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Mbeki, Zuma clash on finance, SABC

By unknown | Dec 24, 2007 | COMMENTS [ 0 ]

Future economic policy and the composition of the new SABC board have emerged as the first areas of conflict between President Thabo Mbeki and newly elected ANC president Jacob Zuma.

Zuma has declared there will be no change in economic policy but he indicated at the weekend that there might be a possible rethink of one of the central pillars of the Mbeki economic plan - inflation targeting.

Zuma told the Sunday Independent there was opposition to this from both rich and poor.

The government has chosen to try and stabilise inflation at under sixpercent, but it has already soared past sixpercent.

The Reserve Bank has used interest rate hikes to keep inflation in check. This has seen a massive increase in payments on home loans, hire purchase agreements and other loans.

On Friday, Cosatu secretary-general Zwelinzima Vavi slammed Mbeki over his approval of the new SABC board. Mbeki's detractors say he has loaded the board with ANC supporters.

Vavi said he wanted a tripartite alliance meeting on the issue. But newly elected ANC secretary-general Gwede Mantashe said the ANC would not revisit the issue.

And DA spokesman Dene Smuts yesterday welcomed Mbeki's decision not to appoint Christine Qunta as chairman of the board. - Waghied Misbach


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