Issue No. 341

3 - 9 May 2001

Is the time ripe for
a Cabinet reshuffle?

Rumours going around the corridors of Parliament and various ministries seem to indicate that a re-shuffle in government is due at any time. The Prime Minister, Dr Eddie Fenech Adami, is believed to be very unhappy with some of his ministers and their performance over the past two-and-a-half years. Whether or not these rumours are true and that the Prime Minister will introduce fresh blood in some ministries is still to be seen, however there is not doubt that the Nationalist government needs to take a very serious look at the way it is functioning.
The electorate has been sending warning signals to the government for more than six months. The electorate is not happy with the present state of affairs and management of certain government departments. Looking back at the government’s term in office so far, there is little that Dr Fenech Adami’s government can really boast of.
The economy has not picked up, whatever the figures may indicate. It is true that efforts to cut the deficit have been partly successful, yet public expenditure remains high and will take more than words to reduce. The feel-good fact pre-1996 and post-1998 has disappeared and the public is more disillusioned than ever.
The business community is feeling the pinch, faced with higher costs and little economic prospects for the future. The serious problem of liquidity and late payments have not helped boost business confidence, either. Foreign direct investment has remained “foreign” despite efforts by the MDC to bring in this much needed investment. The Business Promotion Act is an excellent tool – but the government needs to put more energy into this project.
The public sector continues to be bloated and is as inefficient as ever. Yet, despite the obvious lack of management in this sector the government still paid out millions of liri to government employees.
The introduction of new taxes on fringe benefits has only alienated those who form part of the economy’s driving force – the middle and upper class worker.
The pensions problem continues to rear its ugly head but there is little enthusiasm to tackle this issue head on. The Commission for Social Welfare Reform has still not presented its report to government. Has the government pressured the Commission to hurry up? No.
While we are all in favour of Malta becoming a member of the European Union, it is unacceptable that the government has neglected affairs closer to home.
The result of the local council elections in March is a clear sign to the government that the citizens and the business community are not happy with the administration and the way it is leading the country. The country has nearly reached the point of no return. Investor confidence in this country is rock bottom and this is reflected in the performance of the local stock exchange.
Dr Fenech Adami’s government is taking a big risk and must do everything in his power to re-instil confidence in the economy. It is perhaps the Nationalist Party’s bane that it takes people too much for granted. Instead of learning from past mistakes, it simply turns a blind eye to the real situation in the country and the perception people have of this government.
Faced with the prospect of not only losing the next election but also the referendum on European membership, it will take the government a lot of hard work to regain the electorate’s confidence. Dr Fenech Adami knows well enough that the Labour Party will not win the election because Dr Sant is offering the electorate a fresh vision for the country but because the people have had enough. They said so in 1996 and will not think twice about saying so again. This time the stakes are much higher.
While the rumours going around may just be that, rumours, there is always an element of truth. A Cabinet re-shuffle may be the trump card for Dr Fenech Adami to ensure another electoral victory and a positive outcome in the referendum. Whether he has the will-power to effect such a shake-up is another matter. The future of the Nationalist government and the party depends on him.
The future of Malta depends on him.

  © Standard Publications Limited 1999