THE Bulawayo Vendors and Traders’ Association (BVTA) has encouraged members to form savings and credit co-operative societies (SACCOS) because they continue to be shunned by the formal banking sector.

By NQOBANI NDLOVU

BVTA executive director Michael Ndiweni said the vendors’ representative body has also rolled out financial literary training programmes for its members to help them form SACCOS.

A SACCOS is created by a group of people with a common interest such as churches and vendors with the objective of saving money collectively, then make loans available to the group’s members.
“We are busy training on financial literacy and encouraging members in the sector to form credit co-operative societies. These are internal lending schemes.

“Although this is beginning to yield positive results, the prevailing economic environment is heavily affecting these schemes, with the loss of value of the bond note and RTGS dollar eroding their savings daily,” Ndiweni told Southern Eye.

He said the financial literacy trainings equip traders with skills to manage their finances, what they earn from their economic units or businesses, and how to generate viable business ideas.

“We are thus calling for government to seriously deal with the currency crisis. Adopting the rand, for example, will ease these problems faced by the sector; the government’s intransigence of currency issue is putting a heavy load on already burdened and suffering informal traders,” he said.

The BVTA has also been pushing for amendments to the vending by-laws, to protect members’ rights to facilitate for orderly informal trading and to harmonise the relationship between the informal trading sector and the formal sector.

According to findings of a BVTA research conducted by the National University of Science and Technology, about 59% of vendors and informal traders are not aware of the provisions of city by-laws, the informal sector in Bulawayo is still governed by 1976 by-laws that prohibit informal sector trade in the central business district. Because these by-laws are no longer applicable to the present informal trading conditions, informal traders and municipal police are constantly engaged in running battles in the city.

Early this year, the Bulawayo City Council and informal traders were forced to sign a peace deal to ease tensions between municipal police and informal traders that had resulted in violent skirmishes.

RAW and untreated sewerage is being pumped directly into Lake Chivero and other water bodies by Harare City Council, whose absolute sewerage and water treatment plants are battling with rampant illegal settlers and growing population.

BY RUTENDO MATANHIKE/ BLESSED MHLANGA

Council is pumping almost 82% of untreated sewerage into the lake, a main water source for its residents and ratepayers, exposing many to waterborne diseases.

The discharge of raw sewage is also inflating the cost of water treatment for Harare.

Crowbrough sewerage treatment plant is pumping 82 mega litres of raw sewage into Lake Chivero on a daily bases, compromising the quality of drinking water and the over two million Zimbabweans resident in Harare.

Harare Metropolitan Provincial Affairs minister Oliver Chidawu said government and council were looking at ways to solve the problem caused by pollution in order to save lives.

“The biggest problem we have got is waste water pollution, taking an example from Crowbrough sewage works, which is receiving about 100 mega litres of raw sewage per day against its installed capacity of 54 mega litres,” he said.
“The current infrastructure at the treatment works is only processing 18 mega litres and the rest is being pumped into the lake. We are all drinking dirty water and if action is not taken, we will all die.”

Chidawu, who also toured Firle Sewage Works and Morton Jeffray Waterworks, said there was a need for a multi-stakeholder approach to deal with the massive water and sewer reticulation problems afflicting Harare, which is in need of over $1,2 billion to deal with the sanitation disaster.

“On the side of fresh water supply, it has been emphasised that Harare need about 1400 mega litres a day. Of that, we have installed capacity of 600 mega litres to date. Those 600 mega litres we are unable to pump because there is need to treat the water and make repairs. It then limits what you can pump out. We need additional waste water facilities built as soon as possible because otherwise the situation is going to be dire,” the minister said.

“We also have a problem with algae in the lake. What we are doing is that we are now working as a team. The situation is dire because all of us are drinking dirty water. It is affecting everyone. The water coming out of taps is not completely clean as per required standards.”

Harare town clerk Hosiah Chisango said the city had a solution, but required major financing in United States dollars to ensure that the issue of water and sewer reticulation is solved.

He said about $600 million was need for the reticulation and rehabilitation of the existing infrastructure and similar amount for expansion works.

Zimbabwe has so far borrowed USD$1,25 billion from the African-Export Import Bank (Afrexim Bank) without following laid down procedures, it has emerged.

BY VENERANDA LANGA/XOLISANI NCUBE

Responding to a question by Mt Pleasant MP Samuel Banda (MDC) in the National Assembly recently, Finance minister Mthuli Ncube admitted that government breached the law by taking loan facilities without approval of Parliament.
“When the question was posed, the figure was US$753 million and then you add the other US$500 million, so that takes us to US$1,25 billion,” Mthuli said.

The minister came under attack from lawmakers over failure to seek parliamentary approval on the loans, with the latest being a $500 million facility by (Afrexim Bank), which was said to be for stabilisation of the currency market.

In terms of section 300 of the Constitution, Ncube was first supposed to come before Parliament to seek approval to borrow from Afrexim Bank, but he did not do so.

Section 300(1) of the Constitution stipulates that an Act of Parliament must set limits on borrowings, the public debt, debt and obligations whose payments or repayment is guaranteed by the state and that those limits must not be exceeded without the authority of the National Assembly.

Harare North MP Allan Norman Markham (MDC Alliance) said Ncube must explain to the National Assembly why he did not bring the $500 million loan contract for scrutiny before Parliament?

Reports claim that the collateral for the loan is a mine at the Great Dyke.

This was followed by questions from Harare East MP Tendai Biti (MDC ALliance), who said inasmuch as the $500 million facility was a welcome move, the law was clear that any contract pertaining to a debt entered into without Parliament approval is invalid.

“The law is very clear that you cannot contract a debt with an international organisation which imposes fiscal obligations on Zimbabwe before Parliament has approved, and if Parliament has not approved, that debt is invalid. Why does the government keep on borrowing money from the African Export Import Bank without Parliament approval?” Biti asked.

The former Finance minister also questioned why Afrexim Bank continued to grant Zimbabwe loans, now to the tune of USD$1,25 billion, when its balance as a bank was $2 billion.

Ncube’s response to Biti was that when he (Biti) was Finance minister, he never used to bring loan agreements to Parliament for approval.

But Mbizo MP Settlement Chikwinya (MDC Alliance) jumped to Biti’s defence, saying that when he was Finance minister, he brought before Parliament for approval a $400 million loan facility from China for the Defence College.

“The $500 million refers to the recently announced facility that we sourced from Afrexim Bank, and the aim of this facility really is for us to stabilise our balance of payment situation and be able to meet the demands for the US$ and for external payments so that we stabilise the issues that impact on our currency,” Ncube said.

“We will begin to access these resources as is required and again, I will be happy to report on the utilisation of these resources to this august House or indeed, any other resources that we source externally in terms of the law.”
Ncube said how the Afrexim Bank structure loans to Zimbabwe were its business.

WARRIORS captain Knowledge Musona is considering his next move after a frustrating time at Belgian league side Anderlecht, a club he joined a year ago.

BY HENRY MHARA IN DURBAN, SOUTH AFRICA

The 28-year-old says he plans to move to a club where “he is loved” and is hoping to use the Africa Cup of Nations (Afcon) tournament in Egypt to open other doors.

Musona still has three years left on his contract with the Belgian giants.

In an exclusive interview with NewsDay Sport in Durban, South Africa, where the Warriors are currently participating in the Cosafa Cup tournament, Musona poured his heart out on what has been a frustrating time at Anderlecht – who will be coached by former Manchester City captain Vincent Kompany from next season.

Musona, normally reserved, painted a grim picture of the difficult time he endured at Anderlecht before he was shipped out to Lokeren on loan in the second half of the season.

Asked whether he is looking forward to playing under Kompany, who is leaving the English champions to take up the role of player-coach at Anderlecht, the ever-smiling face of Musona turned glum.

“At the moment, I am not thinking about it (returning to Anderlecht). I will think about it after Afcon. Last year, I did not play that much and, honestly, I wasted a year of my playing career. I did not enjoy it because of the way I was treated at the club. When you are a football player and you go into a team and you are not given a chance, it is always difficult to look forward to the next season because you don’t know what the people are planning for you. That is something I have to think hard about after Afcon,” Musona said.

Musona signed a four-year contract with the former Belgian champions last year, but found game time restricted, making just 10 appearances mostly from the bench, before he demanded a loan move to Lokeren in January. The loan deal has since expired and the striker is expected to return to his parent club.

There were hopes that he would try to reboot his career under Kompany, but even the arrival of a new coach is not motivation enough for the forward to return to Anderlecht.

Musona is currently thinking more about Cosafa and Afcon and hopes that his performance at international level will help shape his club career.

“At the moment, it is my time to enjoy playing for the national team where people appreciate and love me, where I play with a free spirit and a free mind because I know that people from my country love me.
“It’s always good to play when you feel that people love you when you play for them, and playing for the national team are the moments that I can safely say I feel proud of, because when I come and wear the jersey there is not much criticism. There is criticism, yes, but it is 90% people loving me against 10%. Where I am playing now (at Anderlecht), it’s vice versa so it’s something that I’m thinking like, okay, is it good for me to go back there and look forward to the new season or look for another club’ because I may never know what they have planned for me for the next season? I have to think about it after Afcon, but for now, this is my happy place.”

There are reports that other league teams in Belgium and France are monitoring the Smiling Assasin, while a return to Germany’s Bundesliga, where he also spent some frustrating time at Hoffeinheim, could be another possibility.
But Musona is pinning his hopes on making a show at the Afcon and hopes to impress many European scouts that are expected to descend on Cairo to watch the continental showpiece.

“I haven’t received any offers as yet because the window just opened and also when I left the season had just ended so we will see what happens. It is a long way to go. I believe if I go to Afcon and play good football for the national team, then the doors will open and other good opportunities may come,” he said.

But before he can think about the Afcon finals, Musona has the Cosafa Cup to think about. Tomorrow Zimbabwe face Zambia in the semi-finals of the regional championships at the Moses Mabhida Stadium with Musona expected to start in the Warriors attack, having made a substitute appearance in the team’s 2-0 victory over Comoros in the quarter-finals which Zimbabwe won 2-0 on Saturday.

JUST a few days ago, when I was paying my monthly rentals, my landlord confided with me: “Son, the situation is getting out of hand, and so, the rental fee for the coming month has risen…”

I am sure the hymn from which my landlord was singing is not new to the ears of many, particularly at a time when property owners are trying to structurally adjust and implement austerity measures that ensure their pockets do not suffer unnecessarily.

That brings us back to the question of the wellbeing of the writing community as well as the entire publishing industry. While the industry has all along been suffering silently and almost defunct, the situation has now worsened and has hit rock-bottom.

To write and research, whether by desktop or using imperial methods, a lot of effort is required. Transport costs, whether of the physical form or by internet, have ballooned beyond the means of many. Data costs have soared to new heights.

When all these factors are considered, it becomes apparent that the writer’s position has now been compromised. The writer’s hands are tied. The writer can now not use the same tools that once were at his disposal and thus the quality of work produced has become hugely compromised.

In between, the manuscript that the writer produces passes through numerous hands. There has to be a reader, an editor, proofreader, type-setter, printer and then a distributor.

The above-mentioned services are provided by the people who make up the book industry, a term many dispute, preferring the humbling term “book community”.

These players too are not immune to the rise of the cost of living. One measure that they should implement is to increase their service charges or to charge in foreign currency.

But that would mean a writer now having to be reasonably financially resourced if he or she is to afford service charges by the book industry.

Assuming that the writer is now subjected to a new and higher charge sheet, what that simply implies is that the book then becomes a very expensive product to buy for the ordinary citizen trying to make irreconcilable ends meet.
But all these are just possibilities. The pragmatic fact is that many writers are within the income brackets of the ordinary citizen. The trend is now for the writer to skip multiple stages in the publishing process so that costs are minimised.

Technically, the book has not been selling well even when selling in the ZWL currency. Selling the book in United States dollar currency would likely push away many prospective customers.

There is a risk too. Service providers may begin to go for the worst to those that come knocking at their doors. One of the worst forms would be soliciting for sexual favours from those that cannot afford paying for the services offered.

Also present among the risks is that the literature emerging from this period may not be able to capture the reality of the period we are now in, but that which only seeks to fit into the curriculum or commercial pipeline, both of which are sad developments to the literary sector.

Apart from the politics of pricing, the book industry is also confronted by the high cost of doing business.
Resultantly, the book too, due to some ripple effects, shall have to be pegged at a higher price. The book in reference does not only refer to the fiction genre, but also those used by the academia.
The unaffordability of the book simply implies that piracy will take root and the fate of the writer would remain pathetic and, therefore, make him unable to sufficiently cater for his or her needs.
There is a life after one’s pen seizes oozing ink. Will one afford a decent medical treatment, funeral arrangements or to leave behind an estate?

The writer is now forced to battle it out so that he or she finds himself/herself still fitting in the tighter budgets of the consuming public, many of who are now omitting luxuries like alcohol and meat from their to-have-list.

When we grew up, books used to have a fixed selling price on its hardcover; that surely has become a preserve for writers and readers from stable economies.

Whichever the case, the survival of the book industry is now at risk. Without the intervention of the government, the book industry will fall, but at a cost. One of the costs is that many non-governmental organisations may find it easier to infiltrate the writers club, offering meagre gifts to fill their empty coffers, and in the process affect national ideology.

 Beniah Munengwa, who writes in his personal capacity, can be contacted through email benmunengwa@gmail.com.

POLICE Commissioner-General Godwin Matanga has implored government to review the salaries and allowances of police officers, saying poor remuneration was affecting proper service delivery.

BY NIZBERT MOYO

Matanga made the remarks in a speech read on his behalf by his deputy Learn Ncube during the closing ceremony of a police rebranding programme for junior officers for Masvingo and Midlands provinces at Ntabazinduna Training Depot on Sunday.

“I have learnt of a number of other issues that are militating against service delivery. Some of the issues are the need to review salaries and allowances, lack of tools of the trade including uniforms, communication equipment, transport and fuel as well as lack of both office and residential accommodation,” he said.

“Let me take this opportunity to assure you that as a command, we are seized with these issues and some of them are already being taken care of.”

Matanga said it was crucial for the police to be professional at all times, while doing their best with the limited resources at their disposal.

He expressed hope that the training programme was going to enable the officers improve their performance in crime management and stewardship to their subordinates.

“I beseech you to ensure that all unprofessional conduct by some of you in the past is no longer part of your itinerary, especially after this programme,” Matanga said.

“The level of professionalism, integrity, loyalty, dedication and impartiality expected from you should give momentum to your subordinates and all our stakeholders.”

The rebranding courses have so far been conducted in Harare, Bulawayo and Mashonaland East provinces.

For civil society working to influence policy and practice reforms tailored to strengthen linkages between mining and sustainable development, stakeholder engagement is a critical piece of the jigsaw puzzle. To gain a pulse feel of industry’s thinking concerning the current and future of mining, the Zimbabwe Environmental law Association (Zela) participated at the Chamber of Mines’s 2019 Annual Mining Conference. Themed Realising vision 2030 through resource led growth, the conference was held at Elephant Hills Resort, Victoria Falls, from May 29 to June 1, 2019.

Reaching upper middle-income status is the goal for Vision 2030.

The conference’s theme resonated well with the Africa Mining Vision (AMV), which envisages Transparent, equitable and optimal exploitation of mineral resources to underpin broad-based sustainable growth and socio-economic development. Realising that resource-rich Africa must not continuously squander the opportunity to industrialise and diversify its economy from mining, Africa Heads of State and Government adopted AMV in 2009. This article shares key highlights from the platinum symposium. Further, the article ventilates some of the main issues discussed to help citizens understand some pressure points when it comes to mining and sustainable development.

Technology redefining the future of mining

Unlike South Africa, Zimbabwe’s platinum industry is highly mechanised because of favourable geological characteristics. In light of the fourth industrial revolution, the industry must explore new technologies out there to “produce more with less.” The automation and modernisation of the industry is fundamental to drive production efficiency. Embracing technology becomes key to lowering the cost of production in order to gain a competitive advantage in addition to the comparative advantage that Zimbabwe enjoys. Cheap commodities have a future and expensive ones have a short life-span, said Stanley Segula, the Zimplats managing director.

Comparative advantage stems from the fact that in platinum, the country is endowed with a world class mineral asset which ranks second best after South Africa. In terms of platinum production, Zimbabwe is ranked number three, after South Africa and Russia, respectively.

Rightly so, industry is taking leadership to stimulate discussion on the impact of technology on mining. The government and civil society must not be late to get off the blocks on this one. As suggested by Vanessa Ushie in her recent blog titled New mining technologies and the fiscal space: Ensuring shared value and sustainable development, the government must explore options to give oxygen to mining linkages to development in the context of new technologies. Right now, the employment situation in Zimbabwe is quite unsustainable.

With technology set to drive platinum production growth, employment linkages are going to be further weakened. Even worse, there is a strong risk that retrenchments can occur as labour is substituted by machines. Poor mining agreements have always been a major challenge to unleash mining’s development potential, starting with the 1888 Rudd Concession. With secrecy around mining contracts, the public does not have a fair view picture of how mining agreements are primed to manage a technologically driven mining sector. Venessa suggested that the fiscal regime must be nimble to compensate for employment losses through equity participation or production sharing, among other options. Obviously, our outdated Mines and Minerals Act and the mining fiscal tools are not best primed to anchor a mining-led realisation of Vision 2030.

The status of the platinum industry

As part of its contribution towards the realisation of Vision 2030, the platinum sector is supposed to hit 50 tonnes annual production by 2030. Along with gold, platinum is one of the country’s top export earners. Although commonly referred to as platinum mining, it is crucial to note that the Platinum Group of Metals (PGMs) are produced – 10 minerals are a product of platinum mining. By volume, nickel tops the production list. The oldest platinum mine in Zimbabwe, Mimosa, started as a nickel mine and later shifted focus to embrace platinum mining. In terms of nickel production in Zimbabwe, the platinum industry’s production is favourable compared to primary nickel producers.

In 2018, production stood at 14,6 tonnes; marginal when compared to the 2017 production. Accounting for 60% of the country’s total platinum production, Zimplats is the largest player in the platinum industry. Mimosa is the smallest player in terms of both output and ownership of proven platinum resources. Mimosa owns about 3% of the country’s platinum resources.

“The industry is fluid and confusing” currently; palladium price has surpassed platinum. Palladium currently fetches around US$1 300 per ounce, a figure that roughly matches the gold price. “Platinum prices are in a long winter”, currently fetching around US$800 per ounce. It is important to flag that platinum and palladium production volumes are nearly equal.

Make hay while the sun shines

Platinum is mainly used to produce auto catalyst convertors that are critical in the reduction of carbon emissions from motor vehicles. With technology pointing to electronic vehicles, the platinum industry is under severe threat because auto catalyst converters account for 60% of the platinum market. The jewellery market accounts for 12%. However, technology also offers hope in that platinum can be used to generate electricity, and research is at an advanced stage. Equally so, other minerals like nickel, that are part of the PGMs are key in the production of electronic vehicles. The key lesson here is that Zimbabwe “must make hay while the sun shines”, quickly leverage on its platinum assets as future technologies pose risks which can sterilise the resource.

Indigenisation policy an albatross

In 2018, the Finance Act removed indigenisation requirements for all minerals save for platinum and diamond sectors. As it stands, foreign players in the platinum and diamond sectors are required to cede a minimum of 51% equity to indigenous partners. This is making Zimbabwe one of the least attractive investment jurisdiction. Whereas the President announced that government was fully removing indigenisation requirements for the platinum and diamond sectors, the law has not been changed. The industry’s position is that legal reforms to repeal the indigenisation framework must be expedited.

It is understandable that a conducive policy environment is a key enabler to attract the much needed investments in the platinum industry. But, the Constitution must not be undermined. As rightly stated by Hon Mukaratigwa, chairperson of the Parliament Portfolio Committee on Mines, the State is compelled to come up with measures to ensure that communities benefit from the resources in their areas. To that effect, the issue of Community Share Ownership Trusts (CSOTs) must not be affected by any changes to the indigenisation framework. Interestingly, a sterling example of the impact on CSOTs in terms of reducing infrastructure deficits in rural areas comes from the platinum industry. All three platinum producers contributed $10 million each to fund community development programmes in their areas.

Beneficiation and value addition

Industry expressed displeasure with the current stick approach, use of export taxes to compel local value beneficiation and value addition of platinum. Certainly, beneficiation and value addition are fundamental to generate more foreign currency earnings, create more jobs, widen the tax base and to promote industrialisation. The platinum industry, it must be noted, has lower ripple effects to the domestic economy compared to steel making, which can spur the construction sector and other downstream industries. Given that platinum is a “sexy mineral” and high valued mineral, government must not lose sight of low-valued minerals – development minerals which have strong linkages to other economic sectors, agriculture and construction, for instance. Despite its perceived challenges, the results of export taxes are encouraging in that Unki Mine recently commissioned a smelter. Gone are the days when Unki Mine used to export platinum concentrates. “Keep walking” there is room to achieve more – base metal refinery and finally precious metal refinery facilities.

Conclusion

To ensure that platinum industry growth plays a critical role towards the attainment of Vision 2030, industry is clear on critical success factors that must be addressed. It must be clear though, that any growth anchored on mining must not leave communities behind as required by the Constitution. Of course, the indigenisation framework as it stands is not attractive to investors, it must be tweaked, but not entirely scrapped to give legal teeth to CSOTs. Afterall, the sterling example of community-led development comes from the platinum industry in Zimbabwe. The impact of technology is another fundamental which government and communities must be alive to; policies and laws must be “nimble” to leverage better mining for the realisation of Vision 2030.

 Mukasiri Sibanda is a programme officer at Zela. He writes in his personal capacity.

CNN

A Zimbabwean scholar will be honored with a life-size statue in New York alongside media mogul Oprah Winfrey, Hollywood stars Nicole Kidman, Cate Blanchett, and the popstar Pink for their work championing gender equality.

Tererai Trent is among 10 women who have been named most inspiring women in the world. The list includes conservationist Jane Goodall, activist Janet Mock, chemist Tracy Dyson, author Cheryl Strayed and Olympic gymnast Gabby Douglas.

All 10 women will have life-size bronze figures unveiled by StatuesforEquality in the United States on Women’s Equality Day on August 26.
Trent announced the development on her Twitter handle and said she was “incredibly honored” by the recognition.

Statues of Equality is set to launch in #NYC this summer. I am incredibly honored to be standing among the World’s Top 10 Most Inspiring Women ‘Sculpted for Equal Rights’! Come August 26 and celebrate the empowerment of women and big dreams! #StatuesForEquality pic.twitter.com/HJTYAF1Rz1

— Tererai Trent (@TereraiTrent) May 4, 2019

Trent, 54, was kept out of school for most of her childhood because of poverty and being a female but she taught herself how to read and write while living with her parents in rural Zimbabwe.

She relocated to the US in 1998 after she was discovered by an American non-profit that visited her village. She has since achieved her dreams of getting a masters and a doctorate.

The US-based academic faced domestic abuse in the pursuit of her dreams and continues to champion girls and women empowerment through education.

Her inspirational story caught the attention of Oprah Winfrey who gave Trent $1.5 million donations to rebuild her elementary school in Zimbabwe in partnership with Save the Children in 2011.

The women were given the honor by StatuesforEquality, under the “Sculpted for Equal Rights” initiative by famous Australian artists Gillie and Marc Schattner, who are seeking more gender representation in public arts.

“In order to truly honor the cause, it was crucial we cast the statues in bronze, they will live on, much like the statue itself, beyond your lifetime and the lives of your contemporaries,” Schattner said in a statement on their website.