Norway PM sees aid for Zimbabwe if vote settled

By George Obulutsa

DAR ES SALAAM (Reuters) - Nordic countries are willing to grant Zimbabwe an aid package to help its declining economy if it shows democratic credentials, Norway's Prime Minister Jens Stoltenberg said on Tuesday.

International pressure is piling on Zimbabwe over its delayed election results more than three weeks after the country -- suffering from hyper inflation of almost 165,000 percent -- held a vote.

Norway, Sweden, Iceland, Finland and Denmark are ready to help ease economic hardships, which also include mass unemployment and food shortages, if Zimbabwe makes the election outcome public, Stoltenberg told Reuters.

"The Nordic countries have said that we are ready to present an economic stabilization package if there's a true democratic election and a responsible financial and fiscal policy," Stoltenberg told Reuters in an interview.

"I think that the world opinion is very clear on the issue of democracy, respecting the voice of the people of Zimbabwe and insisting on the release of the election results."

Stoltenberg said it was still too early to say how much money such a package could involve.

Norway, the world's fifth largest oil exporter, has currently committed 0.98 percent of its gross domestic product to international development aid, a figure Stoltenberg said the country aimed to raise to 1 percent next year.

AFRICAN PRESSURE

Stoltenberg added that while the African Union had come out strongly against Zimbabwe's election deadlock, more African nations needed to exert pressure. African leaders have come under criticism for their muted approach to Zimbabwe.

"We have urged African countries to be very clear and put as much pressure as possible on the authorities, government of Zimbabwe to release and to respect election results," Stoltenberg said.

Zimbabwe's main opposition Movement for Democratic Change (MDC) says its leader Morgan Tsvangirai defeated incumbent Robert Mugabe and the veteran president's 28-year rule is over.

There has also been a delay to a partial recount of votes from the parallel parliamentary election, in which Mugabe's ruling ZANU-PF party lost its majority for the first time. The recount could overturn the MDC victory in that poll.

The Southern African Development Community has also asked Zimbabwe to release the election results promptly and respect the will of the people.

The opposition and Western governments including former colonial power Britain have accused Mugabe of trying to rig both the parliamentary and presidential elections and of instigating violence to scare opposition supporters.

Stoltenberg is on a two-day visit to Tanzania.