A DRAFT AGREEMENT between Zimbabwean President Robert Mugabe and the Chinese government which would have handed over large chunks of Zimbabwe’s mineral rights in exchange for a billion dollars was torn up last week. Mugabe’s desperate cling to power requires hard currency to purchase much needed food and fuel for his imploding country. The lack of a substantive deal is forcing him to continue to negotiate with neighboring South Africa, which is increasing demands for democratic reforms.

The South African government has apparently negotiated a five-week International Monetary Fund reprieve for Zimbabwe–which faces imminent expulsion over arrears totaling $290 million–and may settle part of the debt.