If Bill Clinton’s infamous 1992 tagline “It’s the economy, stupid” had to be taken literally as the be-all-and-end-all of political accomplishment, then the Nationalist Party should have won last weekend’s general election hands down.
Instead, the Nationalists suffered Malta’s biggest post-Independence electoral haemorrhage, and the party is now having to do what the Labour Party experienced in 2008 – pick up the pieces and rebuild its structures.
So what went wrong? The PN parliamentary group last Friday decided to commission a report to analyse the defeat, but there are some stark reasons which had been staring the Administration in the face for years.
Dr Gonzi constantly presented a coherent narrative, highlighting Malta’s economic success and warning on the risks of shifting direction. His commitment to job creation was lauded by all and sundry and the PN stressed that one should never change a winning team.
But in urging the electorate to never lose sight of the bigger picture, the PN now stands in front of tens of thousands accusing it of failing to look at the smaller picture.
Here are some of the clear highs and lows of an Administration led by a 59-year-old lawyer who will be credited for writing his own chapter in Malta’s history.
The balancing acts:
Mepa
Dr Gonzi took Mepa under his arm after his 2008 victory, before it was handed over to Mario de Marco. Reforms were carried out, and more streamlining followed, winning the applause of the common law-abiding citizen long-frustrated with a construction lobby which has had it its way for too long.
But ultimately, hundreds of others claimed the authority was still riddled with too much bureaucracy, while others voted purely for their own selfish reasons, holding parties to ransom.
Public transport
Dr Gonzi described public transport reform as one of the biggest hiccups of his administration. For 18 months, Arriva’s introduction has been riddled with erratic schedules and bendy buses which have become the butt of jokes.
Still, thousands of Maltese were glad to see the back of the heavy-polluting yellow buses along many of their bad-mannered drivers.
Corruption
Dr Gonzi insisted it was at the forefront of fighting corruption by insisting it always alerted the police commissioner of any suspicious doings.
But it also earned the rebuke of many who felt the Government had procrastinated over measures like the Whistleblowers’ Act, which could have cut down on corrupt practices, many of which were suspected under Dr Gonzi’s watch.
City Gate project
Dr Gonzi was responsible for a capital project which will live on for generations. By engaging world-renowned architect Renzo Piano to redesign the entrance to Valletta, Dr Gonzi managed to do what several prime ministers before him failed to do.
But while many are still applauding the way beautiful architecture is rising from a derelict site, others have questioned whether the former Opera House site is being put to good use and whether Malta needed a new and expensive Parliament building.
Libya
The uprising in Libya could have been disastrous for neighbouring Malta but instead morphed into Dr Gonzi’s finest political hour. Faced with a delicate decision over whether to return to a despotic regime two Libyan aircraft after they defected to Malta, Dr Gonzi stood his ground, coordinated a mass evacuation of expats from Libya, and was at the centre of political negotiations, winning the plaudits of world leaders.
Economy
An unemployment rate of six per cent and a deficit at 2.3 per cent of GDP (despite the mounting debt) could only be down to good economic management, even more laudable in the wake of the 2008 recession which brought several countries to their knees. European Commission forecasts suggest an economic growth of 1.5 per cent for Malta, which is the second highest growth forecast in the euro-area. And all this after the PN government managed to reduce income tax and keep VAT stable.
Malta in the EU
Dr Gonzi was Malta’s first Prime Minister in the EU era, and nine years on, only the ultra-sceptic would dare admit that membership of the European bloc was not a success. And most of that is credit to Dr Gonzi and his team, who set up the right structures to cope with the new reality. Standards improved all across the board, the ‘island mentality’ slowly started being shed, and infrastructure received a visible boost thanks to a very favourable budget. And for his swan song, Dr Gonzi secured €1.1 billion from the EU for the 2014-2020 period.
Euro introduction
The introduction of the European currency just weeks before the 2008 general election was one of the biggest risks for the Gonzi administration. But its seamless phasing in, without the major increase in prices seen in other eurozone countries, gave Dr Gonzi a certificate of good economic health and fully integrated Malta into the EU.
Drydocks closure
It was the entity every leader feared to touch, despite absorbing millions from the economy each year. The Drydocks were privatised, and in the process, a militant arm of the General Workers’ Union was eliminated. Yes, hundreds of jobs were lost, but many were absorbed into other sectors thanks to an economy still generating jobs.
Tourism
The PN government’s decision to assist in the introduction of low-cost airlines beefed up seat capacity, and as Malta embellished its tourism product, it helped to break records year-in-year-out. During the past 10 years, the Government realised tourists do not just visit the island for sun and sea.
Energy tariffs
While the Maltese could not feel the pain of the jobless in other countries, they could directly feel the pinch of utility bills. The Nationalist administration was responsible for the heftiest tariff increases for a basic necessity, dealing a blow to spending power and putting some companies out of business. While the high tariffs were intended to compensate for hefty fuel prices, it also elicited claims they were also covering Enemalta inefficiencies.
Backbench unrest
Dr Gonzi failed to have a united team from the outset. Jeffrey Pullicino Orlando was kept out of Cabinet due to the Mistra issue and turned against the Government, former minister Jesmond Mugliett was not reappointed, and having Franco Debono in a team with a mere one-seat majority was a recipe for disaster. Dr Gonzi spent five years looking over his shoulder and dealing with one internal issue after another. Dr Gonzi’s decision to postpone calling an election till the very last minute, despite the infighting, only helped to increase the gap in favour of Labour.
Honoraria
A Labour Party motion in Parliament had called the Cabinet decision to give itself a €500 weekly wage increase as “insensitive, arbitrary and non-transparent”. And it was just that. Though many would argue that parliamentarians deserve to earn more, it was the underhand way in which it was carried out that drew justified condemnation.
Communication
Dr Gonzi failed to exercise leadership qualities when it was most needed. He was often criticised of trying to solve problems by postponing them. The leadership clearly closed ranks and would not even take well-intended criticism, dismissing it instead as agenda-driven.
Divorce referendum
The Nationalist Party spectacularly failed to read the signs of the times and adopted an ill-advised stand against divorce, an issue surprisingly sprung upon it by one of its own MPs. A referendum drew a strong Yes vote, which Dr Gonzi voted against in Parliament. And the liberal faction was alienated.
Small Cabinet
Dr Gonzi’s decision to appoint one of the smallest Cabinets in decades might have been well-intentioned to but in reality landed ministers with mega portfolios, some of which clearly spiralled out of control and left unfinished business. By creating new but vague posts of parliamentary assistants, he elicited criticism that his lean Cabinet had failed or that he was trying too hard for political appeasement. He ended up in a situation where he could not replace nor appoint new ministers due to fears of a parliamentary group backlash.