Last Thursday, I attended the business breakfast organized by The Malta Business Weekly, where the local business community had the opportunity to listen to what Opposition Leader Simon Busuttil had to say about the economy. Dr Busuttil opened his speech by reminding those present that he was the son of an ironmonger. This reminded me of Margaret Thatcher, who used to boast that her father had a grocery store and the family lived upstairs. Both politicians have one thing in common: their childhood experiences conditioned their political formation. Thatcher thought that if the price of milk was stable or cheap, the economy was doing well and that the party in government had defeated poverty. Dr Busuttil did not speak about prices. Instead, he recalled the lesson that he learnt from his father that before opening the shutters of his shop, he had to take the broom and sweep the floor. Perhaps, this is what the electorate is expecting from him, and I think that this is what he is doing. The next Local Council elections can be an indication whether the saying a new broom sweeps clean holds true or not for Dr Busuttil.

Metaphors aside, I have to admit that Dr Busuttil gave a very good speech. I dare say that he is better at delivering impromptu speeches in English than in Maltese. The fact that Dr Busuttil is doing well is also being confirmed by others. On the day before this business breakfast meeting, I had the opportunity to be on John Bundy’s programme aired on RTK. The other guest was Mr Godfrey Grima. I have to admit that it was one of those pleasant experiences where I really enjoyed the discussion. What struck me most was Mr Grima’s comment that Dr Busuttil was the best choice the party could make out of all the candidates who presented themselves for the position of Leader. I am saying this, because up to some weeks ago Mr Grima was sceptic about this choice and had voiced his reservation during the Convention organized by the Nationalist Party.

But what were the major items discussed by Dr Busuttil during the business breakfast? Dr Busuttil presented himself as an open book. He specifically told those present that “what you see is what you get”. There was no hidden agenda. He strongly believes that people need to work hard for a living but that people are the politicians’ “clients”.

He admitted that the economy is doing well but reminded all those present, (and this is true) that this government had not found a stagnant economy. On the contrary, this government is reaping the good work done by Gonzi’s administration. As Leader of the Opposition, Simon’s only interest is to help the private sector to expand.

At the same time, he emphasized that the economy is at the service of man and not man at the service of the economy. In other words, he considers that it is an economic virtue (and rightly so) that we should not only have a market economy but Malta needs an economy with a social aspect. The economy should be at the service of the people. I don’t know whether Dr. Simon Busuttil realized that not all those present were in tune with such a vision. The manner Mr. David Curmi, President of the Chamber of Commerce spoke, during question time, was diametrically opposite to this view. He supports and purports a neo-liberal view for our economy.  A number of individuals who in the past had pushed for a neo-liberal stand for our economy are now rubbing shoulders with Dr Joseph Muscat. It was the behaviour of these neo-liberal agitators, who held so much power in Gonzi’s time, which caused the PN’s massive defeat.

But what is the European social model, which Dr Simon Busuttil is proposing for Malta? Definitely, he wants us to pay reasonably low taxes. At the same time, he admitted that our social services are low. Perhaps this is the reason why we, as a Nation, still enjoy the comfort to rely on the State for our education, health and pensions. But is this model sustainable? I don’t know whether Dr Busuttil, with his comments about an economy with a social soul, was eyeing the Northern European model. Countries like Denmark and Sweden have really good social services and a strong economy.

In fact, Northern European countries (but not only) can be taken as models where the role of the private sector has been successful and the economy serving the people’s common good. Yet, models cannot be taken for granted. To be successful, models need a system where the Government (irrespective of party) respects the Public Administration andthe Rule of Lawandworks for a responsible judiciary. When these are lacking, reputation, confidence and trust start waning and the people’s confidence in the institutions goes down the drain. Our credibility as a nation is not one of the best. While past governments succeeded in guaranteeing social peace, they failed to restore public confidence in our administration and the judiciary.

These three elements are behind the success of any economic venture. Therefore, Dr Busuttil has to work hard first to re-establish the confidence of the people in his party. Once this confidence is restored, it will be easy for him to convince the electorate that he is in politics to restore our trust in the judicial, executive, and legislative bodies. The road to victory will be smoother.