2018 bittersweet budget measures
I was never fascinated with clairvoyants or with those who claim that they have the ability to read the signs from crystal balls or through extrasensory revelations. Nor do I rely or allow myself to depend on premonitions, hearsay, gossip or rumours when
info@peopleatwork.com.mt have learnt that some people, mostly but not exclusively in the political arena or those closely associated with political parties, may at times have a personal agenda and would go the extra mile or try to pull the wool over someone’s eyes to protect their comfort zone, even if this requires bad-mouthing others. Unfortunately, it is a continuous power struggle.
But in addressing the Budget 2018 measures, there is no time to waste. In other circumstances, I would have waited before making any comments in this regard. But Monday’s speech in the House by Adrian Delia as Leader of the Opposition is a first, and as such merits particular attention and a special mention.
I penned this piece last Sunday, thus well before Dr Delia delivered his reaction to the 2018 budget in parliament. While you read this, most of the local media headlines will be reporting on Delia’s speech yesterday. Today there is no need to speculate; everyone is better positioned to draw his own conclusions about the delivery, the content, the substance and the effectiveness of the ‘new way’ in which the PN will be led under his stewardship.
This would be Delia’s secondmost important speech since he was elected PN leader. His first important speech was delivered immediately after he was elected party leader on the eve of Independence Day meeting on the granaries. On that occasion, he touched very briefly on a wide range of issues. In this case Delia has to react to the 2018 budget measures. He has to show how the budget could have been crafted better.
It is an opportunity for Delia to rally the troops and unite the Opposition. It is no secret the Opposition is currently looking fragmented. Of course, it is going to take more than words to win over the sceptics.
One thing is for sure. Comparing Delia’s performance in the House yesterday with that of former PN leaders or, for that matter, of former MLP and PL leaders, will not do any favour or justice to the performance of the current incumbent. Delia would certainly need more time to brush on and improve his performance. Capturing the imagination and more importantly earning the trust of those who, only some weeks ago, were at loggerheads with him and his supporters, requires time to heal.
Public speaking and oratory is an art which not everybody has, but leaders must have it or be trained to grasp. Capturing audiences is as important as the message itself. The effective use of the voice and the hands is a must. Nonverbal communication carries most of the message.
Some pertinent questions beg straightforward answers. Does the budget put the best interests of the next generation in focus? Against a positive global economic outlook, does the 2018 budget deliver security for working people? Does the budget take the imperative bold steps in government’s long-term economic plan? Has the surplus enabled the reforms that are needed so as to ensure that Malta is readied for the future?
The 2018 budget measures have to be seen in a context. The Central Bank of Malta had issued an Outlook for the Maltese Economy - Economic Projections 2016-2019. According to the Central Bank, economic activity in Malta was expected to remain robust over the projection horizon, supported by both demand and supply factors. In particular, the energy reforms in recent years, new investment projects, increased labour market participation and robust services exports were to be the primary drivers supporting the economic expansion. The Central Bank projected that real GDP growth was to be 4.3% for 2016, although was expected to decelerate to 4.1% in 2017, to 3.7% in 2018 and to 3.3% in 2019. As a result, the labour market was projected to remain tight, with the unemployment rate falling further to 4.9% in 2016, before picking up slightly to 5.3% by 2019. Moreover, downward international price pressures were expected to contribute towards a further easing of consumer price inflation. In terms of public finances, restraint in key expenditure variables was expected to contribute towards a decline in the general government deficit, with the government budget set to become broadly in balance by 2019. The projections by the Central Bank have essentially materialised and, undoubtedly, we’re in a time of economic boom.
The frustration of people living hand to mouth, on meagre income, is therefore more than understandable. This is the price that society pays for not securing economic equality and social justice, while putting sustainable development on the back burner. Everyone loses out when the benefits of economic growth is left to the privileged few. It is time to strengthen workers’ rights, and give the business community the power they need to bargain effectively.
Hopefully, amongst other issues Adrian Delia, Leader of the Opposition, amplified on these issues.