Voice of America, 27 August 2008

Zimbabwe's President Robert Mugabe says he will soon form a new government, without the opposition party Movement for Democratic Change.

The state newspaper The Herald Wednesday, quoted Mr. Mugabe as saying the MDC apparently does not want to join his cabinet.

But parliamentary speaker Lovemore Moyo, a member of the MDC, told a South African radio station that power-sharing talks between the ruling party and the opposition are continuing.

The talks have been stalled over who will hold executive power in the new government - Mr. Mugabe or main MDC leader Morgan Tsvangirai.

Mr. Mugabe opened a new session of parliament Tuesday despite objections from the MDC, which said the legislature could not convene until a power-sharing deal was finalized.

This is the first time since Zimbabwe gained independence in 1980 that the parliamentary speaker's post is not under the control of the ruling ZANU-PF party.

The main MDC faction holds 100 seats in parliament compared to ZANU-PF's 99. A breakaway MDC faction with 10 seats and one independent hold the balance of power.

Zimbabwe has been plagued by political turmoil since Tsvangirai won the first round of presidential voting in March, but failed to gain a majority. Tsvangirai boycotted the June runoff, citing state-sponsored violence against his supporters, and President Mugabe was re-elected.

The sides are under international pressure to reach a power-sharing deal so Zimbabwe can begin to recover from its economic crisis. The country suffers from food shortages, 80 percent unemployment and an annual inflation rate estimated at 11 million percent.