While a lot of hype has been drummed up on the successes of our economy, government pockets have shown some sizeable holes.
According to NSO statistics, the government has spent Lm75.7 million more than it collected during the first six months of this year. Taxation and national insurance have contributed more to government coffers than during the same period last year, meaning that the government has collected more taxes from the ordinary citizen but has spent Lm75.7 million more than it earned. This is Lm1.6 higher than the shortfall of Lm74 million registered for the first six months of 2006. Revenue increased by Lm10.6 million.
The Central Government debt outstanding at the end of June 2007 amounted to Lm1,380.5 million - an increase of Lm22.2 million from June 2006.
Figures speak for themselves. We have structural deficiencies in our economy which must be addressed sooner rather than later.
A big slice of the expenditure is eaten up by the social security bill. While the country should strive to enhance distributive justice and should bear the burden of the underprivileged by sustaining a just social security system, it is crystal clear that the government has failed to curb abuses. How can one justify people registering for work, receiving handouts from the state, and at the same time being employed “bla ktieb” (i.e., without a work permit). Their argument is that social benefits are not sufficient for a decent living. With the same argument, minimum wage earners would have a better deal if they quit their job, register as unemployed, and then work on the side. The government has trumpeted plenty of times that it is working hard to eliminate abuse but, abuse has still persisted as a thorn in the side of the social security bill.

In politics, perception is as real as reality itself. Recently, architect Michael Falzon has assured us that the fact that he owns a company in partnership with a contractor who was awarded millions of liri in contracts by the WSC (which is incidentally chaired by the same Michael Falzon) is meaningless. I do not know whether Michael Falzon had declared his commercial interests when he was appointed to chair WSC. He might be the most genuine and honest chairman WSC has ever had, but people normally have their own perceptions, whether justified or not, and very often it is the perception that counts.
It is true that we are a small community and everyone knows each other but over these last few months we have had so many cases involving conflicts of interest, that the public is losing trust in public administration. Transparency seems to have faded away and declarations of commercial interest only come to light when the Opposition media or the Leader of the Opposition comes out with a scoop on hidden commercial interests by public functionaries. The Prime Minister never sees anything wrong; for him, everyone is clean and acting with the utmost degree of ethical behaviour.
The Prime Minister’s benediction only breeds new cases of doubt as to linkages between public executives and commercial tycoons. People become more perplexed when the government emphatically refutes a plea by the Opposition for a thorough investigation by the Auditor General.

After the PN had assumed a green hue and declared itself as the party for the environment – with some commentators comparing the logo to TeleTubby Land – now another gimmick has surfaced. The PM has been posing with new candidates to give the impression that the PN is the party of new faces and forever young. Prime Minister Gonzi had the chance to transform his cabinet but failed on this count, in spite of the fact that the Opposition and public opinion has cried for change. Joe Saliba gave the impression, if not the assurance, of a change in cabinet after the election if the PN is returned to power. However, some of the “new” faces are even worse than the “old”. The electorate does not fall prey to this campaigning detail and is more concerned with feathering their own little nest. With taxation taking a heavier toll, utility bills spiralling day after day, and continued increases in the cost of living, no one blames people for not caring much whether Gonzi is being flanked by “new” or “old” faces. People’s expectations are not being met, and frustration on how to pay house loans and on how to live a decent living are the most worrying issues that the electorate wants to be addressed. Every time a Labour government has assumed office social programmes have always occupied a sizeable part of its agenda. A change in government would mean a change in policy. The family unit has been selected as the pillar of a future Labour government and people are expecting a socially minded government.

The Malta-Turkey football encounter attracted thousands of supporters of the national team. The supporters club was keen and innovative in its organisation of the event. No one ought to have been hurt by allusions to the Great Siege, but excesses cannot be justified. The atmosphere at Ta’ Qali was jolly and with the exception of an insignificant number of hot heads, Maltese spectators behaved well and enjoyed the evening. Our youngsters have every reason to be proud of their performance on the field because we are minnows in the football world and each positive result enhances the psychological set up of our players who have for so long suffered from inferiority complex.
Well done and keep it up!