All signals point to the conclusion that economic growth will stay with us for the foreseeable future: which is very encouraging.

Politically, this will boost the current government as a general election looms. The government will rightly be able to claim and emphasize that it showed skill in leading towards a direction which has given rise to improved living conditions for families.

Beyond electoral considerations however, given a sustained economic momentum, the ground is being laid for important changes to the country’s economic structures. These changes can now be implemented without generating too much dissatisfaction or creating too many new burdens.

As of now, data show that while growing fast, our economy has maintained an improvement in its competitivity. Personally, it is not so clear in my mind as to how this is taking shape. But one and all agree it is happening.

As a result, we have increasingly the basis from which structural changes could be attempted in order to provide platforms for future new activities. Investment plans in the health and education sectors by which they would become export oriented are showing the way – as well as what was also mentioned recently, regarding new initiatives to enhance training in informatics.  

***

Swordfish

I had a meeting with traditional fishermen (they fish on a small scale, basically as a family) who are very worried about whether swordfish catches will remain a viable proposition for them. They have good reason to worry.

Swordfish is a species that is in steep decline for it has been overfished. The international organization that coordinates fisheries, following universal agreement, is introducing quotas on catches of swordfish made by different countries. For some years, the quotas set will actually be reduced. Malta’s quota will be its share from the quota allocated to the European Union.

Traditional fishermen are claiming that in the sharing out of the Maltese quota, they will be placed at a disadvantage while the bigger outfits will be given a leg up.

Not all their claims are spot on. But that these fishermen are facing an acute problem and that they merit special attention is a view that I think, makes sense. 

***

European industry

From the European Commission, Vice President Katainen and Commissioner Bienkowska published an article in European media entitled “Protectionism and EU industry”.

In it, they preach the benefits that globalisation has brought in its wake; they agree too that it has caused some difficulties, including for the EU’s industrial sector; they refute protectionism as a method by which to counter these difficulties; and they insist on the need to keep European markets open, while providing support for those who have been adversely hit by globalisation.

Which raises the question: do Katainen and Bienkowska really believe they can be taken at face value?

Some years ago, the Commission set as an objective that of encouraging the “reindustrialization” of Europe. Since then, practically nothing was done in this area. The belief that markets should rule continued to dominate policies, as is quite clear too from what the two Commissioners wrote in their article.

In the circumstances, there is nothing surprising about the giant steps forward that populism has been taking.