Tag: reuters

Originally published on the Leftist Critic blog on Dec. 5, 2017.

This post was analyzed for mistakes and other content in January 2019, as part of an effort to engage in self-criticism. Some changes have been made.

As I wrote on December 29, “Mnangagwa, even more than Mugabe, seems to favor the Zimbabwean bourgeoisie” while adding that “while I hope for the best as always, I fear for the worst. We should stand with whatever forces have the interests of the Zimbabwean proletariat at heart,” arguing that the current government does not have those interests at heart. Current events seem to demonstrate that the “corrective measure” that removed Mugabe was nothing short of a coup that seems ready to benefit Western capitalists.

Amending the Indigenisation and Economic Empowerment Act (IEEA)

Already, the new government has amended the Indigenisation and Economic Empowerment Act “to reflect its policy position that the 51-49 percent requirement only applies to natural resource-based investments.” This position runs contrary to what Mugabe issued in April 2016, meaning that the government felt that having across all sectors promised “empowerment for the indigenes without delivering it on the other hand, while creating discomfort or even suspicion to would-be investors on the other” and instead supporting a “new investment framework…clear cut in terms of what’s on offer to both domestic and foreign investors.” What is this new framework? Well, they posit “Zimbabwe as an investment destination,” and open up the “non-resource sector and reserved sector” to more foreign investment. The non-resource sector includes, as the article describes, “beneficiation of raw materials, transfer of appropriate technology to Zimbabwe for the purposes of enhancing productivity,” which is coupled with “creation of employment and imparting of new skills to Zimbabweans, granting of ownership and/or employee share ownership for value to indigenous Zimbabweans.”

This sector is even larger than that, however. This is clear from the National Economic Empowerment Strategy issued in 2015 by Patrick Zhuwao, then the Minister of Youth, Indigenisation and Economic Empowerment (original link). This strategy describes the non-resource sector as including the manufacturing, finance services, tourism, education & sport, arts entertainment & culture, engineering & construction, energy, services, telecommunications, transport & motor industries.

The reserved sector includes those areas “reserved for Zimbabwean entrepreneurs, except for existing businesses” (specific Zimbabwean bourgeoisie), including businesses such as

retail and wholesale trade, transportation (passenger buses, taxis and car hire services), estate agencies, grain milling, bakeries, tobacco processing, advertising agencies, valet services, employment agencies and provision of local arts and crafts and marketing and distribution of the same

The latter were once “non-indigenous businesses” who had to pay “the full amount of the Empowerment Levy proposed herein as part of measures designed to ensure compliance with the indigenisation legislation.” This levy, to summarize without bogged down in the details, depends on the “extent to which a business simply decides to comply with the laws of Zimbabwe, on indigenisation and economic empowerment.” This is no longer to be enforced at all, cutting away at the gains since the 1990s even under the nationalist Zimbabwean bourgeoisie allied with varied Zanu-PF governments.

With this, foreign investors (read: foreign bourgeoisie) can have control of businesses in these sectors. With this new policy, only businesses are national resources sector is required that Black Zimbabweans “hold a 51 percent stake…with the remaining 49 percent belonging to the partnering investor(s).” As a result, the Indigenisation and Economic Empowerment Act’s purpose has been subverted! As Mugabe put it in 2016 (original link), the law meant to enable “historically indigenous Zimbabweans” to be “significant players” in Zimbabwe’s economy, granting them ownership of “the country’s means and factors of production.” Only allowing it for one sector benefits the global capitalist class.

I doubt that weakening of this law will put forward “goals of indigenisation and economic empowerment” of the Zimbabwean people as Mugabe stated in 2013. Even so, the resources sector is wide-ranging, as provided by the Indigenisation and Economic Empowerment (General) Regulation in 2010:

Air, soil, waters and minerals of Zimbabwe…Mammal, bird, fish and other animal life of Zimbabwe…The trees grasses and other vegetation of Zimbabwe…Springs, vleis, sponges, reed beds, mashes, swamps and public streams of Zimbabwe…Any landscape, scenery or site having aesthetic appeal or scenic value or of historic or archaeological interest

I doubt that Mnangagwa and his government will stand by that interpretation of natural resources. The National Indigenisation and Economic Empowerment Board (“NIEEB”) which is currently “tasked to spearhead this process of transforming the peripheral role of the indigenous majority in the economy to a leading role in the mainstream economy together with the attendant benefits of improving their standards of living” still has a role but not as much as they once had.

This decision, applauded by The Herald, seems to hold the line of the pro-imperialist Zanu-PF adherents, which are nothing like Mugabe’s presidency over the years, opening up Zimbabwe to exploitation from international capital. This should be condemned by anyone with sense as it will hurt the Zimbabwean proletariat without a doubt.

What we have now is the beginning of what I’ll call a counter-revolution. It is almost like, one could say, the efforts pushed by Nikita Khrushchev after the death of comrade Joseph Stalin in 1953. The difference is that Zimbabwe is not a socialist country like the USSR and does not have a communist party in that position of power, as Zimbabwe is a country with a progressive political party which socially democratic tendencies. However, there are some parallels that could be drawn since comrade Robert Mugabe is being taken down by Mnangagwa who is not a comrade in the slightest meaning of the word! Even if The Herald says it time and time again, that doesn’t make it true!

The new presidential cabinet of Mnangagwa

Currently the cabinet has 22 members with a varied number of new members, some of which are just appointed. These include:

1. Patrick Chinamasa as new Minister of Finance and Economic Planning
2. Obert Mpofu as new Minister of Home Affairs and Culture
3. Air Force of Zimbabwe Commander Air Marshal Perrance/Perence Shiri as the new Minister of Lands, Agriculture and Rural Resettlement
4. Lazarus Dokora still in charge of the Primary and Secondary Education portfolio
5. David Parirenyatwa still as Health and Child Care Minister
6. Kembo Mohadi as new Minister of Defence, Security and War Veterans
7. Ziyambi Ziyambi as new Minister of Justice, Legal and Parliamentary Affairs
8. Major-General Sibusiso Moyo as new Minister of Foreign Affairs and International Trade
9. Kazembe Kazembe as new Minister of Sports, Arts and Recreation
10. Zimbabwe National Liberation War Veterans Association (ZNLWA) chairperson Christopher Mutsvangwa as new Minister of Information, Media and Broadcasting Services
11. Mike Bimha as new Minister of Industry, Commerce and Enterprise Development
12. July Moyo as new Minister of Local Government, Public Works and National Housing
13. Sithembiso Nyoni as new Minister of Women and Youth Affairs
14. Head of the University of Zimbabwe Geography and Environmental Science department Professor Amon Murwira as new Minister of Higher Education, Science and Technology Development
15. Supa Mandiwanzira as new Minister of Information Communication Technology and Cyber Security
16. Former National University of Science and Technology (NUST) pro-vice chancellor Professor Clever Nyathi as new Minister of Labour and Social Welfare
17. Joram Gumbo still as Transport and Infrastructural Development Minister
18. Mimosa Mining Company executive chairman Mr Winston Chitando as new Minister of Mines and Mining Development
19. Simon Khaya Moyo as new Minister of Energy and Power Development
20. Oppah Muchinguri (Kashiri) as new Environment, Water and Climate Minister
21. Prisca Mupfumira as new Tourism and Hospitality Industry Minister
22. Simbarashe Mumbengegwi as new Minister of State for Presidential Affairs and Monitoring of Government Programmes

Other ministers not in the cabinet were as follows:

• Miriam Chikukwa (Harare), Provincial Affairs Minister still
• Martin Dinha (Mashonaland Central), Provincial Affairs Minister still
• Webster Shamu (Mashonaland West), Provincial Affairs Minister still
• Angeline Masuku (Bulawayo) Provincial Affairs Minister new
• Monica Mutsvangwa (Manicaland) Provincial Affairs Minister new
• David Musabayana (Mashonaland East) Provincial Affairs Minister new
• Cain Mathema (Matabeleland North) Provincial Affairs Minister still
• Josiah Hungwe (Masvingo) Provincial Affairs Minister new
• Owen Ncube (Midlands) Provincial Affairs Minister new
• Abednico Ncube  superintending over Matabeleland South province
• Chrsiopher Mushohwe remains the Minister of State for Government Scholarships in the President’s Office

And then there are six deputy ministers appointed by President Mnangagwa:

• Terence Mukupe (Finance and Economic Development)
• Davis Marapira (Lands, Agriculture and Rural Resettlement)
• Paul Mavima (Primary and Secondary Education)
• Victor Matemadanda (War Veterans)
• Pupurai Togarepi (Youth Affairs)
• Joshua Malinga (Social Welfare)

The bourgeois media saw this in an interesting light. Bloomberg News quipped that “his cabinet announcements have been dominated by loyalists to the ruling Zimbabwe African National Union-Patriotic Front, dashing hopes of significant change,” quoting the thoughts of the opposition People’s Democratic Party,  Tendai Biti. [1] Reuters said something similar. They noted how Mnangagwa swore in his cabinet, “giving top posts to the generals who helped his rise to power” including Air Marshall Perrance Shiri who declared that “who says military people should never be politicians? I‘m a Zimbabwean so I have every right to participate in government,” even as he kept “several faces from the Mugabe era, including Patrick Chinamasa as finance minister.” [2] The end of the article added the following quote from MDC’s Vice President Nelson Chamisa, “as far as we are concerned there was no contact whatsoever between President Mnangagwa, ZANU-PF and our party regarding the possibility of inclusion or involvement of our members in the government,” but we can’t completely. A German publication, DW, said that “Mnangagwa came under heavy criticism for recycling officials from Mugabe’s era” even as it was noted that “Mnangagwa still has important allies” in the military who he “nominated two of them to cabinet positions, further angering the public.” [3] It was also claimed that “Zimbabweans hoping that members of the opposition would be appointed to the new cabinet were ultimately disappointed with the outcome.” Other sites said that “the new Cabinet is just a collection of the old, corrupt and incompetent people who created the present economic shambles in the first place” with another saying that the new cabinet had “two senior military officials who played a central role in bringing him [Mnangagwa] to power were given key jobs.

As for The Herald, it said that “Zanu-PF, as the ruling party, is in a clear majority and therefore doesn’t require outsiders…There is no doubt peace and unity are key requirements for national development…What we don’t understand is why that noble role should be predicated on them [the opposition] getting positions in Government.” They added that “his Cabinet…includes a number of new faces, and a sprinkling of women in the interest of gender representation, and the disabled too and war veterans…it is the President’s prerogative to appoint and disappoint whoever he wants…common sense teaches us of the importance of continuity and institutional memory…let us give the new administration the benefit of the doubt.” Another opinion said the same, criticizing Jonathan Moyo (part of the pro-Mugabe G40 group) declaring at the end that the military’s coup “was not a revolution. Nor was it a subversion of a constitutional order, which is why our unique-coup-that-was-no-coup has become a global marvel” and claimed that “good times are promising to roll, and it will be for the national good.” This is a similar position to that held by the National Economic Consultative Forum (NECF).

Mnangagwa declared, as quoted by PressTV, that “I have sworn in a new cabinet just to finish the term of the former president, which is a period of six to seven months. I believe with my team we will stand up to the challenge. I want them (Zimbabweans) to be united, we must grow our economy.”

This doesn’t seem to be a “moment of madness” as one article in The Herald scoffed at. Instead, it is directly planned. It is more than what the media above say it is. Using a Zimbabwean wiki and general online searching we find that:

• 23 are Zanu-PF partisans (Mpofu [supportive of trade with China], Ziyambi,  Dokora, Parirenyatwa, Mohadi, Moyo (and the other two Moyos) Nyoni, Gumbo, Muchinguri, Mupfumira, Mumbengegwi, Chikukwa, Dinha, Shamu, Masuku, Mutsvangwa, Musabayana, Mathema, Ncube (1),  Ncube  (2), Mushohwe, Marapira)
• Six are Mnangagwa allies and/or coup plotters (Chinamasa, Moyo, Kazembe, Hungwe, Matemadanda, Shiri (supportive of land reform, participated in 2nd Congo War, and seems to have some feelings against Mugabe))
• Four are former bourgeoisie in communications, travel, and mining, among others (Mutsvangwa (anti-Mugabe), Bimha, Makupe, Mavima)
• Two are academics (Murwira, Nyathi)
• One is part of mining bourgeoisie (Chitando)
• One is part of telecom bourgeoisie (Mandiwanzira)
• One works in the insurance and pension industry (Togarepi)
• One is a consultant (Malinga)

This does not look like a collection of people who will help the Zimbabwean proletariat but rather one that will help the Zimbabwean bourgeoisie and their friends! Capitalism will win out here, as will the technocrats and the imperialist faction of the Zanu-PF represented by the partisans while the cries of the oppressed are drowned out in money. This is not something that Zimbabwe needs. Mnangagwa will hear what he wants to hear, and the “reform” of the economy will lead to ruined livelihoods as suffering increases beyond its current level.

In comes the IMF

According to the South African press, the IMF is sending officials to Zimbabwe to help it “design policies to revive the economy” with a statement that Mnangagwa “is putting in place his Cabinet and we stand ready to work closely with the country and the staff should help us to make progress in that direction.” It was also noted that Mnangagwa “appointed a new acting finance minister and announced a three-month amnesty window for the return of public funds illegally stashed abroad by individuals and companies.” The IMF is probably smiling that the Mugabe family, which the U$ white propaganda outlet named VOA called the “Mugabe clan,” is not really in political life as directly as they once we and see an opening.

Mnangagwa claims he is aiming to “revive the economy” of Zimbabwe, at least from the mouth of his supporters, like the new minister Mutsvangwa, head of the Zimbabwe War Veterans group. This same person claimed that Mnangagwa talked with the opposition (Tsvangarai’s MDC-T) but that “the MDC, through their leader Tsvangirai, turned around and said he wanted to give him people of his choice.” It was also noted how Zimbabwean white farmers saw Mugabe’s exit as a positive and Mnangagwa’s rise seeming to benefit them, perhaps as part of push for “reform.” Likely Amnesty will cheer too. Deprose Muchena, Amnesty International’s Regional Director for Southern Africa declared, after smearing Mugabe in typical imperialist fashion, that “Mugabe’s departure offers Zimbabwe an opportunity to make a break from its past.” [5]

Even more, the country has foreign debt that the Zimbabwean bourgeoisie in the construction industry complained about. So the IMF is in luck. Perhaps the new government will come begging to the IMF (and World Bank) for help, allowing them to shape the economy and screw over the Zimbabwean proletariat. Any attempt to do so should be strongly opposed by comrades anywhere, especially in the West.

Where do we go from here?

The Extraordinary Congress of the Zanu-PF is coming later this month. Already the “party is no longer going to have another Congress in 2019” with the upcoming Congress “expected to endorse the recall of former President Robert Mugabe and election of President Emmerson Mnangagwa as the First Secretary and President made by the Central Committee on November 19” and this Congress is “expected to uphold the decision by the Central Committee to expel G40 members such as former First Lady Grace Mugabe, Mr Phelekezela Mphoko, Professor Jonathan Moyo, Mr Saviour Kasukuwere, Dr Ignatius Chombo, Dr Walter Mzembi, Mr Kudzanai Chipanga, Ms Mandi Chimene, Mrs Letina Undenge and many others.” Additionally, it is “expected to discuss the state of the party, the economy and preparations for next year’s harmonised elections, including the manifesto for the polls.” The Herald added that after the coup, “the ruling party is now shifting its attention to dealing with economic challenges that are affecting the generality of the Zimbabwean population.”

The current Congress may feature Mugabe, although this is highly unlikely. It may even be time to say that the Zanu-PF is something that the Zimbabwean proletariat should abandon, but not exactly yet as Mnangagwa has only begun his term. Hopefully it is not as bad as I’ve outlined, but I am not completely optimistic in this realm whatsoever. I really am not. I can’t think of any forces that stand with the Zimbabwean proletariat. I wish for the best but will brace for the worst.

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Notes

[1] Godfrey Marawanyika, “Zimbabwe President Changes Cabinet After One Day,” Bloomberg News, Dec 2, 2017.