Opinion: It’s ironic that President Museveni is talking about disciplining the government!

The three arms of government and their sub-branches must have discipline. For example I have been involved in disciplining the army. We should do the same for other sub-branches of government. If the Judiciary is also disciplined in fighting corruption, citizens will lead a good life. – Yoweri Kaguta Museveni on the 1st October 2017, State House Entebbe.

Its just one of these days that hearing the news and seeing the tweets of the President, makes me laugh and wonder if he listen to himself. He knows his system and has made his garden. The way the government steers and govern is because of his policies, his regulations and his support. It is not like there been other ruling for last 30 years in Uganda. The Republic has been under the control of Museveni and his National Resistance Movement (NRM).

The NRM has suffocated all other free-will and control. Therefore, Ministers, Members of Parliament and others seek guidance and funds directly at the State House in Entebbe. Even foreign investors meet there to make agreements. Everything is nearly sanctioned out there. The Discipline now is more on the narrow-minded government that is run from there. The institutions and the procedures are not so important. Since most things happening is with the words from “above”, meaning the President and his close advisers.

It is not rocket science to know where the benefactor or the reason for lacking structures. That is because government waits for their go sign by the State House, they are waiting for funding of the projects and institutions from the State House. The projects and the works of the State House and under the Prime Ministers Offices are the key organizations within this government. They might say all of the massive cabinet has part to play, but that is the facade.

Therefore, it is ironic for a man so controlling and so disorganized that it gives sometimes way to the unthinkable. Just like the Presidential Handshake, that was sanctioned by the State House, but taken form the wrong account. That was the problem for the President, not that the corrupt behavior was occurring on his watch. Its like he talks against himself. Because he has no problem speaking anti-corruption, but if corruption benefit his cronies – its fine and dandy!

I am not surprised by him at this point of time, its fit his narrative. He says what he expects and wants out of others, but the next day he finds a way to benefit or use the loyalty of his cronies. Not like he would have excepted the UCC not to listen and stop the suspended MPs to hit the airways and be broadcast on TV. He rather being himself on radio and in the spotlight, but will accept anyone else sharing the same space.

President Museveni is the proof of someone saying something noble, but doing opposite. He might say something insane, but act rational. Therefore, you never know where you have him. I will never believe him actually disciplining the government, if doing so. It means they are all blindfolded and following his guidelines. It does not mean building proper governance and protocol, neither is institutionalize the departments and ministries, it is all about his will and his stature.

When it comes to Museveni, discipline is about following him. Not building transparent and proper government institutions. Peace.

Zimbabwe: Hyper-inflation hit the republic yet again, this time it’s the fault of launching the Bond-Notes!

(We have got the Judas Iscariots amongst us); they are manipulating the currency so that they trigger inflation” – President Robert Mugabe on Thursday this week (Chibamu, 2017).

When they launched the Bond-Notes in 2016, the borrowed money from China to launch a new currency. Like that sounds like fresh and sound financial policy. Not like Zimbabwean African National Union – Patriotic Front (ZANU-PF) and President Robert Mugabe unleashed this for the supposed benefit of the citizens. Since the former currency we’re put into death-bed and was total worthless by 2009.

So now that its gone some time, the reports of a black-market with currency exchange, the lack of petrol and others springing bad news. It is international ones that are also looking at the signs. Even if the ZANU-PF Ministers and loyalists to Mugabe, is saying it is only smoke, but no fire. Clearly, there are more into it, than they want to admit. Because, we all who followed the launch and the misuse of funds from the cronies close to Mugabe, knew that a uncontrolled inflation might hit the republic again. Mugabe will blame anyone, like he didn’t create this issue himself. If not his wife who spends fortunes in South Africa, buy luxurious cars like Rolls Royce and the sons of family spends time on lavish hotels there. They are acting like Zimbabwean Royal Family, the perks of diving into the state reserves.

Well, the Zimbabweans are in long lines getting petrol, while the Bond Notes values are getting to level, that they are worthless. That the Bond Notes are far from being One to One exchange with United States Dollars. That ship has sailed and the unfortunate citizens of Zimbabwe, who has to again see the Bond Notes, second crypto-currency in a decade fall to pieces. The destruction of the economy is evident. The statistics of the inflation should worry anyone. Just take a look!

This hard budget constraint became too onerous for the free spending government to abide by. In consequence, Zimbabwe’s government has employed Harry Houdini’s magic and circumvented the hard budget constraint imposed by dollarization. It has done so by creating a new fake dollar, which is referred to as the “New Zim Dollar.” Not surprisingly, this new Houdini creation is rapidly becoming worthless. This makes the methodology that I employed to measure inflation during Zimbabwe’s hyperinflation episode relevant again. Since Old Mutual’s price on the Zimbabwe Stock Exchange is denominated in “New Zim Dollars” and Old Mutual’s price on the London Stock Exchange is denominated in British pound sterling, we can create a “New Zim Dollar”/sterling implied exchange rate. This exchange rate can be transformed using PPP to accurately measure Zimbabwe’s inflation. At present (09/29/17), Zimbabwe’s annual inflation rate has soared to 242.72%” (Hanke, 2017).

More ominously, from the perspective of Zanu-PF, is that, as coffers dry up once again, Robert Mugabe’s government will struggle to pay some of the institutions so crucial to it remaining in power, such as the civil service, the military and the police. Bond notes were the government’s short-term answer to its long-term economic problems. But instead of providing the solution, they are proving to be an expensive mistake” (Allison, 2017).

RM: Do you foresee Zimbabwe sliding into the 2008 inflationary trap? What is your comment on this? Chris Mugaga: We might not necessarily slide into a hyper-inflationary trap, but we need to guard against it. The money changers have started causing havoc and the informal market players have been creating artificial shortages. All that must stop and this will assist in managing the inflationary threat. Last, but not least, fiscal spending also has to be managed as funding a fiscal deficit can lead to inflation” (Muzavazi, 2017).

Markoni, who once served as an economic adviser in the regional block, SADC, said Mugabe’s decision to introduce bond notes – a surrogate currency meant to alleviate the cash crisis – set in motion trial of events that led to the total collapse of the country’s financial services sector. “Bond Notes are not the solution and we have always said this. The price increases are just symptoms reflecting the situation on the ground and Mugabe can order the Zambezei River to flow back to Angola but it just won’t because of the forces of nature” said the former Finance minister. “Such forces of nature also apply to the value of currencies and that is why you see that the bond notes have not mitigated the cash crisis and collapsing economy, it has worsened it instead”. He added”(Tarenyika, 2017).

If you thought this would be sunshine story, your wrong. The reality is that the plan for the Bond Notes was flawed from the outset. I am far from surprised by the output of the currency. The whole borrowing to print the currency was made for a disaster. It was just a matter of time, when the state and cronies would print to much and make sure their we’re lacking amounts of cash in the system. As well as the foreign exchanges lacking funds to change between the United States Dollars and the Zimbabwean Bond Notes. There are enough profound evidence of trouble that could occur and which did.

The economy and financial policy was not made for the benefit of the citizen, but a short term gain for the ZANU-PF. But you can wonder who really earned on it before the inflation hit this time. As the usual suspects would be able to comply, but won’t since they will stay silent since they earned on the scheme. The crones like Mugaga will make it seem like normal and under control, while it is not. Because they know that the numbers are terrible and a doctor in the United States publishing it in Forbes, wouldn’t all of sudden find the numbers on a random spread-sheet. Therefore, the reality should hit the fan. Even if Mugabe never will take the blame. There will be someone falling on the sword, neither will be Rolls Royce driving Grace Mugabe, neither Bob, but someone who is easily gotten rid of in the cabinet. Peace.

Reference:

Allison, Simon – ‘Can Zanu-PF afford another currency crash?’ (29.09.2017) link: https://mg.co.za/article/2017-09-29-00-can-zanu-pf-afford-another-currency-crash

Chibamu, Anna – ‘Zimbabwe: President Mugabe Stays Put, Scorns ‘Judas Iscariots’ (29.09.2017) link: http://allafrica.com/stories/201709290092.html

Hanke, Steve – ‘Zimbabwe Inflates… Again’ (30.09.2017) link: https://www.forbes.com/sites/stevehanke/2017/09/30/zimbabwe-inflates-again/#221257d10d68

Muzavazi, Runyararo – ‘Let’s guard against the hyper-inflationary trap’ (30.09.2017) link: http://www.herald.co.zw/lets-guard-against-the-hyper-inflationary-trap/

Tafirenyika, Mugove – ‘Former Finance Ministers speak on the economic rot’ (29.09.2017) link: https://www.dailynews.co.zw/articles/2017/10/01/former-finance-ministers-speak-on-economic-rot

#ThisFlag: Pastor Evan Mawarire has been released after being detained for 48 hours!

After holding him for over 48 Hours, the #ThisFlag founder and Civil Activist Pastor Evan Mawarire has been released. Magistrate: “The 48 hour window has expired, therefore the accused is entitled to immediate release” (Doug Coltart, 26.09.2017). This because the time of arrest started on Sunday and the legislation together with the hearing should have already started. That is why they could release him.

Clearly, every time the Mawarire speaks out his mind and drops his knowledge of the fragile economy, lacking petrol and the failing Bond Notes. There will be issues as the Zimbabwean African National Union – Patriotic Front (ZANU-PF) government trying to subscribe to their leader and his vision, if that is only to print more cash for his lavish lifestyle and his Zanu-PF elite. Therefore, this is not the last a Civil Activist, someone who is saying “Mugabe Must Go” will be in court.

Mawarire is the leader and the man who stands on his principles and is the one who has the voice. This today was a bail-hearing and he was free after the trial. But expect that he might be back to court on Thursday. Still, that one changed as his hearing happen today and got released. Clearly, the Constitutional Rights of bail-hearing and trial before 48 hours happen today. The release happen at the High Court and Row 6 as the judge actually freed him. He followed the code, even as the Pastor was arrested at his Church, that was on the 24th September 2017.

This might easily happen again. That the Police of Zimbabwe will arrest and detain the Pastor on forged charges, on bat-shit crazy charges that doesn’t belong anywhere, except for in B-Movies. Not in reality, but in a poorly written fiction. Still, the ZANU-PF will continue to strangle and humiliate the activists, the ones who wants a peaceful change for the better. As the economy and the rights of people is stripped away. Nothing is right about this situation. Peace.

Insane-Breaking-News: Pastor Evans Mawarire arrested during Church-Service today!

I’m just about to finish preaching and I’m told the police are waiting for me outside” – Evans Mawarire (24.09.2017).

Because of yesterday on Social Media while being in a que, the #ThisFlag founder and Opposition activist Evans Mawarire was discussing and showing the Bond Notes crisis and the lack of Petrol in Zimbabwe. Clearly, that didn’t run well with the authorities. The Zimbabwean African National Union – Patriotic Front (ZANU-PF), the ruling regime with President Robert Mugabe got a whiff of this and not strange. Since, even I watched the clip on Facebook yesterday.

This with the knowledge of the cost of 50 Cents bond-notes from the South African Mint that was ordered on the 20th September 2017, cost about $3 Million US Dollars. Therefore, before the money hit the streets and towns, the cost is huge for the state. This should worry anyone, this is just one order and one type that has been revealed. We can just wonder how much the Zimbabwean government has paid for other bond-notes from South African Mint. As the debt created by creation and the funds loaned by the Afreximbank. Therefore, the loans that has to repaid on the weak currency, that is now failing. Just like the bearers notes given in 2008. That is what Pastor Mawarire was discussing yesterday. The reason why he was detained while preaching today.

The Zimbabwe Republic Police has really overstepped, we know they have a grudge against the pastor and his civil activism. But taking him during a service is just out of order. Its shocking and insane. It’s like taking an MP while in the Parliament during a plenary session. How can you barge in to the church and arrest the fellow preacher? Are there no honour within the ZRP? Has not the double or triple doctorate of Mugabe any common sense?

Certainly, the Mugabe family is not that common anymore, since they are riding in expensive rides, while the public are in ques for petrol. That the people are on the black-market for the imported goods, while the industries and the exchange are growing. The running inflation of the currency, while the state trying spin-control it. Like it isn’t happening and the world doesn’t know.

If you want proof of impunity and nonsense. Just follow the trail of the civil activist in Zimbabwe, how they are threaten, treated and detained. Where else can a pastor be arrested while leading his church service with his congregation? Where else can a civil activist without court order or even a court ruling be detained for months upon end and released suddenly, that has happen to several activists. That proves how little Mugabe cares, except getting his wife pardoned for violence in South Africa. It is two classes of people in Zimbabwe, the ZANU-PF elite and the rest! Peace.

Opinion: The Ethiopian Financial Market is plummeting…

The Ethiopian People’s Republic Defense Force (EPRDF) Prime Minister Hailemariam Desalegn have ordered to fix economic problem the government has. EPRDF has been hailed for their financial growth, but with this sort of news. You know the growth and the reality is far from the truth. Ethiopia News Agency: “International Consultant of Trade, Investment and Economic Development, Dr. Taffere Tesfachew said on the occasion the fact that African countries are performing better than the global average is testimony to how far Africa is coming over the decade. He noted that the economic growth of countries like Ethiopia and Ivory Coast is highly impressive at this time when other African countries are struggling with one or two percent growth” (ENA, 2017).

So I have to question the economic growth, as the Forex Woes and the remittance from the diaspora are proving otherwise. Together with the need of more foreign aid to solve the famine of the drought. So the World Bank clearly knows the troubles of the Ethiopian government since they did this:

The World Bank today approved a $600 million International Development Association (IDA)* grant to support the Government of Ethiopia’s vision of building a national safety net system to provide effective support in chronically food insecure rural areas, including providing cover during droughts. The Rural Productive Safety Net Project (RPSNP) supports the evolution of the Government’s umbrella Productive Safety Net Program (PSNP) that has been in operation for the last 12 years and is one of the world’s largest safety net programs in the world. Run by the Government, the PSNP pools money from 11 donors, including $600 million of World Bank Group IDA funds. The PSNP provides regular cash or food transfers to 8 million people; currently 4 million of them are in areas affected by the ongoing drought. Its food-for-work component supports public works programs related to landscape restoration, irrigation, and agro-forestry” (World Bank, 2017).

So, when the World Bank gives this as a support of the government. You should take it serious and know the problems of the state. The need of financial support and to make sure drought doesn’t affect the starving citizens. EPRDF are doing badly and now the Forex Companies has to pay of the National Bank of Ethiopia (NBE) for the debt to Enterprise in Djibouti. Look!

Foreign Forex Woes:

The directive of foreign currency allocation entails all banks must sell foreign currency to a sector whose importance is very high. The banks are required to give priority to payments authorized by the central bank such as foreign loan, supplier’s credits, interest, profit, dividend and excess sales of foreign airlines. Hence, all banks are required to sell the currency collected from importers, although the current direction is high, according to a banker with almost two decades of experience. “Even though I agree with the fact that we shared the responsibilities with CBE,” said one of the vice president of a mid-sized bank. “But requesting such amount of Forex in a short time might lead to crisis.” Yohannes Ayalew (PhD), vice governor and chief economist of the central bank, disagrees. “It is a collective responsibility of all banks whether the call was quick or not,” said Yohannes. “There is no reason to ask CBE to cover all the payments.” The Forex shortage in the country has been haunting the country for years. Prime Minister Hailemariam Desalegn, in his press conference with local media nine months ago, admitted that the Forex crunch would last for the coming two decades” (Addis Fortune, 2017).

NBE Directive to pay of debt to Djibouti:

National Bank of Ethiopia (NBE) gave order to private banks in Ethiopia to pay the 15 million USD bill the Ethiopian Shipping Logistics Services Enterprise (ESLSE) to Djibouti’s company. The banks are, according to Fortune, given 3 days to sell the foreign currency to the Enterprise. The order is said to have come when the entire country is in short of foreign exchange. The shortage came following the drop in the country’s export performance and remittance earnings. ESLSE owes the money to the port of Djibouti and the central bank gave the order for every bank including the government owned Commercial Bank of Ethiopia (CBE)” (Addis Fortune, 2017).

Beset by the ever expanding informal channels of remittance, Ethiopia may continue to grapple with shortage of hard currency unless swift and collective measures are put in place, ‘Scaling up Formal Remittance to Ethiopia’ report discloses. A billion dollar transaction takes place via informal channels with 78 percent of the total remittance passing through informal networks in Ethiopia. Some experts believe that the transfer of money through unregulated channels will also likely result in illicit financial flow and dealings. The seizure of 541,659 USD around Harar is a recent indication of informal corridors of hard currency. Informal channels happen to be lophooles for global terrorism and corruption. It will open doors for illegal activities, people may use it to collect huge sums of money for their own dangerous causes, says Ethiopian Financial Security Director General Gemecu Weyema” (Gebrehiwot, 2017).

All of these articles proves the problems of the National Bank of Ethiopia (NBE) and their lacking foreign exchange. This has become a problem as the remittance hasn’t come through the formal channels, as the informal economy are big in Ethiopia. Together with drop of foreign exports that has also hurt the amount of exchange.

Clearly, the government of Ethiopia has a bigger problem that they want to reveal, as the NBE and the Foreign Exchange is plummeting. Therefore, the need at the same time for World Banks loans. Shows the dire situation of the economy. It is not like the Ethiopian News Agency would speak ill of own government and their policies. Since, the propaganda of own growth are more important, than actually telling about the weakness of the economy. This is a reality since the financial policy of Forex Exchange is in favor of the NBE.

This can also make it more profitable to for an informal market, instead of in the open market. The Ethiopian government really needs foreign exchange to pay of debt and use all their means. Instead, they are trying to cover-up their troubles, as they have debt to Enterprise in Djibouti and have troubles with the famine caused by drought. Peace.

Reference:

Addis Fortune – ‘Ethiopian Government Orders Private Banks to Cover ESLSE Forex Needs’ (12.09.2017) link: https://www.ezega.com/News/NewsDetails/4679/Ethiopian-Government-Orders-Private-Banks-to-Cover-ESLSE-Forex-Needs

Addis Fortune – ‘Ethiopia: NBE Ordered Banks to Cover ESLSE’s 15 Million USD Bill’ (13.09.2017) link: http://www.2merkato.com/news/alerts/5220-ethiopia-nbe-ordered-banks-to-cover-eslses-15-million-usd-bill

Ethiopia News Agency – ‘Gov’ts Need to Act Together to Achieve Economic Success: UNCTAD 2017 Report’ (14.09.2017) link: http://www.ena.gov.et/en/index.php/economy/item/3705-gov-ts-need-to-act-together-to-achieve-economic-success-unctad-2017-report

Gebrehiwot, Desta – ‘Ethiopia: Informal Channels Raise Red Flag On Forex Earning’ (14.09.2017) link: http://allafrica.com/stories/201709140729.html

World Bank – ‘World Bank to Help Ethiopia Build a National Safety Net System as a More Effective Response to Droughts’ (14.09.2017) link: http://www.worldbank.org/en/news/press-release/2017/09/14/world-bank-to-help-ethiopia-build-a-national-safety-net-system-as-a-more-effective-response-to-droughts

Zimbabwe: Letter from Ministry of Rural Development, Promotion and Preservation of National Culture and Heritage – “Appeal for Contributions towards Mash Central Presidential Youth Interference” (03.09.2017)

Zimbabwe: The Bond-Notes are creating higher prices on goods and a big black-market for currency exchange!

The launch of the Bond Notes has been hectic and been untrustworthy. Zimbabwe has been hit with economic difficulties, as to the policies and thieving of the state reserves. That is why the inflation and value of the currency dwindles. As well, as the lack of trust of the currency and the central reserves issued notes, are the reason for the troubling issues with the monetary policies. The Zanu-PF government have been more preoccupied with serving themselves, than the people who are spending the notes.

The questions in the beginning of the of the current value of a note issued on a loan through Afrieximbank, this means the state was taking on debt. This is was to issue a new currency, a temporary note that was gaining new debt to the state. Just take a look!

Chakravarti, a University of Zimbabwe economics professor, said keeping the peg is only depreciating the value of the Real-Time Gross Settlement system (RTGS). He noted that the Confederation of Zimbabwe Industries had revealed that the RTGS premium to real money is now at 30%, meaning if one had US$1 000 in RTGS, they only have US$700 in real money. He added that it was “pointless” to have the Afrieximbank facility, which the central bank said backs the bond notes, if it is not convertible.” Chakravarti said it was unhealthy for the economy to have government crowding out funding for the private sector. He noted that the country has the highest tax-to-GDP in Africa which is 30% against the continental average of 22%, a situation he described as unviable. Chakravarti predicted that by December this year bond notes will constitute 50 to 60% of the currency in circulation which will qualify it as a local currency” (Ndebele & Kuwaza, 2017).

Dollarisation has two forms, namely, official/de jure and unofficial/de facto. BMI Research found that an increase in bond notes was actually de-dollarising the economy. BMI Research warned last week that increasing money supply would contribute to an accelerated growth of inflation from 1,4% by year-end to 8,5% in 2018 — making the steepest growth since 2009. “The Reserve Bank of Zimbabwe’s (RBZ) decision to more than double the size of its bond-note programme — to $500m from $200m previously — confirms our view that the country is headed towards de jure de-dollarisation,” it said” (Zwinoira, 2017).

Because Zimbabwe imports more than it exports, the black market is now influencing pricing trends. As such, a transfer now attracts a 48 percent premium, while cash transactions for smaller denominations range between eight and 9,5 percent, depending on the currency involved. For larger notes such as US$50 and $100, it can cost the buyer up to 10 percent. The majority of companies, whose payments fall outside the Reserve Bank of Zimbabwe (RBZ) priority list for accessing the elusive US dollars in banks, rely on bank transfers to get the coveted currency on the parallel market. As a result, prices for all basic consumer goods have gone up by between 20 and 50 percent as companies and retailers pass on the costs to the ordinary consumer” (Bulawayo24, 2017).

We can easily see that the trustworthy levels of Bond-Notes isn’t there, as the businesses not connected with Reserve Bank of Zimbabwe payment system makes the exchange of currency more expensive. The trust was already bad before the issue of the bond-notes before June 2016. It haven’t got better, it is worse as the percentage cost is 10%.

Therefore, the value of the Bond-Notes has made ordinary life harder. The prices on ordinary goods has gone up. This because of the issue of the Bond-Notes and the whole fiscal policy, that is clearly not working. Peace.

Reference:

Bulawayo24 – ‘Value of Bond Notes Tumbles’ (05.09.2017) link: http://bulawayo24.com/index-id-business-sc-economy-byo-117175.html

Ndebele, Hazel & Kuwaza, Kudzai – ‘Officialise bond notes, govt told’ (01.09.2017) link: https://www.theindependent.co.zw/2017/09/01/officialise-bond-notes-govt-told/

Zwinoira, Tatira – ‘‘Zim heading towards de-dollarisation’ (04.09.2017) link:https://www.newsday.co.zw/2017/09/04/zim-heading-towards-de-dollarisation/

Opinion: President Museveni praises Equatorial Guinea for it’s rampant Oil-Corruption; wants to learn his tricks!

In these days the President Yoweri Kaguta Museveni of the Republic of Uganda are on a state visit in Malabo, visiting and learning tricks from the Equatorial Guinean President Teodoro Nguema Obiang, who has used the oil to enrich himself and his loyal subjects. Not build a welfare state, but make sure the family of Obiang get wealthy. Certainly, Uganda is preparing for their own oil production in the Lake Albertine basin, as the pipeline building from the production to the Port Tanga in Tanzania.

This is why President Museveni are visiting Equatorial Guinea to learn the tricks of the trade, as the state of Uganda are still in the dark of the oil-deals between the international companies and the state. We can wonder how the funds will be spoiled and how Museveni plans to use the oil funds for personal gains. If so, he wouldn’t praise President Obiang, who has his whole career to spend the oil profits from his republic. This is what Museveni wants to learn, since his career has been tricking out all sorts of play from Ugandan republic. The petroleum profits can be misspent and hidden just like in the republic of Obiang. Take a look!

President Museveni’s praise:

We are therefore in Equatorial Guinea for two things: looking at how to support prosperity of one another and how to push for our strategic security. I also congratulate Equatorial Guinea for using it’s oil and gas very well. When I was last here for the AU Summit, I noticed gaps between the airport and the city centre. Today, all these gaps were gone. In their place are new, well-planned buildings. And I see the city is refurbished. Some people say oil is a curse but in Equatorial Guinea it is a blessing” (Yoweri Kaguta Museveni, 26.08.2017)

Business in Equatorial Guinea:

Since the discovery of the offshore oil deposits, many investors have shown great interest in the country. Foreign direct investment inflows into the country had thus been consistently high for the past years. Nevertheless, in 2016 the FDI inflow amounted to USD 54 million, a sharp decrease from USD 233 million recorded the previous year (and the historical peak of USD 2.73 billion in 2010) . The total stock of FDI in the country is currently at USD 13.4 billion” (…) “Corruption in particular is problematic. In addition, the business climate of the country remains rather unfavourable for investment. Cumbersome procedures and high compliance costs slow licensing and make starting a business more difficult. Weak regulatory and judicial systems may discourage foreign investment as well, along with high credit costs and limited access to financing. The government controls long-term lending through the state-owned development bank. Equatorial Guinea ranked 178th out of 190 countries in the 2017 Doing Business report published by the World Bank, losing three spots compared to the previous year” (Santander Trade, 2017).

Son of the President on trial:

The corruption trial of Teodoro Nguema Obiang Mangue, the son of the president of Equatorial Guinea, ended in Paris on 6 July with the prosecution calling for a three-year jail term, a €30 million (US$34 million) fine and the confiscation of assets. The Tribunal will return a verdict on 27 October. The 48-year-old vice-president of Equatorial Guinea was not in court to hear the prosecution’s claim that he used money stolen from his country’s treasury and laundered through a shell company to fund a lavish lifestyle in France” (Transparency International, 2017).

This was what that is well-known of the Equatorial Guinea corruption and the son of President has also had challenging cases in the United States. Now the son is also having alleged fraud and criminal charges in France. Clearly, the Ugandan President has already known for corruption behavior. Therefore, even a state agency of PPDA has some words, that the government needs strict regulations before procurement and infrastructure development. This will be clearly important when it comes to petroleum industry. Take a look!

PPDA strict regulation on public procurement:

Public procurement is a key pillar of the public financial management system. The country’s budget and plans are translated into actual services to our people through the public procurement system. It is also the link between the public sector and the private sector as it is the medium through which the private sector does business with Government. Public procurement therefore involves large sums of money and as our budget grows with the priorities of Government remaining infrastructure development, the proportion of the budget earmarked for public procurement remains significant and therefore calls for strict regulation” (PPDA, 2017).

Audits and investigations by the Public Procurement and Disposal of Assets indicate that corruption in the procurement process manifests more in the evaluation of bids, reported to be at 58%. PPDA’s Manager Capacity Building Ronald Tumuhairwe says such corrupt practices lead to awarding of contracts to incompetent individuals hence shoddy works in several government projects” (…) “He adds that the second process where corruption manifests is awarding of contracts at 12.5%, followed by receipt and opening of bids, reviewing evaluation of bids, advertising and signing of contracts” (Sebunya, 2017).

President Museveni clearly has own agencies saying it is important with strict regulations on procurement and infrastructure developments like the ones needed for oil industry in the republic. The regulation of oil industry is lax, to make sure the state isn’t transparent with its profits and taxation of the industry. This is what Museveni wants, that the state and the public doesn’t know the contracts or the agreements between the parties involved. That is something President Obiang surely have the capacity to teach Museveni. And how to make sure his family is earning from the state resource, instead of the public and the state itself. Peace.

Reference:

Transparency International – ‘ON TRIAL FOR CORRUPTION: FRENCH PROSECUTORS DEMAND JAIL TERM AND €30 MILLION FINE FOR OBIANG’ (11.07.2017) link: https://www.transparency.org/news/feature/on_trial_for_corruption_french_prosecutors_demand_jail_term_and_30_million

Santander Trade – ‘EQUATORIAL GUINEA: FOREIGN INVESTMENT’ (August 2017) link: https://en.portal.santandertrade.com/establish-overseas/equatorial-guinea/investing-3

Sebunya, Wycliffe – ‘Corruption manifests most in the procurement process – IG’ (25.08.2017) link:http://radioonefm90.com/corruption-manifests-most-in-the-procurement-process-ig/

PPDA – ‘EVALUATING INNOVATIVE ANTI CORRUPTION POLICIES IN PUBLIC PROCUREMENT IN UGANDA’ (02.08.2017) link: https://www.ppda.go.ug/evaluating-innovative-anti-corruption-policies-in-public-procurement-in-uganda/

Grace “Gucci Gucci” Mugabe [above the law] got her ‘Diplomatic Immunity’ today after her violent acts against several models at Sandton Hotel!

We can now officially say that First Lady of Zimbabwe are now standing above the laws of South Africa, a republic where she doesn’t reside, but because the relationship between Mugabe family and South African government, the RSA laws doesn’t matter to the Princes of ZANU-PF and their Family members. Grace Mugabe can now assault with battery and with intent, and get away it it. Since it was internal family matters, a visit to look after her long-lost kids who lives in luxury, while the Zimbabweans are starving. Such justice there, but the point now, is that Grace Mugabe can assault not only one person, but more with help of her bodyguards. Just take a look, first the ‘Diplomatic Immunity’ and then eyewitness stories from what she is free of charges from, because of her stature and place of life. The law isn’t the same for all kind, especially not when you have powerful friends, it seems.

Government Notice number 850 of 20th August from Minister Maite Nkoana-Mshabane, the Minister of International Relations and Cooperations wrote: “In accordance with the powers vested in me by section 7(2) of the Diplomatic Immunities and Privileges Act, 2001 (Act No. 37 of 2001) and acting in the interest of Republic of South Africa, I hereby recognize the immunities and privileges of the First Lady of Zimbabwe, Dr. Grace Mugabe, in terms of international law and as set out in the attached Notice” (Government Gazette, 20.08.2017 – Government Notice No. 850 of 2017).

Victims of Grace Mugabe’s rage:

One of the three women, who describes herself as a promotional model, told of her terror as Mugabe lashed out at them. Mugabe was accompanied by about 10 bodyguards and hotel security guards and she was looking for her sons, Robert jnr, 25, and Chatunga Bellarmine, 21. Both men had fled the room when they heard their mother coming. The attack took place in Sandton’s The Capital 20 West hotel. The woman said that at the time she did not know who her assailant was or why she and her friends were being beaten. “I really thought she was going to kill me … From the moment she stormed into the room she was ready to murder someone,” the woman said. “The electrical cord-cable was tightly wrapped around her hands. No one could stop her. The guards and hotel security guards just stood there and watched as she whipped me with the cord and dragged me across the floor by my hair.” Mugabe’s sons have recently been in the news for their behaviour. The brothers were kicked out of a Sandton hotel last month, allegedly for bad behaviour” (…) “When the three friends could not tell her where her sons where, Mugabe lashed out at them with the electrical cord. The woman said the attack carried on for 20 minutes. While she was being assaulted, her friends fled. “She dragged me by my hair and held me tight. She slashed me viciously with the electrical cord. She then dragged me by my hair across the floor and threw me on a couch where she forced me to call our mutual friend and Bellarmine’s best friend, but their phones were off. “She continued beating me with the cord; I was rescued by the hotel manager, who rushed to the room after hearing my screams for help.” Engels’s two friends said they were too frightened of Grace Mugabe to lay criminal complaints, but said they would support Engels in court” (Ndabeni, 2017).

This should be insulting to the victims, the families and to the justice system of South Africa. That a foreign dignitary can carry out assaults and violence on their citizens. Than, run home with immunity from her crimes. The violence done because of the sons wish of partying with models and expensive bottles wine. The sons of Robert Mugabe have already caused trouble on the same hotel in past, but because of their standing and ranks they are allowed back. If someone else did similar acts, they would be banned from the premises.

Still, as that is awful enough – Grace Mugabe put-up the ante and attacked fellow guests of her sons. She violated them and harassed them. Grace Mugabe actually torn them and used violence. The First Lady did not act against her sons in this way, but against strangers who was invited by her sons. She attacked innocent South African girls, who had no ill-intent and was invited to the hotel. This is vicious and insane!

So with this in mind, the RSA and the Minister Maite Nkoana-Mshabane should offer a leaf of faith. This should be investigated and taken to the law. First Lady Mugabe should stand trial and answer for the possible misgivings and assault with battery. This isn’t flattering, this is a clear violation of ordinary and civilian courtesy. The First Lady could have talked ordinary to the woman and asked why they we’re there and why her sons was gone. Instead, she attacked them with the force of 10 bodyguards and left no-one with wounds. The witnesses even fear the woman after this and that is not strange, she attacked them viciously.

What is more insulting, is that the State offers no sympathy for their own citizens and leaves them behind. They are just flesh-wounds and exchangeable, they can be traded with someone else. The next time the Mugabe boys looking for a fling. No big-deal, but the Mugabe family is so unique and special. So they can assault strangers without any consequence or facing justice. They are above the law, not only in Zimbabwe, but also in the proud Republic of South Africa.

This is just proving that the First Lady of Zimbabwe can do whatever she wants, the same for her sons and also the President. Since they are dignitaries and state officials with different passports, but that doesn’t mean they should get away with everything. Also, this shows how accommodating the RSA is the Mugabe family and therefore, accept this sort of behavior. It is okay and nothing wrong, apparently that is the message. Peace.

Reference:

Ndabeni, Khanyi – ‘ First Lady, Grace Mugabe ‘was ready to murder’ (20.08.2017) link: https://www.timeslive.co.za/sunday-times/news/2017-08-19-first-lady-grace-mugabe-was-ready-to-murder/

“Gucci Gucci Mugabe” ditches justice in South Africa!

You know your an important person or of some influence when you can run from the law and not get into greater trouble. If it was an ordinary person or an ordinary Zimbabwean citizen who did something unjust in South Africa, the person would be questioned, would make an affidavit and been put for trial. Nevertheless, the First Lady Grace Mugabe could access lawyers and even run from the Republic. She was not on official business as a diplomat, but she was there for her sons. Just take a look!

Gabriella Engels on Monday said she was visiting Mugabe’s two sons Robert and Chatunga at the Capital 20 West Hotel whom she met through a mutual friend on Saturday. Engels said a bodyguard asked her and a friend to wait in a separate room before Mugabe allegedly started beating her. “When Grace entered I had no idea who she was. She walked in with an extension cord and just started beating me with it,” Engels told News24 over the phone. Engels said Mugabe accused her of living with her sons. “She flipped and just kept beating me with the plug. Over and over. I had no idea what was going on. I was surprised… I needed to crawl out of the room before I could run away” (…) “Her ten bodyguards just stood there watching, no one did anything, no one tried to help me.” Engels said hotel staff escorted her out of the hotel. She immediately tried to open a case of assault at the Sandton police station” (De Villiers, 2017).

So when you have these sort of allegations against the First Lady of Zimbabwe, the South African Police Service (SAPS) should take this serious. Instead, they are doing this:

That she wants to use diplomatic immunity for her assault of a 20 year old lady and model at the Hotel in South Africa, shows the proof of using her reach of power to personal gain. This is disrespectful of the person violated by her and her assistance, there is nothing that justifies this and also it should be wrong of the South African state to disband the investigation and not look into the matter.

That means that VIPs and greater persons of power can be over the state and over the law. She should be indicted and put into question over the acts that happen at the hotel. That they can be verified and the assault charges can be put to rest. She was not a diplomat or a part of state convoy with state security ushering her around in South Africa. “Gucci Gucci” was initial a tourist in South Africa visiting family members, not being there to discuss trade and border issues between Zimbabwe and RSA. That was not the issue of the days, she was not at Gauteng or Pretoria trying to discuss important members with officials. Instead, she was there visiting her kids, where she met a model and hurt Engels.

This is really sad, how little the law matter, when VIPs and people of Power breaches the laws in the RSA. That is shown with the Gupta’s and Zuma’s, now also Mugabe’s, surely it must help that Zuma and Mugabe has houses close by in Dubai. So they have surely shared a few moments together there around the pool. This is disgraceful to Zimbabwe and also to South Africa. Both republics are played around by the First Lady Mugabe. This is beneath the State and the Authorities, as they can do as they want.

If the RSA gives “Gucci Gucci” diplomatic immunity in this case, than their true allies of Zimbabwe, but are disgracing their own laws and justice, which is not equal for all, but the VIPs can do as they want. Peace.

Reference:

De Villiers, James – ‘Grace Mugabe ‘assaulted’ me with an extension cord, model, 20, claims’ (14.08.2017) link: http://m.news24.com/news24/SouthAfrica/News/grace-mugabe-assaulted-me-with-an-extension-cord-model-20-claims-20170814