Salutations
Chairman of the Board of the National Code on Corporate Governance, Mr. Canaan Dube
Chairman of the Steering Committee of the National Code on Corporate Governance, Mr. Tinashe Rwodzi
Chairpersons of the various thematic committees
Workshop participants
Observers
Members of the media
Ladies and gentlemen
It gives me great pleasure to be with you this morning as you familiarize yourselves with the code drafting project for the National Code on Corporate Governance, albeit several months into the project.
No one needs to be reminded that Zimbabwe is a country that is blessed with God given natural resources including minerals, tourist attractions and human capital. It follows that we should be enjoying benefits of these endowments.
For a number of reasons Zimbabwe is not performing to expectations.
The background of rapid de-formalisation, hyper inflation and isolation resulted in a shift in the way we do business in Zimbabwe
The most prominent and worrying of outcomes are the moral decadence and bankruptcy and the associated plethora of unethical behavior that we have witnessed in both formal and informal sectors of our economy.
Most businesses, state enterprises and NGOs degenerated resulting in eventual collapse with devastating economic and social costs consequently.
I am reliably informed that it was against this background that the concept of crafting a National Code of Corporate Governance was developed. The intention is to ensure that the country’s businesses, be they in the private, public or NGO sector have efficient management systems, efficient control structures and strike a balance between economic and social goals with a greater corporate conscience and accountability.
The overall aim of the project is to ensure that not only are resources utilized efficiently, but that boards act in the interests and expectations of their company and shareholders whilst at the same time reducing the risk of financial crises. There is a need to ensure that there is accountability of a board and key overseeing management for the stewardship of resources. Therefore, there is no doubt that in any organization, private or public, good corporate governance is ultimately about effective leadership.
Corporate governance in any enterprise is primarily a function of three things, namely;
• Direction and leadership
• Risk management and control
• Accountability and reporting ie the provision of a true, fair and accurate account of the stewardship of the enterprise in a transparent manner to those with a legitimate interest.
We are all aware that practicing good corporate governance will restore investors’ confidence and this will enable us as a country to attract investment, gain access to external financing and grow sustainable institutions which our country so desperately needs.
One of the essential features of sustainable institutions with sustainable performance is their integration of economic, social and environmental performance.
Zimbabwe thus joins a growing list of countries with their own codes of corporate governance including South Africa, Malawi, Kenya, India and China among many others.
My Ministry is finalizing a framework for good corporate governance for all State Enterprises and Parastatals as part of measures to enhance their performance and viability. Our efforts and the work of the National Code Drafting project are in no way contradictory, rather they are complementary and this shows the importance that the Government of Zimbabwe is attaching to issues of good corporate governance.
Government’s determination to revive our economy has seen us take a decision to restructure parastatals which has been preceded by classifying parastatals into three groups which determine whether they will be commercialized, restructured or privatized. This will pave the way for Government to retain its role of providing policy framework.
Ladies and gentlemen, this concern provokes the perennial debate on whether the government can run a business enterprise successfully? More often it has been claimed that governments are generally interested in control at the expense of efficiency.
My humble submission to this debate is that it is not necessarily government ownership that hampers the efficiency and effectiveness of state-owned enterprises. In stead it is ineffective government control that hampers the efficiency and competitiveness of public enterprises.
By this, let me not be misconstrued for calling of micromanaging and meddling in the running and management of parastatals. Far from it,I am merely drawing your attention to the changed matrix and paradigm shift in how our Government is approaching matters.
It is now performance that underpins Government’s interest in what is going on in public enterprises. Inevitably, the success of state enterprises depends on striking the appropriate balance between control and accountability on the one hand, and, performance and entrepreneurship on the other. This, in our view, is ultimately the objective of good governance.
Your efforts are therefore very timely considering Government’s thrust on indigenization. Indigenization, appropriately implemented, should breed success not spell the doom of yet another enterprise …I am interested in what the Thematic Committee on Culture, Values, Ethics and Development will discover about us, and what promotes and hinders our quest to perform in this area.
It is therefore pleasing to note that the people of Zimbabwe as represented by the august membership in this room, not only share the same sentiments as their Government, but have taken their own initiative to champion this worthy cause.
You will agree with me Ladies and Gentlemen that Government has a critical role to play in establishing the economic and political fundamentals that underpin economic growth and in facilitating the practice of good governance, not only for public enterprises but for private business as well.
Let me reiterate the commitment of Government to continue in creating and ensuring a stable environment conducive for business.
I am optimistic that this seminar will inform, integrate and strengthen members in their endeavour to develop the National Code on Corporate Governance.
With these few words I officially declare this workshop open. I thank you. Siyabonga. Tinotenda. Taboka.
Monday, August 30, 2010
Wednesday, August 25, 2010
Government adopts a List of State Enterprises and Parastatals for Restructuring in 2010
I am pleased to announce this morning, that Government has adopted a priority list of ten parastatals that will undergo restructuring before the end of this year. Government’s decision to produce and adopt a priority list underlines the open, orderly, planned, phased and transparent approach to restructuring, commercialization and privatization.
The restructuring process will be carried out on a case by case basis for each of the listed entities. This reform process is in resonance with Government’s medium to long term economic rehabilitation programme.
The 10 entities included in the priority list are the Cold Storage Company, Ziscosteel, NOCZIM, Air Zimbabwe, Agribank, NRZ, ZESA, GMB, NetOne and TelOne.Line Ministries working together with the State Enterprises Restructuring Agency (SERA) will now be expected to produce business and restructuring plans for consideration by Government.
Let no one remain speculating on the Government’s basis of this prioritization. Understanding and appreciating the rationale by both the public and the parastatals themselves is crucial if our strategies to reinvigorate these State Enterprises are to succeed.
Government took into account the strategic nature of each state enterprise and its potential to attract investors. Fundamentally, it is those enterprises whose successful revitalization could catalyze the recovery of others directly or indirectly and consequently stimulate economic growth.
However some enterprises have been included on the priority list because they are already restructuring and therefore such progress need support.
Since Government recognizes that the State Enterprises and Parastatals (SEPs) are critical catalysts and enablers for the recovery of all key sectors of our economy, due attention and diligence has been invested in this restructuring process.
This realization has provided an impetus for the Government to unveil interlinked restructuring policies, crafted and promulgated in an effort to improve the efficiency and effectiveness of SEPs so as to steer the economy towards sustainable growth and an effective development path.
It should be observed as well that this restructuring is being done on the background of the need by Government to address “funding trap challenges,” fiscal drain, inefficiencies and corporate governance challenges.
On the same note, it should be realized that “Funding traps” which have manifested themselves through the failure by the public utilities to meet their financial obligations are characterized by amongst others:
• Inappropriate operating and financial structures;
• Undercapitalization;
• Serious deterioration of infrastructure due to limited resources for both maintenance and new investments
• A huge debt overhang in a liquidity crunch environment;
• Lack of Credit lines.
These challenges have for some time now constricted SEPs from sustaining their operational requirements and recapitalization needs thereby undermining their capacities for service delivery to the public.
By this initiative, Government has undoubtedly demonstrated its commitment to creating an enabling business environment and leading by example in enhancing a culture of corporate governance.
Notwithstanding the many hurdles to be faced at implementation, the reforms would eventually go a long way in improving the SEPs balance sheets and ensuring their financial independence, so that in the near future they can approach capital markets for their projects and contribute accordingly to the economy and national development. Indeed public enterprises have essentially a social responsibility role, in as much as they should strive for healthy financial performance.
Let us all embrace heartily these reforms and be determined to achieve progress for the good of our country. The time is now and the irreversible process has begun.
The restructuring process will be carried out on a case by case basis for each of the listed entities. This reform process is in resonance with Government’s medium to long term economic rehabilitation programme.
The 10 entities included in the priority list are the Cold Storage Company, Ziscosteel, NOCZIM, Air Zimbabwe, Agribank, NRZ, ZESA, GMB, NetOne and TelOne.Line Ministries working together with the State Enterprises Restructuring Agency (SERA) will now be expected to produce business and restructuring plans for consideration by Government.
Let no one remain speculating on the Government’s basis of this prioritization. Understanding and appreciating the rationale by both the public and the parastatals themselves is crucial if our strategies to reinvigorate these State Enterprises are to succeed.
Government took into account the strategic nature of each state enterprise and its potential to attract investors. Fundamentally, it is those enterprises whose successful revitalization could catalyze the recovery of others directly or indirectly and consequently stimulate economic growth.
However some enterprises have been included on the priority list because they are already restructuring and therefore such progress need support.
Since Government recognizes that the State Enterprises and Parastatals (SEPs) are critical catalysts and enablers for the recovery of all key sectors of our economy, due attention and diligence has been invested in this restructuring process.
This realization has provided an impetus for the Government to unveil interlinked restructuring policies, crafted and promulgated in an effort to improve the efficiency and effectiveness of SEPs so as to steer the economy towards sustainable growth and an effective development path.
It should be observed as well that this restructuring is being done on the background of the need by Government to address “funding trap challenges,” fiscal drain, inefficiencies and corporate governance challenges.
On the same note, it should be realized that “Funding traps” which have manifested themselves through the failure by the public utilities to meet their financial obligations are characterized by amongst others:
• Inappropriate operating and financial structures;
• Undercapitalization;
• Serious deterioration of infrastructure due to limited resources for both maintenance and new investments
• A huge debt overhang in a liquidity crunch environment;
• Lack of Credit lines.
These challenges have for some time now constricted SEPs from sustaining their operational requirements and recapitalization needs thereby undermining their capacities for service delivery to the public.
By this initiative, Government has undoubtedly demonstrated its commitment to creating an enabling business environment and leading by example in enhancing a culture of corporate governance.
Notwithstanding the many hurdles to be faced at implementation, the reforms would eventually go a long way in improving the SEPs balance sheets and ensuring their financial independence, so that in the near future they can approach capital markets for their projects and contribute accordingly to the economy and national development. Indeed public enterprises have essentially a social responsibility role, in as much as they should strive for healthy financial performance.
Let us all embrace heartily these reforms and be determined to achieve progress for the good of our country. The time is now and the irreversible process has begun.
Tuesday, August 24, 2010
KEYNOTE ADDRESS BY HON. G. MOYO AT THE “THE BEST PRACTICES IN LEADING AND MANAGING EXCEPTIONAL STATE OWNED ENTERPRISES AND PARASTATALS AND GOVERNMENT AGENCIES BOARDS, AFRICA 2010 PROGRAMME”, 19-20 AUGUST 2010, HILTON HOTEL, SANDTON, JOHANNESBURG, SOUTH AFRICA.
Honourable Ministers from the host country the Republic of South Africa and those from the region and beyond
Senior Government Officials here present
Board Chairpersons, Chief Executive Officers, and Senior Management of State Owned Enterprises and Parastatals here present
Invited Guests
Ladies and Gentlemen
1. I am very delighted to have been invited, not only to be part of this special occasion but also to be given an opportunity to address this workshop. This workshop comes at a time when debate on corporate governance issues has gained worldwide prominence. The subject has also received wide publicity due to the negative, if not disastrous, impact it has had on multinational corporations across the world as well as national economies.
2. Distinguished Guests, Ladies and Gentlemen, let me begin by pointing out that State Owned Enterprises/Parastatals (SOEs) in developing economies are the engine that drives national economic growth, and have an important role in macroeconomic development and stabilization. It is important to note that most of the major SOEs are economic enablers for the growth of other sectors in that they provide utilities such as electricity, water, communication and transport networks. Efficient and reliable supply of the public utilities naturally should ensure an increase in capacity utilization across all sectors of the economy, most importantly the private sector.
3. Governments in the region therefore are firmly convinced that it is critically important that the full potential of SOEs be realized in order to spur economic growth and development. In Zimbabwe, SOEs should normally contribute up to 40% of the GDP. Also of note is that in its economic recovery programme the Inclusive Government has rightfully identified and entrusted SOEs to spearhead recovery, especially in ensuring food security, infrastructure rehabilitation and improved social services delivery. These are the top most priorities of Zimbabwe’s Inclusive Government not of course excluding political stabilization and democratization.
4. Ladies and Gentlemen, while it is common knowledge that the last decade registered a significant decline in the operations of SOEs, I shall pay particular focus to Zimbabwe whose situation was very unfortunate and quite challenging. The combined effect of political and economic challenges had a severe impact on almost all SOEs in the last decade and the consequences could yet be far more devastating for the country in future unless appropriate measures are put now. The challenges faced by SOEs were characterized by some of the following:
• huge debt overhang;
• serious deterioration of infrastructure due to limited maintenance;
• lack of new investments;
• shortages of working capital which have constrained the procurement of essential spares;
• limited access to external lines of credit; and
• human capital flight.
Equally significant to note is that civil strife in Zimbabwe has had a serious negative impact on the economy.
5. Given this state of affairs and bearing the developmental role to be spearheaded by SOEs, the Government of Zimbabwe has enunciated a policy of restructuring, commercialization and privatization of SOEs on a case by case basis. Skeptics in our midst, and they are many and in this case with justifiable concerns, would claim that this is not new. Such policy pronouncements have been made before and nothing happened. As Government we are very much aware of and appreciative of such concerns. Even before the Zimbabwe crisis, there was criticism that:
“The framework for public enterprise restructuring in Zimbabwe is a minefield, characterized by a multiplicity of pieces of legislation, institutions, and at times contradictory policies, and even policy reversals’
6. The current Inclusive Government of Zimbabwe has unanimously agreed on a paradigm shift and I can emphatically state that my ministry as responsible for this important mission will ensure the end of ad hoc approaches to policies resulting in contradictions and counter production. The process of harmonizing the process has admittedly been slow but is coming on very well so far. Our kingpin in turning around the fortunes of SOEs is adopting the Global Best Practices, especially Corporate Governance.
7. The Corporate Governance Framework we are working on should factor and ensure the following:
a. More disclosure by SEPs
b. Clarify objectives and secure an explicit mandate
c. Management Autonomy in operational decision making
d. Running State-Owned Enterprises Purely on a Commercial Basis
e. Performance Management
f. Restructuring through social dialogue
g. Staff Motivation
8. To achieve these ideals Ladies and Gentlemen we need not re-invent the wheel, we are drawing lessons from experiences in the region, and throughout Africa particularly lessons from other emerging economies. I strongly believe that lessons from Middle, Eastern Europe, the Far East, Brazil and other South American countries, are useful in developing strategies for successful governance of SOEs in general. Lessons and experiences on restructuring programmes with special reference to privatisation of SOEs are particularly useful to us Zimbabwe and I believe to us all here.
9. Ladies and Gentlemen, Principal Stakeholders in the exercise of good Corporate Governance include Governments, Boards of Directors, Chief Executive Officers of companies and SOEs, other stakeholders, Senior Management and Auditors. Other stakeholders with a part to play include suppliers, employees, creditors, customers and communities at large whose actions or inactions have an impact on the seven pillars of good corporate governance which are:
• fairness,
• responsibility,
• accountability,
• transparency,
• discipline,
• independence; and
• social responsibility.
It is only when an organization observes these principles that it can be said to be practicing good corporate governance, therefore it remains the onus of Boards of Directors to ensure proper governance in the organizations they lead.
10. It is therefore important to understand and appreciate the role that each stakeholder plays in the governance of SOEs and Government Agencies. Boards of Directors, as custodians of Corporate Governance are entrusted with ensuring the adherence to good business ethics in their respective organizations. Boards of State Enterprises and Parastatals should therefore have the necessary authority, competencies and objectivity to carry out their function of strategic guidance and monitoring Performance of senior management and the organization as a whole. Members of Boards are expected to act with integrity and should be held accountable for their actions.
11. Zimbabwe is, as I have already noted, at an advanced stage of developing a Corporate Governance Framework for State Enterprises and Parastatals not only to provide guidelines on best practices, but also to provide a revised Institutional Framework that addresses issues of reporting lines, responsibilities and relationships among key stakeholders in the management and administration of State Enterprises and Parastatals. There is no more room for indecision and policy vacillations on our part and therefore SOEs managers have no excuse either. The inclusive Government of Republic of Zimbabwe therefore stands to benefit immensely from the outcomes of workshops like this one.
In conclusion, it is my sincere hope that as we deliberate on matters of governance of SOEs, we will not only come up with strategies for successful management of these entities, but also be able to link the strategies to concepts of Performance management.
Senior Government Officials here present
Board Chairpersons, Chief Executive Officers, and Senior Management of State Owned Enterprises and Parastatals here present
Invited Guests
Ladies and Gentlemen
1. I am very delighted to have been invited, not only to be part of this special occasion but also to be given an opportunity to address this workshop. This workshop comes at a time when debate on corporate governance issues has gained worldwide prominence. The subject has also received wide publicity due to the negative, if not disastrous, impact it has had on multinational corporations across the world as well as national economies.
2. Distinguished Guests, Ladies and Gentlemen, let me begin by pointing out that State Owned Enterprises/Parastatals (SOEs) in developing economies are the engine that drives national economic growth, and have an important role in macroeconomic development and stabilization. It is important to note that most of the major SOEs are economic enablers for the growth of other sectors in that they provide utilities such as electricity, water, communication and transport networks. Efficient and reliable supply of the public utilities naturally should ensure an increase in capacity utilization across all sectors of the economy, most importantly the private sector.
3. Governments in the region therefore are firmly convinced that it is critically important that the full potential of SOEs be realized in order to spur economic growth and development. In Zimbabwe, SOEs should normally contribute up to 40% of the GDP. Also of note is that in its economic recovery programme the Inclusive Government has rightfully identified and entrusted SOEs to spearhead recovery, especially in ensuring food security, infrastructure rehabilitation and improved social services delivery. These are the top most priorities of Zimbabwe’s Inclusive Government not of course excluding political stabilization and democratization.
4. Ladies and Gentlemen, while it is common knowledge that the last decade registered a significant decline in the operations of SOEs, I shall pay particular focus to Zimbabwe whose situation was very unfortunate and quite challenging. The combined effect of political and economic challenges had a severe impact on almost all SOEs in the last decade and the consequences could yet be far more devastating for the country in future unless appropriate measures are put now. The challenges faced by SOEs were characterized by some of the following:
• huge debt overhang;
• serious deterioration of infrastructure due to limited maintenance;
• lack of new investments;
• shortages of working capital which have constrained the procurement of essential spares;
• limited access to external lines of credit; and
• human capital flight.
Equally significant to note is that civil strife in Zimbabwe has had a serious negative impact on the economy.
5. Given this state of affairs and bearing the developmental role to be spearheaded by SOEs, the Government of Zimbabwe has enunciated a policy of restructuring, commercialization and privatization of SOEs on a case by case basis. Skeptics in our midst, and they are many and in this case with justifiable concerns, would claim that this is not new. Such policy pronouncements have been made before and nothing happened. As Government we are very much aware of and appreciative of such concerns. Even before the Zimbabwe crisis, there was criticism that:
“The framework for public enterprise restructuring in Zimbabwe is a minefield, characterized by a multiplicity of pieces of legislation, institutions, and at times contradictory policies, and even policy reversals’
6. The current Inclusive Government of Zimbabwe has unanimously agreed on a paradigm shift and I can emphatically state that my ministry as responsible for this important mission will ensure the end of ad hoc approaches to policies resulting in contradictions and counter production. The process of harmonizing the process has admittedly been slow but is coming on very well so far. Our kingpin in turning around the fortunes of SOEs is adopting the Global Best Practices, especially Corporate Governance.
7. The Corporate Governance Framework we are working on should factor and ensure the following:
a. More disclosure by SEPs
b. Clarify objectives and secure an explicit mandate
c. Management Autonomy in operational decision making
d. Running State-Owned Enterprises Purely on a Commercial Basis
e. Performance Management
f. Restructuring through social dialogue
g. Staff Motivation
8. To achieve these ideals Ladies and Gentlemen we need not re-invent the wheel, we are drawing lessons from experiences in the region, and throughout Africa particularly lessons from other emerging economies. I strongly believe that lessons from Middle, Eastern Europe, the Far East, Brazil and other South American countries, are useful in developing strategies for successful governance of SOEs in general. Lessons and experiences on restructuring programmes with special reference to privatisation of SOEs are particularly useful to us Zimbabwe and I believe to us all here.
9. Ladies and Gentlemen, Principal Stakeholders in the exercise of good Corporate Governance include Governments, Boards of Directors, Chief Executive Officers of companies and SOEs, other stakeholders, Senior Management and Auditors. Other stakeholders with a part to play include suppliers, employees, creditors, customers and communities at large whose actions or inactions have an impact on the seven pillars of good corporate governance which are:
• fairness,
• responsibility,
• accountability,
• transparency,
• discipline,
• independence; and
• social responsibility.
It is only when an organization observes these principles that it can be said to be practicing good corporate governance, therefore it remains the onus of Boards of Directors to ensure proper governance in the organizations they lead.
10. It is therefore important to understand and appreciate the role that each stakeholder plays in the governance of SOEs and Government Agencies. Boards of Directors, as custodians of Corporate Governance are entrusted with ensuring the adherence to good business ethics in their respective organizations. Boards of State Enterprises and Parastatals should therefore have the necessary authority, competencies and objectivity to carry out their function of strategic guidance and monitoring Performance of senior management and the organization as a whole. Members of Boards are expected to act with integrity and should be held accountable for their actions.
11. Zimbabwe is, as I have already noted, at an advanced stage of developing a Corporate Governance Framework for State Enterprises and Parastatals not only to provide guidelines on best practices, but also to provide a revised Institutional Framework that addresses issues of reporting lines, responsibilities and relationships among key stakeholders in the management and administration of State Enterprises and Parastatals. There is no more room for indecision and policy vacillations on our part and therefore SOEs managers have no excuse either. The inclusive Government of Republic of Zimbabwe therefore stands to benefit immensely from the outcomes of workshops like this one.
In conclusion, it is my sincere hope that as we deliberate on matters of governance of SOEs, we will not only come up with strategies for successful management of these entities, but also be able to link the strategies to concepts of Performance management.
Wednesday, August 4, 2010
Cabinet to consider List of Parastatals for Reform
State Enterprises and Parastatals Minister, Gorden Moyo, says he would be taking 10 underperforming state-owned enterprises (SOE)s to Cabinet to decide on the most viable recapitalisation option for every one of them.
Moyo also said the government decision-making board would also determine the fate of parastatals, which currently operate as both player and regulator.
Though the SOEs concerned would not be named, those frequently named include TelOne, NetOne, the Grain Marketing Board, Zimpost, the National Oil Company of Zimbabwe, the National Railways of Zimbabwe, Air Zimbabwe and the Zimbabwe United Passenger Company (Zupco).
“I will be taking each and every parastatal to Cabinet for ministers to decide on them on which one to privatise or commercialise,” Moyo said. “We will then have some parastatals have public private partnerships and others leased in order to recapitalise the state owned enterprises.”
Moyo said parastatals had potential to contribute about 40% to Gross Domestic Product, but have failed to measure up due to challenges related to funding and poor management.
According to a World Bank report, Zimbabwe’s state enterprises have very low volumes of sales and low revenue collections owing to structural bottlenecks, inefficiency and the economy’s liquidity crisis.
A greater proportion are also both under-funded and heavily indebted, which undermines their resuscitation.
“There is no single Act that I administer, this is a weak ministry in terms of teeth to bite. It doesn’t have any enabling teeth,” Moyo said, stressing that legislation dealing with state-owned enterprises should be reviewed to give the State Enterprises and Parastatals ministry more control over the institutions.
He said his ministry would propose a subsidiary law to translate Cabinet decisions on the parastatals into legal provisions.
A number of SOEs have been operating without boards for the past five years, while others have also failed to produce audited reports for close to a decade.
He also urged the enterprises to adopt good corporate governance practices to enhance their chances of attracting partners.
“It doesn’t cost a cent for parastatals to adopt a culture of good corporate governance. We cannot continue having a culture of leakages and continue paying ourselves huge salaries when the economy is bleeding.
“Close to 60% of our parastatals’ problems will be solved by good corporate governance practices,” said Moyo.
Story by Victoria Mtomba
MOYO LAUNCHES TRANSITIONAL JUSTICE REPORT
BULAWAYO - Aug 04 2010 11:19
Communities in Matabeleland region want President Robert Mugabe to make a public apology for the Gukurahundi atrocities and to speak out on reparations people are demanding for victims of the “moment of madness”, the Zimbabwe Human Rights NGO Forum said in a report.
The outreach report, which is volume two of the document Taking Transitional Justice to the People, was officially launched by the Minister of State Enterprises and Parastatals, Gorden Moyo, in Bulawayo last Friday.
Titled, Who Will Dare Begin The Process of Recovering the Truth, the document sets out the experiences of the Zimbabwe Human Rights NGO Forum and its associates, who conducted outreach meetings in 51 constituencies to take the concept of transitional justice to the community.
It says the overriding plea of all participants was for “truth recovery and truth disclosure to redress the human rights abuses of the past and in so doing foster true national reconciliation’’.
According to the report, all the participants at the outreach meeting held in Nkayi agreed that those involved in the Gukurahundi massacres that took place in Matabeleland and parts of Midlands should apologise for the atrocities.
“President Robert Mugabe should come to the people and apologise for the massacres that happened in Matabeleland,’’ an elderly male participant said at the Nkayi meeting.
Participants also stressed that there could be no reconciliation if the truth on what happened during the Gukurahundi massacres is not acknowledged.
“There is no other way to reconcile the region of Matabeleland with the rest of the country if the truth of what happened during Gukurahundi is not known.Even for an apology to be accepted, it must be clear what is being apologised for,’’ reads the report.
The document also details how there was silence in the 1980s over the atrocities but explains that on March 16 1983, Catholic Commission for Justice and Peace (CCJP) representatives — Mike Auret, Bishop Henry Karlen and Bishop Patrick Mutume met with President Mugabe who was then Prime Minister and presented a comprehensive dossier of evidence of the atrocities which were committed by the Fifth Brigade in Matabeleland and the Midlands.
The evidence was collected by priests and missionaries who worked in rural Matabeleland and the Midlands.
A month later however, President Mugabe refuted the allegations and accused his critics of being “a band of Jeremiahs (which) including reactionary foreign journalists, non-governmental organisations of dubious status in our midst and sanctimonious prelates.’’
He accused the CCJP of condemning the Fifth Brigade and not the dissidents.
In January 1984, the government set up the Simplicius Chihambakwe Commission of Inquiry to investigate the atrocities but its findings were never made public.
When the Legal Resources Foundation set up shop in Lupane in 1984, it was inundated with enquiries from people wanting to obtain death certificates for heads of families who had “disappeared’’ in the 1980s and to enable children to get birth certificates so they could go to school and for other administrative purposes.
This prompted the foundation and CCJP to document the atrocities resulting in a report: Breaking the Silence, Building True Peace in 1987 which became the only published report on Gukurahundi.
The Human Rights NGO Forum report compiled this year says participants at the meeting in Bulilima were also concerned about the aftermath of Gukurahundi.
“The victims of Gukurahundi need to be rehabilitated. Some may need counselling because they have not been able to deal with the trauma. Where possible, the perpetrators must be made to pay for the damages and the pain they caused,’’ was one of the recommendations made by participants in Bulilima.
The report says the “arrogance of the leadership in failing to acknowledge past wrongs came out as a major obstacle to reconciliation’’.
About 20 000 people are believed to have been killed during the Gukurahundi atrocities
Moyo also said the government decision-making board would also determine the fate of parastatals, which currently operate as both player and regulator.
Though the SOEs concerned would not be named, those frequently named include TelOne, NetOne, the Grain Marketing Board, Zimpost, the National Oil Company of Zimbabwe, the National Railways of Zimbabwe, Air Zimbabwe and the Zimbabwe United Passenger Company (Zupco).
“I will be taking each and every parastatal to Cabinet for ministers to decide on them on which one to privatise or commercialise,” Moyo said. “We will then have some parastatals have public private partnerships and others leased in order to recapitalise the state owned enterprises.”
Moyo said parastatals had potential to contribute about 40% to Gross Domestic Product, but have failed to measure up due to challenges related to funding and poor management.
According to a World Bank report, Zimbabwe’s state enterprises have very low volumes of sales and low revenue collections owing to structural bottlenecks, inefficiency and the economy’s liquidity crisis.
A greater proportion are also both under-funded and heavily indebted, which undermines their resuscitation.
“There is no single Act that I administer, this is a weak ministry in terms of teeth to bite. It doesn’t have any enabling teeth,” Moyo said, stressing that legislation dealing with state-owned enterprises should be reviewed to give the State Enterprises and Parastatals ministry more control over the institutions.
He said his ministry would propose a subsidiary law to translate Cabinet decisions on the parastatals into legal provisions.
A number of SOEs have been operating without boards for the past five years, while others have also failed to produce audited reports for close to a decade.
He also urged the enterprises to adopt good corporate governance practices to enhance their chances of attracting partners.
“It doesn’t cost a cent for parastatals to adopt a culture of good corporate governance. We cannot continue having a culture of leakages and continue paying ourselves huge salaries when the economy is bleeding.
“Close to 60% of our parastatals’ problems will be solved by good corporate governance practices,” said Moyo.
Story by Victoria Mtomba
MOYO LAUNCHES TRANSITIONAL JUSTICE REPORT
BULAWAYO - Aug 04 2010 11:19
Communities in Matabeleland region want President Robert Mugabe to make a public apology for the Gukurahundi atrocities and to speak out on reparations people are demanding for victims of the “moment of madness”, the Zimbabwe Human Rights NGO Forum said in a report.
The outreach report, which is volume two of the document Taking Transitional Justice to the People, was officially launched by the Minister of State Enterprises and Parastatals, Gorden Moyo, in Bulawayo last Friday.
Titled, Who Will Dare Begin The Process of Recovering the Truth, the document sets out the experiences of the Zimbabwe Human Rights NGO Forum and its associates, who conducted outreach meetings in 51 constituencies to take the concept of transitional justice to the community.
It says the overriding plea of all participants was for “truth recovery and truth disclosure to redress the human rights abuses of the past and in so doing foster true national reconciliation’’.
According to the report, all the participants at the outreach meeting held in Nkayi agreed that those involved in the Gukurahundi massacres that took place in Matabeleland and parts of Midlands should apologise for the atrocities.
“President Robert Mugabe should come to the people and apologise for the massacres that happened in Matabeleland,’’ an elderly male participant said at the Nkayi meeting.
Participants also stressed that there could be no reconciliation if the truth on what happened during the Gukurahundi massacres is not acknowledged.
“There is no other way to reconcile the region of Matabeleland with the rest of the country if the truth of what happened during Gukurahundi is not known.Even for an apology to be accepted, it must be clear what is being apologised for,’’ reads the report.
The document also details how there was silence in the 1980s over the atrocities but explains that on March 16 1983, Catholic Commission for Justice and Peace (CCJP) representatives — Mike Auret, Bishop Henry Karlen and Bishop Patrick Mutume met with President Mugabe who was then Prime Minister and presented a comprehensive dossier of evidence of the atrocities which were committed by the Fifth Brigade in Matabeleland and the Midlands.
The evidence was collected by priests and missionaries who worked in rural Matabeleland and the Midlands.
A month later however, President Mugabe refuted the allegations and accused his critics of being “a band of Jeremiahs (which) including reactionary foreign journalists, non-governmental organisations of dubious status in our midst and sanctimonious prelates.’’
He accused the CCJP of condemning the Fifth Brigade and not the dissidents.
In January 1984, the government set up the Simplicius Chihambakwe Commission of Inquiry to investigate the atrocities but its findings were never made public.
When the Legal Resources Foundation set up shop in Lupane in 1984, it was inundated with enquiries from people wanting to obtain death certificates for heads of families who had “disappeared’’ in the 1980s and to enable children to get birth certificates so they could go to school and for other administrative purposes.
This prompted the foundation and CCJP to document the atrocities resulting in a report: Breaking the Silence, Building True Peace in 1987 which became the only published report on Gukurahundi.
The Human Rights NGO Forum report compiled this year says participants at the meeting in Bulilima were also concerned about the aftermath of Gukurahundi.
“The victims of Gukurahundi need to be rehabilitated. Some may need counselling because they have not been able to deal with the trauma. Where possible, the perpetrators must be made to pay for the damages and the pain they caused,’’ was one of the recommendations made by participants in Bulilima.
The report says the “arrogance of the leadership in failing to acknowledge past wrongs came out as a major obstacle to reconciliation’’.
About 20 000 people are believed to have been killed during the Gukurahundi atrocities
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