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29th January, 1993

COMMISSIONER MARIN ADDRESSESTHE SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)

Mr. Manuel MARIN, Commissioner responsible for development cooperation and humanitarian aid, visited Harare (Zimbabwe) from 27th to 28th January, 1993. The purpose of his visit was principally to participate in the SADC Annual Consultative Conference*. In his address to the Conference, Mr. MARIN underlined notably the following points : "Continuing violence in South Africa has acted as an impediment to the process of normalisation. Yet, the end of the year saw improved prospects for a negotiated settlement of the long-standing disputes. It is my fervent hope that the negotiations now under way will contribute, during the course of this year, to the establishment of representative democratic structures enabling the entire nation to unite and to play its full role in the region. The European Community for its part will continue to encourage the process of change in South Africa through its Special Programme of assistance to the victims of Apartheid. But the political impetus has to come from the region and the time is coming for SADC and its Member States to intensify contacts with the political and economic interlocutors in South Africa, representing the whole spectrum of South African society. The forthcoming political change in South Africa should already be integrated into in your development strategies in concrete terms, for instance through sectoral policies at regional level." (...) ___________________ * SADC (Southern African Development Community, formerly SADCC : S.A. Development Coordination Conference), is a regional organisation for the economic integration of Southern Africa. Its contracting parties are : Angola, Botswana, Lesotho, Malawi, Mozambique, Namibia, Swaziland, Tanzanie, Zambia and Zimbabwe. "In addition to the political difficulties, the Southern Africa had to face last year the worst drought in decades. I am proud that the European Community has been able, through its special food aid programme, to deliver seven hundred and thirty-two thousand tonnes to the region in 1992, thus doubling our regular contribution. However, the scale of the disaster has shown the need to mobilise existing human and natural resources in a combined effort to realise their potential. In this context, I want to emphasize that SADC and its Member States need to agree on policies and programmes in order to find a long-term solution to the problem of food insecurity in the region. The European Community, through the Lomé Convention, will continue to work closely with all SADC Member States and SADC itself at bilateral and regional levels. Total economic assistance from the Community to the SADC States during the Lomé III period (1985-90) is estimated at more than 2 billion ECU. Under the first financial protocol of Lomé IV (1990-95), our effort will not be less important." (...) "As I said, the emergence of a free, united, stable and democratic South Africa is particularly important and will represent a major challenge to SADC. It will require a careful strategy, well coordinated between SADC and other economic and trading groups like the PTA (Preferential Trade Area). Although a democratic South Africa will be an important component in Southern Africa, it will not automatically stimulate the economy of the region and usher in a period of growth and prosperity. The pressing internal demands that will face a democratic government as it strives towards an equitable society, will limit its ability to play a dynamic role in the region at the outset. However, clear opportunities exist to start normal economic exchanges in the fields of investment, trade and transfer of technology, and cooperation in fields such as energy and water supply. Complementarity and cumulation - these are the key economic concepts. Cooperation and coordination - these are the key political concepts. As we have learned in Europe, regional integration is nearly always a matter of compromising between the perceived needs of different countries. Governments should focus on the long-term benefits and objectives and be ready to bear some short-term discomfort. Southern Africa is indeed fortunate in being able to draw on the twelve years of experience gained through SADC and the various arrangements and agreements such as SACU and PTA." (...) "I feel it is essential to recognize that a weak institutional framework will hamper rather than assist regional integration efforts. In the absence of a solid institutional system with budgetary autonomy and sufficient resources, integration initiatives will remain dead letters. The present situation of weak institutions tends to favour the proliferation of bilateral deals - especially with South Africa. It is likely to be detrimental for the weaker economies or those with a lesser degree of freedom. The SADC institutional framework will need to be reinforced by rationalization and a clear distribution of mandates. Finally, I would like to point out another major drawback in the implementation of regional projects and programmes: the low level of participation of the private sector. Within the framework of the Global Coalition for Africa, an initiative was taken to engage governments and the private sector representatives in a unique process of open discussion and collaboration. On this initiative we have so far enjoyed excellent collaboration with SADC, the PTA and the pan-African organizations. Already, there is an encouraging convergence between the proposals made and the objectives embodied in the SADC strategy." (...) Mr. MARIN also held bilateral consultations with Zimbabwe's Senior Minister for Finance, Dr. Bernard CHIDZERO. He also took the opportunity to sign, with Dr. CHIDZERO, the financing agreement for the European Community's programme of support for structural adjustment in Zimbabwe. This programme provides grant finance of ECU 28 million in foreign exchange. Local currency counterpart funds generated by the foreign exchange credits will be used to back up Government measures to offset the social costs of the reform process. These funds are earmarked for the financing programmes in the primary and secondary education sector, and in the health sector. Under the Lomé Conventions, the European Community has made available assistance to the Government of Zimbabwe amounting to approximately ECU 244 million since 1981. In addition, Zimbabwe benefits from the privileged trading arrangements of the Lomé Convention notably for beef exports. * * *  

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