THE SMART NEWS SOURCE | Feb 10 2010 10:08 | LAST UPDATED Feb 10 2010 10:08 |
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Zimbabwe's central bank has become the key battleground in the fight for control of the unity government, with tensions rising over a Movement for Democratic Change (MDC) move to approach the Southern African Development Community to end disputes still dogging the coalition. The extent of a long-running row between central bank governor Gideon Gono and finance minister Tendai Biti is revealed in a confidential letter Gono wrote to Prime Minister Morgan Tsvangirai pleading for "protection" and accusing Biti of money-laundering. The Mail & Guardian has seen a voluminous dossier that Gono has handed to Tsvangirai claiming to show that Biti's law firm, Honey & Blanckenberg, siphoned over a $1-million to an offshore bank account. On Thursday Biti dismissed the claim as "rubbish", saying if there was anything to them, due process would have taken its course. By making the allegations Gono was trying to divert attention from his failures, Biti said. Gono's future is one of the most bitterly disputed issues in the government. President Robert Mugabe reappointed him against the wishes of his coalition partners, who blame him for Zimbabwe's hyperinflation. As it reached 100 days this week, the unity government appeared at its weakest, with the lack of movement on agreed political reforms prompting the MDC to refer outstanding issues to the SADC and the African Union at the weekend. Zanu-PF chief negotiator Nicholas Goche rejected the bid, saying deadlock has not yet been declared. The dispute partly revolves around the battle for control of aid. About $1-billion in credit lines has been secured from foreign banks, but none of this has been channelled through the central bank, controlled by Gono, Mugabe's ally. This has heightened tensions amid growing impatience over lack of progress on numerous outstanding issues. In his angry 15-page letter to Tsvangirai, Gono demands "immunity" from what he sees as personal attacks by Biti. "On several occasions, the distinguished minister has accused me of killing this economy through printing money," Gono says. Had he not printed money, he argues "this country could have easily degenerated into unprecedented chaos". Gono accuses Biti of trying to intimidate him into ending the probe into his law firm and asks Tsvangirai for "immunity at law against victimisation by ministers, some of who may have been involved in nefarious activities before". Gono gives himself credit for the economic reforms of the past 100 days, criticising Biti for claiming the glory. According to Gono, "99%" of Biti's measures have been borrowed from the Reserve Bank. His relationship with Biti is that of "pursuer and the pursued", he says. At a meeting last weekend, the MDC's national council listed among its grievances continued farm invasions; Mugabe's refusal to swear in Roy Bennett, Tsvangirai's nominee for deputy agriculture minister; the failure to form the National Security Council, a committee of top security and government officials of which Tsvangirai is a member; the detentions of activists and journalists, and continued state media bias. Although the new government has brought some economic stability, there has been little political movement. Civic groups celebrated this week after police allowed marches by radical women's activist group Woza and lawyers to proceed without beatings or arrests. The MDC fears that Zimbabwe will head into new elections without real reform. At the MDC meeting, hopes were expressed that South Africa's new government will take a tougher line. But a senior party official told the M&G he felt his party was expecting too much of Jacob Zuma. TOPICS IN THIS ARTICLE
Comments
Justin Stephenson on May 23, 2009, 10:19 am
It gets even more interesting when you find out that Gono apparently didn't write the letter but Mugabe's press secretary did, allegedly:
http://www.thezimbabweobserver.com/article_gono_174.89gc8932.htm And it seems that ZANU are making up more false accusations for SADC, just like they claimed the MDC and Botswana were training "Terrorists" before the SADc forced Tsvangarai to keep Mugabe as President despite him haviong lost an election. They now seem to want the SADC to keep Gono, despite him having helped destroy the economy of an entire country. Look forward to another "African Solution to an African Problem" soon, as well as another three million starving zims fleeing to SA.
Alisdair Budd on May 23, 2009, 4:48 pm
@Stephenson. In my experience in the last 4/5 years, the Nouveau Riche, aren't thrilled at having granny from the country with no teeth, who wets her bed, in their lovely new Borrowdale Brooke home. And, the increasingly racist environment has produced to my personal knowledge 3 waves of physical attacks against the elderly; 10 elderly women, living on pensions were badly beaten and robbed around Christmas time; the 82 year old mother of friends of ours, who have just thrown in the towel and left, was severely beaten about a year ago; the 2 young robbers tried to garotte her, ripped the wedding ring off her severely arthritic and crippled hands, beat her black and blue, stole GBP 100, and some rand, and her warm sweaters. Our across the street neighbour, also around 80 and his 76 year old wife, were so badly beaten that he had to have his arm amputated below the elbow; they sold their house a couple of months later. Shall I go on? Probably not. Are these isolated examples? I think not.
@Budd. The last 4 Ministers of Finance has had daggers drawn with Gono; it's not just Biti. Gono does not carry out the duties of a traditional National Bank Governor. He therefore is constantly at war with whoever is the Minister of Finance. Nothing new. And you're probably right about SADC being 'set up.'
LA QUEBECOISE on May 25, 2009, 9:13 am
Of course Mugabe will not give Gono up. The Central Bank is Mugabe's cash cow and he needs to maintain control through Gono.
This unity government was doomed from the day it started. It is not suprising that the West is reluctant to advance any loans. It will take a long time for this dysfunctional government to work again. With all the personal agendas to service amongst the leadership it will be a long uphill battle.
Les Wil on May 26, 2009, 8:56 am
Human Rights are only when an African President is considered to be misusing or abusing his power without asking the West. Sanctions are also Abuse and are under Human Rights. But it depends with who is talking. Financial,Verbal, Emotional/Psychological, Sexual, Mental, and Physical are all Abuses.Therefore when ZIDERA 2001 were introduced to stop Zimbabwe from assessing international funding is also an Abuse which is a crime and a Human Right against the Government of Zimbabwe. Zimbabwe Govt battles for purse strings, this is an Abuse, under Financial Abuse because of these effects,"Money becomes a tool by which the WB/IMF,NGOs can further control the Zimbabwe Gvt, ensuring either Zimbabwe financial dependence on WB/IMF,NGOs and EU Countries, or shifting the responsibility of keeping a tabs over the Mugabe Zanu-Pf's head onto the victim while simultaneously denying their ability to do so or obstructing them. Financial abuse can include the following:preventing Zimbabwe Gvt from developing. Denying RBZ sufficient housekeeping funds, having to account for every Dollar spent to the international institutions, yet not wanting the taxpayers have the last word. Denying access to cheque book/account/finances, threatening to force Mugabe/Tsvangirai out of the Inclusive Government and make them fight each other and causing Zimbabweans to become destitutes. These are crimes which if investigated would force the people who wrote the proposals of ZIDERA 2001 to be held accountable for Crimes against Humanity and causing suffering of Zimbabwe and making Zimbabweans poor. Please read the Human Rights Law and Abuses.
Thuthukani Mkhize on May 28, 2009, 12:00 am
miss mkhize, you are very misinformed. human rights issues have been levelled at leaders worldwide to mistreat their people. it only makes it to the united nations when the concerned countries themselves do not take care of their own problematic leader/people continue to suffer.
this is why milosevic died during his trial, karadzic is sitting in the hague, fujimori is on his way to jail, pinochet died while barely avoiding jail himself, etc. the problem with people in this part of africa is that they don't seem to think about the rest of the planet and therefore focus on "oh, they are picking on africans". bzzzt. try again.
Tokunbo Olowokandi on May 28, 2009, 4:21 pm
To Tokunbo Olowokandi, have democracy in Nigeria first and then maybe we can listen. Thuthukani is a man's name. Check Human Rights, housing is a human right, and in south africa the government should be investigated for all the informal settlements.
James John Mkhize on May 29, 2009, 4:43 pm
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Late last night I watched SABC International which switches to SABC 2 around midnight. One, why don't they open a SABC 4 and let it run continually for 24 Hours a day. Last night I was shocked to the core that African respect for elders has disappeared, Grand children beating their Grand parents for money or good's. The weak and the elderly. It is crime of blatant disregard for the elderly. If I had my way I would thrash the lot of them. What a disgrace we are going backwards at an unbelievable pace...... I cant comment further as I am in shock ......