Wednesday, September 05, 2018

9th Parliament to Focus on Zimbabwe Economy: MPs
06 SEP, 2018 - 00:09 
Zimbabwe Herald

Buhera South Member of Parliament Cde Joseph Chinotimba, Gutu Central legislator Cde Winston Chitando and Zvimba South Member of Parliament Dr Phillip Chiyangwa (all zanu-pf) take their oaths of office in Harare yesterday

Farirai Machivenyika and Nyemudzai Kakore

The Ninth Parliament should focus on legislation that makes the country an attractive investment destination to achieve its vision of attaining a middle-income economy by 2030, legislators who took their oaths of office yesterday said.

Clerk of Parliament Mr Kennedy Chokuda presided over the swearing-in of Parliamentarians from the National Assembly and Senate.

Zanu-PF secretary for Information and Publicity and Senator for Matabeleland South Simon Khaya Moyo said: “The Government is a product of the party and it is the party which lays down the roadmap on how we should perform vis-a-vis the people’s expectations. That also originates from the manifesto that embodies all that the people said and we believe those who are serious about the mandate of the people must fulfil it.”

Sen Khaya Moyo said time to sleep was over. It was time for delivery.

“It is time for less talking, less politicking and for serious delivery. It is time for people to be seen to be working to fulfil people’s expectations in terms of economic emancipation.

“We must avoid sleeping in Parliament because this is not a place to sleep. They must go somewhere else if they want to sleep.

“Those who come to snore in Parliament must know that snoring is never on the Order Paper.

“They must know they are here to fulfil the aspirations of the people. They must not be ‘missing persons’ but members of Parliament,” he said.

Zvimba West legislator and Zanu-PF Mashonaland West chairman Cde Ziyambi Ziyambi said he expected debate to centre on the economy.

“The expectation that we have coming into the ninth Parliament is for a shift towards legislation that will enhance the ease of doing business and the economic development of our country,” he said.

“You can notice from the policy pronouncements by His Excellency that he is looking at moving Zimbabwe towards a middle-income country by 2030.

“That can only be done by having a Parliament that enacts legislation and an enabling environment that allows business to thrive.

“So going into the Ninth Parliament, my hope and wish is that we have robust debate that will focus on changing those laws that deal with the ease of doing business and ensure that the economic environment is turned around.”

President of the Chiefs Council Chief Fortune Charumbira said Parliament should be at the forefront of tackling corruption.

“The President has outlined a vision to grow the economy, so debate should focus on that and less on politics. However, the economic growth we envisage can only be achieved if we fight corruption robustly,” he said.

Masvingo North legislator Cde Davis Marapira said the life of the ninth Parliament should see the scaling up of the Command Agriculture programme that has benefited thousands of resettled farmers.

Mberengwa West Constituency MP Cde Jorum Gumbo said: “Eighty percent of the members in the ninth Parliament are young, vibrant and have a lot of enthusiasm. I hope that we will see an active Parliament, but this will also come with its challenges with regards to new MPs being able to know the rules of governance,” he said.

“However, we are happy that the new political dispensation is re-engaging with our erstwhile friends culminating in Foreign Direct Investment for the country. We hope that all the promises that the Government made will be achieved. Over the years we have had good policies but lacked funding. But with President Mnangagwa’s mantra that Zimbabwe is open for business, we are going to see a big change.”

Cde Gumbo called on women to uplift each other by voting for professional women to be lawmakers.
He said the electorate should desist from identifying women who venture into politics as people of loose morals.

Chivi South legislator Cde Killer Zivhu said he would focus on revamping management of local authorities.

“As a new legislator, my focus is on the amendment of local legislation such as the Rural District Councils Act and the Urban Councils Act, which need to be revisited.

“There are so many challenges that local authorities face and they can only be corrected if the Acts are amended. The informal sector needs to be formalised so that they (operators) have legislation which protects their businesses and that they are also able to earn a living. As we speak, the informal sector is being treated as illegal yet the country recognises their existence,” Cde Zivhu said.

Chikomba East representative Cde Sekai Nzenza said her interest was on the promotion of the country’s cultural heritage.

“What l am bringing to the table is development to the constituency. People from the villages grapple with problems like water, education, food security and poverty. This is an important challenge and an opportunity to use skills that l have to bring about better health, roads, education,” she said.

Glen Norah legislator Mr Wellington Chikombo from the MDC Alliance, who is also a former Harare City councillor, said he would push for the full implementation of devolution.

“Devolution is our revolution and it’s a priority. I will push that 5 percent of the national budget be given to local authorities as stipulated in the Constitution and that mayors be accorded executive authority to improve efficiency in the management of urban local authorities,” he said.

Marambapfungwe representative Cde Tichaona Karimazondo said he would push for speedy economic recovery in line with President Mnangagwa’s call to re-engage the international community and fight corruption.

Mashonaland East Proportional Representative Cde Tatenda Mavetera, who is one of the youngest MPs at 32, said she would push for women empowerment.

“My focus will be on issues to do with gender and youth mainstreaming. I hope for a revision of policies that are biased towards women. We are also looking at young people being appointed to positions of authority.

“The quota system should be extended so that women continue to be empowered and be capacitated. Young people must also be given a quota to get into Parliament just as the case with women,” she said.

Cde Mavetera, who is also an actor, said she would push for increased support towards the film industry.

Gutu South legislator Cde Pupurai Togarepi, who is the ruling party’s national secretary for Youth Affairs, said: “I expect vibrant debates. These should be focused on economic development in the main. I hope parliamentarians will rise above petty discussions that characterised past parliaments to focus on bread and butter issues.”

Sanyati legislator Cde Polite Kambamura said focus should be on the economy.
“The President has said there should be less politicking and more focus on the economy.This is exactly what I will push for as a new and young MP. We made promises to the electorate and as a member of the ruling party I want to ensure that we fulfill them and achieve the President’s vision of a middle income economy by 2030,” Cde Kambamura said.

Harare West representative Ms Joana Madamombe, the youngest legislator at 25 years, said she would work for the advancement of female politicians.

“Just being a female politician is difficult because of the patriarchal nature of politics in Zimbabwe. There is this culture to say politics should be dominated by our male counterparts but l want to break those chains. During my campaign l was given several labels but l managed to achieve a goal l had set for myself,” she said.

Senator Obert Mpofu, who is also Zanu PF national Secretary for Administration, said he would use his experience to enhance debate in the Senate.

“As the Senate we will act objectively not subjectively as we want to deal with our laws in a manner that will benefit the majority of our people,” he said.

“It is important that we familiarise ourselves with the Bills that the National Assembly would have dealt with and scrutinise them using the expertise we have earned during our years in Parliament.”

Nkayi South representative Cde Stars Mathe said: “ The resuscitation of the economy should take centre stage in Parliament by stopping corruption with the President already working towards that path by declaring that Zimbabwe is open for business.”

Muzvezve representative Cde George Haritatos said: “It is an exciting time to be here as a young parliamentarian but we should hit the ground running because we need to fix our economy. We all should work to fulfill the vision that has been laid out by our President.”

Uzumba representative Cde Simbaneuta Mudarikwa said focus should also be on building rural economies.
“My focus is on improving livelihoods for the rural populace especially construction of schools, clinics and methods of farming.”
ANC Statement on the Economy in the 2nd Quarter of 2018
05 September 2018

The African National Congress has noted the latest growth figures from Statistics SA and believes that they represent an urgent call to action for all South Africans to rally behind a common vision of growing the economy and job creation.

The figures show that the South African economy moved back into a technical recession with a negative growth rate of (-0.7%) during the second quarter of 2018. Except for the mining sector, all other productive sectors experienced a contraction.

The technical recession is a result of a prolonged trend of slowdown in economic growth.

These developments happen in the context of the economy that continues to experience low and declining growth in fixed capital investment, a persistent current account deficit, declining household consumption expenditure and a significant slowdown in government spending. These are reinforced by the decline in household consumption expenditure, which is the largest component of aggregate demand, which explains the poor performance of the wholesale and retail trade sector.

This further raises our concern about the employment implications of weak growth. We have an aggregate demand problem. The capacity of the economy to create employment faster than the growth rate of the labour force has been slow. The slow growth challenges require a coherent and a multifaceted response to ensure that our economy is strengthened to provide decent work.

The ANC reiterates the call it made at the Lekgotla in July that the ANC-led government must take immediate, concrete and bold steps to lift the rate of growth and its inclusivity by activating macro-economic policy tools, institutional efficiencies and specific sector interventions as central instruments to mitigate the effects of a contraction in economic activity. This requires that there be a significant difference in the aggressiveness and approach through which recovery measures are implemented by government.

Specifically, the "stimulus package" must be activated immediately.

This moment enjoins us to undertake the following decisive interventions:

Our macroeconomic policies must act in concert in the interest of the overarching goal of economic growth and development. More than ever, we will have to closely coordinate fiscal and monetary policy so as to foster sustainable growth.
Develop and support those industries that would rapidly absorb employment (domestic and Africa focussed growth) and this may including tax credits for those companies that invest in sustainable job creation.
 Utilise government's procurement muscle to localise industries, transfer knowledge and skills to ensure that the industry could provide the required products into the future, thereby reducing imports in due course;
Reduce the regulatory red-tape and delays that could encourage the establishment of new manufacturers and other economic activities which would increase competition, growth and employment creation in the South African economy
 Expand the value chains to serve a larger and growing African market by improving the channels of trade with other African Countries.
 Drive the establishment of a strong co-ordinating mechanism between cluster departments to oversee the alignment between procurement patterns, innovation, our industrial development strategy and support for small and medium sized business participation.
Step up maintenance of existing infrastructure and partnerships with communities. Government to upscale investing in economic and social infrastructure that include work on public buildings, courthouses, schools, transportation infrastructure, government hospitals, public safety facilities and equipment, water and sewer projects, environmental projects, energy projects, government housing projects and public utilities.
Investing in projects that include road repairs and resurfacing, bridge repairs and maintenance, safety improvements, and road widening because they have the added benefit of generally high employment impacts and they can be implemented quickly since they are focused on construction and maintenance, rather than on planning and design. Investment and infrastructure are essential for development. They are important for expanding the capacity of the economy to produce, distribute and drive development.
Agricultural support packages that will boost economic growth and food security, together with properly-designed and executed land reform boosting skills development measures directed at supporting young people to find work opportunities developing and implementing a support package for township and rural enterprises to broaden the base of economic participation.
Government policies and measures committed to and the 14 confidence boosting measures, must be implemented.
Reprioritise the budget to boost Extended Public works programmes?On broadband rollout, the ANC calls for urgent steps to bring down the costs of data and speeding up spectrum release to expand the ICT industries. In so doing, however, measures must be taken to ensure that, this release does not lead to further increase in market concentration.
Develop South African skills and knowledge while preparing to manufacture products based on the evolving technologies.
The African National Congress believes that opportunities exist for the revival and/or strengthening of the economy through the prioritisation and full support of governmental interventions. These interventions do not necessarily require the development of new policies, but rather the effective implementation of existing ones. The interventions should be focussed on a limited number of priorities, to ensure that the committed resources are utilised effectively and efficiently.

The prioritisation of interventions should be aligned with governmental spending or core competencies in South Africa, with the automotive, pharmaceutical, rail engineering and equipment as well as renewable energy industries meeting these criteria. It is important that attention should be more on the future developments of these industries. Ambitions should not be limited to the South African market but also be expanded to supply the fast growing regional market.
The upcoming Investment Conference next month provides an important window of opportunity to mobilise resources for the much needed investment. The Job Summit which will also be held at the beginning of next month provides not only an opportunity to mobilise domestic savings but an occasion to rally all South Africans behind a common vision of growing the economy and job creation. Government must seize this initiative!?

Issued by Chair of the Subcommittee on Economic Transformation
Cde Enoch Godongwana
+27 (82) 335-2748

on behalf of the African National Congress

Enquiries:
Pule Mabe
National Spokesperson
071 623 4975
#RANDREPORT: RAND TUMBLES AS RECESSION DIMS INVESTOR SENTIMENT, STOCKS FALTER
At 1605 GMT, the rand traded 0.77% weaker at 15.4725 versus the dollar, after hitting a low of 15.6925 earlier in the session.

Reuters

JOHANNESBURG - The rand remained on the back foot on Wednesday after hitting a two-year low as the effects of dipping into recession dented investor risk sentiment.

At 1605 GMT, the rand traded 0.77% weaker at 15.4725 versus the dollar, after hitting a low of 15.6925 earlier in the session.

A contraction of 0.7% in the second quarter announced on Tuesday pushed South Africa into recession for the first time since 2009, dealing a blow to President Cyril Ramaphosa’s efforts to revive the economy after a decade of stagnation.

Statistics South Africa also said the economic contraction in the first quarter was steeper than initially recorded, at 2.6%.

Tuesday’s GDP figures led many economists to cut their full-year growth forecasts for South Africa.

“South Africa’s fiscal challenges will remain a constraint on the economy for some years to come. We now forecast real economic growth of only 0.7% in 2018, previously 1.1% compared to 1.3% in 2017,” an NKC African Economics analyst said in a note.

Appetite for rand assets has also been dented by the financial turmoil in Turkey and Argentina and a growing threat of a spillover from a trade war between Washington and Beijing.

The yield on the benchmark rand-denominated government bond due in 2026 rose two basis points to 9.23%.

The bourse was led lower by banks, with the top 40 index was down 1.66% to 50,833 points, while the all share index closed 1.36% lower at 57,102.

The banking index fell 2.85% led by Nedbank which closed 5.01% down at R255.

“Emerging markets are in contagion and the rand is quite weak. We still haven’t recovered from the GDP figures which were quite a surprise,” said Greg Davies, trader at Cratos Capital.

Market heavyweight Naspers fell 4.02% in tandem with Chinese gaming firm Tencent which was down 4.08%.

Steinhoff bucked the negative trend, rising 5.73% after former chief executive Markus Jooste’s appearance at a parliamentary inquiry, claiming no knowledge of any accounting irregularities at the time of his departure in December.

“I don’t think he said much to move the share price. I suppose since we have had no action towards Steinhoff or management at least the wheels of some sort of action are starting to move,” said Davies.
PATEL: GOVT WORKING ON PLAN TO MOVE SA OUT OF RECESSION
The country slipped into a technical recession on Tuesday as figures for the second quarter of the year showed there was a contraction of 0.7%.

FILE: Economic Development Minister Ebrahim Patel. Picture: EWN

Mia Lindeque
Eyewitness News

JOHANNESBURG – Economic Development Minister Ebrahim Patel says that the drop in GDP is largely caused by a decrease in agricultural output but he’s assured South Africans government is working on a plan to move out of the recession.

The country slipped into a technical recession on Tuesday as figures for the second quarter of the year showed there was a contraction of 0.7%.

This is the second drop following a decrease of 2.6% in the first quarter of the year.

Patel says that agriculture dropped by around 29% in the second quarter.

“Because of the weighting of agriculture in the economy that had a very significant impact on crops. But it’s not the only area that we need to be concerned about.”

The minister says the GDP figures underline the importance of taking steps that can boost economic growth.

“The kind of things that we need to do and we need to be with more focused in the light of the data that came out. We’ve got to boost the GPD, as you would have seen with the data, that our investment levels are down.”

(Edited by Leeto M Khoza)
Banks Predict South Africa Will Miss 2018 Growth Forecasts as Recession Hits
Sep 05 2018 12:50
Tehillah Niselow
Fin24

Why Nene thinks the recession can be turned around, and other reactions to SA's economic plunge
Stocks, bonds, rand... it’s awful, says asset manager as recession fuels downgrade fears
Ramaphosa starts with a recession, just like Zuma 9 years ago

National Treasury’s growth projection of 1.5% in 2018 is likely to be revised downwards following the country entering into a recession, according to research notes by Goldman Sachs, FNB and Investec.

Economist at Investec Lara Hodes said that additional heightened risks remained, including financial market stresses, escalating trade and geo-political tensions. The bank revised its Gross Domestic Product (GDP) growth downwards to 1.4% in 2018.

Senior economist at FNB Jason Muscat said that the data already available for the third quarter of the year, including the August Purchasing Managers Index (PMI) and vehicle sales, suggested growth would remain weak for the rest of 2018.

International investment bank Goldman Sachs was even more pessimistic, revising its expectation for 2018 to 0.8%.

The bank in January predicted 2.4% economic growth, calling SA "the big emerging market story of 2018".

"This contraction follows a 2.6% decline in output in the first quarter, placing the economy in a technical recession and calling into question our expectation for a cyclical recovery to become more entrenched," Goldman Sachs said in a note.

According to Muscat, government does not have the fiscal headroom to add any impetus to growth, as current spending crowds out infrastructure investment.

Finance Minister Nhlanhla Nene has previously expressed optimism that the 1.5% growth projection will be revised upwards as the new government administration provides policy certainty and investor confidence.

Ratings agencies

Muscat warned that weak GDP figures would jeopardise tax revenue and fiscal consolidation targets, "drawing the unwanted attention of rating agencies".

Hodes agreed, saying low economic growth remained a risk to SA’s sovereign credit rating.

"The ongoing populist direction of some of SA’s actual and proposed economic policies continue to damage investor sentiment and therefore economic growth," Hodes added.

The ratings agencies are expected to make their next decisions about SA after October’s medium-term budget speech.

Moody's has SA at one notch above sub-investment grade, with a stable outlook, while both Standard & Poor’s and Fitch rate SA as one level below investment grade or junk status.

Nene told reporters on Tuesday that government was confident it could turn the situation around, and an economic stimulus package will be announced soon by Cabinet.

Meanwhile, the rand fell by more than 3% on Tuesday, amid news of the recession and a stronger US dollar. It breached R15.62 to the dollar on Wednesday morning, and was trading at R15.54 to the greenback at 12:28.
Discovery to Bulk Up as Others Fret Over South African Recession
By Roxanne Henderson
Bloomberg
September 5, 2018, 8:22 AM EDT

Discovery Ltd., the South African insurer starting its own bank, will continue to invest in businesses in its main market even as the continent’s most industrialized economy grapples with a recession.

“I am a great believer that opportunities are not in good times,” Chief Executive Officer Adrian Gore said in an interview in Johannesburg on Wednesday. “They are in difficult times. We remain convinced these are times to invest and build so that when things come up out of the trough you are in a very strong position.”

The CEO’s comments come after data released on Tuesday showed that South Africa’s economy unexpectedly shrank for the second consecutive quarter in the three months through June. President Cyril Ramaphosa is trying to restore investor confidence battered by almost nine years of misrule by his predecessor, Jacob Zuma, and amid an escalating global trade war that’s soured sentiment toward emerging markets.

The company may invest 10 billion rand ($643 million) in the country, Gore said, without giving a time frame. Discovery invested 7 percent of its earnings in the year through June in new initiatives at its various units, including the bank it plans to begin by the end of the year and a commercial insurance business. Discovery on Tuesday reported a 16 percent increase in adjusted earnings to 5.4 billion rand.

“I’ve seen what a successful business can do for job creation, to investment,” he said. “We’ve created directly probably 5,000 jobs in the last five years and probably indirectly from that multiples of jobs.”

Gore, 54, started Discovery as a private health insurer in 1992, mid-way between former President Nelson Mandela’s release from jail and the first all-race elections that ended South Africa’s policy of racial segregation. It has since grown into investments, credit cards, life and property cover, and is the largest distributor of Apple Inc. watches in South Africa through a incentive program that offers members discounts for keeping healthy. The program now spans the U.S., China, Europe, Singapore, Japan and Australia.

“Opportunities are under-priced in bad times, that’s for sure, and that’s why we are building,” Gore said. “I remain optimistic that the long term is sound and that’s why we’re investing.”

‘Need Leadership’

Ramaphosa is also having to contend with an official unemployment rate of 27.2 percent, near a 15-year high, and a currency that has weakened 20 percent against the dollar this year.

While the president has made progress in a campaign to attract $100 billion in new investment to bolster growth, his plans have been undermined by a decision by his African National Congress to amend the constitution to make it easier for land to be expropriated without compensation to help transfer more ownership to black farmers two decades after the end of apartheid.

“We need leadership from business and government and civil society to give people hope that these things need to be dealt with properly and we can get through them,” Gore said. “What we do need is leadership with vision, a bit of patience. Give our president time.”
Recession Hands South African Opposition a Potential Lifeline
By Michael Cohen  and Amogelang Mbatha
September 5, 2018, 10:16 AM EDT

 Analyst Glaser sees scramble to attribute blame for slump
 ANC worried economy will dampen its support: party policy head

South Africa’s surprise recession provides an opening for opposition parties heading into next year’s elections against the ruling African National Congress. The question is whether they can capitalize on it.

News of the economic slump on Tuesday marked the first real setback for the ANC in months. Since appointing Cyril Ramaphosa as president in February, surveys showed the party making headway in winning back support lost during the scandal-marred rule of his predecessor, Jacob Zuma. Its task was aided by fights within the main opposition Democratic Alliance and cracks in an informal alliance that party formed with the Economic Freedom Fighters to win control of several cities in a 2016 municipal vote.

The opposition needs to shift public attention to the economy and a 27 percent unemployment rate and away from their own bickering well before the next national election, according to Daryl Glaser, a political science professor at the University of the Witwatersrand in Johannesburg.

“What you are really going to have is a scramble to attribute blame for the recession,” Glaser said by phone. “The ANC is going to argue that this is the legacy of Zuma’s rule and it’s being addressed. The opposition will be saying that Ramaphosa is incapable of turning the situation around.”

Unrealistic Targets

Ramaphosa’s targets of 3 percent growth this year and $100 billion in new investment over the next five years are looking increasingly unattainable.

The economy shrank an annualized 2.6 percent in the first quarter and 0.7 percent in the second, and business confidence has slipped to levels last seen when Zuma was in power. That’s largely thanks to the ANC’s decision to back changes to the constitution to make it easier to seize land without compensation to help redress skewed ownership patterns, and an escalating global trade war that’s soured sentiment toward emerging markets.

South Africa’s economy contracted in the first and second quarters of 2018

DA leader Mmusi Maimane fired a first salvo on Tuesday, describing the recession as “an explicit vote of no confidence in the ANC government, its economic policy direction and its ability to create jobs and prosperity for all South Africans.”

“There has been no fundamental change to the ANC’s approach to the economy,” Maimane said. “Corruption, policy incoherence, crumbling state-owned entities, lack of investment, and unstable governance continues to produce economic instability and rising unemployment. We cannot continue down the same path any longer.”

‘Greedy Private Sector’

The EFF, the third biggest party led by former ANC youth wing leader Julius Malema, also blamed the slump on the ANC, saying it “allowed the economy to degenerate in the hands of a greedy private sector” that’s failed to create jobs or ease poverty.

“South Africa is no better under the Ramaphosa-led ANC than it was under the Zuma-led ANC,” the party said by email, criticizing “the idea that you can grow the economy because you feel good about the person occupying the presidency.”

The ANC is still widely credited with leading the fight against apartheid and has won an absolute majority in every election since it took power in the first multiracial ballot in 1994. But its support slipped to a record low of 54.5 percent in the 2016 municipal vote mainly due to disgruntlement with Zuma’s rule. The DA won 27 percent support and the EFF 8 percent.

Yet the economic slump may have a limited effect on poorer voters, with about 17 million people benefiting from a welfare program instituted by the ANC government.

Bad Reflection

Enoch Godongwana, the ANC’s head of economic policy, conceded that the recession reflects badly on the ruling party and said it’s calling for urgent action to revive growth.

“There’s demonstrable evidence across the world that there’s a correlation between electoral support and economic growth,” he told reporters in Johannesburg. “No party would be happy going into an election in a recession.”

While the downturn is a “politically significant” event, it’s unclear whether it will have an impact on the vote, Glaser said.

“It’s not straight forward,” he said. “Politics here is so shaped by people’s historical allegiances.”
ANC ‘CONCERNED’ ABOUT JOB CREATION AS SA SLIPS INTO RECESSION
The party's Enoch Godongwana says the latest growth figures are a call to action for all South Africans to rally behind the dismal state of the economy.

Bonga Dlulane
Eyewitness News

JOHANNESBURG - The African National Congress (ANC) says its concerned about job creation following the country's slip into a technical recession.

The party's head of economic transformation Enoch Godongwana says the latest growth figures are a call to action for all South Africans to rally behind the dismal state of the economy.

Godongwana says the technical recession is the result of a prolonged trend of slowing economic growth.

He says the government must immediately implement changes.

“Those include redirecting the budget priorities toward investment and infrastructure, in particular, focusing on the agricultural sector as well. So we made a number of areas in our policy statement listing a number of these interventions: cutting data costs, announcing the spectrum auction.”

The ANC says there's no correlation between the country falling into a technical recession and its position on land expropriation without compensation.

However, Godongwana says the party's position on land expropriation without compensation cannot be blamed.

“There is no correlation at all. The impact on agriculture is the delayed effects of the Western Cape drought.”

The ANC also says it's looking to the state, business and labour to work together to get the country out of its technical recession.

The ANC's economic transformation subcommittee is calling for interventions, including proposed tax credits for companies who invest in sustainable job creation.

Godongwana says industry players need to work together to lift the country out of this slump.

“We’re also going into a job summit next month. And we’re calling on government, labour and business to make concrete proposals on how to deal with job creation.”

Statistics South Africa released the figures on Tuesday, saying that this is the second drop, following a decrease of 2.6% in the first quarter of the year.

The largest negative contributors to growth in GDP were agriculture, transport and trade.

Africa’s most developed economy needs faster economic growth if it is to reduce high unemployment - currently at 27% - and alleviate poverty and inequality that stokes instability.

Unemployment is a hot-button issue ahead of national elections in 2019, and the African National Congress (ANC) has made repeated pledges that things will improve.

Statistics South Africa said agricultural output fell 29.2% in the second quarter, while the transport, communication and storage sector shrank 4.9%. Mining output grew by 4.9% and finance by 1.9%, however.

Stats SA said: “The widely recognised indicator of recession is two (or more) consecutive quarters of negative growth (real GDP quarter-on-quarter). South Africa experienced its last recession during the 2008–2009 global financial crisis with three consecutive quarters of economic decline.”

Additional reporting by Reuters.
NENE: SOUTH AFRICANS MUST NOT PANIC OVER SLIDE INTO RECESSION
Finance Minister Nhlanhla Nene said he doesn’t think that the latest figures have something to do with the debate around land expropriation but says government can’t deny that the VAT increase and fuel price hikes have had an impact on the numbers.

FILE: Finance Minister Nhlanhla Nene. Picture: GCIS

Clement Manyathela
Eyewitness News

BEIJING/JOHANNESBURG – Finance Minister Nhlanhla Nene says South Africans must not panic over the country’s slide into technical recession and trust government’s plan.

Nene was speaking on the sidelines of the Forum on China Africa co-operation in Beijing following Stats SA’s announcement that the economy has contracted by 0.7% in the second quarter.

This follows a dismal performance in the first quarter‚ when the GDP shrank by a revised 2.6%.

Nene says government’s message is clear.

“I don’t think people should panic. Of course, it’s okay for people to be concerned, which is a good sign but I think it’s also going to call on all of us to work together to lift the country out of this.”

But lifting the country out of recession needs a plan from government, a plan Nene says they are working on.

“The investment conference that’s coming, there’s the jobs summit that’s coming. We’re building up to the medium-term budget policy statement, the real reform package that comes out of the Cabinet process is also in the pipeline.”

The minister says that government was hoping the country would narrowly escape recession, with a moderate economic recovery from the previous quarter.

Nene added that while the government is not entirely surprised, it's disappointed in the numbers.

The largest negative contributors to growth in GDP were agriculture, transport and trade.

“We didn’t think we would have the second contraction, we were hoping we would have a moderate recovery.”

But he said that government is working on a plan to finalise the structural reform package.

Nene said he doesn’t think that the latest figures have something to do with the current heated debate around the expropriation of land without compensation but says government can’t deny that the VAT increase and fuel price hikes have had an impact on the numbers.

ECONOMISTS REACT

Economists say the latest gross domestic product (GDP) figures were not expected, with many predicting positive growth.

Economist Azar Jammine explains what a recession means.

“Officially, recessions are defined as situations where the GDP contracts for two consecutive quarters, it’s an attempt at trying to describe a situation where things are actually deteriorating.”

Economist Nicky Weimar said: “It’s not really that surprising, we had the monthly numbers that indicated to us that underlying activity remained exceptionally weak in the second quarter. The big question really was around some factors that we didn’t have or don’t have regular monetary statistics on."

(Edited by Leeto M Khoza)

Tuesday, September 04, 2018

SACP Saddened by the Deaths of Workers from Explosion at Denel
3 September 2018

The South African Communist Party (SACP) is saddened by the deaths of workers that occurred as a result of an explosion at Rheinmetall Denel munition plant near Somerset West. The explosion left eight workers dead on Monday, 3 September 2018. Benson Ngqentsu, SACP Western Cape Provincial Secretary visited the scene on behalf of the Party. He extended condolences to the families and friends of the deceased workers. The Party will continue providing support to the families and our comrades in the area of Macassar, Somerset West.

The SACP in the Western Cape called for an expedited, full investigation of the circumstances surrounding the explosion, as well as of compliance with the prescripts of the Occupational Health and Safety Act. Further, the Party calls on Denel to provide counselling to all the workers at the plant and the families of the deceased workers.

"We commend the work done thus far by the Fire and Rescue Services Team", said Ngqentsu.

For more information Contact

Benson Ngqentsu
SACP Western Cape Provincial Secretary
8th PEC MEMBER
No. 8 Beverly Street, Athlone, Cape Town
Tel: 021 696 2522
Fax: 0866600992
Mobile:0827966400/ 0838091142
SACP in Gauteng Welcomes Implosion of DA-EFF Concocted Coalition
28 August 2018

The South African Communist Party (SACP) in Gauteng Province welcomes the latest developments that demonstrate beyond any shadow of doubt that the unprincipled, opportunistic and reactionary coalition of convenience between the Democratic Alliance (DA) and Economic Freedom Fighters (EFF) is finally teetering on the brink of collapse.

We were vindicated when members of the EFF in the Gauteng Legislature today devoured and blasted Mayor of Tshwane Solly Msimanga and the DA, thus laying bare the reality that this coalition is still-born.

We were also shocked by the unprecedented high levels of racial slurs and venomous exchanges between the DA and EFF in the house today proving beyond any shadow of doubt that the horses have long bolted and the coalition is antiquated.

We had consistently stated that the coalition between the DA - which tends to drift between conservative, right-wing and neo-liberalism on the one hand - and the EFF, which tends to shuttle between neo-fascist, racial populism and left-wing childishness on the other, merely constitutes an ideologically toxic concoction of a shameful type.

We are confident that the crisis-ridden and scandal-prone City of Tshwane Mayor Solly Msimanga, and now a gloomy DA Premier candidate for Gauteng is now fast approaching his political dustbin of history as Mayor, and certainly candidate Premier of the DA.

We are sure that this twin-tragedy hovering above the DA in our province and the deeper crisis it faces nationally signal the end of this racist party founded on the individuality and personal image of the colonialist and racist bigot Helen Zille.

We believe that the deepening crisis and implosion within the enemy camp and Imperialist puppets calls for the maximum unity of the Alliance as the most profound historic basis to unite motive forces of the National Democratic Revolution (NDR) in general and the working class in particular.

We are even more convinced that the deepening crisis within the enemy camp paves the way for a decisive electoral victory of the revolutionary Alliance in our province to push back the frontiers of counter-revolution led by the DA-EFF coalition.

Issued by the SACP Gauteng Province

Contact:

Jacob Mamabolo - SACP Gauteng Provincial Secretary
Mobile: 082 884 1868

Monday, September 03, 2018

South African President Rejects Claims of Chinese "Colonialism"
Xinhua
2018/9/4 8:03:38

South African President Cyril Ramaphosa on Monday dismissed allegations of China practicing colonialism in Africa, saying China instead has been a partner in boosting social and economic development on the continent.

Ramaphosa made the remarks in a speech delivered at the opening ceremony of the 2018 Beijing Summit of the Forum on China-Africa Cooperation (FOCAC) at the Great Hall of the People in Beijing.

"Since its launch in the year 2000, FOCAC has grown both in extent and scope," he said. "It serves as an effective platform for South-South cooperation focused on the tangible improvement of the quality of lives of the people of Africa."

"In the values that it promotes, in the manner that it operates, and the impact it has on African countries, FOCAC refutes the view that a new colonialism is taking hold in Africa, as our detractors would have us believe," said the South African president, who is co-chairing the event with Chinese President Xi Jinping.

Ramaphosa, who is on a state visit to China until Wednesday, said FOCAC is concerned with a lot more than trade and investment.

"We are working to build an Africa that is defined by good governance, democracy, respect for human rights, justice and the rule of law," he said, calling China-Africa relations a "dynamic force in the international arena."

He hailed China's Belt and Road Initiative as complementing the forum's goals and Africa's own development plans over the next several decades, saying the grand global initiative will boost trade in Africa.

Lauding China's economic achievements, Ramaphosa said China and Africa are working together to "advance growth and development on the African continent."

"There are many valuable lessons that Africa can learn from China's impressive growth model and its approach to meeting the needs of its people," he said.

He added that the forum "has become an essential platform to contribute to Africa's social and economic advancement" and contributes to promoting multilateralism in an "increasingly uncertain global environment."

Ramaphosa concluded his speech by saying that FOCAC's mission extends beyond China and Africa, because "together we are working to build a community of a shared future for mankind."

China has been South Africa's largest trading partner for the past nine years, and South Africa is China's largest trading partner in Africa. Bilateral trade amounted to 39 billion US dollars last year.

This is Ramaphosa's first visit to China as South African president. He held talks with President Xi on Sunday.
Cooperation Helps China, Africa Fight Protectionism, Unilateralism and Egoism
By Liu Guijin
Global Times
2018/9/3 20:28:32

Currently, there is a yawning development gap between China and Africa. Yet decades ago, China was even poorer than some African countries. In 1981, when China was in the initial stages of reform and opening-up, Nairobi was a metropolis with a 28-floor Kenyatta International Convention Center and five-star hotels. At that time, the highest building in the Chinese capital was the 23-floor Beijing Hotel.

These years, Africa has been developing, but with relatively low productivity and industrialization and poor efficiency. How will a fast-paced China adapt to the low efficiency of Africa?

First, China should have a sincere mindset when cooperating with Africa. It is willing to transfer and share its own development experience to Africa. This is fundamentally different from imposing one's development model and system on the continent.

China can adapt to African countries. Despite the backwardness and poor infrastructure in these countries, we can still find a place and by drawing experiences from China's operation of industrial parks on domestic soil, we can bring them water, electricity and roads.

In her book The Dragon's Gift: the Real Story of China in Africa, American author Deborah Brautigam writes that China-invested industrial parks in Africa have actually become the catalysts and incubators of industrialization of African countries.

Indeed, it will be too late if we go to Africa after all the conditions are ripe, because there will be fewer opportunities. Many Chinese enterprises have developed their businesses in war-stricken countries like Sudan and the Democratic Republic of the Congo. Such is the resilience of Chinese companies and shows China's sincere help to Africa - when no one wants to invest here, we would like to go; when no one wants to take risks, we would love to.

I suggest Chinese entrepreneurs, especially private companies and self-employed individuals, do the following when coming to Africa. First, they had better do some research about African countries' laws, culture, regulations, and labor and environmental standards, so as not to make rookie mistakes.

Second, they should abide by local laws and regulations. For instance, they should go to official banks and organizations and should not evade taxes. They had better not take cash with them to ensure their own safety and that of their companies.

Third, they need to integrate into the local community. It is a bit difficult, given language barriers, different lifestyles and lack of understanding of local customs. It would be better if the Chinese can make friends with local people, expose themselves to the locals and learn from them.

The Beijing Summit of the Forum on China-Africa Cooperation (FOCAC) is being held in Beijing. Since its formation in 2000, the forum has become a notable brand for China-Africa cooperation. When my colleagues and I started setting the forum up, we were not very confident. We used to think of institutionalizing the forum two years after the first FOCAC had been held. It was beyond our expectation that African countries were exceedingly proactive and enthusiastic about it. It was later agreed that the forum would be held every three years, with China and African countries taking turns as hosts.

Eighteen years on, the FOCAC has become an effective tool of consultations between China and Africa on an equal footing. It is an energetic platform for expanding cooperation and a flagship mechanism that helps the world cooperate with Africa.

As the FOCAC goes into full swing, some countries, especially emerging economies, follow suit. There is South Korea-Africa Forum, India-Africa Forum Summit and Turkey-Africa Partnership Summit. But the FOCAC is undoubtedly in a leading position, in terms of both cooperation scale and depth.

The FOCAC has been engaged in pragmatic cooperation rather than empty talk. It functions in a highly efficient manner with its agreements and resolutions being implemented. The forum also benefits both Africa and China. China's Africa policy sticks to the principle of equality, mutual benefit and joint development, which is welcomed by African countries.

This year's FOCAC is an unprecedented gathering and will set the course for future cooperation. The 10 major plans that China rolled out to boost cooperation with Africa will continue to be implemented. In areas such as civil livelihood, industrial capacity, infrastructure, environment protection, and peace and security, China will multiply its investment.

The ongoing forum will also see deepened cooperation via the Belt and Road initiative. The initiative will be linked with the African Union Agenda 2063. The African Union will celebrate its 100th anniversary in 2063. In the next 50 years, China and Africa share identical development goals. The cooperation between China and Africa has long been working to achieve policy, infrastructure, trade, financial and people-to-people connectivity, which is also core of the Belt and Road program. With the facilitation of the program, China and Africa will see faster development.

This year's FOCAC will be eyeing the future. Currently, China's cooperation with Africa faces new challenges stemming from trade protectionism, unilateralism and egoism. The two sides need to voice out and enhance cooperation to go through international turbulences.

The author is the first special envoy of the Chinese government on African affairs. The article is an interview with Cao Shijia of Wu Jianmin Foundation. opinion@globaltimes.com.cn
China-Africa Cooperation Charts a New Path of Mutual Benefits
Global Times
2018/9/3 22:20:10

Almost all African leaders are gathering in Beijing for the ongoing summit of the Forum on China-Africa Cooperation. The grand occasion has left a deep impression on both Chinese and foreign publics, and attracted many interpretations.

China has not only achieved industrialization itself, but also become the biggest driving force to lead Africa toward industrialization. For any major region, industrialization is the foundation of modernization as well as the only way to achieve development. The West has been putting the cart before the horse when it comes to its Africa policy. It emphasizes political governance yet overlooks industrialization. Western NGOs are very active in Africa, but what the continent needs most is transportation lines, power plants and manufacturing industries.

China-Africa cooperation has created a new way of cooperating with equality, mutual benefits and fruitful results. It made the West, which always wants to exercise leadership in Africa but always fails in doing so, feel uncomfortable. It is thus natural for some Western forces to use their advantage in shaping public opinion to make up for their disadvantaged position in economic collaboration with Africa.

But only actions, not words, can bring about results. The great achievements of China-Africa cooperation can be easily seen on African soil. They have been to the advantage of both sides and accumulated huge momentum for such collaboration to continue.

China has become one of the most significant powers in the world. China has foresight and strong power to put into effect. But for the moment, China lacks the capability to express itself.

The Chinese people must believe that China is on the right path. Such confidence should come from the comparison with other countries' achievements in recent years as well as the comparison to our past.

Chinese people should also be aware that major powers must fulfill their obligations. Otherwise they can hardly stay where they are for long, not to mention going forward. It's a petty mind-set to think that it is immoral to aid foreign countries because there are still poor people in China. It can hardly guide the nation's grand practice.

At the initial phase of China's reform and opening-up, the West had somewhat objective opinions on China. But as China rises, Western opinion has become more and more twisted and deviated from objectivity. We need more rationality and moral strength to extricate ourselves from the influence of the West.

In the past, China lacked experiences in strategic judgment and was not able to walk a unique path on the world stage. But today is different. As a world power, China can hardly find any model to follow. China must embark on an independent path while receiving unwarranted accusations.

It is difficult to be a major power. China faces complicated choices, while drawing manifold criticism and unjust hostility. But today's China is what the Chinese people hoped for decades ago. The life of the Chinese public and the country's global influence are beyond what people at that time could think of.

The Chinese people must cherish what the country has earned them. China has no alternative but to continue to learn how to deal with the world in the 21st century.
Unexplained Explosion Kills Eight at South African Munitions Depot
Africa News

An explosion at a South African munitions depot in Somerset West, near Cape Town, has left at least eight people dead, but authorities are still investigating the cause.

The blast occurred at Rheinmetall Denel Munition (RDM) depot, a joint venture between Germany’s Rheinmetall Defence and South Africa’s state-owned arms maker Denel.

“I can confirm that eight people are dead,” said Theo Layne, a fire and rescue spokesman.

We are currently investigating the matter

The cause of the blast was not known, he said.

Police could not be reached to comment.

RDM said in a statement that an explosion occurred at one of its buildings, but it could not confirm whether there were any injuries or fatalities.

“We are currently investigating the matter,” it said.

RDM manufactures and supplies selected munitions and explosive related products for armed and police forces in South Africa and around the world.

Rheinmetall holds a 51 percent stake and Denel has a 49 percent shareholding.

REUTERS
Ugandan MP Bobi Wine Recounts Day of Chaos in Arua
MONDAY SEPTEMBER 3 2018
Kenya Daily Nation
   
Robert Kyagulanyi - alias Bobi Wine - appears at the High Court in Gulu, northern Uganda, on August 27, 2018. He has been charged with treason. PHOTO | AFP

In Summary
Mr Kyagulanyi, Francis Zaake and Kassiano Wadri were embroiled in a spat with security agents during by-election campaigns for the Arua Municipality seat.
Mr Museveni had gone to Arua to campaign for his National Resistance Movement party candidate, Ms Nusura Tiperu.
Up to now, that is one experience that haunts me; that I could hear a woman cry for help yet I was so vulnerable and helpless. I could not help her.

By DAILY MONITOR

Kyadondo East MP Robert Kyagulanyi, alias Bobi Wine, who was tortured and detained by Ugandan security agencies and later charged with treason has narrated his ordeal.

In a 3,611 word statement posted on his social media platforms, Mr Kyagulanyi - who is currently undergoing specialised treatment in the US - says he decided to give his account after reading reactions posted by Uganda's President Yoweri Museveni and other government officials on social media sites.

Mr Kyagulanyi, Mityana Municipality MP Francis Zaake, Arua Municipality MP Kassiano Wadri, and other political activists, were embroiled in a spat with security agents on the last day of by-election campaigns for the Arua Municipality seat last month.

MUSEVENI'S MOTORCADE

Thirty-three people, including Mr Kyagulanyi and Mr Wadri, have since been charged with treason following allegations of stoning the President’s motorcade in the Arua fracas.

Mr Museveni had gone to canvass voters for his National Resistance Movement party candidate, Ms Nusura Tiperu.

"They wrapped me in a thick piece of cloth and bundled me into a vehicle. Those guys did to me unspeakable things in that vehicle!

"They pulled my manhood and squeezed my testicles while punching me with objects I didn’t see," part of Mr Kyagulanyi’s statement reads.

Mr Kyagulanyi’s driver Yasin Kawuma was shot dead in the chaos.

President Museveni said Mr Zaake had escaped from police custody, days after authorities at Lubaga Hospital in Kampala said Mr Zaake had been dropped at the facility by unidentified people.

BOBI WINE'S STATEMENT

Fellow Ugandans, friends and well-wishers from around the world,

I am sorry I have taken a bit long to write to you about the trials and tribulations for which you all stood by me.

It's been tough days as I recover from the physical and mental trauma I endured. I am overwhelmed by your support and words of encouragement.

I cannot repay you in any other way except sticking to those values which bind all of us together: justice, equality and human dignity.

I will be communicating more in the coming days and where possible send my appreciation to the different individuals and organisations.

In this post however I want to recount what exactly happened to me.

I am very grateful to my wife Barbie and my lawyers who narrated to the world these events. But I also wanted to tell this sad story personally.

CAMPAIGN DAY

I felt more compelled to speak out after reading the many posts written by President Museveni and other government officials about what happened.

I read the things they were saying while I was in detention, and found them absurd to say the least.

I was shocked at how they tried to downplay the atrocities committed by security agencies against innocent citizens. So let me set the record straight.

It was August 13 and it was the last day of campaigns in the Arua Municipality by-election. As always we had a great campaign day.

As I left the rally, I was convinced that our candidate - Hon Kassiano Wadri - would win the election.

So we moved from the rally at about 5:30pm and the people followed us, singing songs of freedom and chanting "People Power, Our Power".

Together with Hon Wadri and a few other leaders, we parted with the multitude; bade them farewell and went into Royal Hotel where Hon Wadri was staying.

NEWS TIME

We watched the 7:00pm news from the hotel lobby as we took tea and took stock of the day’s events.

It was of course very exciting to watch that day’s news.

The anchor said we were clearly ahead of the other candidates and the television relayed images of the massive rally and procession we had had on that day.

Shortly after I decided to move to Pacific Hotel where I was staying so as to rest after the very busy day.

It was at that point that I sat in my Toyota Tundra vehicle in the co-driver’s seat. The gentleman who was driving the vehicle that day is one of our drivers (not Yasin).

He moved out of the vehicle to call other team members who were supposed to drive with us.

YASIN KAWUMA'S DEATH

He took a bit long and I moved into my other vehicle (a land cruiser), which was right next to the Tundra and whose driver was already in his seat.

We immediately set off for Pacific Hotel. I did not even see what happened after or how late Yasin ended up on my seat in the Tundra. For clarity, he had been driving another vehicle that day.

I had started taking the stairs to my room when this driver came running to say that Yasin Kawuma had been shot.

I could not believe it. I asked him where he was and he told me they were parked outside the hotel.

We paced down and I saw with my own eyes my friend and comrade Yasin giving way as he bled profusely.

I quickly asked a team member to take him to hospital and another to call the police.

We had not stepped away from that place when angry looking SFC soldiers came, beating up everyone they could see.

CRYING FOR HELP

As soon as they saw me, they charged saying "there he is" in Swahili. So many bullets were being fired and everyone scampered for safety.

I also ran into the hotel with a throng of people who had gathered around. Inside the hotel, I entered a random room and locked myself in.

It is at that point that my media assistant shared with me Yasin’s picture, which I tweeted because the world needed to know what was going on.

I could hear the people outside and in the hotel corridors crying for help.

I could also hear the soldiers pulling these helpless people past the room in which I was, calling them all sorts of profanities while beating them mercilessly.

I stayed in the room for a long time. At some point, I heard soldiers pull some woman out of her room and asked her which room Bobi Wine had entered.

The woman wailed, saying she didn’t know and what followed were terrible beatings.

I could hear her cry and plead for help as she was being dragged down the stairs.

Up to now, that is one experience that haunts me; that I could hear a woman cry for help yet I was so vulnerable and helpless. I could not help her.

DOORS BROKEN

I stayed put for some hours, and I could hear the soldiers come every few minutes, banging some doors on my floor or other floors and then going away.

At different times I would sleep off, but was always rudely awakened by the banging of doors and the impatient boots that paced throughout the hotel the whole night.

In the wee hours of the morning, the soldiers started breaking doors of different hotel rooms.

With rage, they broke doors and I knew they would soon come into my room. I therefore put my wallet and phone in my socks.

I also had with me some money which I had earned from a previous music show. I also put it in the socks.

A few minutes later, a soldier hit my door with an iron bar and after two or three attempts the door fell in.

We looked each other in the eye as he summoned his colleagues in Swahili. Another soldier pointed a pistol on my head and ordered me to kneel down.

ASSAULTED WITH IRON BAR

I put my hands up and just before my knees could reach the floor the soldier who broke into the room used the same iron bar to hit me.

He aimed it at my head but I blocked using my arm. The second blow came straight to my head on the side of my right eye.

He hit me with this iron bar and I fell down. In no minute, all these guys were on me - each one looking for the best place to hurt. I can't tell how many they were but they were quite a number.

They beat me, punched me, and kicked me with their boots. No part of my body was spared.

They hit my eyes, mouth and nose. They hit my elbows and my knees. Those guys are heartless!

As they dragged me out of the room, they continued to hit me from all sides. After some time, I almost became numb.

I could only hear what they were doing from a far. My cries and pleas went unheeded.

TORTURE

The things they were speaking to me all this while I cannot reproduce here.

Up to now, I cannot understand how these soldiers who I probably had never met before in person could hate me so much.

They wrapped me in a thick piece of cloth and bundled me into a vehicle. Those guys did to me unspeakable things in that vehicle!

They pulled my manhood and squeezed my testicles while punching me with objects I didn’t see. They removed my shoes and took my wallet, phone and the money I had.

As soon as the shoes came off, they started hitting my ankles with pistol butts. I groaned in pain and they ordered me to stop making noise for them.

They used something like pliers to pull my ears. Some guy unwrapped me and instead tied the thick cloth around my head.

They forced my head below the car seat so as to stop me from shouting. Then they hit my back and continued to hit my genitals with objects.

The marks on my back, ankles, elbows, legs and head are still visible.

I continued to groan in pain and the last I heard was someone hit me at the back of the head with an object - I think a gun butt or something. That was the last time I knew what was going on.

By the time I regained consciousness, I was somewhere in a small room that had a small window.

My legs and hands were handcuffed. I was bleeding from the nose and ears. I was in great pain. My whole body was swollen. I was shaking uncontrollably.

Two soldiers came in. I can now recall that they were visibly pleased to see that I was still alive. They came close to me.

One of them apologised in tears about what had happened. "Bobi, I am sorry but not all of us are like that. Some of us actually like you," he said.

He said that doctors were on their way to treat me. I stayed in the same position and after a few hours, about four soldiers came in and lifted.

One of them took a picture of me, (I hope to see that picture some day in my life). As we went out, I read “Arua airfield’ somewhere.

I was taken into a waiting military helicopter and taken to a place which I later found out was Gulu 4th Division military barracks.

It was at that facility that some military doctors came in and started giving me injections.

VISITATION

At that point I could not even complain as I was not yet fully alert. I was very dizzy and had not eaten or drank anything for many hours.

My sight was very weak as well. I spent the night there. Later in the night I was transferred from this detention facility.

With my head covered with a dark cloth that felt like a T-shirt, I was taken to Gulu Police Station where I was forced to sign a written statement by an officer in the presence of some other officer who I later learnt is a CID boss.

I can hardly recall what was contained in that statement! I was then returned to Gulu military barracks, put on a metallic bed and handcuffed on it.

Very early in the morning I was taken to another secluded and dirty room where I was put on another bed, handcuffed again and injected with a drug that immediately sent me into deep sleep.

The following day I can recall that at some point, Hon Medard Ssegona and Hon Asuman Basalirwa came to me.

My efforts to rise and speak to them didn’t yield much. The moment they saw me they could hardly hold tears.

I have a faint recollection of what they told me, but their visit was very short.

COURT MARTIAL

I was later carried into a hall where I saw soldiers dressed smartly. I would lie if I said I fully appreciated what was going on at that point.

I was later told that I was appearing before the General Court Martial!!! After a short while, I was again carried into a military helicopter.

When it landed, I was put into a vehicle and driven to another place which I later found out was Makindye military barracks.

At Makindye, I was now fully alert and had a drink for the first time after two or three days.

I saw doctors come in several times and they gave me all kinds of injections.

At some point, I tried to object and these guys would hold my arms from behind and inject me anywhere.

If I asked what drug it was, the guy would say something like, “This is diclofenac, can’t you see?”

At some point, some guy came in and wanted to stitch my ear which had an open wound. I pleaded with him not to, and he relented.

All the while I was spending the day and night with my hands and legs cuffed until a few days later.

Thankfully although the scars are still visible but the wound on my ear healed.

It was after some time at Makindye that I was able to see my wife and my brother Eddy Yawe, who came in with some lawyers, some friends and dignitaries from the Uganda Human Rights Commission (UHRC).

I will never forget the atmosphere in that room - people started crying upon setting eyes on me.

At that point I could not sit, walk or even stand by myself. I was still swollen and spoke with great difficulty due to chest pains.

My teeth were shaking and the headache was unbearable. I am thankful that the UHRC made a report which I later read.

At least it captured in part the state in which they found me.

As the government agency mandated to fight human rights violations, I am eagerly waiting to see what actions they will take to ensure that no Ugandan is taken through this ever again.

Not even President Museveni. I cannot wish what happened to me upon anyone. Not even those soldiers who violated me as if they were beasts.

I remember two other things about that visit. Despite the pain I had that day, I remember forcing a smile when they told me that I had been charged with unlawful possession of firearms.

COMRADES

I was told that three guns had been assembled and said to have been found in my room!

I could not believe that the State would torture a Ugandan so bad and then frame him with possession of guns!

I did not stop thinking about that for all the days I spent at Makindye. How ruthless, how callous, how inhumane could these guys be?

It was also on that day that I was told about the alleged stoning of the President’s vehicle.....

I was taken to Lachor hospital in Gulu. Other tests and scans were conducted. At that point I was feeling better, especially psychologically since I had reunited with my comrades in the struggle.

Later that night the prison authorities decided to take me into the sickbay as opposed to staying with the other comrades.

The other comrades led by Hon Wadri protested. I could hear them bang the doors of their cell. The following day I was allowed to stay with them.

The following day I was allowed to stay with them. This is when I interacted with the other 32 colleagues who had been arrested in the Arua fracas.

HAPPY REUNION

Being in the same prison ward with Hon Gerald Karuhanga, Paul Mwiru, Kassiano Wadri, Mike Mabike, John Mary Sebuufu and many others made it feel like a boarding school.

It was not a very happy reunion though. Because of the torture some of our comrades had been permanently injured....

My next communication will be a vote of thanks to the world for the overwhelming support and comradeship.

I will also talk about what I think we must do together to continue this struggle for liberty and freedom.

I am glad that authorities finally have bowed to your pressure and #HonZaake has been allowed to travel for urgent specialised treatment.

And I join the world to demand authorities to #FreeEddyMutwe and other political prisoners. WE SHALL OVERCOME.
PS:

1. Please ignore calls from my phone number (0752013306). It was away by soldiers and I am told they're using it to call my friends pretending it is me.

2. Please ignore any communication from other social media accounts and pages under my name apart from this one (with a blue tick) and my verified twitter account (also with a blue tick).
May Pledges Sh908m for AMISOM in Fight Against Shabaab
MONDAY SEPTEMBER 3 2018
Kenya Daily Nation
   
Ugandan Special Forces soldiers belonging to the African Union Mission to Somalia take part in an operation to clear a building in the Al-Shabaab stronghold of Barawe, on October 6, 2014. Amisom's financial muscle has been strengthened. PHOTO | TOBIN JONES | AFP

In Summary
UK’s Defence Secretary Gavin Williamson said the UK is determined to promote security in Africa by building the capacity of its troops.
Ms May said access to potable water, medicine, food and jobs will help Somalis lower their dependence on humanitarian aid.

By PHILIP MOMANYI MAOSA

The United Kingdom has committed £7 million (Sh908 million) to fund the African Union Mission in Somalia (Amisom) that is fighting jihadist group Al-Shabaab.

UK Prime Minister Theresa May, during her visit to South Africa, Nigeria and Kenya last month, said Somalia's instability will have a knock-on effect on other nations.

"Somalia is at a critical juncture. And sustainable, predictable funding and support for the troops who are building stability in the region is vital to support a transition to Somali-led security, when the conditions for a handover are right," Ms May said on August 31 in a press statement issued by the British High Commission in Uganda.

Ms May emphasised the importance of durable security, calling for combined efforts to end terrorism.

In Nairobi, she visited a UK-supported counter-improvised explosive devices centre where British troops train soldiers deployed under Amisom.

The soldiers are trained on how to identify and destroy home-made bombs.

UK’s Defence Secretary Gavin Williamson said the UK is determined to promote security in Africa by building the capacity of its troops.

"From supporting counter-terrorist operations in Mali to improvised explosive device disposal training in Kenya, our armed forces are helping to build a more secure Africa. By tackling the terrorist threat abroad we are helping to keep our streets safe at home," he said.

The UK also pledged another £60m to help more than one million conflicts and drought victims.

Regarding the status of Somalia, Ms May said access to potable water, medicine, food and jobs will help the citizens in the long term, and will also lower their dependence on humanitarian aid.

The UK also committed more than £25 million to support the country as it works to establish a stable and democratic political system.

CONTRIBUTING NATIONS

According to its website, Amisom comprises troops from Uganda, Burundi, Djibouti, Kenya and Ethiopia who are deployed in six sectors covering south and central Somalia; headed by Lieutenant General Jim Beesigye Owoyesigire.

"Ugandan troops are deployed in Sector 1, which comprises the regions of Banadir and Lower Shabelle.

"Kenyan forces are responsible for Sector 2, comprising Lower and Middle Jubba. Sector 3 comprising Bay and Bakool as well as Gedo (Sub Sector 3) come under Ethiopian command.

"Djiboutian forces are in charge of Sector 4, which covers Hiiraan and Galgaduud, while Burundian forces are in charge of Sector 5, which covers the Middle Shabelle region," the site says.

FUNDING

The force has been hit by various challenges including inadequate funds.

In 2016, the nations complained of delayed payment by the European Union.

Further, in January of the same year, the EU rolled back its contribution by 20 per cent, meaning it would give €20 million every month up to June 2016.

In September, African Union and the EU signed a deal to have the soldiers receive their allowances for the past nine months from the €178 million boost from the European bloc.

Amisom, established in 2007, requires about $300 million a month to run its operations.

ATTACKS

Al-Shabaab militants have carried out a string of attacks in Somalia. The deadliest assault was conducted in October last year, which killed 358 people and injured 228.

The incident occurred after a truck packed with explosives blew up in Hodan on October 14, destroying at least 20 buildings in the bustling commercial district.

The attack drew worldwide condemnation, with President Mohamed Abdullahi Mohamed vowing to intensify the war against Al-Shabaab.

"If we don't respond to this now, the time will surely come when pieces of flesh from all of us are being picked up off the ground. We need to stand up together and fight Al-Shabaab who continue massacring our people," he said.
It’s Time Kenya and Somalia Became One Unit
SUNDAY SEPTEMBER 2 2018
Kenya Sunday Nation
   
President Uhuru Kenyatta with Somali President Mohamed Abdullahi Farmaajo, during his inauguration ceremony in Mogadishu, Somalia. PHOTO | PSCU

In Summary
Why then wouldn’t there be a Kenya Somalia Federation despite Somalis usually associating with the Middle East while their natural ally should be Kenya?

This would enable us to exploit maritime resource along the combined 3,800km long coastline with incredible exclusive economic zone and territorial waters.

We shall have a combined population of close to 70 million plus and this will create a formidable market opening up a new frontier.

By KARANJA KABAGE

Sometimes the unthinkable can become reality if we applied our minds to possibilities and fortunes beyond our ordinary imaginations. When in 2011 Kenya invaded Somalia in pursuit of Al-Shabaab militants, it was consistent with the UN Charter, which allows for self defence in preservation of territorial integrity.

It is almost seven years since the Kenya Defence Forces crossed into Somalia to not only stabilise the country but also stop Al Shabaab cross-border attacks. Supreme sacrifice by Kenya has seen lives of our men and women lost. Fortunately, Somalia is slowly becoming stable and hopefully peace shall prevail within its borders.

GEO-POLITICAL STRATEGY

In the scheme of geo-political strategy, Somalia will need a lot of support from the international community, especially Kenya. But reflecting much more deeply, one reality of Somalia is unique. It is one of the most homogenous societies in the world with a common language, culture and religion.

But it has been in difficulties since 1990 when the dictator Siad Barre was deposed, without a viable alternative capable of holding Somalia together, especially because of clan rivalry. The Somali people tend to identify themselves along these clans, and as the saying goes, to a Somali the family and the clan come first versus the rest.

VERY ENTERPRISING

Kenya too has challenges of ethnic configurations of about 44 different groups but the country has largely remained a united multiparty democratic state. It has strong and well defined institutional frameworks under the doctrine of separation of powers where the Executive, Judiciary and Legislature coexist harmoniously and Constitutionally.

Geographically, Kenya covers 582,000 and Somalia 637,000 square kilometres with respective coastal lines of 490 and 3,333km. Kenya has a population of close to 49 million while Somalia has roughly 20 million. However, Somalia is unique in the sense that it is highly globalised. A lot of its citizens live in the Horn of Africa, Yemen, the Gulf States, Western Europe and US and Canada — but Kenya and Yemen have most of the Somali refugees. By their nature Somali people are very enterprising, hardworking and those that have been exposed are highly educated. Kenya has a large population of ethnic Somalis, who mostly live in the north eastern region. They occupy key positions in the national and county governments and are integrated like any other ethnic community of Kenya.

TERRITORIAL INTEGRITY

Why then wouldn’t there be a Kenya Somalia Federation despite Somalis usually associating with the Middle East while their natural ally should be Kenya? If the two Nations were to federate on matters defence, law and order, foreign affairs, agriculture, education, health, territorial integrity and coast guards they will constitute a formidable force and their combined resources both human and natural would make this Eastern Africa Federation an attractive investment destination.

This would enable us to exploit maritime resource along the combined 3,800km long coastline with incredible exclusive economic zone and territorial waters.

We shall have a combined population of close to 70 million plus and this will create a formidable market opening up a new frontier.

VAST OPPORTUNITIES

As for the constitutional construct, we can come up with governance structures where Somalia will be producing a Deputy President while Kenya produces a President within a transition period after which any national of Kenya and Somalia can contest for the presidency. However, the issue of a new constitutional dispensation can be debated and agreed upon while overreaching beneficial value of the federation should focus on synergy and creation of a climate where peoples of these two countries can freely take advantage of vast opportunities.

This will ultimately have value in harnessing greater peace and tranquillity.

COMMON LANGUAGES

The model being proposed here can have application across Africa in creating several federations because if we have to trade and negotiate with other nations outside of the continent the current geographical dispensations of small population-wise states cannot give us leverage. Above all, these federations will help us chart forward with development of common languages.

This advocacy is intended to address the future of Africa in the context of globalised world with less perpetual dependency by changing the paradigm to greater production of economies of scale with larger populations/market and hence capabilities for greater research and development.

The writer is an Advocate of the High Court of Kenya; kabage@pacific-group.co.ke