Animal Farm | The challenges  of Ho Iat Seng

Albano Martins

Ten years ago I wrote “The Chui Sai On Challenges” as follows:

“Continue, improve, simplify, anticipate and innovate … During these … years of activity of the Macao Government, there has been remarkable progress in the economy and well-being. Macau was coming out of a recession … that had to be fought first. And the Government managed it.

“In addition to the opening of the gaming industry, which proved to be the correct decision, many economic and fiscal packages were launched … and almost all of them proved to be effective and timely. […] Economic life began to be, with the opening of gaming, increasingly centered around [the industry] and diversification is today … a must that does not depend on the government, because [it relies] on entrepreneurs and investors, although the government is duty bound to encourage it but little more than that.

“Chui Sai On will have to continue on this course, innovating and simplifying procedures.

“The only big cluster in Macao is the gaming industry. However, there is potential for others to appear, especially due to Macau’s own location in China.

“Today, the low taxation for individuals and corporations and the climate of great fiscal flexibility … has not only been an incentive for the maintenance and survival of businesses, but also for the emergence of new industries and investors from abroad …. Now it is necessary to cut back on bureaucracies and speed up the decision-making process ….

“The Ao Man Long case froze a large part of the … administration. [A] climate of fear … or indecision driven by deliberately more bureaucratic processes or exacerbated by a misplacement of people in the administration … has been a major bottleneck in the implementation of the strategies outlined by the Government.

“For some sectors of activity, depending on public investment, Macao has almost stopped.

“The case of Secretary Lau Si Io is one of the blatant examples of inefficiencies of this administration, significantly hurting … investors.

“Today, after the opening of gaming and the economic boom …, Macao is facing …worsening income inequality …, greater demands for participation in political life.

“As stated … by Edmund Ho, the Government can not be guided by the philosophies of a welfare state. The economic … and social transformation brings challenges that we must learn how to face and has a price that we must bear in mind ….

“I would add, political development …. But the Chief Executive has also referred to the need to build a cohesive society. The truth is that, despite intentions, Macao’s community is increasingly less supportive.

“Prosperity has allowed options … not always guided by the rules of sound management of public funds.

“No one questions the added value of continuing to make Macao the platform between China and the Portuguese-speaking countries … and further integrating into the Greater Pearl River Delta,  provided the factors that affect it today are resolved.

“But growth, and above all development, presupposes the availability of resources, one of which is labor. Its scarcity today constitutes a huge hinderance for … sustained growth …. The use of imported labor is fundamental.

“The high inter-industry churn of labor and the associated costs for businesses … may jeopardize all the benefits provided by the Government.

“Today, efficiency needs this recruitment process to be much easier, faster and more flexible, although subject to well-defined rules that allow alternative employment opportunities for local residents.

“The public machine will have to be a prioritized facilitator of the growth and modernity of the economy and not a hindrance.

“Being out of the gaming industry or against the gaming industry, Macau has no chance of surviving.”