Categories: Stories

Mnangagwa and opposition compete for imperialist backing

Former Finance Minister Tendai Biti of the People’s Democratic Party said that the government’s 4.5 percent growth prediction was wildly optimistic and called for more severe cuts to government expenditure. His alternative to the “modicum of economic reform” by the government is a no deficit budget, and job cuts that will make the 3 700 youth officers retrenched seem “just but a drop in an ocean considering the fact that the government employs around 550 000 workers.”

He called for the size of the civil service to be cut by half “in a phased period of three years.” The attracting of Foreign Direct Investment also required “the total repealing of the Indigenisation and Empowerment Act,” including in the extraction industries.

The opposition pitch has been made directly to Washington. In mid-December, MDC Alliance presidential candidate Tsvangirai dispatched a three-member international delegation made up of MDC-T vice-president Nelson Chamisa, MDC president Welshman Ncube and Biti, to Europe and to visit President Donald Trump’s offices.

In a Senate Debate December 12, Biti urged the US to maintain sanctions and other punitive measures on ZANU PF until after the 2018 general elections have been proved “free and fair”. Then the “international community” could “assist us” in engaging with “the World Bank, the IMF and the Paris Club of lenders.”

This conflict between rival bourgeois factions is being played out at the expense of the working class, in a country where 70 percent of the population live on less than $5 per day, and many earn substantially less.

Tsvangirai began his career as leader of the Zimbabwe Congress of Trade Unions (ZCTU), which is pro-MDC. Current ZCTU president, Peter Mutasa, warned in the Financial Gazette that only five percent of workers are in the formal economy. (The overwhelming majority work in the informal economy and are either underemployed, self-employed or unemployed and reliant on subsistence farming.)

“Some 120 000 people are working without pay and the few that are earning salaries are getting a fraction of their salaries, in most cases a third. Those who are earning salaries are earning a fraction of the poverty datum line; maybe a third,” he said.

The ZCTU “was staunchly against any International Monetary Fund (IMF) or World Bank imposed reforms,” he added. But his only concrete demand was for a role in governmental structures for the trade unions in imposing the economic measures required. He urged everyone “to sit down as Zimbabweans and agree on a planned economic development,” which meant empowering “trade unions who play a major redistributive role of getting the much-needed resources even for the government from successful businesses…”

By Chris Marsden. This article was first published on the World Socialist Web Site

(420 VIEWS)

Don't be shellfish... Please SHARE
Google
Twitter
Facebook
Linkedin
Email
Print

This post was last modified on December 29, 2017 3:47 pm

Page: 1 2 3

Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

Recent Posts

Are Zimbabweans giving social media more credit than it deserves?

The role of social media on how people get their news in Zimbabwe is being…

May 3, 2024

Top 20 countries in debt to China- Zimbabwe is not one of them

Ten African countries are amongst the biggest debtors to China, but Zimbabwe is not among…

May 1, 2024

Is Zimbabwe now on the right track?

The Reserve Bank of Zimbabwe’s Monetary Policy Committee, which met on Friday last week, says…

April 30, 2024

Watch: RBZ governor warns those selling ZiG at 20:1 could be buying it at 10:1 in June

Zimbabwe’s new currency further weakened to 13.4407 to the United States dollar today down from…

April 29, 2024

US loses its place as most influential power in Africa to China

The United States lost its place as the most influential global power in Africa last…

April 27, 2024

Zimbabwe central bank chief says street forex dealers cannot destabilise the ZiG

The Reserve Bank of Zimbabwe governor John Mushayavanhu says street money changers who cash in…

April 26, 2024