2010 was a tough year for Jamaica, but so will 2011
IT is a given that Jamaica neither sunk politically nor imploded economically in 2010, but there is absolutely no denying that the country experienced some of the worst and most brutal forms of socio-political and economic uncertainties since the mid-to-late 1970s, much of which was inflicted by our own prime minister. Therefore, it would be an act of unparalleled intellectual dishonesty for anyone to pretend or even try to articulate otherwise. Truth be told, the Bruce Golding-led government brought Jamaica to the brink of anarchy, specifically in its mishandling of Christopher “Dudus” Coke’s extradition and in its attempts to cover up the hiring of US-based law firm Manatt, Phelps and Phillips.
Yet, none of this is to diminish the obdurate and punishing nature of the global challenges, brought on by the international financial woes which continue to betide us. To its credit, the administration juggled both crises with astonishing agility and eventually managed to survive a near-death political experience while still carrying the albatross Samuel Coleridge wrote about in his poem, The Rime of the Ancient Mariner.
But, it would be equally vulgar to try refocusing people’s attention away from the apparent weak leadership from the Golding government in 2010. So too would any attempts to treat people’s deepseated disappointment and displeasure as lifeless swans on the water’s edge. While we must not dwell in the guts of the past, we must never overlook the lessons or circumstances of history that put us there because doing so could very well render us undeserving of a brighter future.
Let us agree on one thing, we were taken to the cleaners by the Golding administration and left there to swim in murky suds. And as if that was insufficient, we were lied to left, right and centre; we were treated with contempt and told shameful, obfuscatory tales, enough to fill the Mona Reservoir. Had it not been for the wisdom, patience and tolerance of the Jamaican people, there is no telling what would have happened – so these are the heroes and heroines of 2010.
Jamaica became, and still is, the laughing stock of the world. If there were doubts, the recent WikiLeaks exposé in the UK Guardian should remove all doubts. Were it not for the unrelenting intervention of the Opposition People’s National Party, civic-groups such as JFJ, and our very active and feisty media, we would still be “living in a fool’s paradise”. Whatever motivated the PNP into revealing the spider-web arrangements associated with MPP, the country should be grateful. Let’s not delude ourselves or denude our consciences of all reasonableness and decency by purposefully diluting the significance of these events and apologising for slackness just to secure seats at the governor’s table.
At the same time, we must acknowledge accomplishments and celebrate successes; however few. We welcome the 70 per cent increase in exports to Caricom. The Jamaican police and soldiers deserve kudos for working in tandem with citizens to reduce murders because as at December 26, 2010, 244 fewer murders were committed across the country, in comparison to the same period in 2009. And while 1,409 homicides remain troublingly unacceptable, the decline is a step in the right direction. However, the high number of police killings – 300 for this year – should be of concern to us; for while combat will produce casualities and fatalities, the 300-body count is frightening, given our history of police abuse and excesses. With 17 police officers killed, we must strongly repudiate acts of violence against police officers.
The challenges and disappointments of 2010 were not only concerned with sociopolitical governance, but were also economic in making. The government implemented various tax packages which, according to one financial analyst, when combined with the Jamaican Debt Exchange, could eventually extract $240 billion from the economy. The percentage of Jamaicans categorised as poor rose from 9.9 per cent per cent in 2007 to 16.5 per cent in 2009; 2010 data is still outstanding but the signs are clear. Yet, the government has not presented a plan to stimulate or grow the economy and it cannot continue to borrow or increase taxes to finance its operations and close the fiscal deficit. For while the stability of the Jamaican dollar is commendable and interest rates are the lowest they have been in decades, the fact that there has not been any sizeable or concomitant lowering of lending rates by commercial banks tells us that there are serious issues with risk and confidence in the management of the economy.
Furthermore, in the absence of a credible economic restructuring and industrial development plan, one that encourages private sector expansion, Jamaica will continue to experience weak economic performance in 2011. Because, despite the 27-month Standby Agreement with the International Monetary Fund and low interest rates, further contraction will occur, driven by high unemployment and weak aggregate demand, and the situation will worsen if government continues with its counter-productive revenueenhancement tax policies that disproportionately target low to middle-income earners. We cannot keep telling people to “ban’ dem belly” while increasing taxes. People are already suffering.
And, as far as price increases are concerned, things are not about to get any better in 2011. China, India and Brazil as well as other emerging markets have increased their demands for some of the world’s most finite resources such as oil, grains, wheat and cotton; as such, prices for these commodities have gone up and will continue to increase. The one-year forecasted price of oil is US$103 a barrel. This should cause concern in Jamaica as we remain dependent of foreign oil and most of the raw materials we use in our plants are imported. Jamaica must redouble its efforts to increase domestic production and move, post-haste, with education, science, social, land, technological and energy reforms to drive output, increase employment and exports.
burnscg@aol.com