Budget Speech by Dr Nkosazana Dlamini
Zuma to the National Assembly, 28 May 2002
Madame Speaker/ Madam Deputy Speaker
Honourable Members of our National Assembly
Ministers and Deputy Ministers
We convey our sympathies to the people of Mozambique
on the recent train tragedy.
I would like to thank the outgoing Chair of the Portfolio
Committee on Foreign Affairs, Mr. E L Ebrahim, for his
dedication, commitment and the sterling work that the
Committee rendered under his leadership.
I would also like to make use of this opportunity to
welcome the new Chair, Dr Pallo Jordan, whose leadership
brings immense experience to the work of the Committee.
We look forward to a close and fruitful working relationship.
My gratitude also goes to members of our Portfolio
Committee for their hard work, co-operation and understanding
as well as the Members of the House.
Foreign policy cannot be conducted without the assistance
and co-operation of other Government Departments. Therefore,
I would like to extend my heartfelt appreciation to
my Cabinet Colleagues for their unwavering support.
The co-operation of the Presidency is also deeply appreciated.
My appreciation also goes to staff of the Department
of Foreign Affairs, many of whom offer their dedicated
services often under very difficult circumstances and
with great personal sacrifice.
I also wish to express my sincerest gratitude to my
family for their unstinting support and love.
Our key objective is to achieve a better life for South
Africans and a better world for humanity. Remarkably,
Antonio Guerrero had these beautiful words in his book,
entitled From My Altitude: "You will see the wonder
of the world when you give it more love, and the most
profound of its splendor when we live in peace".
Sadly, we are neither seeing the wonder nor the most
profound splendor of the world. We are neither giving
more love to the world nor are we living in peace.
The process of globalization continues to be characterized
by rapid growth in flows of trade, finance, information
and technology, which has led to increased interdependence
among countries. This process has generated unprecedented
wealth that has benefited only few countries and mainly
the developed ones, and few people in developing countries
while marginalizing many. This leads to the ever widening
gap between the rich North and poor South, as well as
In its trail, globalization has left African countries
in increased poverty and underdevelopment exacerbated
by the declining official development assistance and
foreign direct investment. It is estimated that Africas
share of global trade continued to shrink from 3,1%
to 0.7 percent during the last three years. Coupled
with the perennial and inescapable debt trap, African
countries are net exporters of capital to the West depriving
their countries the essential services such as health,
education and infrastructure development.
This means millions of people are hungry and angry.
There are increasing millions of young people who feel
hopeless and desperate. This scenario poses a serious
threat to the stability and security for the poor as
much as those of the rich countries. There is no doubt
that with the abundance of wealth that has been generated,
poverty can be eradicated, hope can be restored and
we can begin to see the real wonders of our world, there
are more than enough resources to address all these
issues. All we need is political will.
Our common humanity should not allow any of us to be
content when the rest of humanity is living in conditions
of squalor and abject poverty.
We should realize that the interdependence of nations
and peoples in the global village means that we are
like a ship at sea with the upper deck passengers living
in opulence and the lower deck living in conditions
of hunger and diseases. Those on the lower deck may
all aspire to climb into the upper deck, which might
compromise the stability of the ship or might decide
that life is better at the bottom of the sea and therefore
decide to sink the ship and we all will perish, rich
and poor. We should try and avoid that.
The anti-globalization movement, though at times they
resort to methods that are unacceptable, serve as a
wake-up call that those who are marginalized in the
lower deck are getting impatient and restless, and we
need to listen to them.
September 11 was a terrible tragedy. It illustrates
that we are not living in peace therefore instead of
seeing the most profound splendor of the world we see
the most gruesome aspect of it. The fight against terrorism
everywhere in the world is critical. It will be defeated
in a global coalition of states under the United Nations,
which is the agent of our collective security.
The situation in the Middle East demands the worlds
urgent attention. Whilst accepting and recognizing the
state of Israel, the world must address the right of
Palestinians to live in their own sovereign state. The
world must make them understand that they have a common
destiny and that Israels security is linked to
the security of the Palestinians. We need to build and
encourage a peace movement that will eventually put
a stop to the flowing of the blood of the innocent.
The rising tension in Kashmir and the looming danger
of war between India and Pakistan is a grave cause for
concern. We call for maximum restraint.
The South African Government wishes to congratulate
the people of East Timor and their movement, Fretelin,
on finally achieving their right to self-determination
and the establishment of their independent state. We
also wish to thank the United Nations for shouldering
its responsibility with regards to the people of the
We shall continue to fight for the transformation and
democratization of the multilateral institutions, especially
the UN Security Council and the Bretton Woods institutions
As Chair of the Non-Aligned Movement we have worked
hard to strengthen dialogue with the developed countries
on issues of interest to developing countries and work
ceaselessly for multilateralism. At the recently concluded
Ministerial Meeting of the NAM in Durban we agreed to
re-position the Movement in order to take advantage
of new realities of our times.
For now, South Africa will continue to Chair NAM until
February 2003. I am pleased to inform the House that
Malaysia will take over as Chair of the Movement next
Alarmingly, there is an emerging and fast-growing rightwing
trend in the developed world that is manifested through
xenophobia, Islamaphobia and racist policies. Thus,
our hosting of the World Conference Against Racism,
Racial Discrimination, Xenophobia and Related Intolerance
to stem the tide of this rabid racism was correct. It
is our hope that the international community will implement
without further delays the programme adopted at the
aforesaid conference to push back the frontiers of racism.
The final document is ready, Honourable Members, and
can be accessed through the UN website.
We must respond candidly to the question that: what
are we doing to ensure that peace prevails and we can
give more love so that the future generations can indeed
see the wonder of the world and its most profound splendor?
The African countries have taken steps to address this
changed and changing international political environment
and the marginalization of Africa.
At the heart of the Continental efforts, is the need
to position our continent structurally to face the new
challenges and to take advantage of the opportunities
of the changing international political and economic
environment and to prevent the further marginalization
Consequently, the African leaders have taken a decision
to transform the OAU into the AU. It must be recalled
that the OAU was founded on the basis of promoting the
unity and solidarity of the peoples of Africa, so that
their welfare and well being can be assured. Another
important principle was to ensure absolute dedication
to the total emancipation of the African territories,
which were still under colonial domination. Those of
us who have suffered under the yoke of apartheid and
colonialism only know too well the solidarity and support
of the OAU and the African countries against the mighty
and racist South Africa. We will forever be indebted
to the continents organization and its people
who sacrificed for our liberation. The decolonialisation
of the continent is complete, save of one country and
thus the OAU has heroically fulfilled its mandate.
The realization of united Africa, which is politically,
economically and socially strong, has taken a new meaning
with the forthcoming launch of the AU in South Africa
in July this year. The African Union that is emerging
Not tolerate genocide similar to that, which was visited
upon the people of Rwanda.
deprive any legitimacy to those who usurp power through
the force of arms.
unleash the energy of African women, who for years have
been treated as beasts of burden with woods or water
on their heads and children on their backs.
Through its NEPAD programme, it will respond to the
socio-economic development of the continent, thereby
eradicating poverty and achieving prosperity of Africas
It will uphold good political and economic governance,
democracy, peace and stability in the continent.
At the launch of the AU, the Assembly of the AU, the
Executive Council and the Permanent Representatives
forum will be established. The current OAU Secretariat
will become the interim Secretariat of the AU whilst
the Commission is being established.
We hope that the summit will also adopt the Protocol
on Peace and Security, which will replace the Central
Organ of the OAU.
The Pan African Parliament will be launched as soon
as enough countries have ratified the Protocol. Organs
such as the Criminal Court, African Monetary fund, African
Investment bank and African Central Bank will be established
The ANC, which has been part of the continental struggles,
is also celebrating its ninetieth (90th) anniversary
when the AU is established. As a Movement, we have always
maintained that the pain and joys of this great continent
are inescapably ours, we are therefore, pleased that
the dream of our founders of a united, peaceful and
prosperous Africa is within reach. Let us congratulate
this glorious organization!
The AU must, indeed, be a stronger union that Nkrumah
spoke so eloquently of on 7 January 1961, when he said,
"If we do not formulate plans and take active steps
to form a political union, we will soon be fighting
and warring among ourselves".
Honourable Members, the incontrovertible truth is that
poverty, underdevelopment and marginalization facing
our continent are the harbingers for instability and
insecurity, which often lead to conflict. As a response
to this marginalization of Africa from the global economy,
African leaders have crafted a visionary and sustainable
programme that holds real prospects for lifting the
continent from the abyss of conflict, poverty and underdevelopment
the New Partnership for Africas Development
NEPAD is truly African in its character, initiative
and ownership and is designed to meet the legitimate
aspirations of the African people. It is the continents
instrument to advance people-centred development, based
on democratic values and principles.
On the one hand, it commits African governments to
democratic principles and practices, to a comprehensive
programme of action with projects linked to specific
timeframes. On the other hand, it presents a platform
for Africas engagement and equal partnership with
the broader international community.
We must emphasize that the success of NEPAD is first
and foremost dependent on Africans themselves. We need
to co-operate in areas such as Intra-African trade,
transport and joint regional infrastructure development
as well as information and technology.
As Africans we have already taken steps to lay the
basis for our own development in partnerships such as
the Telkom optic-fibre cables that have been laid in
the Atlantic Ocean covering West Africa to connect these
countries to Europe, as well as on the Indian Ocean
to connect countries on the East Africa to Asia.
Inevitably, NEPAD has brought about a fundamental paradigm
shift in the restructuring of the continents patterns
of interaction with the industrialized countries of
the North. It is important to emphasize that NEPAD is
about genuine partnership instead of paternalism.
The NEPAD agenda as informed by the Development Targets
agreed upon at the UN Millenium Assembly on poverty
eradication and underdevelopment has found resonance
in the New Development Round of global trade negotiations
in the World Trade Organization (WTO).
It was also accepted as the basis of engaging with
the continent at the recently concluded Financing for
Development Conference in Mexico, which agreed to link
the provision of finance and capital to development
At the forthcoming G8 meeting in Canada, the African
leaders will present concrete programmes on issues such
as trade, investments, agriculture, energy, transport,
human resources development, information communication
technology etc. The G8 will provide its response and
we expect to reach agreement on concrete follow-up actions.
For the success of NEPAD we will also need to build
partnerships with countries of the South in the true
spirit of our solidarity.
The African century will only be attainable if women
play a critical and catalytic role in fashioning and
implementing both the AU and NEPAD. Undoubtedly, women
constitute the critical mass in Africa and unless they
are harnessed and mobilized into this mighty army of
Africas renewal, no palpable progress will be
achieved. Our private sector and civil society also
have a cardinal and principal responsibility of ensuring
that this programme succeeds.
Two days ago we returned from the small island of the
Grand Comores to witness the swearing in of the President
of the Union of the Comores. This follows conflict occasioned
by the secession of the island of Anjoun, which was
followed by the unconstitutional take over of government
by the army. The people of the Comores, with the assistance
of the countries of the region have helped this country
back to the road of democracy, stability and peace.
It is important that the international community help
the Comores through all means possible to defend and
advance their important gains of democracy by assisting
them in building democratic institutions. South Africa,
as Chair of the OAU Committee on the Comores together
with the countries of the region, has spent a considerable
amount of time in helping to resolve the problems of
The culture of peace, stability, good governance has
firmly taken root in the continent as evidenced by more
than 40 countries undergoing multi-party elections since
the early 1990s. Developments such as the peaceful elections
in Mali, Sierra Leone and Lesotho recently confirm this
trend. Day after tomorrow, Algeria will hold its Parliamentary
Elections. We wish them well!
South Africa warmly welcomes the signing of a cease-fire
agreement between the Angolan Government and UNITA in
April this year (2002) which will hopefully bring lasting
peace and stability in Angola.
South Africa stands ready to assist the people of Angola
in their efforts to rehabilitate, reconstruct and develop
their country. The Angolans who have had to endure pain
and suffering for more than 27 years deserves a permanent
peace. Those of us who have benefited from their generosity
during the difficult days can only wish them well in
The recently concluded Inter-Congolese Dialogue in
Sun City provides the necessary impetus for the inclusive
process towards peace and stability. Only an all-inclusive
agreement that will lead to the re-unification of the
Congo and a transition to democracy will create sustainable
peace and spare the war weary people of Congo more hardship.
We are pleased that the Security Council has re-affirmed
the importance of the inclusive Inter-Congolese Dialogue
as the only way forward in the DRC. Let me take this
opportunity to thank the Facilitator of the Inter Congolese
Dialogue, HE President Masire for his untiring role,
and also congratulate the Congolese people for the progress
so far and urge them to continue to work to find a solution.
South Africa cannot and will not walk away from the
Congo, we will remain true to the prophetic words of
Patrice Lumumba until his final days when he said: "We
are not alone. Africa, Asia, and the free and liberated
peoples of the globe will remain at the side of the
millions of Congolese who will not abandon their struggle
want my children, whom I leave behind and perhaps will
never see again, to be told that the future of Congo
is beautiful and their country expects them, as it expects
every Congolese, to fulfil the sacred task of rebuilding
our independence, our sovereignty;
The words of this great African were relevant then as
they still are today.
South Africa is actively involved in assisting to resolve
the problems in Zimbabwe through bilateral interaction
and regional initiatives through SADC and the Commonwealth.
Together with Nigeria, we are involved in efforts to
facilitate reconciliation, economic recovery and assure
food security. We can only hope that the Zimbabweans
will take the opportunity presented by talks, which
appear to be stalled for now, to extricate their country
from the political and economic quagmire. South Africa
should always work to reconcile adversaries. We should
work towards bringing the Zimbabweans back from the
brink. We should not be the ones that push them to the
At this stage we would like to congratulate the people
of Lesotho for holding peaceful elections. Economic
development will further strengthen democracy in Lesotho.
In this respect, we must continue to work with Lesotho
within the framework of the Joint Bilateral Commission
for Co-operation to address the development challenges
facing our two countries.
We congratulate the new Transitional Government in Burundi.
The deployment of the South African Protection Service
Detachment (SAPSD) has contributed significantly to
the peacemaking process in Burundi. The armed groups
must not be allowed to hold the process of peace to
ransom. They must lay down their arms and engage in
genuine negotiations with government of Burundi. We
wish President Bongo and Deputy President Zuma success
in negotiating a cease-fire agreement with the armed
groups. We also wish to express our sincere thanks to
the donor countries that have contributed substantially
to the total cost towards the peacemaking effort in
Everybody who means well for the continent would support
NEPAD. Failure to do so would mean we are against:
Debt relief and poverty eradication
Investment in health and education and in infrastructure
Human Resources Development
Market access, FDIs and ODA etc
South Africa views the Southern African Development
Community as one of the building blocks of the AU and
an implementing agent of NEPAD. South Africas
vision for the Southern African region is one of the
highest possible degree of economic co-operation, mutual
assistance and joint planning of regional development
initiatives, leading to integration consistent with
socio-economic, environmental and political realities.
The restructuring of SADC has afforded the opportunity
to achieve the aforesaid issues.
With regard to the World Summit on Sustainable Development
(WSSD), we are proud to host the largest international
conference ever with approximately 65 000 people attending.
The Johannesburg Summit will be preceded by the Ministerial
Preparatory Meeting, which has commenced its work in
Bali. The Bali meeting will hopefully advance on the
broad areas to be considered by the Johannesburg Summit.
The three broad themes of the Johannesburg Summit reflect
the essential prerequisites for moving towards sustainable
development, namely alleviating poverty and promoting
sustainable livelihoods, realising sustainable consumption
and production, and protecting the integrity of life-supporting
Certain important issues for the WSSD include:
Establishing the link between global security and development,
and strengthening the international commitment to global
peace and security and the need for increased multilateralism;
strengthening the system of international governance
for Sustainable Development by developing partnerships
aimed at poverty eradication;
Ensuring that all stakeholders are committed to the
improved implementation of Agenda 21, the Millennium
Development Goals, the Doha Round, the Monterrey Consensus,
and other outcomes relevant to sustainable development.
New issues to be addressed at the WSSD include the
biotechnology revolution, water energy, health, biodiversity,
combating HIV/Aids, tuberculosis, malaria and other
pandemic diseases, as well as the explosive growth in
information and communication technologies which has
led to the marginalization of developing countries in
the global economy.
At the bilateral level, South Africa will continue to
engage in the following:
US African Growth and Opportunity Act (AGOA)
the implementation of the SA/EU Trade Development and
Co-operation Agreement (TCDA)
TICAD process as well as other vehicles such as the
Franco/Africa Summit, the Sino/Africa Forum as well
as the Commonwealth
improve trade relations with the Gulf State
co-operate with the Russian Federation on Science and
continue negotiations with Mercusor on free trade agreement
deepen economic relations with the East European countries
work with strategic countries such as Japan, India,
Brazil, and Mexico, just to mention a few.
Work to deepen bonds of friendship and understanding
with the countries of the West and East Africa by establishing
Honorary Consuls where we do not have missions as yet,
and establish Joint Bi-national Commissions where needed.
While our foreign policy has clearly prioritised Africa
and the South we are a long way from translating and
expressing these priorities in structures, our budgets
and in the development of human resources due to budgetary
constraints. We still do not have missions in a vast
of number countries in the Central and West African
regions. People who wish to visit our country have to
travel to neighbouring countries for long hours and
often for many days, to get a VISA to visit South Africa.
We have to work towards opening missions in Africa.
During 2001, the Department made commendable strides.
Representativity in our missions and among our senior
managers has improved dramatically. Although we have
made significant progress in promoting women and the
disabled, much work still needs to be done.
During the past year the Department undertook an assessment
of its capacity needs. The analysis indicated that the
Department is significantly under resourced and inadequately
capacitated, with major capacity gaps in the areas of
staffing, Information Communication Technology and Human
The Department needs to increase its staff component
by at least 30% in order to carry out the mammoth task
as outlined above. Major staff shortages negatively
impacts on the overall capacity of the Department to
The expansion of the Departments operations, the
opening of new missions and the intended increase in
the number of staff must be supported by Human Resources
Development Programme. Current resources permit only
one Cadet training programme to run annually.
We are also need to work on updating our ICT to an adequately
acceptable level. Many of our missions are still using
old technology acquired during the early 1980s.
In this knowledge-based era where information is a strategic
resource, this represents a potentially crippling limitation.
During this year, the Department will be facilitating
interventions, both task and people related, aimed at
inculcating a culture of performance and service delivery.
Particular attention will be given to senior managers
and mission performance with regular audits and assessments
of Business Unit objectives and outputs. Mechanisms
are being put in place to ensure capacity for early
detection of performance problems and capacity to deal
effectively with them. Programmes are also being initiated
to facilitate employee well being.
The Department of Foreign affairs is planning to open
new missions during the course of this financial year
On the issue of taxation, the unintended consequences
of the law have had a demoralising effect on our diplomats,
owing to the uncertainty around the 40% taxation of
their allowances. We are trying to resolve this matter.
In the meantime we have resolved to suspend the deductions
which were to be effected at the end of this month until
such time that a long lasting solution is found with
respect to this matter, even if it means amending the
act regulating the taxing of allowances of our officials
abroad. We hope we can count on your support in the
event that this matter is brought before the House.
Only 18 percent of the Departments budget are
dedicated to operational costs. The Departments
responsibilities including many unanticipated ones that
arise in an ever-changing world would have to discharged
despite the financial constraints. At the same time
the world expects South Africa to assume additional
other responsibilities. Clearly, it is extremely difficult
to deliver on these issues within the current resources
at our disposal.
Although National Treasury has made provision to cushion
the Department for exchange rate losses, we remain vulnerable
to any exchange rate weakening.
In conclusion, the constraints imposed by the budget
allocation on the Department will impact negatively
on the successful implementation of these programmes.
Over and above its representational role, the Department
has new and increased demands due to the expected role
of South Africa in the region, the continent and in
global affairs. Our role in promoting the unity and
solidarity of the South, in particular our commitment
to the successful implementation of NEPAD, and the successful
transition from the OAU to the AU demands that additional
resources be placed at the disposal of the Department
to ensure that these responsibilities are properly discharged.
Generally, it is my view that we have done reasonably
well, despite the major budgetary constraints. In this
context, I would like to take this opportunity to thank
my Cabinet colleagues in the IRPS Cabinet Committee
who have guided the conception and implementation of
our Foreign Policy. The benefits of an integrated approach
to Governance are being felt across Government.
These, therefore are the major challenges facing all
of us as a Department, the government, country and our
continent, in order to make a 21st century an African
century. Therefore, every one of us should view themselves
as soldiers of in the irreversible march for an African
If we all act in that way, we can indeed, see the wonders
of the world and its most profound of its splendour.
As Sekou Toure of Guinea said "In order to achieve
real action you must yourself be a living part of Africa
and her thoughts; you must be an element of that popular
energy which is entirely called forth for the freeing,
the progress and the happiness of Africa". We hope
we can count on all you to be elements of that popular
energy for the progress and the happiness of Africa
who will give the wonder and live in splendor of peace
I thank you