Das neue Südafrika

Darum geht es wahrscheinlich :

There are many players in this little game of currencies, and the most recent bear in the dollar has created winners and losers. An example of a loser would be the South African stocks and the beating they have been taking as the Rand climbed ever higher against the dollar, in effect vaporizing all of the inherent value created as the dollar gold price has risen. A subject for another day..... confiscation of gold through currency manipulation.

mfg

XEX

US: Zim polls not free or fair

02/04/2005 08:41 - (SA)

Mugabe rules again, ......Mbeki and ANC will rule again !

Washington - United States Secretary of State Condoleezza Rice said on Friday that the Zimbabwe's legislative elections, won by the party of President Robert Mugabe, were neither free nor fair.

"Although the campaign and election day itself were generally peaceful, the election process was not free and fair. The electoral playing field was heavily tilted in the government's favour," said Rice in a statement.

"The United States calls on the Government of Zimbabwe to recognise the legitimacy of the opposition and abandon policies designed to repress, crush and otherwise stifle expressions of differences in Zimbabwe."

Rice also called on the government to address "political and economic problems that have wrecked what only a few years ago was one of Africa's success stories".

Mugabe's Zanu-PF party took 59 of the 120 contested seats, which - combined with the 30 seats directly appointed by the president - gave the ruling party control of parliament.

Morgan Tsvangirai, leader of the opposition Movement for Democratic Change, which earned 34 seats, said on Friday that the elections were marked by massive fraud.

Welcome to Africa !

Up to you now !

Bye

Eldorado

The history of the white race , wenn es euch interessieren sollte:

http://white-history.com/

RSA chapter :

http://white-history.com/hwr56.htm

XEX

Hi there,

A good read for the weekend, I hope you got the picture about RSA

A slight one !

I'm still busy...

Enjoy it !

XEX

http://credomutwa.com/content/view/28/40/

International Forecaster March, 2005 (#4) - Gold, Silver, Economy + More

By: Bob Chapman, The International Forecaster

MARCH 2005 (#4) Vol. 9 No. 3-4

P. O. Box 510518, Punta Gorda, FL 33951

GOLD, SILVER, PLATINUM, PALLADIUM AND DIAMONDS

Gold is a store of value and the only real currency in the world and it will always be that way. It is not just another commodity. It is much more than that. It is an island of stability and safety in periods of financial crisis like we have today. Gold and silver to a lesser degree are ideal insurance against the ravages of fiat money.

Everyone on this planet will soon need gold as we face slowing economic growth; rising interest rates; falling stock, bond and real estate prices; rising oil and gas prices; ongoing war in Iraq and Afghanistan; the possible invasion of Iran, Syria and Venezuela; a move by China against Taiwan; the possibility of nuclear war and terrorism; a political crisis; a collapse of the dollar or the imposition of Martial law in the US.

You buy and hold gold and silver related investments and put them away for the duration of what will be the biggest precious metal bull market in history. The only time you should trade is when you absolutely have to. You have to have conviction and you cannot be shaken out of your position by false profits. Higher gold and silver prices are here to stay. They are a dominant trend. Remember, the trend is your friend.

Those 20,000 workers in South African gold mines that are going to be laid off because of suppression of the gold price by the elitists, support 12 others each. That means 240,000 people are not going to eat.

Word out of India is that no one is going to fall for the new Indian gold ETA. Our sources say get real.

This has got to make you puke. The World Gold Council has appointed Pierre Lassonde, President of Newmont Mining, as its new chairman. Now you can understand why Lassonde never would give any credence to the fact that the gold market was manipulated. Antics like this are a reminder as to why gold has a harder time going higher. We get very little support from the mining industry that knows darn right well that the market is being manipulated.

DRDGold will close Blyvoors & Harties shafts. Incidentally, both of us have been down both those shafts, although that was 30 years ago. That cedes a third of their 15 million in gold reserves and that means 5,600 workers lose their jobs and that takes food out of the mouths of 67,200 people. We hope the elitists are proud of themselves for starving these people by rigging the gold price.

Needless to say, the unions are outraged. They can blame their Marxist government for not only destroying their country, but also the mining business. Finance Minister, Trevor Manuel, thinks it is just fine for the IMF to sell gold to suppress the price. The Marxist morons at the National Union of Mineworkers want the government to have DRD Gold’s mining license revoked. Stay out of South African investments, they’ll have nothing but trouble.

Ob die trouble sind wird sich noch zeigen. Wie lange ?
Man koennte jetzt auch das gegenteil machen, oder spaeter kaufen.
Die muenze dreht sich weiter bis sie zum boden faellt.

Fazit :

Die suedafrikanischen Aktien sind ein gamble mit dem Rand und irgend jemand wird sich dabei verbrennen. Nur fuer mutige spieler aber nur mit kalkulierten risiko das jeder auf sich nehmen muss.

Bitte vorsichtig damit handeln !

Mfg

8)Eldorado

Wie heisst es so schoen,
nobody rings the bell when its time to buy or sell.

Have a nice day

XEX

Paul van Eeden schreibt dazu:

That's not to say the South African gold stocks have bottomed. But they're certainly a better investment today than they were six months ago. I'm also not advocating buying South African gold stocks. I'm not convinced that the strength in the South African rand is behind us, and the combination of currency risk with the social and political risk in South Africa makes South African gold mining stocks unattractive in my opinion. But that's just my opinion. The point is that if you're going to buy South African gold stocks then buying them during labor negotiations, when they typically get trashed in the news and whacked in the market, is a much better strategy than buying them when everyone loves them.

Paul van Eeden

Ich habe gerade eine Umfrage gefunden die ziemlich neu ist,hier ist das Ergebniss:

Vote Results
Question: What's the biggest threat facing SA's mines?

Total Votes: 393

RESULT:

Underground accidents: 6 %

A strong rand: 47 %

Government's policies: 31 %

Mineral depletion : 16 %

@ Hallo Eldorado,

habe Deine sehr aufschlußreiche Berichte über das schöne Land mit großem Interesse gelsen, war selbst mal dort vor Jahren und war so begeistert ( allerdings nur von der Landschaft),hatte auch mal in Erwägung gezogen mich nach dort zuverändern, aber nach dem ichdas Land besucht habe,war mein Entschluß bleibe lieber in Deutschland und in der Schweiz.
Es ist schon schlimm was die Politik alles anrichtet, aber hier in Deutschland wird es ja auch immer schlechter, und mit Raubüberfällen in Villen und auf der Straße haben wir auch schon zukämpfen ( viele aus dem Osten machen sich hier schon breit , Autos werden gestholen, in Wohnungen und Häusern sind Einbrüche täglich ect.)
Die hohe Abreitslosigkeit bringt immer mehr Bevölkerungsschichten in die Armut.Wer kann hier bald noch was kaufen? viele Firmen lagern ihre Beschäftigung ins billige Ausland aus, hier feht dann die Kaufkraft.Das Wort " Geiz ist Geil " ist ein Schlagwort geworden und viele handeln danach, es wird ja morgen noch billiger.Hab früher schon zu meinen Kunden gesagt, sie müssen nach Peking fliegen da bekommen sie den Haarschnitt für 0.30 Cent , der Flug kostet aber 2.500..€ so ungefähr war die Relation. ( Bin kein Haarschneider ).

Gruß hpoth

@hpoth

Habe mit einen schmunzeln deinen kommentar gelesen,du hast so recht. Leider wird es ueberall schlechter und das sind die nebenwirkungen amerikanischer aussenpolitik und EU politik die ihre grenzen ja offen haben fuer alle die noch was brauchen von euch.
Somit wir ein volk schwach und arm gemacht und die meisten merken es erst wenn es zu spaet ist. Manipulation, Korruption,Betrug,Neid,Gier, Egoismus,Kontaktlosigkeit mit seinen Nachbar, sowie steigende Kriminalitaet ist tagesordnung geworden.

Von den Politikern lernt man wie man sich die eigenen taschen fuellt.

Viele Rentner werden mit ihrer Rente nicht auskommen und muessen dann noch etwas machen.In der zwischenzeit fressen euch die kakerlaken alles weg und lachen sich eines.

Alles geplant und abgesegnet von den Freimaurern oder sogenannte Illuminati. Wir sind und bleiben ihre Schafe. Sie kontrollieren fast alles im hintergrund.

Ich wuerde so weit wie erlaubt :D, kurzfristig rechts waehlen das ich links wieder raus komme. Nur eine kurze zeit fuer den benoetigten Fruhjahrsputz. :))

Aber ihr duerft genauso viel machen wie wir, gar nichts im Endeffekt, denn die Amis haben das sagen und jeder spielt den Schosshund von Bush der geil auf macht und oil ist.

Ist schon eine grosse sauerei was die politiker mit uns anstellen.
Promises and lies,immer das selbe.
Die einzigen die noch einigermassen den stall sauber haben sind die Daenen und Schweizer.

Herzlichen Gruss aus den sonnigen Kapstadt.

Eldorado

@ go

Ich bin trotz der umstaenden hier mehr froh als in Deutschland.
Ich sehe von hier aus wie es den selben multi kulti chaos geht wie RSA seit dem die sogennante Apartheid abgeschafft wurde. Plus big brother der alles ruhig stellt, nein danke ! Das Volk wird durch die medien verbloeded, verarscht und im zaum gehalten.

Da kommt noch einige Schei... auf euch zu und jeder muss das beste daraus machen oder dort hinziehen wo er glaubt es ist besser, wenn er kann.?

Ich lobe da Australien, die lassen nur max. 60t gut ausgesuchte Einwanderer pro Jahr ins Land die nuetzlich sind !

Cheers

XEX

Ok, enough BRD und EU, leider ist es traurig was sich da abspielt.
Es sieht so aus dass die meisten bedingungslos kapituliert haben. Ein Volk das hunger hat ist der gefaehrlichste gegner,das kenne ich von einigen Afrikanischen Laendern und der French Revolution.
Erst wenn hunger herrscht wachen die Idioten auf.

Its a crazy and sad world we are living in !

Back to our subject..... :))

XEX

Also ich denke mir das die RSA Aktien noch max. 8% fallen koennten.
Dann siehts aber duester aus wenn sie dann fuer wochen/monate sideways laufen. Wer noch keine hat der soll sich eben einen minus 10% Stoploss setzen und dann aber raus aus dem Casino bzw.Pokerspiel.
Eine konservative Anlage waere dann GFI weil die mehr im Ausland sind und clever management hat. Bei einem Anstieg oder Wunder :D, wird HMY und am meisten DRD steigen, deren minen wieder rehabiltiert sind. Rangy wird auch davon profitieren schon mit einem bein in Nachbarlaender, Mali,Ghana,etc.
Hippo WAR,fuer den der an hippos glaubt.

Die bereits drin sind , wie Boris in Afrikanischen Tiefminen :P, die sollten aushalten und vorallen geduld haben meiner meinung.

I can smell the rat in the kitchen.

Is it a trick, or a sony ?

Enter and exit at your own risk !
XEX

Ich schaetze mit dem glueck das ich mit banken habe das ca.mitte April sich erst eine verbesserung oder hausse zeigt, ..natuerlich nachdem meine Calls expired und wertlos sind.

I guess !

XEX

I like this guy !!!!

Get the picture !

Regards

XEX

TURBULENT TREASURE CHEST
GOLD, NUCLEAR and POLITICS

Is South Africa a ‘buy’? (Part 1 of a 2-Part Series)
Investment Indicators from Peter George
Tuesday, April 5, 2005

Scripture
“Forget the former things;
Do not dwell on the past.
See, I am doing a new thing!
Now it springs up; do you
not perceive it?
I am making a way in the desert
And streams in the wasteland.”
Isaiah chapter 43, verses 18 & 19

SUMMARY
In the opinion of overseas investors watching gold – including the writer’s friends – prospects for South African gold stocks are generally considered less than attractive and in many cases the shares are shunned on principle. Several reasons are cited. These range from the economic to the political. We discuss them in detail and pull no punches. We explain why, far from being in doubt, South Africa’s future is poised for take-off. The negative aspects most often raised are quoted below:

1. A strengthening rand is squeezing profits – forcing marginal mines to close. The local operations of Durban Deep (DRD Gold) provide a good example. They recently applied to place their North West operations into liquidation. 5,600 jobs are on the line. We address these fears and others, but from a different perspective.

2. Black Empowerment legislation in the mining industry increases the cost of capital. The additional burden of having to pay royalties on revenue could render the tax unbearable. Barring a significant change in circumstances, fresh investment in the sector has become unattractive. We discuss Black Empowerment as a necessary short term expedient.

3. The nation’s President appears to have a distorted view on AIDS which threatens to blind him to the immensity of an impending devastation. In certain areas of the country up to 60% of the black population is HIV positive. In ten years time the demographic landscape could resemble the Nevada desert yet, in their latest budget, the ANC only appeared to allocate R1,5 billion to AIDS out of total government spending of R417 billion. This was less than half a percent. We will put forward reasons as to why we believe they are moving so slowly. We will in no way excuse their behaviour but will discuss alternative strategies which we believe will overtake them.

4. The western world has been looking to South Africa to encourage democracy, good governance and an end to wars in Africa. Unfortunately the governing ANC gives the impression of having developed a blind spot when it comes to the antics and abuses of its northern neighbour – led by aging nutcase Robert Mugabe. Some predict his disastrous land expropriation policies could spread down south, with equally damaging consequences to race relations and agricultural output. We explain why the ANC fears a change of government in Zimbabwe. We conclude it is going to happen anyway – in South Africa as well - if the ANC acts as apologist for ZANU- PF persecution of political opponents, particularly the unions.

5. Corruption in high places has become endemic. There is an ongoing fraud case involving a business associate of the country’s Vice President. The prospects of Vice President Zuma succeeding Mbeki, do not bode well for those seeking an example of financial integrity at senior levels of government. Ex President Mandela had no illusions about the manipulative methods of would-be businessman, Schabir Shaik. South Africa is capable of electing people who are committed to rooting out corruption. If the ANC refuse to act, down the line others intervene. We explain why we believe this will happen.

6. The concerted push for ‘Black Empowerment’ is blighting long term job prospects for the country’s young whites. Many of the better-educated ones have emigrated or are contemplating doing so. They leave for what they hope will be a better future in the UK, the US, New Zealand or Australia. Despite mixed feelings, parents are happy to see them go. In time – and if it continues - the process could severely deplete the nation’s pool of professionals. This would make it ever more difficult to absorb the 30% plus of the population of so-called ‘working age’ which is presently unskilled and unemployed. We explain why we believe our white youth are, on balance, ill-advised to leave.

7. Finally there is the issue of crime. Policing in many areas has become either half-hearted or inadequate. Prosecution and imprisonment of minors is difficult in terms of current law. They are arrested and charged, then released to re-start their nonsense again. Armed robbery is given full license when punishment fails to fit the crime. Times were when a convicted armed robber automatically faced the death penalty – whether or not the victim died. Today – as in the UK with farm break-ins – the rights of the guilty carry more sway than the actions taken by intended victims seeking to protect lives and property. We explain why a change of trend is likely.

THE PURPOSE OF THIS ARTICLE
The purpose of this article is not to turn a blind eye to the above negatives but to place them in perspective. It will take into account economic and political changes of great magnitude which can flow from global developments in the currency and commodity markets over the balance of the decade - and after. Their economic impact alone will be substantial. It could be further enhanced by social and political developments which are on the horizon but by no means in the public domain. The net effect of these changes could be to transform current negative sentiments in light of a long term future which is far more sanguine.

By the end of our article readers may begin to appreciate why the rand has been so strong. It is the country’s ‘share price’ which rightfully discounts an expected flow of future benefits. These range from the economic to the political but may well contain something more besides. The nation’s very spirit could be on brink of undergoing a metamorphosis, spreading up through the rest of Africa. The ‘dark’ continent could yet surprise a skeptical world as it begins to glow white hot. This article focuses on three areas in particular.

PART ONE – THIS MONTH
1. The effect on South Africa’s Gross Domestic Product of a massive rise in gold and commodity prices over the balance of the decade.


PART TWO – LATER THIS MONTH
1. Launch of the Pebble Bed Nuclear Reactor by 2010 - AFL ?
a leading-edge global solution in the field of energy. It is perfectly timed to solve the twin problems of ‘PEAK OIL’ and ‘Global Warming’. It could catapult South African exports into by billions of dollars. Time period – 20 yrs.

2. We address current negative attitudes to South Africa. We explain at length why we anticipate positive change. We conclude that investment in South African gold shares will prove highly profitable over the balance of the decade.


1. HISTORICAL ROLE OF GOLD IN SA ECONOMY

**1.1 to 1.4 for subscribers

1.5 GOLD REVENUE EXPLODES 1970 - 1980
In 1970 gold was trading at its long-standing official level of $35 an ounce, set by US President Roosevelt in 1934. Based on 32,000 ounces to the ton, the year’s production of a thousand tons was equivalent to 32m ounces by weight of gold. At $35 an ounce it was worth $1,12 billion – not a lot for all that hard work.

Then, in 1971, US President Nixon abandoned his country’s foreign creditors, reneged on his obligations to pay a fixed price of $35 an ounce, and closed the gold window. International central banks were no longer entitled to cash their dollar holdings which thereafter became ‘irredeemable’. The price of the metal began to rise. By the end of the decade it peaked at $875 an ounce. In the words of William Butler’s ‘Privateer’ for Mid March, 2005:

“The world’s FIAT money system was on verge of a total breakdown.”

Butler goes on to describe how the US Federal Reserve under Paul Volcker temporarily ‘salvaged’ the US FIAT system by ending the practice of artificially keeping official interest rates below market-determined levels:

“For more than a year, US ‘prime rates’ exceeded 20%.’

In the year 1980, although the price peaked at $875, South African production had already declined from its 1970 high of 1,000 tons. It now amounted to only 670 tons or 21m ounces. Despite the fall in output, at an average price of $600 for the year, dollar revenue had leapt in a decade from $1,12 billion to $12,60 billion. Equivalent rand revenues rose from R,84 billion in 1970 to R10,6 billion in 1980. The faster rate of growth in rand revenues was due to a small net weakening in the rand over the decade, from R.75/$ to R.85/$. In 1978 the rand actually traded down to R1,75/$ but a final acceleration in gold from $200 to $875 propelled it through the roof, causing it to double in strength in the same time period as gold quadrupled. The lesson is clear:

When it comes to the contribution gold makes to the South African economy, a sharply rising price can rapidly overwhelm the effects of falling production.

1.6 GOLD AND SA’S GROSS DOMESTIC PRODUCT 1970 - 1980
In 1970 South Africa’s Gross Domestic Product was R12,7 billion versus gold revenue of R,84 billion – gold contributing 6,6% of GDP. By 1980 GDP had risen five fold to R62,7 billion but gold revenues had exploded twelve fold to R10,6 billion. Gold’s contribution to the nation’s GDP almost trebled from 6,6% to 16.9%.

1.7 GOLD REVENUE CONTRACTS IN A BEAR MARKET 1980 - 2004
By 1994 South African production had fallen from its 1970 high of 1,000 tons, to below 600 tons – in fact to 583 tons - but the industry still employed close to 400,000 people. The figure only includes members of the Chamber of Mines. The total was probably 10% bigger, but we are more interested in relative changes. In 1996, production crunched through a critical level – falling below 500 tons for the first time since 1957. Gold output was now running at less than half its 1970 all-time high.

By end 2003, production had fallen to 375 tons and employment to 167,000. As we write, end March 2005, the latter figure is barely holding above 150,000 and may well fall below before we see a turn. In ten years it has much more than halved.

The depredations of a 20-year bear market in gold from 1980 to 2000, wrought destruction on the rand. By December 2001 it had fallen from below parity with the dollar in 1980 - R,85/$ to be exact - to as high as R13,8/$ by late December 2001. The sell-off in the rand owed much to manipulation by certain private banks and large corporate exporters. The Chief Executive of SACOB, South Africa’s Chamber of Business - one Kevin Wakeford – had the courage to pursue these miscreants and eventually one of them paid a fine without admitting guilt. It was Deutsche Bank and in the opinion of some they were fortunate to get off lightly. Kevin was not so fortunate. It cost him his job.

The collapse of the rand created a false sense of well-being in the export fraternity, particularly the mining industry. Inflationary expectations exploded. Costs and wages rocketed. By July last year the rand gold price was the lowest it had been in three years. Unfortunately wages and costs do not react as flexibly when the tide recedes. Instead shafts close and workers are laid off. The challenge presented by DRD Gold – previously known as Durban Roodepoort Deep – is to devise an incentive scheme which takes these factors into account. If the mine can be kept alive, the tide in due course will turn. In time to come the industry could look back on the current crisis with gratitude. If lessons are learned and a mutually more productive working environment can be achieved, the future will be better for all – miners, shareholders and country all.

1.8 GOLD PRODUCTION FOR 2004 AS A PERCENTAGE OF GDP
For the year ending December 2004, South Africa’s GDP was around R1,400 billion. Compared to lasts year’s gold production of 360 tons or 11,5m ounces, and using the year’s closing dollar price of almost $440 an ounce, dollar revenue from gold sales was running at $5 billion. Using a rand rate of R6/$ it was equivalent to R30 billion a year. For the year 2004, it amounted to scarcely more than 2% GDP.

1.9 WORLD GOLD PRODUCTION RANKINGS - 2004.
Despite all the above difficulties, South Africa remained the world’s largest producer of gold at around 360 tons for 2004, followed by Australia and the US at 261 tons and 259 tons respectively. Renewed dollar weakness this year and next, should ensure a US move into second place during the balance of 2005, pushing Australia into position number three. China comes in at a surprising number four with 212 tons. Russia is catching up fast at 180 tons.

Commenting on disappointing Australian production – 50 tons below their peak year of 1997 – Surbiton managing Director Sandra Close said:

“The mining industry is the best hope of redressing Australia’s appalling balance of trade.”

It is clear that South Africa is not the only gold producer suffering from a strong currency. Australia is bleeding too but both are producers of a wide range of general commodities. A strong currency is the collective price both countries pay for enjoying a global economic environment which is ramping up the prices of the commodities they export. It is likely only the beginning of a sharp medium-term uptrend which will probably accelerate as we approach the end of the decade. The key is to time one’s purchases at the bottom of down cycles. That time may now be approaching. The rand gold price could be bottoming out ahead of a major run.


Kind regards

Peter George
Investment Indicators

http://www.investmentindicators.com

Phone: +27 21 700-4880
Fax: +27 21 702-2429

Ich bin der meinung das wie ueberall in afrika erstmal zugeschaut wird wie die neger sich selber abwirtschaften oder auf english alles abfu..en.
Man schreitet dann nur ein wenn es noetig ist. Wenn sie sehen das man freiheit und demokratie nicht essen kann, die frustiert und am ende sind, dann kommen wieder die weissen und die Anleger und machen reibach. You got time ???

Das hoffen auch die meisten Afrikaaner, die letzten Mohikaner die nirgendwo hingehen koennen mit ihrem Reisepass.

Die Buren haben immer gebetet mit bibel in der hand und sagen immer: Der Bure macht einen plan auf dem ich bis heute noch warte !.

De Klerk hat sie ganz schoen verarscht.

Wenn einer einen plan macht dann sind es die Jews in diesen Land.
Die lassen sich die Kohle nicht so leicht wegnehmen.

....End of report, you can believe your TV or me,...its up to you ! :))
I hope you got the picture now. ?(, if not you will never get it.

XEX

The Daily Reckoning

Johannesburg, South Africa

Monday, April 04, 2005

---------------------

*** You can't escape the world improvers - even in South Africa...what if you were forced to take the SAT's in a foreign language?

*** Taking the usual steps - larceny, bribery and threats - to save the world...victims of democracy...

*** Market musical chairs...why should we save our "free" money?...obvious avoidance of U.S debt...and more!

---------------------

We are down on the bottom side of the earth, hanging on to trees and furniture in order to try to keep from falling off.

But the place looks fairly prosperous - a bit like the Dallas-Fort Worth area. We turn to the local press to find out what is going on.

"Africa must free itself of European legacies," begins an editorial. Uh-oh...the place is crawling with world improvers. "In South Africa, less than 1% of black matriculates pass math for university entrance in natural and applied sciences, as opposed to 25% whites. This does not indicate that blacks are less intelligent than whites, but that they are forced to write exams in a language that is foreign to them.

"Mathematics has its own unique language best understood in the mother tongue. Imagine how the above ratio of 1:25 would change if, say, Xhosa learners wrote exams in their mother tongue (after being educated by qualified Xhosa-speaking teachers) and whites had to write in Xhosa!

Africa has to liberate itself from the European languages, continues the writer, in English, because "no treatise of note has ever been written in anything but the mother tongue..."

In South Africa, everyone is talking about the "transformation" of the country into what Thabo Mbeki, the nation's president, calls a "non-racial, non-sexist" society. He proposes to do so in the usual slimy ways - with various carrots and sticks, that is - larceny, bribery and threats.

The South Africans are victims of democracy. As long as the white minority dominated the country, it looked much like any other European colonial society. But since political power has shifted to the black majority, most whites are wondering how long it will be before they mess it up. We have no particular opinion on the subject; we just got here yesterday. As near as we can tell, the place is doing well.

But the papers look to the north - to Zimbabwe - to see what direction democracy could take it. There, Robert Mugabe, has become an embarrassment to post-colonial Africa. He won that last election in a landslide. South African election monitors pronounced it a win, fair and square; they said it reflected "the will of the majority." We don't doubt it. The majority of people in any society are usually decent, honest and intelligent people. But put the power of the ballot box in their hands and they turn into jackasses.

Just to show you that deceit and humbug are as much in evidence in Africa as in America, Mugabe was just awarded an honorary doctorate from Zimbabwe's Open University. The country is very fertile and extremely productive. It used to be the "breadbasket" of Southern Africa, as its economy exported tons and tons of food to the rest of the continent. But Mugabe decided to steal the land of white farmers and redistribute it to his cronies and political allies. The white farmers left and the new landowners who took their places had little interest in farming. In a few years, half a million African farm workers were destitute. Inflation rose to an annual rate of 800%...four out of five workers are unemployed. And millions of people now face starvation. So, what discipline do you suppose Mugabe's honorary degree is in? Agriculture, of course.

More news, from our currency counselor...

SA Treasury ends fiscal 'rich'
Apr 04 2005 05:29:14:020PM Helmo Preuss

Johannesburg - South Africa's National Treasury was left with an 'embarrassment of riches', as it ended the 2004/5 fiscal year with R30.87bn in cash instead of the R19.17bn given in the revised estimate presented in February 2005 and the original projection of R6.5bn given in the February 2004 Budget.
Already questions are being asked why the fuel levy will be raised by 5 cents per litre on 6 April given the need to keep inflation under control.

Other analysts will be asking why school books were not bought or hospitals built, but answers to these questions will have to wait until the detailed monthly statement on revenue and expenditure is released on April 29.