Wednesday, May 27, 2009

MDC, ZANU-PF differ over bank govenor

MDC, ZANU-PF differ over bank govenor
Written by Kingsley Kaswende in Harare
Wednesday, May 27, 2009 1:47:17 AM

SADC ’s intervention in the ZANU-PF and MDC’s stalemate regarding the appointment of central bank governor Gideon Gono is unlikely to yield any results after President Robert Mugabe on Monday insisted that Gono will not leave.

The two parties to the inclusive government in Zimbabwe have been wrangling over not only the re-appointment of Gono to the helm of the Reserve Bank of Zimbabwe (RBZ) last November, but also over the re-appointment of Attorney General Johannes Tomana as well as ambassadors, permanent secretaries and provincial governors.

However, the parties last Friday reached an agreement over all other issues, except the poaitions of Dr Gono and Tomana.

Prime Minister Tsvangirai said at a press briefing following the conclusion of the talks that the parties had failed to yield anything on these key two positions, which would be detrimental to the full implementation of the inclusive government.

“The Global Political Agreement (GPA), which was signed on September 15 2008, states in section 20.1.7 that: The parties agree that with respect to occupants of senior Government positions, such as Permanent Secretaries and Ambassadors, the leadership of Government, comprising the President, the Vice-Presidents, the Prime Minister and Deputy Prime Ministers, will consult and agree on such prior to their appointment,” Tsvangirai said.

“The Reserve Bank governor and the Attorney General are senior government appointments and yet, in breach of the Memorandum of Understanding, the GPA and the Reserve Bank Act, Gideon Gono was reappointed on 26th November 2008. The Attorney General, Johannes Tomana was appointed by President Mugabe on 17th December 2008, again in breach of the MOU and the GPA. In light of the above, and the fact that there is a deadlock on the status of the two individuals in question, the Principals, with the support of our parties, will now refer this matter to SADC as the guarantors of the GPA.”

But President Mugabe said on Monday that Gono would not leave.

He said he was aware that Gono had so many enemies just because he kept the Zimbabwean economy running when the country was under severe sanctions.

President Mugabe insisted that Gono was re-appointed in accordance with the Reserve Bank Act.

“But knives are out for this man. They are sharpened knives aimed at beheading this man...That is the crime he is alleged to have committed, that he stood behind the government of this man called Robert Mugabe, who must collapse under regime change. Today those in Britain are not happy with him, even some in the inclusive government. They want him to go and I said he will not go, but they will not listen," President Mugabe said.

He was speaking at the funeral of Peter Gono, the elder brother to the central bank governor.

"Haana shereni raakaba (He hasn’t stolen any money). Prove the wrong he has done.”

Gono has been criticised for exacerbating hyperinflation by printing money at will, which he used to prop up parastatals in quasi-fiscal activities as well as keep key sectors of the economy running while the country was severely battered by economic sanctions.

Over the past few months there has been bad blood between Gono and finance minister Tendai Biti, with Biti repeatedly calling for Gono to step down.

Last week, Gono wrote a 15-page letter addressed to Tsvangirai, asking him for protect ion against attacks from Biti.

Beside disagreement on Gono and Tomana’s positions, the two parties agreed on the appointment of provincial governors.

In accordance with the formula agreed between the negotiators for the respective parties, out of 10 positions the MDC would have five, and the smaller faction of the MDC would have one while the rest would be from ZANU-PF.

The six ZANU-PF governors whose tenure is to be terminated as a result of this agreement will be paid an agreed compensation.

The nominees for Governors for the MDC-T will be distributed at the end of this press conference.

Permanent secretaries would not be appointed on the basis of party affiliation, but because of qualification and experience.

“We do not believe that civil servants should be appointed on a partisan basis, so there will be no civil servant from the MDC or ZANU-PF,” Tsvangirai said.

The parties also agreed that the MDC submits names of individuals to be trained for ambassadorial appointments. At the same time, an audit would be conducted to identify potential openings for new ambassadors and new appointments will be filled using a formula to be agreed upon.

The current five vacant ambassadorial posts vacant which will be filled by the two MDC formations in the following ration, with Tsvangirai’s MDC taking up four and the smaller MDC faction one.

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