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(SUNDAY MAIL ZW) Biti blasts EU over aid policy

Biti blasts EU over aid policy
Saturday, 28 July 2012 22:01
Kuda Bwititi

Finance Minister Tendai Biti has taken a swipe at the European Union (EU) over its aid policy towards Zimbabwe, saying the bloc is giving “dead aid” to the country. The EU claims to fork out 100 million euros in aid to Zimbabwe annually.

Presenting the Finance Bill in the Senate last Thursday, Minister Biti noted that much of the aid is not benefiting the country with the bulk of it finding its way into the coffers of non-governmental organisations (NGOs).

“The EU has not been giving aid through the Government. Any aid that does not come through the Government or through the budget is dead aid, it is ineffective aid and that is the problem with the kind of aid we have been getting in this country in the last three years.

“It’s like the biblical story of giving someone a fish but not the rod to fish . . . That is not to say we do not appreciate it, we really appreciate it but it is more effective if it is coming through the Government or if it is doing things that the Government say please do this for us,” said Minister Biti.

His comments came during a week when the European bloc extended its illegal sanctions against Zimbabwe and said it would resume direct transactions with the Government under a new EU aid agreement for developing countries due to commence in 2014.

Minister Biti disclosed that at least half of the aid that is given to Zimbabwe finds its way back to the donor countries.

“When this aid is given, it is given through NGOs which are manned by people from the very same countries it originated from. These people are the beneficiaries of good jobs and a massive consultation fee so out of every dollar we get, 50 cents is going back to the country it came from.

“That is why everyone is questioning the aid . . . but if aid is properly channelled towards developmental issues like roads and so forth, there is nothing wrong with it,” he said.

In an interview Regional Integration and International Co-operation Minister Mrs Priscilla Misihairabwi-Mushonga echoed the same sentiments, saying there is a need to introduce a vote of credit to realign donor funding.

“My ministry is responsible for the NGOs and we are aware of these challenges that we are facing for Government to receive aid. Our position is to re-engage so that we have a vote of credit that will go to Government.

“The only solution to address this is through the removal of sanctions so that Government and NGOs separately get their own chunk of the aid,” she said.

Labels: EU, SANCTIONS, TENDAI BITI

posted by MrK @ 4:23 PM