Aiding Africa - Tony, Barclays and BAE - a curious tale of President Kikwete and kickbacks

President Jakaya Mrisho Kikwete of Tanzania has just returned from a gruelling tour taking in China, Japan, South Korea and Arab Emirates (UAE) which took in joining 44 other African leaders and heads of state for a Sino-Africa summit in Beijing.

While in China , the President will also had the opportunity to have a chat with Vice President of the World Bank, African Zone. Gobind Nanani.

It is not known if they discussed the matters raised in the Times this week about the way Tony Blair and Patricia Hewitt overruled Gordon Brown and Clare Short to grant BAE a government export licence for a military air traffic control system to Tanzabia. The World Bank at the time questioned why Tanzania, which has only eight military aircraft, needed a military system.

Of particular interest (apparently also to the Serious Fraud Office SFO) was the unique funding for this £28 Mn system that kept 250 workers on the Isle of Wight busy.

Apparently Barclays - who of course are rowing back in Africa from contempt for their support for South Africa's apartheid regime - provided in 1999 a £40 million loan from Barclays Bank - which subsequently was paid from aid given to Tanzania by Britain to assist sustainable development, including primary education.

Cosily and coincidentally Barclays were granted in October 2000 Barclays a banking licence to open branches in Tanzania. Their website baldly states ...

Barclays opened a new business in Tanzania in October 2000.

Ill informed , malicious, stupid observers who claim the difference between the loan and cost of the system was somehow squirreled away as kickbacks / bribes / gifts are evidently in error.

Continuing it's waste of taxpayer's funds the SFO has visited (the then ex-Minister for Overseas Aid) Clare Short MP who told her that told her that they had received documents suggesting corruption concerning this contract.

The Times reports her saying ,

“Although I never knew any details of corruption, it was always clear that that contract could not have been honestly obtained and I am delighted that the truth is coming to light.”

What can she possibly mean ?

PS It may be of interest that Barclays Bank, is unionised in neighbouring countries to Tanzania such as Kenya, Uganda, Zambia and Zimbabwe but refuses to recognise the Tanzania Union of Commercial and Industrial Workers (TUICO) the right to organise their employees.