He will engender contempt if he is fickle, frivolous, effeminate, cowardly, and irresolute. These characteristics he must guard against as ships guard against reefs; and he should conduct himself in such a way that greatness, boldness, gravity, and strength will be observed in his actions. – Niccolo Machiavelli, 15th century adviser so despised by many.
If ever there was a time for our Prime Minister and his foremost Ministers to be a copy to these values, it is now.
If we are in search of an example to guide us in this perilous situation, we need look no further than Ireland whose eight billion Euro-spending cut will affect generations to come.
But you ask me if our situation is as bad as that of Ireland, whose debt burden has become overwhelming, I say no. But we are already on the slippery slope. We have never in our history been in this position of debt before. Even when we ran out of foreign exchange, our reputation for repayment of debt was first class and we were able to borrow on the international markets at the drop of a hat. Our deficit to GDP was extremely manageable. Thus, a visit to either Britain or Japan bore immediate fruit.
Today, circumstances are different, the world is different and markets are different.
In Barbados, we are facing a horrific debt to GDP ratio and yet we are continuing on a path leading to nowhere. My opening quotation is addressed to those in charge of us who continue to push the deficit even higher by employing the same expenditure tactics that has led us down this path. It is folly to increase taxation in a depression.
Bold, resolute growth action is needed or sooner or later our population will have to suck salt.
Look at the unfulfilled commitments for which we are currently liable. Heading the list is a promise to policyholders of Clico that their investments will be safe (more on that anon). This applies to people not only in Barbados but also in the Organisation of Eastern Caribbean States (OECS) who share our list mainly through British American.
Then there is Mr Barrack whose debt the Government is shamelessly ignoring. It did not occur during this administration, so despite the command of the law courts it is ignored. I wonder if Mr Barrack were white if the same treatment would have been meted out. It should be as lawful to incarcerate members of the Government just as it is lawful to incarcerate a youngster for not paying a fine having been caught with ganja.
One may well ask if there is still in Barbados a law for the Medes and one for the Persians. However, Mr Barrack could rest assured that God is not asleep.
There will be a day coming soon when people will not accept the guarantee of the Government just as they are not respecting the cheques of some of its various entities. Of little value would be pushing up the limit for Government guarantees when the people with the money – the bankers – pay scant attention to them.
Therefore, I say instead of asking the question “where should we cut?”, we should have the testicular fortitude to start the cutting process now instead of waiting for other embarrassing situations when we are forced to do so.
The merchants and others have taken the opportunity to push their prices up above the compensation for the Value Added Tax (VAT). This is in addition to the backdoor devaluation caused by the VAT.
Elections are officially not due until 2013, therefore, I leave with a quotation from the man who has been despised and vilified throughout the ages.
“Therefore it is to be noted that in seizing a state one ought to consider all the injuries he will be obliged to inflict and then proceed to inflict them all at once so as to avoid a frequent repetition of such acts.”
• Harry Russel quijote70@gmail.com
