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DA wants lowdown on Zim loan
07/08/2005 13:47 - (SA)
Cape Town - President Thabo Mbeki must set the record straight on any financial assistance to Zimbabwe, the Democratic Alliance demanded on Sunday.
Thabo Mbeki must state clearly and publicly whether the government is attaching conditions to loans requested by Robert Mugabe - and if so, what those conditions are, DA leader Tony Leon said in a statement.
He said cabinet, after meeting last week, flatly denied that it would demand conditions from the Zimbabwean government.
Cabinet spokesperson Joel Netshitenzhe at the time said "on principle we don't deal with other countries on the basis of conditions".
"However, there are now reports of explicit conditions being demanded by SA negotiators - and rejected by Zimbabwean officials."
According to Leon Mugabe is said to have instructed his officials to tell South Africa to "go to hell" if SA insists on conditions.
City Press on Sunday reported that an agreement has been reached between SA and Zimbabwe about a loan of up to half a billion US dollars to assist the country to deal with its economic meltdown.
According to City Press the meeting between SA and Zimbabwean treasury officials on Thursday was short and there was agreement on all issues, including SA's prerequisites on assistance.
Netshitenzhe said details of the meeting were not a subject for media debate.
Zimbabwe asked for a $1bn loan last month.
Netshitenzhe told the media on Wednesday that the amount that would be granted would be "far less than the $1bn".
City Press has established from highly reliable sources that in terms of the draft agreement, Zimbabwe will have a loan facility of between $200m and $500m.
About $160m of this will be used to repay the International Monetary Fund arrears immediately after the signing of the agreement, while the rest will finance much-needed resources for the country, such as fuel, seeds and fertilisers for the approaching planting season.
Leon said: "The money at stake belongs to the South African people.
"Unfortunately, the mixed messages being sent by the President and the cabinet seem to indicate a cavalier disregard for the wishes of the taxpayers and the needs of the public."
Leon reminded Mbeki and Finance Minister Trevor Manuel of the strong public stance they took in October 1991 against any loans from the IMF for the government of then-President FW de Klerk.
"By giving financial support to Mugabe, without making concrete political change an explicit and public condition of that assistance, Mbeki and Manuel are doing exactly what they opposed in 1991 - namely, propping up a government whose rule has become an affront to the international community."
Leon said any financial assistance to Zimbabwe should be subject to strict political conditions - including the implementation of a "road map to democracy", which would incorporate plans for the departure of Mugabe from office, the establishment of an interim government, the drafting of a new constitution and the holding of new elections.
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