The principals settled for an audit after clashing over the continued
tenure of Gideon Gono at the helm of the central bank amid donor
resistance.
They agreed to institute an audit to prove if there was any impropriety
on the part of the central bank chief, as alleged by the MDC principals
and the donor community, and then consider if he can remain in his job.
This week Britain’s Africa minister Lord Malloch-Brown said no aid
package would be forthcoming to Zimbabwe if Gono remained the central
bank governor.
The three principals – President Mugabe, Prime Minister Tsvangirai and
Deputy Prime Minister Arthur Mutambara – met last Thursday to discuss
three outstanding issues, the unilateral appointment of permanent
secretaries, the swearing-in of 10 resident ministers, the appointment
of Attorney General Johannes Tomana and Gono.
The Prime Minister’s spokesman James Maridadi confirmed the meeting and
said Tsvangirai was preparing a statement on the latest developments.
"The three principals agreed that the issue of permanent secretaries,
the RBZ governor, the AG, and provincial governors would be relooked
into," Maridadi said.
"They agreed on a process that is currently underway involving the
Prime Minister and the Deputy Prime Minister. The Prime Minister will
in due course make a public statement."
Maridadi could not be drawn to comment further.
But a government official said the three principals had agreed to
institute a full audit. The Prime Minister and the Deputy Prime
Minister were tasked with identifying suitable auditors to probe the
central bank amid accusations of plunder.
Maridadi refused to say what the Prime Minister’s position was with regards to central bank reforms.
"There is a process underway and we cannot say what his position is," Maridadi said.
A source close to the developments said Kudenga auditors and De Loitte
and Touche were being considered to audit the central bank given their
reputable track record.
Mugabe has made it clear that he will not countenance the removal of
Gono, who he argues has actually done a fantastic job busting
sanctions.
Gono's term has wrought the dramatic ruin of once-prosperous Zimbabwe,
now battling acute shortages of basic goods and with stratospheric
inflation hovering around 89,7 sextillion percent, according to
independent estimates.
Tsvangirai has said it would cost as much as US$5 billion to repair the economy but donors want Gono to go first.
Britain’s Africa minister Lord Malloch Brown said: "Yes we are holding
back from general budget support to the (Zimbabwe) Government because
we just don’t have the confidence that the people who write the cheques
and control the central bank are honest people who we could safely
trust with British tax payers’ money."
Analysts say removing Gono would asphyxiate Zanu (PF) in terms of
funding, hence the spirited fight by Mugabe to keep his close ally in
the inclusive government.
"I think pushing Gono out will be difficult, as the move would
significantly undermine a pillar of Zanu (PF)'s staying power," said
Mark Schroeder, southern Africa analyst at global intelligence company
Stratfor.
As we reported last week, five top bankers are being considered for the
central bank job, including Gono’s deputy Edward Mashiringwani and
Kingdom Bank owner Nigel Chanakira. Mthuki Ncube and Takura Tande of
Barbican Bank and Time Bank respectively are also being touted for the
job.
Mugabe reappointed Gono to fresh five-year term last December.
There was outrage from the MDC, which said the appointment violated he
power-sharing agreement which stated that all senior government
appointments would be done in consultation with the Prime Minister.
The Zimbabwean on Sunday understands the principals also resolved to
reverse the appointment of permanent secretaries unilaterally made by
Mugabe on February 24.
All permanent secretaries including the new ones reappointed by chief
secretary to the President and Cabinet Misheck Sibanda have been
invalidated by Tsvangirai who stated that Sibanda had no authority and
right to make such appointments.
On Friday all the permanent secretaries presented their CVs to
Tsvangirai’s office for fresh vetting. It is believed Tsvangirai and
Mutambara would get to appoint permanent secretaries from their own
parties.
Tsvangirai and Mutambara were reportedly drafting a new line up of
permanent secretaries and were looking at a wide range of CVs.