Riding and whistling

The IMF agreement is now in place. The challenge to Jamaica now is to ride and whistle. For the Government, this means how to collect taxes to meet the fiscal targets in the agreement. It also means how to maintain hope and peace and stimulate growth in the economy to meet the future conditions.

One element of this is to collect efficiently and effectively from all who are to pay the taxes which are there and due. Another element is to avoid the appearance of scattershots and going for a little tax here and everywhere. Efficiency of collection means making it easy for people to get in, pay and get out; crowds and long lines create conditions for the sharing and multiplying of frustrations.

The growth side requires that a few key areas be shielded from the cost increases and competitiveness reduction caused by the increasing taxation. What should those areas be? They should be ones with broadest social and economic impacts; ones where the benefits can be seen and felt in any judgement. These would include agriculture and construction. These sectors create the employment, satisfy critical basic needs, reduce the demand for foreign exchange (pressure on the balance of payments), and are quick and visible.

Agriculture also requires decisive action against praedial larceny, and construction requires the removal of extortion.

Construction is also the lead into the logistics hub, business process outsourcing; the creation of competitive economic export zones - all these require affordable production/office space and quality housing for staff. Construction activities are signs to investors that an economy is alive.

ENERGY AND TRANSPORTATION COSTS

These are two-edged swords, because they are currently large foreign-exchange consumers, but they are critical to production and impact a large cross section of the population. Holding of taxes must be accompanied by serious public education regarding consumption.

It must also be clear that the Government is optimising public expenditure, getting value plus for resources expended, and is avoiding duplication and waste.

For the private sector, this must mean greater efficiency and management practices which encourage productivity, conservation in areas such as foreign exchange, raw materials and energy use, and, above all, making the foreign exchange earned available to the country. This last point is critical to maintaining stability in the currency market, which the private sector looks to for confidence.

You cannot create instability and then lament instability. The private sector must also avoid feeding corruption and must be courageous enough to expose it. The corrupt must have collaborators for corrupt actions to take place.

The general population - in particular, consumers - must be vigilant. Report price gorging. Buy and support local produce. Do some production, however small - a few vegetable plants in the backyard or pots on the wall can make a big difference. Avoid waste. Turn off the electricity when not in use.

Workers, in particular public-sector workers, must give an honest eight hours and, if possible, 10, especially when wages are low or frozen. Increased productivity is the only way to make your case for increased remuneration or even the retention of your jobs. In any event, the two hours spent complaining with friends or, worse, blocking the streets are totally unproductive and yield nothing. The hole will still be in the road tomorrow.

Challenge the Government to provide the materials, except the stones which are always available to you, and use the protest time to fill the holes. Tomorrow the holes will not be there. You can then look to the cleaning of the gullies to allow the storm water clear passage.

Look at the persons doing the government contracts. You know when they are cutting the corners. You know when they are selling the water to those who can pay. You know when they are selling the construction materials or dumping the rubbish in the gullies and other wrong places. Report them.

All must be involved. It is all of us who will pay - suffer - when the targets are missed. Jamaica has to relearn the age-old skill of riding and whistling and, more so, the fact that you cannot talk and whistle.

Things will be worse for the next government - whichever party it might be - if we do not get it right now.

Ambassador Byron Blake is a former CARICOM assistant secretary general. Email feedback to columns@gleanerjm.com.