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Archive for the tag “IMF”

Zimbabwe Cricket: Press Statement (29.07.2019)

Zimbabwe: Press Statement on Vice President Chiwenga’s Condition (22.07.2019)

Zimbabwe: ZC ready to work with SRC to get ICC sanctions lifted (19.07.2019)

Zimbabwe: Press Statement from the Permanent Secretary for Health and Child Care on Request for Assistance in Respect of the Lupane East By-Election Campaign (17.07.2019)

Zimbabwe: Prosecutors Association of Zimbabwe – Memorandum – Re: Declaration of Incapacity by Prosecutors (19.07.2019)

Zimbabwe: ZADHR – Statement – Health for All: No to Political Motivated Partisan Distribution of Health Services and Goods (17.07.2019)

Zimbabwe: Terrifying high inflation rate!

Prof. Mthuli Ncube needs to really show the new dispensation and prove that the RTGS Dollar and Bond-Notes put together into the Zimbabwe Dollar really will save the economy. Because, the state is clearly failing on putting trust in the economy. The financial markets clearly has lack of trust or not feeling it. The Zimbabwe African National Union – Patriotic Front (ZANU-PF), the second republic has to prove now, that they can fix what the Mugabe regime couldn’t fix in 2008.

Now, the Ministry of Finance, the Professor and Minister has to prove himself. That he can fix this, before the hyper-inflation hits the fan. Since, there is an giant issue. The inflation is already getting out of hand.

On the 15th April 2019, the inflation rate was at 66,8%. By the 15th May 2019 it had already become 75,86%, it continued to spiral and by 17th June it was at 97,85%. That all seems bad enough, as the progression and estimates has been broken every month. Now today on the 15th July 2019, it has hit 175,66%. That means since April the rate has nearly tripled and is now at the level of triple digit.

The prices must really skyrocket, the salaries will not be able to follow these sort of numbers. The state cannot manage to finance the state nor get the civil servants paid enough. Now we can anticipate the fuel, gas and electricity prices to go up. It got too, because, the economy is crashing. When the inflation get to this, you know something is up. The state is now getting the inflation at a ten-year high. They are surely trying to get back into the 2008 mojo.

Mthuli Ncube really have to start doing some miracles, some sort of divine god-like acts that turns water into wine. He needs to dig deep into the shelters of misbelief and find redemption. Because right now, the bridges are burning and the state needs.

Just to tell how bad it is, the estimates in the coming months is already at 200% in August and by mid-September to get to 251%. If these are true, than we know the drill. The lack of foreign exchange, prices out of control and state reserves emptied. The need for IMF, World Bank and Chinese Exim Bank to save the day. To stabilize the economy and revamp the economy.

The ZANU-PF clearly doesn’t know how to build trust or fix this. Since, they are doing the same thing all over and they have not launched the new currency yet. This shows how dire and destroyed the economy is. Peace.

The SGR Trick: Which was all based on, if Beijing blessed Nairobi!

I will be part of the delegation to accompany the President to the Asian country next week. The new SGR line will extend from Naivasha, Narok, Bomet, Sondu and finally Kisumu” – Raila Odinga on the 20th April 2019

We are now surely living in interesting days. Not enough that the “opposition” leader and Building Bridges Initiative leader Raila Odinga was stringing along with President Uhuru Kenyatta to Beijing and the Belt and Road Initiative Summit in Beijing this week. It was a grand summit with all the partners who are cooperating with the Chinese on their mission. Clearly, the Kenyan government officials had to go. As they have substantial investments, loans and projects already done in Kenya.

This being the Standard Gauge Railway (SGR) from Mombasa to Nairobi, now the second extension is to Naivasha. Clearly, that is not as golden as getting it to Kisumu. Then it would be a better deal to get the railway from Uganda connected too. The reason why President Museveni even took the ride in Kenya during the last month or so. Therefore, the trip to China now, seems abysmal. Even if they get to sell avocados. It is at least something.

I will first show you the two reports from the day before the Kenyan Officials flew to Beijing as they were scheduled to meet and negotiate a loan for an extension of the SGR to Kisumu. Alas, that has clearly not gone to plan. That is why I will show what one media house in Kenya wrote today and what the State House claims after failing.

CTGN reported on the 23rd April 2019:

Kenya’s president Uhuru Kenyatta will today travel to China to secure a Sh368 billion loan for the extension of the Standard Gauge Railway (SGR)” (Christine Maema – ‘Kenya’s President travels to China to secure Sh368b SGR loan’ 23.04.2019, link: https://africa.cgtn.com/2019/04/23/kenyas-president-travels-to-china-to-secure-sh368b-sgr-loan/).

Standard Media on the same day:

President Uhuru Kenyatta will today travel to China to negotiate a Sh368 loan billion for extension of the Standard Gauge Railway (SGR), a State House official has confirmed. Uhuru will be flanked by African Union’s High Representative for Infrastructure Development in Africa, Raila Odinga” (Moses Nyamori – ‘ Uhuru leaves for China to secure Sh368bn loan for SGR extension’ 23.04.2019, link: https://www.standardmedia.co.ke/article/2001322214/uhuru-goes-to-china-for-more-loans).

Citizen Kenya reports today:

However, there was no word from the Kenya – China talks on the Naivasha – Kisumu SGR extension. Instead, Kenya signed an operation and maintenance service agreement for the Nairobi to Naivasha segment of the SGR. “.. the most important investment right now is to connect the SGR to Naivasha MGR so that come August there will be seamless connectivity,” CS Macharia said, the government choosing to hold its head high despite not achieving the much sought after Ksh.368billion” (Citizen Kenya – ‘ SGR construction to end in Naivasha as China loan bid flops’ 27.04.2019, link: https://citizentv.co.ke/news/sgr-construction-to-end-in-naivasha-as-china-loan-bid-flops-242884/).

State House Press Statement:

It is important to note that the question of funding for the extension of the Standard Guage Railway from Naivasha to Kisumu was not on the agenda of the meeting between the two President’s. It therefore follows that the President cannot be said to be returning home empty handed for something he did not request. It further goes without saying that these headlines are are not only factually incorrect, they are misleading and extremely damaging to the reputation of the People and the Government of the Republic of Kenya. Whilst making it clear that the Government of Kenya did not discuss any funding proposals for the extension of the SGR at this meeting, it is very critical to state at this point that the SGR project is a regional project and the complexities in negotiating its completion involve several countries and securing financing for its completion could take several years of intricate negotiations” (State House – Press Statement, 27.04.2019).

First be first, the delegation from Kenya was a bit to excited and well prepared to come home with a giant loan. To a state and republic already high on the old loans. Where the SGR is already a losing money project and it is well established. As well, as the levels of loans compared to the budgets are already hitting the economy too. Therefore, that they were so pleased to travel for more loans is a crazy idea, but in the sphere of Jubilee, its just another Tuesday.

Secondly, the media showed and mirrored the events before, where both Raila Odinga and Uhuru Kenyatta was preparing for the loans. Kenyatta even had visit from Museveni to ensure his support and willingness to add the stakes for an extension. Because, that would mean, the same sort of deal and arrangement could be done with Kampala as well. Alas, the Northern Corridor Integration Projects with the SGR between the Republic is surely on hold. As the Republics are not capable or able to configure the stakes, the leverage or collateral for the Chinese to accept the conditions of a possible loan.

Third, when the State House comes out with a Press Release like today. It is sort of thinking that people have the memory of a gold-fish. Because, the statements of Odinga before leaving. Was all praising and willing to build a Industrial Zone in Kisumu in combination of the extended SGR. However, that dream is gone in the wind. The Jubilee and the President couldn’t fix another giant loan for the state to eat. Clearly, he missed the mark. Even if the State House claims he never intended to get it. Why have the meeting and greeting with Museveni before and later travel with a giddy Odinga? That doesn’t make sense to me? Can someone explain that to me, I don’t speak the language of gibberish.

We know there is more than what they say. The State House is trying to deflect it, surely soon Odinga is defending the State House. As the loyal subject he has become. He was planning not only to build a bridge, but also be a part of the belt and road initiative too. That would mean a double pay-off. Kenyatta nevertheless, will surely find another scheme to trick money to his businesses. We are just awaiting it.

The SGR Trick have been the same all along, awaiting the blessing and the nod from Beijing. Hopefully the Jubilee follows this old Chinese Proverb: “Timely return of a loan makes it easier to borrow a second time”.

If not, they might loose more than the good favours and possible loans from them. They might even loose, whatever collateral they made in previous engagement. Also, make it twice as harder to get more loans. Peace.

Tanzania: Blocked IMF Report, because of negative projections!

President Joseph Pombe Magufuli isn’t the sort of guy, that handles critics or opposition well. He is the sort of guy that needs all praise and benefits of a doubt. Therefore, the latest move is in a long line of questionable behaviour from his party, his apparatus and his administration to stifle voices of another opinion.

The Tanzanian government under Magufuli is a paranoid and wavy state. Where everything hangs by a thread, if your in the good graces of the President or not. If your not or if you questions him. He will take your license, suspend your newspaper or even detain you for a various reasons. That is the state of affairs. So, that the President and his people have blocked an unfavourable report from the International Monetary Fund isn’t surprising, it is more of the same.

This is from the same man, that has arrested MPs for speaking ill of him. This is from the same man, that didn’t like articles written the The Citizen to later suspend that too. Therefore, when someone dares to question his ways and orders, he will strike with fury. That is the man, the governs and leads the Republic.

Here is some pieces of information, that might be the reason why the Article IV Report of the IMF was blocked from publishing. With the Press Release of the block from IMF, before a Stratfor explanation and projections of the World Bank.

IMF Press Release:

On March 18, 2019, the Executive Board of the International Monetary Fund concluded the consideration of the 2019 Article IV Consultation with the United Republic of Tanzania” (…) “The authorities have not consented to publication of the staff report or the related press release” (IMF – ‘Statement on the 2019 Article IV Consultation with the United Republic of Tanzania Staff Report’ 17.04.2019).

Stratfor explanation:

What Happened: An apparently leaked report by the International Monetary Fund contains criticism of the Tanzanian government’s interventionist economic policies and noted that they are hurting the country’s investment climate, Bloomberg reported April 18. The Tanzanian government subsequently decided to block the report’s release. Why It Matters: The report will likely serve as an alarming sign for international investors who already have been concerned that the Tanzanian government is targeting foreign multinational companies” (Stratfor – ‘Tanzania: IMF Report Criticizes Government Measures’ 19.04.2019).

World Bank Context:

Economic performance in 2018 was mixed, while inflation remains low and stable. The National Bureau of Statistics did not release any quarterly gross domestic product (GDP) data for 2018, pending completion of a rebasing exercise. However, available data suggest signs of softening of the growth momentum” (World Bank in Tanzania – Context, 01.04.2019).

We can clearly see why the President didn’t want this to get released, also that his administration would further hit their goals, when concerning their economic forecast. This is damaging the image and also the confidence in the financial system. The IMF would have told a story that the administration didn’t want to hear or listen too.

That is why it hasn’t been released, because the President who wants all positive and praise. Cannot manage an independent entity from the outside coming with a message or projection, which isn’t fitting the narrative of the CCM. At this point, that is the message I get out of it.

Magufuli and the Tanzanian Administration could have turned the projections and the forecast. They have the ability to create stability and trust in the financial system. However, they are instead stonewalling and continuing on this path. They are not creating confidence of the acts of the government from the outside. It is backfiring instead, but this is from the administration that has to verify and give a stamp of approval to release statistics.

Therefore, we know how far this administration goes. Now, they are even stopping Article IV Report from being released. That is a sign of weakness in the economy. Peace.

Tanzania: As Anticipated the Political Parties Amendments was to destroy the Opposition Parties!

Last year, the Chama Cha Mapinduzi (CCM) and President John Pombe Magufuli issued amendments in 2018 on the Political Parties Act, which was issued this year. This is laws that is severely restricting the Political Parties in Tanzania. Today, it is official how seriously damaging these laws for the other parties in the United Republic. They really warned about the wrath and rage of the authorities. They are coming with an vengeance, like there is no tomorrow.

Today, there is released a letter sent to ACT Wazalendo, Zitto Kabwe party, one of the major opposition parties in the Republic. Today, Sisty L. Nyahoza letter to the party, warned the party, that it could get deregistered, because it hadn’t fulfilled it requirements concerning the release of information the annual statements on the finances of the party for the year of 2013 – 2017. Since, that is the matters of the state now. This is the statement of the Registrar of the Political Parties, which sent this letter or the Amwani ya Simu ‘SIASA’.

Therefore, today is a sad day for the democracy, this is a bad day for the Republic. As this was warned with the new legislation and knowledge, that has been out there since early 2018. It was on the horizon, but nobody wanted to warn of the rain, sun or even the snow. Because, everything was fine and dandy. Alas, if it is to much sun, it become drought, if it is to much it is a flood and if it is to much snow, there is a snow-storm. Therefore, the reaction of today wasn’t shocking nor surprising, but awaited.

The Tanzanian government became one step further with the amendments on the Political Parties Act. Even if the President and CCM claims otherwise, but when it becomes this easy to deregister opposition parties, shouldn’t the CCM also show the same transparency or is it cool; since they are in power and controls all parts of government?

We know President Magufuli is a whiny little bitch, who cannot muster any courage or balls to stand-up for his actions. A President that wants to be high and mighty, but acts like a coward. That who he is and that why, laws like this exists. Because, he doesn’t have the will or the ability to just install himself as the grandest man ever ruling the United Republic. The deity amongst men. That is who Magufuli is, at least how he acts.

It is time to just get his wish. The genie is out of the bottle and yet another step to ONE-PARTY STATE is there. Since, the Registrar of the Political Parties issued this warning and certainly with the knowledge of what the authorities has done already to the Opposition. The CCM has ensured hard life for the opposition and now it turns even worse.

Now ACT Wazalendo is in dire straits, unless the Registrar shows mercy, but if by history of the what the authorities does in Tanzania. In a short amount of time, the ACT Wazalendo will be over with. Then, it is the next victim… whoever that might be. Peace.

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