Month: Nov 2011

SOUTH AFRICA AND ESKOM’S WORLD BANK LOAN

On the 14th November the Minister of Finance Pravin Gordhan, in the presence of a World Bank official and on behalf of the government of South Africa, signed for a R1.9 billion loan from the World Bank. The money is to be used for Eskom’s electricity generators. The loan is payable in forty years at 0.25% interest. A country that accepts a World Bank loan is required to enter into an agreement with the International Monetary Fund (IMF). The World Bank and IMF work hand in glove.

It is unbelievable that in the 21st century South Africa can borrow money from the World Bank when there are known problems associated with amortisation and interests. The World Bank most probably insisted on land as collateral. World Bank loans are used to ensnare countries into an unending debt. The World Bank and IMF loans employ conditionalities which involves highly controversial requirements such as austerity or privatization of key public services. Conditionalities imposed on borrower countries are known as Structural Adjustment Programmes.

PAN AFRICANISTS MUST STOP THE SECOND BERLIN RAPE OF AFRICA

From its inception on 06th April 1959, the Pan Africanist Congress of Azania (PAC) in South Africa, whose first President was Mangaliso Robert Sobukwe, agreed with Ghana’s Kwame Nkrumah that “The longer we wait the stronger will be the hold on Africa by neo-colonialism and imperialism.” That “If Africa was united, no major bloc would attempt to subdue her by limited war because, from the very nature of limited war, what can be achieved by it, is itself limited. It is only where small states exist that it is possible, by landing a few thousand marines or by financing a mercenary force that they can secure a decisive result.”
 
Nkrumah emphasised this important point for Africans when addressing the African Heads of State and Government on 24th May 1963. He declared, “No sporadic act nor pious resolutions, can resolve our present problems…As a continent we have emerged into independence in a difficult age, with imperialism grown stronger, more ruthless and experienced, and more dangerous in its international associations. Our economic advancement demands the end of colonialist and neo-colonialist domination of Africa.”

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