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Prime Minister Morgan Tsvangirai's end-of-year address to
Parliament
Prime Minister
Morgan Tsvangirai
December 15, 2011
Introduction
Mr Speaker Sir,
it is with great pleasure that I stand before this august
House to make a year-end statement to the honourable members
on my reflections for the past year and to give a projection of
government priorities for the coming year.
In the spirit
of accountability, the executive should periodically come before
this House of elected people's representatives to update the
people on key issues and the challenges that government is facing.
The
State of the Inclusive Government
We have had
our success stories but this government largely remains dysfunctional,
perhaps mainly because we sought to engage and preoccupy ourselves
with more issues than a coalition
government can reasonably deal with.
With the benefit
of hindsight, it would have been more prudent and practical to concentrate
on the GPA issues
and those issues that guarantee economic stability and guarantee
a free and fair election without chewing more than what a government
of ideologically opposed players can achieve.
However, even
within the limitations of a coalition government, we have managed
to make some notable progress in areas such as health, education
and provision of clean water in most cities and towns.
Like any coalition,
there are no shared values and no shared vision and we have worked
on the minimum understanding that collectively, and despite our
political differences, we need to get this country working again.
Mr Speaker Sir,
more could have been done, particularly in dealing with the GPA
issues that have remained outstanding three years after it was signed.We
are no longer talking about selected outstanding issues. The entire
GPA is largely an outstanding issue with key matters remaining unresolved
despite Cabinet adopting an implementation matrix with time limits.Key
reforms such as electoral reforms, political reforms and media reforms
as agreed in the GPA remain unimplemented.
Mr Speaker Sir,
non-implementation of agreed issues has been the major challenge
confronting this government and because of the nature of our coalition
where various political parties seconded their people into government,
it is impossible to take decisive action on errant Ministers some
of whom have resorted to open defiance.
Government
Work Programme
The Economy
1. Considerable
progress has been made in the following areas;
a. Macro-economic
stability
Inflation has been contained at 4.2 per cent which is a reasonable
figure compared to the hyperinflationary environment before the
consummation of the inclusive government.
b. Economic
growth
Economic growth has been projected at 9.3 per cent in 2011, up from
8.1percent in 2010 and is projected to go up to 9.4 per cent in
2012.
Mining has been
the biggest contributor to growth while capacity utilisation stands
at 57 per cent, up from 44 per cent in 2010
c. Infrastructure
The rehabilitation of road infrastructure, especially in local authorities
has been commendable but more needs to be done to expedite progress
on the main trunk roads. Water infrastructure has also registered
a significant improvement in both urban and rural communities.
d. Social service
delivery
This has improved
at the back of development assistance largely from the EU, UK and
USA, with $370m realised by end of September mainly in the areas
of health, education social protection.
In the past
year, I launched the Education Transition Fund and the Health Transition
Fund which have changed the face of the health and education systems
in the country, thanks mainly to development partners.
Mr Speaker Sir, due to these two critical interventions, the health
delivery system has largely seen a positive transformation while
every pupil in all our primary and secondary schools is now assured
of textbooks in the core subjects.
As Cabinet,
we have also discussed and agreed that we need to have a comprehensive
input support scheme to support our farmers and not the current
ad hoc system which has caused confusion and misunderstanding.
On Chiadzwa, we agreed to resettle the displaced families in the
area and to ensure that the proceeds arising from the sale of diamonds
benefit all the people of Zimbabwe.
The green fuel
from Chisumbanje will provide a major boost to the country and we
agreed that it must be made available to the people subject to meeting
government conditions through the relevant Ministry.
The one-stop
shop which the government launched this year, has also become a
major convenience for prospective investors as it reduces transaction
time for those people who have shown confidence in our economy.The
launch of the Medium term Plan in July also helped set out the growth
trajectory of the economy over the next five years and provided
a framework for government operations.
Mr Speaker Sir,
ICTs are a critical enabler to growth and economic development and
the fibre-optic cable and the phenomenal growth in internet and
mobile phone usage is a positive sign for the future of this country.
2. Despite the
notable successes, more could have been done in the following areas:
a.Investment
and FDI promotion
Mr Speaker Sir,
there has been stagnation in this area mainly due to the way we
have handled the indigenisation policy as well as the political
discord arising from the slow implementation of the GPA. The indigenisation
policy has largely been turned into political rhetoric which has
intimidated investors as some political players sought to make cheap
political gain out of this policy.We need a new thrust that creates
jobs and protects investors while at the same time promoting investment
and empowering the ordinary person.
b. Fiscal revenue
performance
Diamond revenue has been disappointing at $122m in 2011. Recurrent
expenditure has been crowding out the capital budget hence service
delivery is suffering. Employment cost at 63% is the biggest culprit.
We have an untenable situation where deficits are being funded from
reallocations of expenditure.
c. Infrastructure
The power deficit (target of 1600mw versus actual output of 1105mw)
means that industry could not perform to capacity, thereby affecting
projected growth targets. Slow delivery on irrigation and public
works infrastructure owing to poor cash flows has also been a major
let-down.
d. Social service
delivery
The high salaries bill means that little was left for social service
delivery which also meant over-reliance on development partners.
e. Civil servants
condition of service
Notwithstanding the unbudgeted salary increase in excess of $400m,
the conditions of service for civil servants remain a challenge
that we have to deal with.
Going into 2012,
the following is critical;
a. Improving
revenue performance through transparency with diamonds revenues;
the promised additional $600m from diamond sales in 2012 following
the KPCs certification of Zimbabwe diamonds was allocated to specific
social programs. This means that to a large extent, our ability
to deliver as a government depends on the performance of this industry.
In this respect, we call for greater transparency in the sale of
diamonds and full accounting of the proceeds thereof so that we
can be able to fund critical projects.
b. Civil servants'
conditions of service
While there
is no provision for an increase in the current budget, the only
hope is that diamond revenues will exceed the budgeted $600m, with
the surplus being put to improving conditions of service for civil
servants.
Today, I want
us to salute our civil servants; the unsung heroes and heroines
of this country; the men and women who have chosen to work for their
country for a pittance. We expect that with increased inflows from
the diamond sales revenue, we must be able to make a meaningful
adjustment to civil servants' salaries and conditions of service.
c. Social service
delivery
There is need
to improve the business environment so that revenue performance
and cash flow improvements will support timely implementation of
the budgeted programs especially in the rehabilitation of education
and health infrastructure.
We have started
on a good note in terms of social services and we hope to put more
effort in ensuring that people access quality and affordable services
especially in health and education.
3. Legislative
reforms
There has been
very slow progress in bringing Bills to Parliament and significant
improvement is needed in this area. There is no seriousness by the
various Cabinet ministers to bring forward the bills before Parliament
and this is an issue that I have raised with the President. For
example, for the third session of Parliament, the Legislative Agenda
outlined 24 Bills but of these, only seven were introduced.
What is only
commendable is that of those seven Bills, key Bills were brought
before Parliament and these include the Electoral
Amendment Bill and the Zimbabwe
Human Rights Commission Bill. However, these Bills need to be
finalised before the first quarter of 2012 to enable these Constitutional
Commissions to become operational.
Important Bills
which were supposed to be brought before the third session include
the Media Practitioners' Bill, the Mines and Minerals Amendment
Bill and the Criminal Law (Codification and Reform.) No explanation
has been given for why these important Bills have been given as
to why these Bills have been dropped off the Legislative Agenda.
Even though
the Legislative Agenda for the fourth session was enunciated in
September 2011, we are now in December and the principles of four
key Bills have not yet been introduced before Cabinet. These are:
The Referendums Amendment Bill, the Diamond Bill, the State Enterprises
Restructuring Agency Bill and the Zimbabwe Investment Authority
Bill.
4. Constitutional
Commissions
Although the
Zimbabwe Electoral Commission (ZEC), the Zimbabwe Media Commission
(ZMC) and the Zimbabwe Human Rights Commission were appointed in
2010, and the Anti-Corruption Commission in 2011, none of these
have been highly effective as they have been under-funded. The Bills
for ZEC and the ZHRC have not yet been finalised in Parliament and
this has severely affected the ability of the ZHRC in particular
to operate. The ZHRC has no offices, no staff and no equipment.
Without a legislative framework for the ZHRC, this Commission remains
a Commission only in name.
The funding
given to all four Commissions in the current budget budget is only
$5 million. This falls far short of the budgets submitted by each
Commission averaging $30 million per Commission as the amount they
need to execute their respective mandates. There will be need for
a revision mid-2012 to add more resources to these Commissions,
otherwise crucial work in the area of democratic reforms will continue
to lag far behind.
5. Media Reform
(Board appointments and Licences)
To all intents
and purposes, this has become a national joke. One of the key reforms
as envisaged in the GPA and as agreed by the Principals is the issue
of comprehensive media reforms, which includes introduction of more
and diverse players in both the print and electronic media as well
as the immediate cessation of hate speech. To date, there has been
outright arrogance and intransigence from the responsible Minister
and his officials.
The appointments
of the BAZ board, the board of the Mass Media Trust and the ZBC
board have not been effected despite adoption by Cabinet and agreement
by the Principals in 2010. The editorial policies of the State newspapers
and the State broadcaster has remained partisan and unreformed,
and the media field remains dominated by the same partisan State
players. The current illegally constituted BAZ board is now adjudicating
and approving broadcasting licences unlawfully. The current BAZ
board needs to be directed to stop operating immediately and the
licences it has dished out immediately revoked. The Minister of
Media, Information and Publicity should finalise appointments of
all the media boards.
6. National
Security Council
The NSC had
one major output in 2011 and this was the production and adoption
of the National Security Sector strategy. However, this strategy
is still outstanding and the issues arising from a security sector
that is not realigned to the principles of the GPA adversely affects
the operations of the inclusive government. This compounds the perception
of the country as undemocratic.
7. Constitutional
Reform
The progress
in Constitutional reform has been slow and painful. Challenges have
been both political and financial. However, it would be remiss of
me not to mention the commendable role played by development partners,
through the UNDP, in supporting our Constitution-making
process. However, donor funding cannot be the sole source of
funds. There is a perception that the government is not putting
sufficient resources into democratic reforms and we hope that with
the projected increased revenue from the sale of diamonds, Treasury
can have enough room to fund some of these important processes.
Way
forward for 2012
The year 2012
must not be characterised by rhetoric about an early election that
is not accompanied by the necessary reforms that will ensure a free
and fair election as agreed by the parties under the facilitation
of SADC.
Political stability
is key to our prosperity as a nation and only a free and fair election
can guarantee legitimacy, peace and stability. Mr Speaker Sir, in
the coming year, we need to implement what we agreed, to poise this
country for growth and above all to guarantee peace and give confidence
to Zimbabweans, the region, Africa and the broader international
community that we are able to conduct a free election.
The all-party
indaba that we recently held in Harare should find meaning in our
citizens that indeed the leadership of this country is truly committed
to tolerance, peace and non-violence. Mr Speaker Sir, the next year
must register growth, set a firm foundation for a free and fair
poll and above all, give every Zimbabwean hope that indeed, the
future of this country is our shared concern. Mr Speaker Sir, I
have traversed the whole country and the issue of food security
is a national emergency. We should make sure that no one starves
and as government, we will put in place a mechanism to move grain
from the surplus areas to vulnerable communities.
Lastly, I wish to commend the people of Zimbabwe for their patience
as we navigate this delicate transition.
We leave you
a message of hope that we remain alive to your concerns and that
2012 should bring better prospects for peace, tolerance, growth
and prosperity.
I wish you all
a merry Christmas and a prosperous new year.
Indeed, may
the good Lord bless you and your families and expand your territory.
God bless you.
And God bless Zimbabwe.
I thank You
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