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O 030558Z DEC 08
FM AMEMBASSY HARARE
TO RUEHC/SECSTATE WASHDC IMMEDIATE 3762
INFO RUCNSAD/SOUTHERN AF DEVELOPMENT COMMUNITY COLLECTIVE
RUEHAR/AMEMBASSY ACCRA 2467
RUEHDS/AMEMBASSY ADDIS ABABA 2592
RUEHRL/AMEMBASSY BERLIN 1085
RUEHBY/AMEMBASSY CANBERRA 1861
RUEHDK/AMEMBASSY DAKAR 2216
RUEHKM/AMEMBASSY KAMPALA 2641
RUEHNR/AMEMBASSY NAIROBI 5069
RUEAIIA/CIA WASHDC
RUZEJAA/JAC MOLESWORTH RAF MOLESWORTH UK
RHMFISS/EUCOM POLAD VAIHINGEN GE
RHEFDIA/DIA WASHDC
RUEHGV/USMISSION GENEVA 1733
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UNCLAS HARARE 001061 
 
SENSITIVE 
SIPDIS 
 
AF/S FOR B. WALCH 
DRL FOR N. WILETT 
ADDIS ABABA FOR USAU 
ADDIS ABABA FOR ACSS 
STATE PASS TO USAID FOR E. LOKEN AND L. DOBBINS 
STATE PASS TO NSC FOR SENIOR AFRICA DIRECTOR B. PITTMAN 
 
E.O. 12958: N/A 
TAGS: PGOV PREL EFIN ASEC PHUM ZI
SUBJECT: GONO ATTEMPTS TO DEFUSE PROTESTS OVER CASH LIMITS 
 
¶1.  (SBU) Reserve Bank Governor Gideon Gono announced in late 
November that the central bank raised the individual and 
corporate cash withdrawal limits from Z$500,000 and Z$1 
million a day to Z$100 million and Z$50 million respectively 
once a week.  The changes will be effective December 4 and 
are intended to defuse a scheduled protest march on December 
3 by civil society groups demanding unlimited cash 
withdrawals.  In a November 30 article in the 
government-controlled newspaper the Sunday Mail, Gono blamed 
the need for cash withdrawal limits on Western sanctions. 
 
¶2.  (SBU) Despite the increase in withdrawal limits, Zimbabwe 
Congress of Trade Unions (ZCTU) spokesperson Kumbulani Ndlovu 
told us on December 1 that her organization would stage 
protests at banks demanding the removal of all limits.  She 
believed that Gono's policy change came in response to the 
threat of large scale protests by ZCTU and other cooperating 
organizations.  She said that the revised higher withdrawal 
limits would not impact the protests as it would only be a 
matter of time before the new limits become inadequate. ZCTU 
is asking its members to protest in front of their respective 
banks beginning at eight thirty in the morning.  Ndlovu cited 
a similar situation in September 2008 when ZCTU was 
threatening protests over cash withdrawal limits and Gono 
immediately raised the limit.  Consequently ZCTU canceled 
their protest, a move the organization now regrets. 
 
¶3.  (SBU) Lovemore Madhuku, president of the National 
Constitutional Assembly (NCA), has asked his supporters to 
join the ZCTU protest to bolster their numbers.  Madhuku told 
us on December 1 that ZCTU told him that they hoped to 
mobilize between 1,000 and 2,000 protesters.  NCA might be 
able to contribute an additional 800 people, which is the 
number Madhuku said participated in last week's NCA march. 
 
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COMMENT 
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¶4.  (SBU) Gono's upward revision of withdrawal limits is 
consistent with his previous stop-gap attempts to defuse 
public anger towards his monetary policies.  We're encouraged 
that ZCTU and NCA are not buying it this time around. 
Equally positive is that the two organizations are 
consolidating their protest efforts, but we'll have to see if 
they can mobilize several thousand protesters.  END COMMENT. 
 
McGee