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From the Vol.1,No.1 issue of Electronic Intelligence Weekly
Africa Digest

"Mr. Blair Should Shut Up" on Zimbabwe, Says Information Minister

Zimbabwe's Information Minister Johathan Moyo, speaking at the Commonwealth Heads of Government Meeting (CHOGM) in Queensland, Australia, said that British Prime Minister Tony Blair "should shut up" about Zimbabwe, and that Britain is suffering from a "colonial hangover." Moyo's remarks came in response to a March 2 statement by Blair that escalating violence in Zimbabwe was "an outrage against democracy." Blair's attacks on Robert Mugabe are "thoroughly discgraceful and unacceptable," Moyo charged.

The issue of Zimbabwe caused such divisiveness at the summit, that leaders had to huddle privately to come up with a formulation on the country. Charging that Zimbabwe is preparing to rig the voting during its Presidential elections March 9-10, Britain tried to suspend the country from the Commonwealth group. But the governments of Tanzania and Namibia opposed any discussion of the issue, and other heads of state said they preferred to wait until after Zimbabwe's elections for any further discussion.

Tanzanian President Benjamin Mkapa rejected the idea of interfering in Zimbabwe before the election. "You are assuming that if the government wins, the election is not fair," he said. "That's ridiculous." Namibian President Sam Nujoma said it was an insult to Zimbabwe for there to be any discussion of its affairs by an organization such as the Commonwealth.

Australian Foreign Minister Alexander Downer described support for Zimbabwe by other African nations as resulting from a "mistaken" perception that "Britain and other countries are sometimes being neo-colonialist." Impossible! Right, chaps?

British Bid To Oust Zimbabwe from Commonweath Fails

The CHOGM meeting in Coolum, Australia, did not accept the British effort to expel Zimbabwe. All the African nations defended Zimbabwe, as did some others, like Malaysia (although Western wire-service coverage only mentions Africa.) Speaking as if they would be willing to dispense with the Commonwealth if it failed to do the bidding of London, the "white race" members of the Commonwealth complained bitterly. Blair said that the Commonwealth must "pass this test of its credibility," while New Zealand Prime Minister Helen Clark said, "I think the Commonwealth has to get its act together for the future. It has failed to wrestle effectively with Zimbabwe." A committee of three was set up to decide what action to take after the elections in Zimbabwe; it includes two African states, South Africa and Nigeria, in addition to Australia.

Nigeria Withdraws From IMF Standby Arrangement

Nigerian Finance Minister Mallam Adamu Ciroma March 5 announced Nigeria's withdrawal from the IMF Standby Arrangement that has been in place since June 2001. The move came after a breakdown in negotiations over government spending. The next day, the IMF issued a statement cautioning Nigeria against heavy capital spending. The step is not a formal break with the IMF, but appears to be a break in fact.

Dr. Magnus Kpakol, chief economic adviser to President Obasanjo, said the government "is determined to provide its own economic programs and later invite foreign partners, including IMF personnel, to assist." He said that "Nigeria was motivated into the new relationship because of the need to promote national unity, strengthen the process of democracy, and provide a very secured economy." According to This Day, a Nigerian newspaper, Kpakol denied that the IMF is a threat to the nation's security, and said that "we are not running away from the monitoring of the IMF, we are not severing anything."

The new economic policies are contained in draft bills being sent to the Justice Ministry for clearance before they go to the National Assembly. Professor Jerry Gana, Information and National Orientation Minister, gave some indication of their contents, saying they are aimed at reinvigorating the productive sector, especially small- and medium-scale enterprises. They impose heavy taxes on luxury items, especially ones that can be manufactured in Nigeria. Banks are to contribute 10% of their profits before taxes to a fund to facilitate the growth of small- and medium-scale enterprises. They offer relief to the aged by tax exemption. A substantial increase in capital spending is not made explicit by This Day, but is implied by the IMF statement from which it quotes.

The government is also moving toward a national banking policy. "Apparently to address the issue of high interest rate in banks and the distortion in the foreign exchange market," says This Day, "the Federal Government also ordered the Central Bank of Nigeria (CBN) to always ensure that its monetary policies and guidelines are forwarded to the Federal Executive Council (FEC) for debate and adoption before they are introduced into the economy. 'It is important that the CBN is autonomous but it should submit such memos [on interest rate and foreign exchange rate] to the FEC for debate because the issues are profound and technical,' Gana said."

Nigeria Rejoices Over Withdrawal From IMF Program

Withdrawing from the IMF program is "aimed at freeing the country from bondage," according to Dr. Jubril Martins-Kuye, Minister of State for Finance, speaking March 6 in Ikenne, Nigeria. He said, "We will rather govern ourselves politically and economically as we deem most appropriate without taking any decision from anybody whatsoever."

Nigeria's Senate Appropriation Committee chairman, Udoma Udo Udoma, declared, "It is a welcome development, because it will give us the freedom to steer our own course, to establish our own destiny without necessarily having to subject ourselves to the priorities of people outside Nigeria. The destiny of Nigeria has to be with Nigerians." He added, "I must emphasize that we must have the needed discipline. In fact, we should be even more disciplined in the management of the economy because that discipline is necessary in the national interest, not in the interest of the IMF or anybody else."

Kayode Soyinka, publisher of Africa Today in London, issued a statement saying, "I am thrilled." He explained that Nigeria does "not need the IMF. All that is required is for our government to, first of all, be imaginative and focussed on the type of development they want for our country."

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