Saving the dollar
published: Wednesday | May 21, 2003
THE EDITOR, Sir:
THE PRIME Ministers three-point proposal to save the Jamaican dollar was indeed disappointing! Rather than attacking the real cause of the 'speculation', that is the poor state of the economy, we are yet again going around in circles randomly pulling 'tricks from the bag'! This is reality, not a magic show!
Speculation is a reflection of how people feel. It's based on instincts and the mood of the country, they are driven by levels of confidence and hope! More often than not, speculators are not usually wrong! The Prime Minister looking for a scapegoat has turned his attention to the private sector, urging them to be 'patriotic corporate citizens' and save the dollar!
The recent budget was the fuel for the speculation! It is counter-productive, lacked foresight, creativity and energy, and gave the impression the Government was in a financial crisis, bankrupt with no 'tangible' long-term plan or 'fresh ideas' to help the country! The Government displayed panic in its recent budget, and consumers and private sector had no choice but to follow suit, which resulted in the speculation and the sudden onslaught on the dollar!
Mr Seaga's proposal was by far more realistic, he sought to attack the root cause of the speculation improving the economy and the productive sector! He called on the Government to downsize, trim and cut waste and corruption, after all they can lead by example!
We need far more than a 'three-point proposal'. We need action, not talk. Unless the Government starts acting and shows that they are serious about getting the economy back on track, the speculating will continue, especially 'underground' and the value of the dollar will realistically settle under market conditions, simple economics, equating demand vs. supply! The Government must show that they too can be 'patriotic corporate citizens'. Like a large corporation, they must have a mission, an objective and follow the plan! They must lead by example! We really need to start doing what's best for the country.
