Desperately Needed

The Malta Independent 

Desperately needed is a sense of realism on how to go about bringing positive change. After all that’s what politics is supposed to be all about – the ability to bring long-term sustainable positive change leading to economic growth and better standard of living.

The farther away we are from an election the better the chances of having such sense of realism. Now is the time to take the bull by the horns and join together, government and opposition, to do what needs to be done.

The pensions deficit cannot be ignored any longer even if political convenience could suggest that as the benefits would only accrue fifteen years down the road whereas the pain of reform will be felt right away, the problem should be left unaddressed. National interest demands otherwise.

“The farther away we are from an election the better the chances of having such sense of realism.”

The fiscal deficit continues to haunt us. Figure juggling of these last five years will not solve this problem the consequences of which could have more current adversity. The public deficit figures for the first 4 months of the year show things are getting worse not better. Structural deficit record of the first 4months over the last 5 years (1999-2003) read as follows Lm35 m (1999) Lm50m (2000); Lm37m (2001); Lm49m (2002); Lm79m (2003).

Creation of one time exceptional and artificial revenues (as was done last year with the MIA privatisation) or shifting figures from one financial period to another for temporary political mileage do not solve anything. What is needed is a sense of realism, raising awareness of the consequences of further neglect and a wide-based task-force to propose realistic solutions and compare them to the cost of doing nothing so that the government can frame its choices on this basis.

Even regarding the EU issue that has absorbed so much energy and resources to get us where we stand today and has basically been the single issue which has given us a government well past its useful expiry date in so far as domestic issues are concerned, we are witnessing attempts to unravel most of what has been negotiated. The Constitution Convention is attempting to undo the Nice package of institutional representation and is attempting to reduce the relative weight of small countries rendering it nearly meaningless in absolute terms. Those who after Nice had criticised me for expressing earlier doubts about our proper institutional representation when, or soon after, we gain membership, ought to realise that the dice has not yet set.

Thankfully here the Opposition is being nearly more effective in voicing Malta’s concern on these issues than the government. Why have we not officially raised similar objections as those raised by several other small existing and candidate countries (including Cyprus and Lithuania) led by Spain and UK?

Sense of realism is also needed by the Opposition. Dr Sant’s statement last weekend that it should not be difficult for Labour to win the next election purely because the EU decisive issue will not be prevalent again is misplaced over-confidence. It is based on dangerous static thinking in a world of vibrant political dynamics stimulated further by the fact that the PN will most probably have a new face at the helm at next elections.

Labour’s realism should be rooted in a proper analysis of what led to the disastrous result of last election. This exercise is still proceeding under the direction of an autonomous independent working group and anyone seeking to exculpate oneself before the exercise is concluded is jumping the gun and avoiding desperately needed realism.