An airy-fairy wish list

Every time he opens his mouth the Leader of the Opposition urges the government to reduce taxes and withdraw the “austere” water and electricity tariffs. Criticising Budget 2011, he repeated this nonsensical mantra. It would bode the Labour leader well to learn that: “Promises or no promises, circumstances dictated otherwise and if Dr (Joseph) Muscat is saying now that promises made at election time ought to be honoured in full whatever the circumstances, then his party should not be trusted with the running of the country”(The Times editorial, October 27). I could not have put it better myself.

To add insult to injury, he explained that all talk of international financial problems is simply an excuse not to honour electoral promises. It is bad enough that Labour cum its media have totally ignored the fact that most countries are in a mess but to have an aspiring Prime Minister referring to the global financial crisis as an “excuse” is offensive and unacceptable.

Perhaps like his predecessor, Alfred Sant, he does not own a television set. Why else could he fail to understand that slashed jobs, wage and pension freezes, suspended social services, pension cutbacks, reduced bonuses, increased VAT, higher education fees etc are the “real” austerity measures taken in several countries. Even unemployment in most of Europe has soared and is continuing to rise. The repercussions of the international financial crisis are still being felt and if Dr Muscat would, at least, listen to the radio he will learn that a double dip recession might be looming on the horizon. So before the waters calm down we must keep our feet firmly on the ground, consolidate our achievements and defend our safe haven.

It is indeed very foolish of Dr Muscat to take such an insular mentality, thinking we are immune to what happens around us and, just in case he cannot grasp the concept that we are living in a “global village”, I will explain: whatever, however, whenever and wherever something happens in the world, good or bad, we are inevitably affected. In other words, if any European country is in trouble so are we. Even if America, Japan or China for that matter, face financial difficulties it will affect Europe, ergo us too. Simple! And, yet, Dr Muscat just doesn’t get it, does he!

“The EU’s statistical arm said that Malta has managed to slash its annual unemployment rate by a full percentage point last September, the largest decrease registered among the 27 member states”(timesofmalta.com, October 29). We are also excelling in many other sectors and, last week, Fitch Ratings confirmed Malta’s A+ credit rating: “Malta’s rating affirmation reflects its smooth passage through the recession, with limited fiscal damage, demonstrable financial sector resilience and signs of a strong economic recovery.”

Our performance is much better than that of the majority of the big players, our deficit is in check, our factories have survived, tourism and investment are on the increase and the future is looking promising. Against all odds, under Lawrence Gonzi’s sterling leadership, Malta has weathered the storm but, as the Prime Minister constantly warns, we are not out of the woods yet.

There are no words to describe the irreparable damage Dr Muscat’s reckless vote-catching proposals would cause to our economic growth. Yes, our economy grew. According to Bloomberg, an international news network: “Germany, Malta boost economies as Europe lags, Lisbon Council study shows” (October 25). So, after all, we beat Dr Muscat’s pet Cyprus hollow!

During his Budget speech, Dr Muscat conveniently failed to mention that the government did in fact “reduce” income tax for three consecutive years: 2007, 2008 and 2009. Neither did he applaud the government for increasing investment in job creation, education, health and social benefits as well as the myriad of tax holidays, incentives and rebates enjoyed by a plethora of workers, males and females. So obsessed is he with the utility tariffs and taxation he also seems to be totally oblivious to the fact that the government has and continues targeting financial assistance to all those who are vulnerable.

What Dr Muscat has to realise is that everything comes at a cost. The government simply cannot afford to start dishing out goodies, neither can it cut taxes and burden our country with subsidies to moribund enterprises à la Joseph Muscat. If it does, something must give.

Dr Muscat blurted out that under his premiership we will have to make some sacrifices. To make up for the shortfall would he reduce investment in education, remove student stipends, charge for health services and medicines, do away with buying new equipment for Mater Dei Hospital? Alternatively, would he stop investing in capital projects or in our heritage restoration? Would he allocate fewer funds to the police, local councils etc. as Labour had done during its 1996-1998, 22-month stint?

Words also fail me when I think of Dr Muscat’s bright idea to introduce a living wage should he ever be Prime Minister. This alone will cost our national coffers some €2 million every week. And let’s not forget he will also be cutting income tax, utility tariffs, VAT, Mepa fees, etc... By Dr Muscat’s own admission, he does not own a magic wand, so unless we strike oil, can he explain how and who is going to finance his airy-fairy wish list?