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Price Controls and Shortages - Index of articles
From
"Gonomics" to "Ginyanomics": The doomed options
of a dying dictatorship
Tendai Biti
July 12, 2007
The on-going
blitz on retail outlets and the arrest of retailers is yet another
sad chapter in the intriguing and farcical expression of Robert
Mugabe's rule.
During the burials
of the late army Brigadier-General Armstrong Gunda and Retired Major-General
Gideon Lifa, Mugabe and vice President Joseph Msika directed, from
the graveside, the physical enforcement of price reduction measures
that are being executed by the army, the police, militias and war
veterans.
In his graveyard
speech at Gunda's funeral, Robert Mugabe spoke in the following
terms: "Let everybody who is in business take note. This is
now going to be a rough game. We own the resources. We are the owners
of this economy. We will seize these companies. We will nationalize
them. We will no longer stand for their dirty tricks."
Pursuant to
this statement, there has been a massive crackdown on shops, supermarkets
and retail outlets as well as the arrest of retailers.
Furthermore,
to legitimize this thugocracy, the Minister of Industry and International
Trade gazetted new
price control regulations on Friday, 6 July 2007, that proscribe
any price increase from the base date of 18 June 2007.
The immediate
net result of the above banditry has been the closure of many shops
and the disappearance of essential food items from retail outlets.
In addition, many manufacturers have simply shut shop and further,
there has been a disinvestment from Zimbabwe as witnessed by the
slump in the price of stock on the Zimbabwe Stock Exchange. These
moves, coming two weeks after the gazetting of the Indigenisation
and Empowerment Bill, will further heighten the serious economic
crisis arresting the country.
Contrary to
the views of many, the assault of retailers is not the sporadic,
unplanned action of a desperate tyrant. In our view, the chaos that
is being created and replayed in Zimbabwe every day is a grand scheme,
carefully engineered by the military generals running and controlling
the country through the Joint Operations Command (JOC).
This regime
is a militarized Vampire State, whose sole aim is the continued
reproduction of power---and power alone. In pursuing this quest,
it will use legal and extra-legal means. Put simply, this regime
will burn the house if that is a precondition for sustaining power.
The regime's
actions caricature and reproduce the key components of totalitarian
regimes e.g. Germany in the Third Reich, Zaire under Mobutu Sese
Seko, Togo under Eyadema, Malawi under Hastings Kamuzu Banda and
Somalia under Siad Barre. This trait manifests itself through the
obliteration of any value systems, any objectivity, any bureaucratic
predictability and the use of force, coercion, immorality and corruption
as major tools of arbitrary governance. All this madness is always
hidden beneath an avalanche of morbid populism and infinite nationalism.
Sovereignty becomes the sycophantic high note of this discordant
chaos.
It was the same
organized anarchy that led the Vampire State to the Gukurahundi
genocide that resulted in the brutal murder of 20 000 innocent people
between 1982 and 1987 in the Midlands and Matabeleland provinces.
It was the same
driving urge that resulted in the violence that was unleashed on
the people of Zimbabwe in the name of land reform between 2000 and
2004. This resulted in over 300 MDC supporters being killed and
over one million farm workers were displaced.
The same madness
and energy have been directed at the Zimbabwean economy. Between
2000 and 2007, the Zanu PF government has systematically raped this
once-decent economy with the result that there has been the total
collapse of any macro-economic decency and a virtual death of the
supply side of the economy. The net result is that Zimbabwe is operating
at less than 25 percent of normal productive capacity, a country
where gross domestic savings are less than 2 percent of GDP and
where gross domestic investment is dwindling, a country where the
budget deficit exceeds the budget itself, a country whose economy
is in its tenth year of negative growth rates.
Yet despite
this chaos, the gap between the rich and the poor has widened and
corruption, clientelism, kleptocracy and rent-seeking activities
have become the order of the day.
The same organized
chaos reached its watermark during Operation
Murambatsvina that was unleashed on Zimbabweans from 19 May
2005, which Clean-Up operation displaced over one million people
who became internal refugees.
A small-scale
Murambatsvina is taking place at the University
of Zimbabwe where hundreds of students have been expelled from
their halls of residence in this brutally cold winter.
Thus, the attack
on retail outlets is not a surprise at all, particularly given the
election that is due in 2008. The hustlers and gangsters at the
RBZ headquarters and at Munhumutapa are now in an election mode
and have increased the decibel levels of fear in preparation of
yet another stolen election.
All sectors
are under threat; students, the church, judges, lawyers, civil society
and the opposition. As we write, over 20 MDC activists arrested
in March are still in custody for no apparent reason. These include
Glen View MP Paul Madzore, his brother Solomon, Kudakwashe Matibiri,
Phillip Mabika, Dennis Murira, Morgan Komichi, Friday Muleya, Ishmael
Kauzani, Better Chakururama, Peter Chikwati, Arthur Mhizha, Phillip
Katsande, Amos Musekiwa, Edmore Manyofa and Kenneth Nhemachena,
among others, are still languishing in prison and being denied bail
by a complicit and compromised judiciary.
The important
lesson from the assault on business is that for so many years, it
has been a complicit partner with Zanu PF in the process of disempowering
Zimbabweans. Business has tried to bribe Zanu PF by donating millions
at Zanu PF functions. It had remained deaf and indifferent to the
calls for change by the MDC.
No one is safe
in a train being driven by a madman. One is reminded of the words
of Reverend Martin Niemoller way bank in 1945: "First they
came for the Communists and I didn't speak up because I was not
a communist. When they came for the Jews, I didn't speak up because
I was not a Jew. When they came for the Catholics, I didn't speak
up because I was a Protestant. Then they came for me and by that
time there was no one left to speak."
In our view,
dictatorship and totalitarianism are an artificial construct that
does not last. This false construct has begun disintegrating. Four
issues predicate that we are in the last stages of the demise of
the regime. If this were a game of chess, then this would be the
endgame dominated by passed pawns and marauding rooks.
The first critical
issue is the economy. While Robert Mugabe can bash and imprison
Morgan Tsvangirai and others, he cannot bash and imprison the economy.
Official inflation figures of 4 500 percent are indicative and reflective
of a corrosive failure to rein in inflation. Unleashing thugs and
militias will not work. Nowhere in the world has an economy been
run by ginya (force). Ginyanomics (the use of
force) do not work. Ask the rulers of the former Eastern bloc.
The second factor
is a population that is ready for change. The average age in Zimbabwe
is 25 years. Anyone who is 25 today was born in an 'independent'
Zimbabwe and his or her key concerns are job security and economic
production. Unlike other generations, that person is not prisoner
to the ideological and suffocating dictates of the national liberation
war. Put simply, there has been a generational transformation of
the country's geopolitics. The effect of this transformation is
the occupation of space by a restive population that sees Mugabe
and everything he represents as the past and everything Morgan Tsvangirai
and the opposition represent as the future. It is a pure and simple
manachian reality.
The third issue
is the regional and African perspective of the Zimbabwean crisis.
That perspective is now more enlightened and decisive. Before 11
March 2007, many believed that the crisis in Zimbabwe was an extension
of the national question, a struggle between black and white or
between a colonial power and its former colony. Mugabe and his cronies
thus sold and projected themselves as Pan African heroes in an anti-capital,
anti-global and anti-neo liberal crusade. 11 March debunked this
myth when the battered head of Morgan Tsvangirai and the discoloured
lumps on Grace Kwinje's skin captured the brutal expression of the
regime. The regime has lost its last remaining moral face in SADC
and the African continent. It has to rely on expensive propaganda
quislings such as Baffour Ankomah of the New African magazine.
Fourthly, is
the existence of a powerful but little understood opposition. That
appears disintegrated and disunited but is otherwise. It has the
capacity and numbers to win a free and fair election. The corollary
of a strong opposition is a weak ruling party, Zanu PF. Mugabe has
collapsed the State into Zanu PF. The State has become Zanu PF and
vice-versa.
However, it
is a party that is torn by acerbic and profane divisions. At least
11 persons are vying to succeed Mugabe. The conflict, rivalry and
friction in the Zanu PF camps have totally paralyzed Zanu PF and
the State. Zanu PF and the government have become prisoner to the
mirage of succession politics.
The next few
months are thus critical for civil society, the church, students,
the opposition and the business community in Zimbabwe. There will
be further violence, assaults and deaths.
It is critical
for SADC and Africa to be aware of the dynamics that are playing
out in this country and to act as an insurance and watchdog in these
dark dying days.
As for Zanu
PF, the end is nigh. A caring government can never succeed in terrorizing
all sectors of the economy. In any contest with the people, dictators
have always come second best. Mugabe cannot be an exception.
Hon Tendai Biti,
MP
MDC Secretary-General
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