the sector rests on the restoration of confidence in the
sector, an even spread of deposits, ability to attract long terms deposits
and recapitalisation of the banking sector," the bank said.
Bank's interim financial results in US dollars saw them incurring impairment
losses as a result of the multi-currency introduction and such writedowns
are minimal in the full year -end results being announced as cost
restraining measures have been adopted by most banks.

Paul Nyakazeya


Click here or ALT-T to return to TOP

Forget the Reds, meet the bona fide capitalists

http://www.theindependent.co.zw/

Thursday, 18 March 2010 21:30

AT a rare meeting with journalists a fortnight ago, President Robert Mugabe
disclosed that he owned Highfield Farm in Norton, a farm he bought in the
early 1980s, and Gushungo dairy farm in Mazowe, which he called a family
farm. From there, in the words of David Copperfield, he "meandered" into
business matters and unveiled the capitalist in him.
He spoke about his business, a dairy farm seized from a hapless white
farmer. He complained bitterly that DZHL (formerly Dairy Marketing Board)
had failed to pay for milk deliveries for six months and spoke of his
investment in Gushungo Holdings, giving a rare insight into his grasp of
business. He seems to have now  become a capitalist.
He was commenting on the Nestlé fiasco last year where the food conglomerate
refused to buy milk from his farm owing to relentless pressure from various
activist groups.
Mugabe claims he made a business decision; to sell milk to a company that
pays on time. He realised that Nestlé's decision was basically business and
nothing personal in other words.
He said: "Nestlé has a right to choose people whom they want to deal with.
We have parted ways and it was a question of external forces. It is an issue
of sanctions -- it should not have been on a political basis."
Mugabe said they had now reverted to Dairibord, which pointed out that it
did not have money.
"They (DZHL) didn't pay us for six months -- imagine six months.aahh vanenge
vachiti tinenge tichirarama sei (how do they think we survive)? The dairy
industry is very costly. We put so much into it and we bought machinery
which is very expensive. We had hoped that Gushungo will be a model farm,"
he said.
Years back, a communist like him would have been thinking of how well he
would share his milk with his neighbours in the spirit of socialism.
And harbouring such a business idea would have been treasonous by communist
standards.
His communist friends in the party would have branded him "an ally of the
capitalists and an enemy of socialism".
Mugabe's party, Zanu PF, adopted a communist style leadership code in 1984,
barring members from venturing into businesses for profit except for small
poultry projects. Leaders could also not get into farming projects on land
above 50 acres in size among other prohibitions.
The leadership code reads: "Zanu believes that a leader who concentrates on
acquiring property, or who personally engages in the exploitation of man by
man, rapidly becomes an ally of the capitalists and an enemy of socialism;
and of the masses of the population."
It also said: "Except as provided in this section, and except as required by
his official position, a leader may not: -- own a business, a share or an
interest in a business organised for profit; provided that this shall not be
interpreted as prohibiting such petty side-line activities as chicken runs,
small plots and gardens on one's residential property; receive more than one
salary."
The code also prohibits members from taking up directorships in a private
firm or business organised for profit, own real estate or other property, or
an interest in real estate or other property from which he receives rents or
royalties.
The code further disallows owning more than one "dwelling house" except as
dictated by family requirements, but in no event shall additional houses be
for purposes of earning rents.
"In addition to a salary, receive fees on account of lectures or
professional activities in excess of $1 000 a year. Nothing in this section
prohibits a leader from receiving a fee/ or a royalty on account of a book
or work of art or patent that he personally wrote, created or invented,"
read the code.
"The Central Committee shall require that leaders disclose their assets
periodically, and when so asked, leaders shall comply. Whilst a leader may
secure a loan against his salary, in no circumstances shall he use his
position to borrow funds or secure any other personal benefits."
The party was still communist and a thousand Zimbabwean dollars was still a
considerable sum.
Members were supposed to disclose their wealth and financial affairs.
But the code was only valid for a while. Cracks within the bastion of
communism in Europe had been emerging. The then president of the USSR
Mikhail Gorbachev was pushing reforms in the economy and in government
through his glasnost and perestroika.
The USSR began a transformation from communism into capitalism and pursued a
free market economy. When the collapse of communism in Europe finally
happened, the Zanu PF leadership had embraced capitalism quietly after
realising that even die-hard "comrades" had betrayed their own cause and
were moving towards capitalism.
The code was abandoned.
Four years down the line, the first high-profile corruption scandal --
Willowgate -- rocked the young government. Ministers and well placed
individuals were caught with hands in the cookie jar.
The scandal claimed the scalp of Morris Nyagumbo, who took the code a bit
too seriously and committed suicide.
In retrospect, the scandal was a mere storm in a tea cup and Nyagumbo's
offence seems laughable now.
Nyagumbo had helped himself to the then trendy Toyota Cressidas for resale.
Now his buddies  are cruising in luxurious Mercedes Benzes and Toyota
Prados.
Other culprits such as Fredrick Shava were forgiven. He is now Zimbabwe's
ambassador to China.
After Willowgate, leaders have never disclosed what they own and how they
got their money. Corruption has become entrenched and party bosses do not
respect the code. To them, the need to fight corruption went away with the
Wilson Sandura Commission, which investigated Willowgate.
Government and party officials own businesses in various sectors of the
economy. Ministers own more than one farm flouting their own policy of
one-man-one-farm policy when Zimbabwe embarked on a land reform programme.
Even Mugabe does not say where he got the money to pay for equipment given
his paltry salary which was wiped out in the hyper-inflation days.
He also does not reveal what else he owns. His critics say he has built a
business empire apart from the milk business.
Mugabe says his "relatives" also own other farms. Back in those days, the
red in him would have defined a "relative" as a "wife, son, daughter,
grandchild or any other relation of the family".
The party's central committee would have moved to "ascertain that a leader
does not derive any financial benefits" from such "relatives" on the pretext
that relatives were not to "be used as fronts" in business ventures,
according to the leadership code.
But those were the days of socialism and a corruption-free leadership. How
times have changed!

Chris Muronzi

 


Click here or ALT-T to return to TOP

Indigenisation puts companies under spotlight

http://www.theindependent.co.zw/

Thursday, 18 March 2010 21:28

WHEN government gazetted the indigenisation regulations compelling
foreign-owned companies to cede 51% stake to native Zimbabweans, blue chip
counter, Old Mutual and a few other listed companies came under the
spotlight. Zanu PF sharks are reportedly eyeing the group and could be
imagined salivating for a stake.
Owning such a conglomerate whose life assurance arm is an active player on
the bourse and has varying interests in most listed companies was simply
irresistible for many.
The January 29 regulations required all foreign-owned businesses with assets
valued over US$500 000 to declare their shareholding to government and
present an empowerment plan to indigenisation minister Saviour Kasukuwere by
mid-April.
Opportunists must have already been targeting chairing the board of the
conglomerate and calling the shots at a company that owns prestigious
shopping malls such as Borrowdale Brooke, High Glen, Chitungwiza and
Nkulumane.
But reported "covert plans" by Zanu PF sharks to seize control of Old Mutual
are unlikely to be a walk in the park.
Stock market sources say the empowerment regulations may prove difficult to
implement on fungible stocks.
The regulations require companies to fully comply within the next five
years.
Some players also argue that ownership of companies should be on the basis
of who has the deepest pockets.
Analysts say the controversial indigenisation regulations which came into
force this month will have less impact on companies whose primary listing is
outside Zimbabwe.
Primary listing refers to the main exchange on which a stock is listed.
Apart from Old Mutual, cement manufacturer PPC and ABCH have primary
listings on the JSE and Botswana bourse respectively. Old Mutual is fully
fungible being listed in London, JSE and ZSE. BancABC shareholders include
among others Old Mutual, Botswana Insurance Fund Managers (BIFM) and the
International Finance Corporation.
"It is difficult for government to apply the regulations on companies with
primary listings outside Zimbabwe," said a veteran stockbroker. "Such
counters should be governed by the laws of countries where they have primary
listing."
ZSE sources also said the Securities Commission of Zimbabwe is organising a
meeting where the local bourse, the ministry of Indigenisation, treasury and
the commission would clarify the fate of listed companies likely to be
affected by the regulations.
For Old Mutual, its demutualisation has been the "biggest empowerment
exercise" the company has undertaken.
Old Mutual is often viewed as a very influential investor both on the stock
market and in the real estate sector.
"Its investment activity is often labelled 'foreign'.We believe that the
demutualisation of the old society is probably the biggest empowerment
exercise in this country. Main beneficiaries were ordinary people such as
workers and policyholders," reads the company's prospectus.
In 2007, the company offered a fifth of its business to employees as part of
its empowerment drive.
Critics also criticised the regulations for granting Indigenisation minister
carte blanche over companies. This, they argue, could prejudice Zimbabwe's
economic growth plans.
Market watchers also said the indigenous regulations would also see major
shake-ups in companies that have in the past failed to comply with ZSE
regulations on ownership.
At least 30% of shares of listed companies should be in the hands of the
public, or rather no individual or corporate investor is supposed to have
more than 70% scrip in a listed company.
But a look at a handful of listed companies tells a different story.
Cafca, a manufacturer of electrical cables, is one company that is likely to
have a major shake-up unless it gets some form of reprieve.
The London Register has a controlling stake of 74% in Cafca followed by
Edwards Nominees. Business magnate Nicholas van Hoogstraten, through his
Messina Investment, is third accounting for 4,65% of issued shares.
Cement producer Lafarge is also in breach of the ZSE regulations. Associated
International Cement Ltd has a scrip that is above the threshold, accounting
for at least 76%. CFI Holdings and The Farlow Trust placed second and third
on the register account for just over 5% of Lafarge. Colcom Holdings is 80%
owned by Innscor Africa, followed by Old Mutual Life Assurance and Zesa
Staff Pension Fund.
Market players also say the ZSE already has regulations that economically
empower locals. Listing regulations dictate that 30% of companies' total
issued share capital should be in the hands of the public.
Efforts to get comment from ZSE chief executive officer, Emmanuel Munyukwi,
on the fate of companies that are in breach of the regulations were in vain
as he was out of the country.

Bernard Mpofu


Click here or ALT-T to return to TOP

Muckraker: Sekeramayi be honest, at least for once?

http://www.theindependent.co.zw/

Thursday, 18 March 2010 20:00

WHERE is Jomic when cabinet ministers such as Sydney Sekeramayi move around
inciting political tension in the country at a time when the healing and
reconciliation process should be in full swing? Sunday's ZBC news bulletins
were dominated by Sekeramayi. He was quoted telling Zanu PF supporters in
Mazowe they should remain vigilant as the "enemy was making dedicated
efforts to penetrate the party's strongholds, especially in the rural areas".
Which "enemy" was Sekeramayi talking about? We can safely  assume he was
referring to Morgan Tsvangirai and the MDC.
Is this not the kind of language that leads to political tensions and
violence?
Can he tell us why Tsvangirai's party should not be allowed to penetrate
Zanu PF strongholds?
It is fine for Zanu PF to want to penetrate the MDC's urban strongholds but
they are immediately branded "enemies" when they want to penetrate Zanu PF's
rural stronghold.
Jomic must move in and censure such individuals from uttering statements
that are designed to upset the fragile "truce" pervading  the countryside.
This is a deliberate breach of both the letter and spirit of the GPA.

Sekeremayi was speaking at a celebration party hosted by Zanu PF politburo
members from Harare and Mashonaland Central. They were celebrating their
recent appointments.
He seized the opportunity to mislead Zimbabweans by telling the gathering in
Mazowe how good the new indigenisation laws were and how they would "benefit
every Zimbabwean".
We know what that means. Only Zanu PF bigwigs, their relatives, girlfriends
and small houses will be assured of being empowered through this latest
gravy train.
"Our economy is better protected in the hands of the majority," Sekeramayi
said.  We recall voters rejecting these blandishments in 2008.
Can the minister be honest, at least for once?  Did we all not see for
ourselves what happened to previously viable commercial farms as soon as
they were taken over by "the majority"? Where did Kondozi go?

Was President Mugabe sincere when he told editors at Zimbabwe House recently
that his relations with Prime Minister Morgan Tsvangirai were cordial and
the two occasionally have tea and pancakes together?
The question was prompted by threats issued against the PM by Zanu PF youths
at the party's headquarters in the capital in Mugabe's presence. A week
later, youths from this same "revolutionary party" promised Tsvangirai from
their Bindura base that he would "face unspecified action" if he failed to
have sanctions removed "not later than March 24".
"This is not a threat but a promise," read a petition from the Zanu PF
youths. The Sunday Mail reported "over 5 000 youths" last Friday marched
through the streets of Bindura to register their displeasure at the
Western-imposed illegal economic sanctions on Zimbabwe.
The threatening petition was handed over to Advocate Martin Dinha, governor
and resident minister for Mashonaland Central.
Has anybody cared to remind these "youths" that sanctions were imposed as a
way of forcing President Mugabe and his delinquent party to restore the rule
of law in the country.
The United States and the European Union have always made it clear that as
soon as Mugabe restores Zimbabwe to a proper democracy the punitive measures
will be removed.
The demonstrating "youths" should be reminded that threatening the PM with
"unspecified" action undermines the Global Political Agreement. We have
heard the US and the EU saying sanctions can only be removed if they are
satisfied Mugabe and Zanu PF are genuine about implementing, in full, the
GPA.
So anyone inciting these "youths" to continue to undermine the GPA is
advocating for the sanctions to stay.
And why is the president quiet when Tsvangirai is obviously being harassed
and threatened by "youths" from his party in complete disregard for the
spirit of the GPA?

How many readers remember Margaret Dongo, who famously referred to the
braggarts in Zanu PF as "Mugabe's wives"? Online agency Zimdaily reported as
follows recently:
"Forgotten political loose cannon Margaret Dongo spiced up ZTV's usually
tiresome news broadcast with a foul-mouthed tirade against 'grown men who
are always crying about sanctions'.
"Dug out of obscurity by some reporter who had obviously forgotten to give
Maggie the full script and a producer who was evidently half-asleep on the
job, Dongo launched a trademark rant at the leaders of the country.
"'We are tired of grown men who are always crying about sanctions. Now they
are saying they have sent President Zuma (to England to call for the lifting
of sanctions).
"'You want to get someone to help you screw,'" shouted Dongo facing straight
into the TV camera while making the time-honoured finger gesture to
illustrate her point."
There is obviously still some life left in the old girl!

DStv screened Valkyrie last Sunday night. This was the story of the plot to
assassinate Adolph Hitler in 1944 with Tom Cruise as the chief conspirator
Claus von Stauffenberg. What caught Muckraker's attention was the
designation of Hitler as "Fuhrer of the German Reich and People, and
Commander in Chief of the German Armed Forces".
Does that ring a bell? Some acolyte has been watching too many war films!
Still on DStv, we were curious to know what the policy is on the 8pm Sunday
slot. This used to be a premiere screening of a movie that would then make
its way around the DStv circuit. But Valkyrie has already been showing
around the circuit so when it screened on Sunday night it was far from being
a premiere.
Muckraker was a tad sceptical about DStv's interviews with viewers a few
weeks ago in which they were encouraged to say how much better DStv is than
cable TV in the UK and Australia.
When viewers complained about constant repetition of programmes they were
told to plan their viewing so this didn't happen.
It wasn't the most suave PR exercise we've ever seen! If they asked
Muckraker what the most annoying thing about their output was, we would have
unhesitatingly said their promotional ads for their own programmes.

How many of our readers we wonder enjoy the BBC's "Africa Have Your Say"?
All networks it seems have now embraced the practice of the feedback,
letting listeners/viewers have their say. No sooner has a programme started
than the phone lines are buzzing with listeners wanting to have "their say".
But have they anything interesting to say?
Sadly, not always. Some months ago under the heading, "Best and Worst of
2009", they had people call in to say what their best and worst experiences
were. One listener in Gabon wanted the world to know that his girlfriend
left him in 2009. We are not surprised. He was not the brightest light in
the room. Asked how old he was, all he could say was "Yes, I'm young".
This mantra was repeated every time the interviewer tried to eke out this
pertinent information. It never varied: "Yes, I'm young."
But listener participation is not confined to "Africa Have Your Say". Just
about every news item now has a phone call or e-mail from somebody in Sierra
Leone or Sudan providing their less-than-scintillating views on something
that has featured in the programme. And audio quality doesn't seem to
matter.
Do we really need to know what Joe Blogger next door thinks about the
situation in Somalia or Swaziland? We listen to the BBC and other networks
to hear their reporting and views, not somebody whose views are
unintelligible and sound as if they are calling from Mars!
Please guys, get a life. If you don't have anything to say, don't call in!

Finally we were amused to notice on Page 2 of Wednesday's Herald an article
proclaiming "Chiadzwa: Cabinet endorses Mbada, Canadile activities". It was
based on a statement by Obert Mpofu. Elsewhere on the same page was a story
illustrating some of those "activities".
The trial of one of Canadile's directors, Komilan Packirisami, accused of
illegal possession of 57 diamonds, started on Monday in Mutare, we were
told. He was "nabbed", as the state media likes to say, with a colleague at
Hot Springs.
Mpofu said at his press conference it was government's desire to ensure
Zimbabwe enjoyed benefits from
the sale of diamonds from Chiadzwa.
How long did it take him to wake up to that "desire" we wonder?

 


Click here or ALT-T to return to TOP

Eric Bloch: Endless pursuit of economic destruction

http://www.theindependent.co.zw/

Thursday, 18 March 2010 19:33

CHARITY provokes a wish to believe that government's endless and relentless
pursuit of policies which assure intensifying destruction of the Zimbabwean
economy is naught but ill-conceived, dogmatic ideologies and concepts which
are grossly oblivious to realities.

However, as government embarks upon one devastating economic policy after
another, ignoring the informed and well-founded cautions and advices of the
private sector, the international community and others, ultimately one must
ponder whether government is not bent upon the total annihilation of the
economy.

How else can one explain that government continuously legislates measures
which can only result in the further, accelerated decimation of that which
could be one of Africa's most virile economies?

In the 1980s it did so by the wasteful misuse of the considerable funding
from numerous international well-wishers.

Instead of substantively using the funds for capital development and
infrastructural enhancement, the funding to such economy-enhancing purposes
being relatively minimal (save for commendable expenditure on education and
health), most of the funding was targeted at governmental aggrandisement,
corrupt misappropriation and abuse.

Expenditures on flashy motor vehicles, housing for the governmental elite,
international travel and upon the incomprehensibly large armed forces were
prioritised over construction of dams, procurement of adequate
energy-generation resources, viable capitalisation of parastatals and
similar economic enhancement.

Then, in interaction with the International Monetary Fund and other Bretton
Woods institutions, the Economic Structural Adjustment Programme (Esap) was
formulated, strongly supported with international funding.

However, much of Esap was abhorrent to government (such as the containment
of corruption), and government perceived that the programme would markedly
diminish governmental control over the economy.

Therefore, only selective elements of the programme were implemented and,
isolated from the other facets of the programme, those pursued were mainly
ineffective, or counterproductive to a significant extent.

As a result, not only were the projected benefits of Esap not forthcoming,
but also in many respects the economy worsened.  Of course government denied
culpability, blaming all the economic ills and woes upon Esap (and claiming
that Esap was a diabolically-connived strategy of the international
community to dominate Zimbabwe and its economy).

In making such denials, government expertly used its vast propaganda
machine, convincing most Zimbabweans that Esap and its international
promoters were the catalysts of the economic hardships and associated
suffering.

Belatedly, in 1994, driven by economic desperation, government implemented
most of Esap, resulting in a significant upturn over the ensuing three
years.

Obviously, such upturn was against the governmental "grain", so with devious
skill the upturn was peremptorily halted in late 1997.

Government agreed a compensation and pension package for war veterans (real
and pseudo) which, irrespective of justification or otherwise, was far
beyond the state's financial means.

The consequential imminent, intensified bankruptcy of the state triggered an
immediate, monolithic devaluation of the Zimbabwean dollar, which in turn
fuelled severe inflation. The inflation impacted negatively upon the
viability of commerce and industry, and the economy as a whole.

Fearful of the growing bitterness of most Zimbabweans subjected to
ever-increasing economic stresses and concomitant hardships, government
embarked upon its land acquisition and resettlement programme.

There was an incontrovertible need for land reform, enabling all who would
meritoriously and productively use the land to have opportunities to do so.

But the programme was implemented in a manner devoid of justice and equity,
in blatant disregard for Bilateral Investment Promotion and Protection
Agreements (Bippas), and with equal disregard for the thousands of
Certificates of No Interest previously issued by government when land was
being sold.

Land reform was progressed by the displacement of thousands of productive
farmers, in the main being replaced by those without capital, or without the
expertise to generate productivity commensurate with that previously
attained by the displaced farmers.

From being the region's "bread-basket", Zimbabwe was reduced to mass
importations of basic foods.  Concurrently, hundreds of thousands of farm
workers became unemployed.

They and their dependants, aggregating more than two million souls, joined
the ranks of the poverty-stricken, undernourished population.

And government compounded the ills it had created, and continues to compound
them, by gross maladministration of the land reform programme and of the
procurement and distribution of essential inputs (such as seeds and
fertilisers).

However, convinced of its absolute omnipotence, government has steadfastly
convinced itself that the collapse of Zimbabwe's agricultural sector cannot
in any manner be attributable to its policies and administration.

Such collapse is, in the psychotic perception of government, due primarily
to evil, Machiavellian and self-centred machinations of the international
community in general, and the former colonial powers in particular,
exacerbated by adverse climatic conditions.

There are none so blind as those who will not see, and the Zimbabwean
government is first and foremost in its determination not to recognise any
facts which do not align to its preconceptions.

Despite effecting one onslaught after another upon the economy, elements of
the economy continued to survive, albeit with ever-greater difficulty.

To a government which appears to be determined upon achieving total
eradication of the economy (save for any ill-gotten gains that some in, or
associated with, government have accumulated within and outside Zimbabwe),
the continuing survival of some economic activity must be anathema in the
extreme!

Clearly, yet a further strategy was necessary!  And hence the promulgation
of the Indigenisation and Economic Empowerment Act, on March 7 2008,
followed by enactment of that Act's underlying regulations, gazetted by
Statutory Instrument on February 12 2010.  In one fell swoop, government
(probably gleefully) frightened away from Zimbabwe billions of dollars of
grievously needed, employment-creating and foreign investment.
Concurrently, such limited residual business confidence and morale that
still existed in Zimbabwe was totally destroyed.

Presumably fearing that even this will not have achieved the final and total
destruction of the economy, last week government sought to reinforce its
strategies by an announcement by Minister of Mines Obert Mpofu that the
entirety of mining operations in Zimbabwe must be owned and conducted by
Zimbabweans, foreign investment being barred from engagement in mining.  Yet
another nail in the economy's coffin!

It stretches imagination too far to believe that these endlessly pursued
policies of economic destruction are conceived and implemented with good and
positive intents. Surely no government can be so bigoted, or so stupid (or
both) as to fail to recognise the recurrent and never-ending harm it has
occasioned, and continues to cause. Not unless either it is imbued with
absolute beliefs of its omnipotence, compounded by pronounced paranoia, or
is wholly determined upon achieving a total economic Armageddon, for
whatsoever inconceivable reason.


Click here or ALT-T to return to TOP

We are all indigenous...

http://www.theindependent.co.zw/

Thursday, 18 March 2010 19:24

UNDER the Economic Empowerment Regulations 2010 an indigenous Zimbabwean is
defined as "any person who, before the 18th April, 1980, was disadvantaged
by unfair discrimination on the grounds of his or her race, and any
descendant of such person..." This, thankfully,  covers every person then
living here.
I, for example, was born in the Midlands at Dadaya in what was then termed a
Native Reserve, now Runde communal lands.  While Dadaya was becoming a
centre of academic excellence, the alma mater of students such as Ndabaningi
Sithole, Cephas Msipa, Misheck Sibanda etc I couldn't enrol there as I wasn't
black.  I had to attend a white school, the nearest being in Zvishavane,
where  the children were being "unfairly discriminated" against (what is
"fair discrimination"?) by being segregated from contemporary black, Asian,
coloured  etc kids, thus unable to make friends with them or to learn
languages other than English.
They were also being damaged by the inculcation, deliberate or otherwise, of
the insane belief that to be white was to be superior - unless they were
little Jews, Greeks, Portuguese, Italians or others from a non Anglo-Saxon
genesis who were regarded as being not quite white.
All members of every community were also being unfairly disadvantaged and
damaged,  spiritually, physically and mentally, by the cruel suppression of
blacks  under  the rampant leaders of the white minority.  This suppression
was rooted in the 1931 Land Apportionment Act  described in 1964 by  the
Constitutional Council, a body created to review existing legislation, as
"the embodiment of racial discrimination... responsible for not only
intangible prejudice but actual material prejudice in the financial sense to
all races in Southern Rhodesia ...."
The  1957 manifesto of the  African National Congress,  then lead by Joshua
Nkomo,  stated that its aim was "national unity of all inhabitants of the
country in true partnership regardless of race, colour and creed.  It stands
for a completely integrated society, equality  of opportunity in every
sphere and the social, economic and political advancement of all". Banned,
it was replaced by the equally non-racial National Democratic Party  where,
to the horror of  government,  the overwhelmingly black membership was
slightly increased by a number of whites, Asians and Coloureds. When banned,
it was replaced by the non-racial Zimbabwe African People's Union (Zapu),
from which the Zimbabwe African National Union (Zanu) broke away in 1963.
By now a contrived, CIO-encouraged apartheid  had  taken root and those few
whites who may have wanted to join were unfairly excluded from membership of
Zanu because of their race.
It is difficult, painful, and maybe temporarily impossible for contemporary
Zimbabweans, victims of decades of ceaseless racist, religious and tribal
and brain-damaging propaganda  and violence from one side or another,  to
comprehend the human intricacies of what was an essentially non-racial
struggle for freedom, independence, dignity and democracy embodied in the
word Zimbabwe.  We are, for example, acquainted through the names,  although
not deeply or honestly enough yet through dispassionate histories of their
lives, with some of the many black heroes of Zimbabwe such as Charles
Chikerema, Enoch Dumbutshena, Richard Hove,  George Nyandoro and Washington
Sansole to name but a few.
But the names of their non-black
fellows in the struggle are yet to take their rightful place in our history
and this is possibly the explanation of how latter-day Zimbabweans, such as
Indigenisation minister Saviour Kasukuwere, seem unaware that they ever
existed.
In his oration at the 1986 funeral of  one of our heroes, Lieutenant General
Lookout Masuku, Joshua Nkomo lamented the fact that Masuku had died a
prisoner in the hands of the Zimbabwe for which he had fought.  "We cannot
blame colonialism and imperialism for this tragedy.  We who fought against
these things now practise them.  Why?  Why?  Why?...  We are enveloped in
the politics of hate.  The amount of hate that is being preached today in
our country is frightful.  What Zimbabwe fought for was peace, progress,
love, respect, justice, equality, not the opposite..."
He continued by warning that "our country cannot progress on fear and false
accusations which are founded simply on the love of power.  There is
something radically wrong with our country today and we are moving, fast
moving, towards destruction. There is confusion and corruption and, let us
be clear about it, we are seeing racism in reverse under the false mirror of
correcting imbalances from the past.  In the process we are creating worse
things.  We have created fear in the minds of some in our country.  We have
made them feel unwanted, unsafe."
Nkomo concluded by regretting that Masuku was not being buried at Heroes
Acre.  "But they can't take away his status as a hero. You don't give a man
the status of a hero.  All you can do is recognise it.  It is his.  Yes, he
can be forgotten temporarily by the state.  But the young people who do
research will one day unveil what Lookout has done."
And research will also, one day, unveil the fact that non-Zezurus too
contributed mightily to the struggle for and achievement of  Zimbabwe.
Amongst the many names of those who fought and suffered for us a few, just
to start off with, are Mike Auret, Guy Clutton-Brock, Joseph Culverwell and
Eline Raftopoulos,.
South Africa's late Dr Hendrik Verwoerd would perhaps have been pleased to
know that even into the 21st century some are still in hot pursuit of his
goal of apartheid as evidenced by the regulations covering so-called
indigenisation and economic empowerment.  But he may have been surprised to
learn that his few spiritual disciples of today are also members of Zanu PF.

Judith Todd and her father, Sir Garfield Todd, were among the victims of
white supremacy in Rhodesia during the struggle for Zimbabwe.
 


Click here or ALT-T to return to TOP

Comment: Media resolutions remain in limbo

http://www.theindependent.co.zw/

Thursday, 18 March 2010 20:27

IT'S over 10 months since a media reform conference was held in Kariba and
various resolutions were adopted, but their implementation has been slow and
in most cases non-existent. The conference, facilitated by the Media,
Information and Publicity ministry, was boycotted by most private media
players and civil society who viewed it as a mere talk shop. It was
inappropriate, they felt, to hold such a meeting when journalists such as
Shadreck Manyere were incarcerated facing trumped up charges.
They were also concerned by some of the panellists who over the past decade
have been at the forefront of not only muzzling the media, but also closing
newspapers altogether.
From several media reform proposals agreed to at the conference, only one
has so far been implemented - the establishment of the Zimbabwe Media
Commission - but with no benefit yet to the media.
But the time spent getting to this point is inexcusable given that the unity
government formed last February under the global political agreement (GPA)
was explicitly mandated to ensure the "immediate processing by the
appropriate authorities of all applicants for re-registration and
registration in terms of both the Broadcasting Services Act as well as the
Access to Information and Protection of Privacy Act".
The GPA furthers states that: "In recognition of the open media environment
anticipated by this agreement, the parties (Zanu PF and MDC formations)
hereby . encourage the Zimbabweans running or working for external radio
stations broadcasting into Zimbabwe to return to Zimbabwe, and that steps be
taken to ensure that the public media provides balanced and fair coverage to
all political parties for their legitimate political activities."
No one knows when this will happen though the government claims to be
yearning for investment to revive the comatose economy and at the same time
creating employment.
The media environment under the inclusive government is not yet conducive
for exiled journalists to return home and carry on with their business. The
Media ministry has refused to guarantee their safety. The Zimbabwe National
Editors Forum has written to the ministry on the subject of returning exiles
and up to now there has been no response.
Nothing significant has been done to repeal the draconian Access to
Information and Protection of Privacy Act and replace it with two vital
proposed laws - the Freedom of Information Act to regulate access to
information and privacy and the Media Practitioners Act to outline
procedures for registration of journalists, which should be as simple and
informal as possible, and provide for issues of discipline which must be
handled by self-regulating bodies and not the self-interested state.
Another resolution at the Kariba conference which is far from being
implemented is that access to the media industry in broadcasting should be
open to "foreign investors to the extent of 49% maximum, and no discretion
should be allowed to the Media minister to vary this percentage", as in the
Broadcasting Services Act.
The airwaves remain closed and ZBC continues to enjoy a monopoly to the
detriment of would-be private broadcasters and in defiance of a Supreme
Court order 10 years ago. It was agreed at the conference that the national
broadcaster must become a statutory body again instead of being incorporated
as a private company controlled by the ministry. It was also agreed that the
Zimbabwe Mass Media Trust should be reinstated to manage Zimpapers and Ziana
as public entities, not purveyors of Zanu PF propaganda.
These reforms remain unimplemented and there is no evidence that they will
be embarked on any time soon.
What is disturbing is that the two MDC formations who are partners in the
inclusive government have failed dismally to initiate or push for media
reforms. Before going into the shaky government the parties had spoken out
loudly about media freedom, but seem now to have been consumed by the
trappings of power and are behaving like their Zanu PF colleagues.
Jameson Timba, Deputy Media, Information and Publicity minister, recently
told the MDC-T's newsletter, Changing Times, that prospects of a free media
in the near future remain a mirage because of laws like Aippa and the
draconian Criminal Law (Codification and Reform) Act.
The minister was candid that this state of affairs was forcing people to be
proactive and publishing newsletters and other unofficial media.
The diehards have been beneficiaries of a skewed media environment and they
will fight tooth and nail to maintain the status quo, especially now that we
are likely to go to the polls next year. Freedom of the press is a threat to
Zanu PF diehards who want to use the public media to disseminate their
pernicious propaganda. There is need for all progressive forces to compel
the inclusive government to embark on media reforms to enhance democracy and
level the political playing field ahead of the elections. Without a free
press, there won't be a free election.


Click here or ALT-T to return to TOP

Candid comment: Zim crisis requires all stakeholders

http://www.theindependent.co.zw/

Thursday, 18 March 2010 20:21

ON behalf of all suffering Zimbabweans who seek genuine peace, freedom and
respect for human rights, we the Europe province of the first party to fight
for these issues in Zimbabwe, welcomed the three-day visit by South African
President Jacob Zuma to "facilitate removal of obstacles".

In attempts to resolve the issues between Zanu PF and the MDC, we believe
that it is now time for the parties to the September 15 2008 global
political agreement (GPA) to admit that they have failed Zimbabweans.
Because of their selfish motives, the parties have failed to implement their
agreement.

They have not achieved the set objectives or even to adhere to their
declared commitment as provided by Article II (2) of the GPA that: "The
Parties hereby declare and agree to work together to create a genuine,
viable, permanent, sustainable and nationally acceptable solution to the
Zimbabwean situation with the aims of resolving once and for all the current
political and economic situations."

It has been more than a year since the MDC-Zanu PF unity government came to
power, but Zimbabweans continue to echo President Zuma's predecessor Thabo
Mbeki's words: "When will the day come that our dignity will be fully
restored, when the purposes of our lives will no longer be merely to survive
until the sun rises tomorrow."

The parties have failed to implement an acceptable solution to the
Zimbabwean crisis. It is clear that the real obstacle to progress in
Zimbabwe is both MDC and Zanu PF who believe that it is only they and nobody
else that have a right to rule Zimbabwe or have a say in how the current
crisis can be resolved.

This is clear from the GPA which was agreed without any consultation with
Zimbabweans, the civil society or other political parties.

We encourage His Excellency, President Zuma to recall the words of Winston
Churchill who once said: "However beautiful the strategy, you should
occasionally look at the results."

There is no evidence that the GNU is working or delivering for the people of
Zimbabwe. Farm invasions, persecutions, torture and closure of media and
democratic space continues.

Opposition parties and increasingly civil society are excluded from
participation. The MDC has joined hands with Zanu PF in abusing power,
corruption and even defending injustices.

There is fear of including others. The GPA parties are even conniving and
refusing to hold by-elections in vacant constituencies for fear that Zapu
will win these by-elections and create a political headache for them.

Former South African President Nelson Mandela observed "failure of
leadership" in Zimbabwe some two years ago.

Not surprisingly, the GPA parties appear to have no clue how to run the
country because the lives of ordinary people continue to deteriorate, the
constitution-making process is continuously pushed back to avoid new
elections, civil servants have started strikes because of unfulfilled
promises and the GNU is hampered by continuous bickering on positions of
power, pending issues and costly negotiations.

We now appeal to President Zuma and Sadc to reconsider the myth that the
Zimbabwean solution lies in the GPA or the two MDC factions and Zanu PF
exclusively.

Zapu has a bigger constituency and has answers and credible solutions to the
crisis. So do other political players and civil society.

The GPA parties appear to lack the seriousness of resolving the real
problems and the betterment of lives of Zimbabweans, who on a daily basis
join the trek to Zimbabwe's neighbours and mostly to South Africa.
The GPA parties appear to only want to advance their selfish political ends.

More stakeholders must be invited to the roundtable to work out a credible
way forward for Zimbabwe.

Zenzo Ncube is Zapu secretary for marketing and communication (Europe
Province).

 


Click here or ALT-T to return to TOP

Editor's Memo: Transitional justice is needed now!

http://www.theindependent.co.zw/

Thursday, 18 March 2010 20:03

THE Crisis Coalition in Zimbabwe, a grouping of non-governmental
organisations, last Thursday launched a report -- Cries from Goromonzi:
Inside Zimbabwe's Torture Chambers -- which chronicles how 23 people were
tortured and some even killed at the hands of state-security agents, war
veterans and Zanu PF militia mainly before the disputed presidential
election run-off in June 2008.

The victims of that brutality were suspected and known MDC members and civil
society activists, critics of the government and journalists.
Various forms of violence and torture, among them simulated drowning,
assault, inserting sticks in women's private parts, squeezing men's
genitals, starving and solitary confinements were visited upon the victims,
according to the report.
These dastardly acts were allegedly carried out by known Zanu PF members,
war veterans and state security agents, but they were never arrested to
atone for their crimes because their mission was sanctioned to secure Mugabe's
victory at all cost after he lost the first round of the presidential poll
in March 2008 to Morgan Tsvangirai of the MDC-T.
It is this culture of impunity that has seen violence against those opposed
to Mugabe and Zanu PF becoming a permanent feature of our body politic since
Independence. Zanu PF has become synonymous with violence and has used it
systematically to retain power over the years.
Its foot soldiers have gone scot free despite perpetrating heinous acts from
the countdown to the 1980 elections, the Matabeleland and Midlands massacres
of the 1980s and subsequent violence before general and presidential
elections.
Despite Mugabe setting up the Chihambakwe Commission in the 1980s to
investigate the Matabeleland atrocities, the commission's findings were
never made public.
It was only the Catholic Commission for Justice and Peace which in the early
1990s released a report: Breaking the Silence, Building True Peace -- which
revealed how over 20 000 civilians were massacred by the red-bereted Fifth
Brigade -- a North Korean-trained crack unit.
The CCJP and civil society's call for the establishment of a truth
commission to deal with these atrocities was ignored by Mugabe who, to date,
is yet to apologise for the massacres.
It is this level of impunity which is worrying given the talk for polls next
year. Reports from throughout the country are that Zanu PF is already in
campaign mode, establishing bases to coerce people to toe the party line in
the constitution-making process and also to prepare for the elections.
Just last week the MDC-T claimed that some Zanu PF members went on the
rampage in Mudzi, Mashonaland East, forcibly taking livestock from its
supporters because they wanted a people-driven constitution-making process,
instead of merely adopting the Kariba Draft.
From this scenario it is evident that we cannot have free and fair elections
next year.
We need to first deal decisively with this culture of impunity and the route
is transitional justice.
It is a shame that despite having an organ on national healing, nothing
tangible has been done towards the "setting up of a mechanism to properly
advise on what measures might be necessary and are practicable to achieve
national healing, cohesion and unity in respect of victims of pre- and post-
Independence political conflicts", as outlined in the global political
agreement.
What we have witnessed from the organ are high-sounding but empty speeches
at meetings across the country which have left citizens even more divided on
political lines.
The organ must come up with a concrete framework for transitional justice
such as instituting criminal prosecutions, establishing a truth commission,
reparations programmes, gender justice, security reforms and memoritisation
efforts.
Our transitional justice should be designed to strengthen democracy and
peace and these goals are "more likely to be reached with active
consultation  of, and participation by, victims groups and the public".
According to the International Centre for Transitional Justice, a society's
choices are more likely to be effective if they are based on a serious
examination of other societies' experiences as they emerged from a period of
abuse.
This reduces the likelihood of repeating avoidable errors, which
transitional societies can rarely afford to make. Let's take a leaf from
South Africa's transitional justice after apartheid.
It is incumbent upon us to conduct a serious investigation of violations
when they occur, to impose suitable sanctions on those responsible for the
violations, and to ensure reparation for the victims of the violations.
Brian Raftopoulos, a leading political analyst, in a paper on prospects for
transitional justice in Zimbabwe made a number of interesting proposals
which I subscribe to.
He said there was need for accountability, truth recovery, reconciliation,
institutional reform and reparation. Those should be top of the agenda.

Constantine Chimakure

Back to the Top
Back to Index