Radicalization

Confronted with a wholesale plunder of the Zairian economy, on December 30, 1974, Mobutu announced a ten-point "radicalization" program intended to bring about "a revolution in the revolution." Officially, major economic initiatives remained the exclusive domain of the state. The main thrust of radicalization was aimed at the self-serving attitude of the acquéreurs. Party leaders were expected to turn their properties over to the state and devote themselves to agricultural activities. Party cadres were chastised for their "mercenary behavior" and lack of civic sense. More importantly, the large-scale, Belgian-owned corporations that had been left untouched by the Zairianization decrees were now targeted for nationalization. Thus, the calamitous effects of Zairianization were extended to the commanding heights of the economy. While being constantly reminded of their revolutionary duties, members of the political class were given yet another opportunity to draw further benefits from their control of an even larger sector of the economy.
As the Zairian economy went into a tailspin, Mobutu finally came to realize the magnitude of the catastrophe ushered in by Zairianization and radicalization. In November 1975, he announced the creation of a stabilization committee in charge of examining a retrocession formula designed to return a substantial portion of Zairianized enterprises to their original owners. Agreement was reached on a return of 40 percent equity in both radicalized and Zairianized businesses; in time, however, foreign owners were allowed to regain as much as 60 percent in equity, with the remaining 40 percent remaining in Zairian hands.
Meanwhile, almost irreparable damage had been inflicted upon the economy, and the insatiable greed of the political class was made all the more intolerable by the conditions of acute penury now confronting the rural masses. The fall of copper prices and the sharp rise in the cost of oil imports in 1974 further propelled the economy into a period of prolonged stagnation. Zaire's growing dependence on foreign lending agencies made a mockery of Mobutu's insistence on the conquest of economic independence. And with the disparities of wealth and privilege between the political class and the populace only slightly diminished by "retrocession," growing social turbulence became inevitable.
Note: This article comes from Zaire: A Country Study, which is in the public domain. Full credit goes to the authors of it.
Category:Economy of Zaire
Category:History of Zaire