25 A week later, on May 14, Mpofu told a Daily News reporter that displaced Chiadzwa villagers would only be compensated after the international community had allowed Zimbabwe to sell its diamonds. “We will only get the money to compensate the villagers when our diamonds are sold freely internationally,” he said. 100 On June 23, 2011, Mpofu announced that the KPCS had granted Mbada and Marange Resources permission to sell their diamonds without supervision “after they had fully complied with its requirements”. 101 13 CONTROVERSIAL RELATIONS WITH CHINA In July 2005, President Mugabe flew to Beijing, secured an emergency loan of US$1 billion and invited increased Chinese involvement in Zimbabwe’s economy. By June 2006, his visit had begun to bear fruit. State-owned Zimbabwean businesses had signed energy, mining and farming deals worth billions of dollars with Chinese companies. 102 When foreign minister Yang Jiechi visited Zimbabwe in February, bearing gifts in the form of soft loans, he pledged to invest US$10 billion. 103 Jiechi praised Zimbabwe for its indigenisation policy, but stressed that Chinese investments should be exempted. Minister of Indigenisation, Saviour Kasukuwere, was quoted in the media as saying China would not be affected by Zimbabwe’s indigenisation laws. 104 China stands to gain much from its extensive investments in the mining sector. All revenues from the Zimbabwe government's joint diamond venture with Anjin over the next 20 years may already have been mortgaged to Beijing to pay off the contentious US$98 million loan 105 to build a vast techno-spy and communications base, the Robert Mugabe School of Intelligence, outside Harare. 100 Zim Eye, ‘No compensation for displaced Chiadzwa villagers – Minister’, 14 May 2011: http://www.zimeye.org/?p=29882 101 Zim Daily, “Kimberley Process gives Mbada the nod to sell Marange diamonds’, 23 June, 2011: http://www.zimdaily.com/news/2011/06/23/kimberly-process-gives-mbada-the-nod-to-sell-marangediamonds/ 102 The Zimbabwean, ‘Sino relations, who benefits?’, 13 April, 2011: http://www.thezimbabwean.co.uk/comment/38907/sino-zimbabwe-relations--who-benefits.html 103 The Zimbabwean, ‘Sino relations, who benefits?’, 13 April, 2011: http://www.thezimbabwean.co.uk/comment/38907/sino-zimbabwe-relations--who-benefits.html 104 The Zimbabwean, ‘Sino relations, who benefits?’, 13 April, 2011: http://www.thezimbabwean.co.uk/comment/38907/sino-zimbabwe-relations--who-benefits.html 105 The Zimbabwean, ‘Chiadzwa diamonds to pay Chinese spy centre loan as Zvoma misleads MPs’, 17 June 2011: http://www.thezimbabwean.co.uk/news/zimbabwe/50190/chiadzwa-diamonds-to-pay-chinese.html

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