the tv interview with the minister of finance, anwar al-mudhaf, reminded me of a quote by socrates (paraphrased) when a person entered, proud of his position and clothes, and socrates asked him, in order to see him speak, but he replied: there is no need to speak, as i work quietly!
the minister of finance, since his appointment 6 months ago, has been “silent.” no one knew anything about his ideas, plans, and programs to correct our distorted financial situation. the opportunity came to answer questions that have long preoccupied thousands of families, but the interview increased our doubts and concerns about our future.
i do not wish to go into the many weak points in the performance of the minister, who lacked fluency and charisma, because these are things that cannot be used to judge a person’s performance, but his excellency’s failure was clearly evident when he read three dangerous numbers from a piece of paper; total revenues, total payments, and the size of the deficit!! if he was unable to remember those three numbers, then that means our situation is not good, and the rest of the interview demonstrated the validity of the fears of those who followed it!
we will focus, briefly, on the issues that concern everyone, and which his excellency may not have wanted to address. one of the problems of any society is the desire of its members to obtain something, without sacrificing anything in return! for example, we want to increase revenues from tourism, but we are not willing to give up our customs and traditions! we want a generous salary, but we do not want to work far from home, etc.
it is absurd to repeat that salaries and wages will not be affected, and then add that the state will reconsider “the prices of its services and goods”!!
the point is not whether the salary remains the same, but rather the annual inflation rate. the government’s decision to increase its income by raising the value and wages of services and lands and reducing subsidies will inevitably affect the actual value of the salary, not the numerical value!
increasing non-oil revenues requires a comprehensive change in the behavior of society, accelerating the establishment of entertainment projects, exploiting the state’s capabilities in a good way, and transforming failaka into a free zone, in the true sense of the word, and not another dry resort like khairan.
the budget defi cit over the next four years alone will reach 26 billion dinars, and this cannot be covered except by withdrawing from the future generations fund, or borrowing, assuming the situation remains as it is. it also requires speed of action, and this is what we do not see yet from the owners of the established bisht and ghutra, despite the leadership’s directives to expedite the completion of vital projects, expand the revitalization of the private sector, and involve it in the production of alternative energy and the management of electricity facilities, ports, and others, to increase non-oil income, liquidate the supply company and cancel subsidies, stop waste in government administration, and most importantly, impose taxes!
tax is a bogeyman that the poor fear and the rich hate, but it is necessary, materially, morally and spiritually. imposing it serves multiple purposes that go beyond merely increasing state revenues. it is a tool for redistributing wealth, as through it those with higher incomes pay a larger percentage of their income than others.
taxes are also used as tools to achieve economic stability, by calming the economy and preventing inflation. conversely, tax cuts during recessions can stimulate demand and economic activity, and play a role in influencing consumer behavior by encouraging certain products or reducing the consumption of others such as tobacco and harmful products. the opposite is done through exemptions, which can encourage activities such as investment in agriculture, renewable energy, and others.
taxes are part of the social contract, representing a collective contribution to the functioning and well-being of society. they embody the principle that citizens contribute to the public good in return for benefits and protection provided by the state. they help structure society, promote social justice, and help maintain a stable and efficient economy.
logically, what we desperately need is not to increase salaries, or even to keep them as they are, but to raise the standard of living, not financially, but by raising the level of services! what is the use of a huge salary, if the roads are in ruins, the hospitals are bad, medicines are missing, schools are dilapidated, trees are dead, etc.
until these matters are adjusted, and the standard of living rises, the nation has no choice but to hope, pray, and implore that our government will succeed in adjusting its balance of payments, reducing its expenses, and eliminating its “waste”!