Moeletsi Mbeki, a brother of the former South African president Thabo Mbeki, says the ANC went from victim to bully.
Moeletsi Mbeki, a brother of the former South African president Thabo Mbeki, says the ANC went from victim to bully.

Africa's elite condemned by one of their own



JOHANNESBURG // For the brother of a former South African president and a member of one of the country's most prominent families, Moeletsi Mbeki is a remarkably radical dissenter in Africa's political discourse. He bears a strong physical resemblance to Thabo Mbeki, six years his senior, but in his latest book, Architects of Poverty, he excoriates Africa's postcolonial political elites for failing their people.

Opening with a visit to the Slave House on the Ilé de Goree off the Senegalese capital Dakar, Mbeki writes that its back door, opening directly on to the sea and through which its human merchandise walked on to ships that would take them to a new continent never to return, has its modern equivalent in the oil rigs of the Gulf of Guinea, which extract African natural resources to be pumped directly into tankers for export around the world.

"The powerful in Africa, instead of enriching their societies, sell off the continent's assets to enrich the rest of the world," he writes. "The world has done just about everything it can to help Africa develop but there are few positive results to show for its efforts. "What has gone wrong has been the massive mismanagement by Africa's ruling political elites, with the help of western powers, of the economic surplus generated in Africa in the past 40 years."

The fundamental problem, he said in an interview in Johannesburg, is that the continent's new ruling classes are divorced from their subjects. "The black post-colonial elites have no continuity with the aristocracy that ruled Africa before, the pre-colonial elites," he said. "This means that the post-colonial elite has an identity crisis. On one hand it has no history. On the other hand it has a common grievance with the mass of the people - colonialism. Once you remove the shared grievance, there is nothing to connect it to the people.

"The old aristocracy, the feudal system, had bonds created between the ruled and the ruler. It had rules. There are no such rules in the postcolonial environment. But these people have power because they inherit a massively powerful institution which is the colonial government." Africa's independence struggles, he pointed out, were not headed by the ordinary peasant farmers who still make up the bulk of the continent's population, but were largely led by nationalists who had been part of the governing machine under colonialism and had collaborated with the colonial powers.

In the book, he cites the testimony of Macah Kunene, a businessman who was asked in 1903 by the South African Native Affairs Commission whether he wanted the British to leave the country. "If the white people and the King were to desert us now and leave us here, there is a great section of us who have approximated to a great extent the white man's way of living ? and there is a large number of us who have not advanced at all," he responded. "I am afraid that those who have remained in their former state would kill us all.

"We feel that we are far better under our [colonial] government and are far better than if we were deserted and left to the mercies of our people." His use of "our people" in the last clause is particularly telling. "The Kunene are still one of the most prominent families in South Africa, part of the new elite," Mr Mbeki said. "Because the elites have an identity crisis they have no clarity of vision and because they have no clarity of vision they are very susceptible to suggestion irrespective of where it comes from - old colonialists, capitalists in the West, communists in Russia and China."

South Africa is no exception, he added, and as a businessman himself - his roles include the chairmanship of the South African subsidiary of the Dutch television firm Endemol - as well as a commentator, he cites Black Economic Empowerment (BEE), one of the flagship policies of his brother's government, as the most telling example. Under it, he points out, politically connected black businessmen, many of them senior ANC figures such as Cyril Ramaphosa and Tokyo Sexwale, were given stakes in companies for little or no cost which have made them fortunes. Mr Mbeki argues that the scheme was driven by the old Afrikaner economic elite.

"Big companies said, 'Go on, pay yourself. We will pay the taxes but leave my company alone.' These are people who were refugees yesterday. In South Africa, with BEE, that can't give you capitalism. It gives you parasitism. "It's the same as the elites anywhere else in Africa. It has the same roots, the same identity issues and it has the same intellectual dependence." But for decades the ANC was seen as having the moral high ground, as it fought for democracy against the racism of apartheid.

"People thought they were the moral crusaders," Mr Mbeki said. "What we are now realising is the reason so much of the world supported them is they were the helpless victims in the face of the massive power of the Afrikaner. "What we thought was moral strength was actually victimhood and, as inevitably happens, the victim very quickly becomes a bully." It is an analysis that is almost brutal in its directness. The Mbeki family, though, played a key role in the struggle and its aftermath and not only through Thabo.

While Mr Mbeki was exiled in Britain where he studied at Warwick University, his father, Govan, one of the ANC's leading lights who died in 2001, spent 24 years in prison on Robben Island alongside Nelson Mandela. Effectively Mr Mbeki and his family are at the heart of the new elite he condemns so vehemently, but he cites Karl Marx, Vladimir Lenin and the British Left-winger Tony Benn, the heir to the viscountcy of Stansgate, to argue that "it's normal for members of the elite to criticise their system".

As for his brother, he adds: "I'm criticising ANC policies, not him personally. The ANC is an institution. These are institutional failures." sberger@thenational.ae

Nick's journey in numbers

Countries so far: 85

Flights: 149

Steps: 3.78 million

Calories: 220,000

Floors climbed: 2,000

Donations: GPB37,300

Prostate checks: 5

Blisters: 15

Bumps on the head: 2

Dog bites: 1

The specs
 
Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
Price: From Dh330,000 (estimate)
Sun jukebox

Rufus Thomas, Bear Cat (The Answer to Hound Dog) (1953)

This rip-off of Leiber/Stoller’s early rock stomper brought a lawsuit against Phillips and necessitated Presley’s premature sale to RCA.

Elvis Presley, Mystery Train (1955)

The B-side of Presley’s final single for Sun bops with a drummer-less groove.

Johnny Cash and the Tennessee Two, Folsom Prison Blues (1955)

Originally recorded for Sun, Cash’s signature tune was performed for inmates of the titular prison 13 years later.

Carl Perkins, Blue Suede Shoes (1956)

Within a month of Sun’s February release Elvis had his version out on RCA.

Roy Orbison, Ooby Dooby (1956)

An essential piece of irreverent juvenilia from Orbison.

Jerry Lee Lewis, Great Balls of Fire (1957)

Lee’s trademark anthem is one of the era’s best-remembered – and best-selling – songs.

The bio

Academics: Phd in strategic management in University of Wales

Number one caps: His best-seller caps are in shades of grey, blue, black and yellow

Reading: Is immersed in books on colours to understand more about the usage of different shades

Sport: Started playing polo two years ago. Helps him relax, plus he enjoys the speed and focus

Cars: Loves exotic cars and currently drives a Bentley Bentayga

Holiday: Favourite travel destinations are London and St Tropez

Tributes from the UAE's personal finance community

• Sebastien Aguilar, who heads SimplyFI.org, a non-profit community where people learn to invest Bogleheads’ style

“It is thanks to Jack Bogle’s work that this community exists and thanks to his work that many investors now get the full benefits of long term, buy and hold stock market investing.

Compared to the industry, investing using the common sense approach of a Boglehead saves a lot in costs and guarantees higher returns than the average actively managed fund over the long term. 

From a personal perspective, learning how to invest using Bogle’s approach was a turning point in my life. I quickly realised there was no point chasing returns and paying expensive advisers or platforms. Once money is taken care off, you can work on what truly matters, such as family, relationships or other projects. I owe Jack Bogle for that.”

• Sam Instone, director of financial advisory firm AES International

"Thought to have saved investors over a trillion dollars, Jack Bogle’s ideas truly changed the way the world invests. Shaped by his own personal experiences, his philosophy and basic rules for investors challenged the status quo of a self-interested global industry and eventually prevailed.  Loathed by many big companies and commission-driven salespeople, he has transformed the way well-informed investors and professional advisers make decisions."

• Demos Kyprianou, a board member of SimplyFI.org

"Jack Bogle for me was a rebel, a revolutionary who changed the industry and gave the little guy like me, a chance. He was also a mentor who inspired me to take the leap and take control of my own finances."

• Steve Cronin, founder of DeadSimpleSaving.com

"Obsessed with reducing fees, Jack Bogle structured Vanguard to be owned by its clients – that way the priority would be fee minimisation for clients rather than profit maximisation for the company.

His real gift to us has been the ability to invest in the stock market (buy and hold for the long term) rather than be forced to speculate (try to make profits in the shorter term) or even worse have others speculate on our behalf.

Bogle has given countless investors the ability to get on with their life while growing their wealth in the background as fast as possible. The Financial Independence movement would barely exist without this."

• Zach Holz, who blogs about financial independence at The Happiest Teacher

"Jack Bogle was one of the greatest forces for wealth democratisation the world has ever seen.  He allowed people a way to be free from the parasitical "financial advisers" whose only real concern are the fat fees they get from selling you over-complicated "products" that have caused millions of people all around the world real harm.”

• Tuan Phan, a board member of SimplyFI.org

"In an industry that’s synonymous with greed, Jack Bogle was a lone wolf, swimming against the tide. When others were incentivised to enrich themselves, he stood by the ‘fiduciary’ standard – something that is badly needed in the financial industry of the UAE."