In today’s world, it is becoming increasingly difficult to distinguish between what is virtual and what is real. Our friends down the hill at Pietà seem, in fact, to have become masters in creating a virtual world – where everyone is living well, business is booming, investment is running galore, and all will be OK, as long as the PN is in power. Real life in Malta, however, is so different from the impression that the Prime Minister tried to feed us on budget day.
Actually, it was clear from the very outset that we were in for a good show when it came to the annual budget exercise. All the hype and spin prior to the budget were directing us to a supposedly great budget for the people, but was it? What it really ended up being, in fact, was an excessively well-orchestrated PR exercise; a government’s, rather than a people’s, budget, relatively empty, but wrapped up nicely. A budget like the others presented by this administration, but this time releasing an over-emphasised tax relief, which hopefully is not “too little, too late”.
But how does the phrase “budget tal-poplu” (“people’s budget”) fit in with the real meaning of what was presented? Was it a people’s budget, and in what way? A good chunk of the Maltese population depends for its living directly from the earnings of the economy. The others who work with the administration depend indirectly on the taxes raised, though few of them think so. Given all this, it makes no sense whatsoever to say that we are progressing economically, when in reality our economy is spiralling downwards, fast. This is clearly indicated by the statistics the NSO itself is issuing even after these have been corrected. It is clear from these statistics that most of the growth of the last two decades was dependent on the administration’s expenditure. So where is this economic success the PN is trying to fanfare us deaf with?
Employment statistics are also an indication of what sort of progress the economy is making. What is actually happening, however, is that more and more people have no choice but to change to part-time employment. The figures show clearly that the number of families dependent on part-time employment is growing. In reality, however, is this a good economic indicator? I don’t think so. At least not for those affected. Actually, are workers so hard pressed for work (considering the propagated prosperity) that they are willing to do anything they are offered?
On performance, the Prime Minister is similarly full of hype and goes on to claim that this government is performing miracles. Virtually yes, especially in the use of media language, but otherwise, not at all. All economic indicators show differently. What matters most for Labour, and for the Maltese, is not propaganda, but the realities of life and how the quality of life is improving for one and all – if at all. What is the spending power of the wages being earned by the middle and lower income groups? What level of disposable income do these families have? Is it improving their lives, or is it eating away at their savings? Are the social and health services better than they were before? How are the pensioners and the people living on welfare doing? Of this I am sure: not well at all.
No matter what the Nationalists try to feed us through their very illustrated media, reality remains the same. Serious decisions are not being taken and this is bringing our ship down.
Tourism, for example, is not being captained well. Recommendations by the advisory group on tourism, which the administration itself appointed, are being delayed. Not even plans are published on time, and needless to say the same is true of their workings and benefits. And all this while other Mediterranean resorts are prospering.
Over the years, Labour has also wanted to see accrual accounting implemented, something that will deliver a more accurate picture of the state of our national accounts. Why did this not happen, when the administration has all its accountants and technocrats at its disposal? Is there another – real – picture that the administration does not want us to know about? Can we believe what we are being presented with? Or are there some surprises being prepared, for when the Labour team, God willing, gets aboard?
When everyone really calculates the benefits of this budget, the hype and spin, the wrapping and the smiles, quickly deteriorate. The real test is everyday life: taxes, bills, surcharges, the cost of groceries, rents, mortgages, etc. There is one factor that will seriously diminish any benefit gained from the measures announced in the budget, and this is inflation. This cannot be managed by hype, spin, wrapping and smiles; it is real leadership and good governance that will change the present unhappy situation.
Labour understands the situation full well. Our meetings with all those willing to discuss the policies of a future Labour administration, and their response, irritate the Nationalists. And the promise to meet at least three-quarters of the entire electorate before the next general election irritates them even more. We are not doing this for the hype and spin, as do the Nationalists; we are doing it in order to feel the pulse of the people, in order to ensure that not only will we be an alternative government, but a far better one.
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Dr Michael Falzon is the MLP deputy leader for Party Affairs