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On Thursday Austin Gatt announced he will be bringing over Dubai company Tecom to open up Malta’s internet city, dubbed SmartCity@Malta, at the derelict Ricasoli industrial estate. The big news, admittedly, is the creation of 5,600 jobs – a “guaranteed” 5,600 jobs in his words. So how will he actually guarantee that this futuristic project actually creates all that is being promised?
“The lease of the land at Ricasoli is linked to the number of jobs created. The more jobs they create, the less the lease will be,” Gatt says, certainly different from the hints given that the company would actually be penalised if it did not get the jobs promised.
I ask him why announce such a mega-project now, just weeks ahead of the March 11 local elections. “Because you would have published the story,” he teases. “This is a project of great magnitude,” Gatt says, admitting such a project had been looked into now for some time. Talks had kicked off in April 2005 in great secrecy. “However, there were many whispers going around.”
I ask what the reasons are for having the internet city located at the Ricasoli estate. He lists the dilapidation of the area, and interestingly the fact that it was in the south. “Are you serious about this south business,” I ask him, referring to his self-styled political statement about sending more work and tourists to the island’s forgotten region.
“Of course,” he answers, saying the new structure will be dominated by office blocks, maybe nothing as spectacular as Dubai, but a very much improved landscape which also include public spaces. The project will take on 3,600 knowledge-based employees, although Gatt says the island does not have those kind of numbers, so it has to be prepared to produce them. “I pray that they will be all Maltese but it will not be the case. The fact that the project will kick off in a future time slot gives us time to prepare. We should not lose hope that we do not have all the skilled staff. The other 2,000 employees are expected to be linked to the administration of the internet city,” he says.
I query whether his announcement is linked to the forthcoming elections. “No consideration whatsoever, and I am convinced that it will have no effect in the next election.”
So how important is this election for the economy? Gatt outlines the importance of the new economy versus the old economy – I suggest that the new economy does not cater for those aged over 40. He disagrees: everything is possible, and what is need is a culture change. He adds that in the field of ICT, the number of knowledge-based graduates have increased from 150 to 300 a year.
“The University must start looking to the needs of the economy. The value added of one knowledge-based employee is 50,000 euros. Let me remind you this investment is export-oriented, and it will bring Lm12 million in direct income tax from salaries. It will attract new companies and lead to an increase in property prices in the area. There will be a multiplier effect in the service and entertainment industry too.”
Discussions about the current factories at Ricasoli, have already started for the relocation but he has no kind words for those who have defaulted in their rent payments. Gatt now wants to see the contract with Tecom arrive to parliamentary approval by mid-July.
I turn to Gama – the Austrian textile firm whose promises of absorbing Denim’s 800 or so redundancies turned into ashes when the firm and government could not agree throughout negotiations. Will this be a replica of Gama?
Gatt says he was encouraged to issue a statement by Gama because they feared the redundant Denim employees would find another employment.
“But that was a mistake, you had nothing in your hands?” I tell him. “We all make mistakes,” he retorts.
He barks about the need to train people and he insists that people can be trained. “It is very important that everyone understands that education is an asset and a requisite,” Gatt says, blaming the public for expecting far too much from the politician. Life cannot be dictated by politicians, he maintains.
“We do not have all the solutions,” he says.
But isn’t this a throwback to the Mintoffian days when the government is everything and everywhere? “Exactly, the paternalistic state should only exist to support the weak and for those who cannot fend for themselves.”
I turn to the bigger picture – couldn’t his political vision fit comfortably in any other political party?
“What?” he retorts. “The Labour party has no policy on economy, and I cannot deny that my upbringing and political experience has had a profound impact on my raison d’être.”
I ask him whether he aware of the disaster that has befallen PBS since its restructuring. “I only looked at the fiscal aspect of restructuring PBS. That is why there are two ministers. I could admit that things can work far better at PBS. It is not on my priority list.”
When I ask about the widespread disenchantment with the Nationalist government he says that the Nationalist party is a victim of its own success. “The Nationalist government reached its apex some time ago. It needed to reinvent itself at the same time the country needed to invent itself. The PN made political compromises because it needed to get Malta into Europe. Hence the reforms at the dockyard took place after accession. This was a strategic decision.”
He is happy that the Maltese have not remained obsessed with politicians: “To me it is a success story when I walk down the road and hardly five people come up to me and talk to me.”
He sees that the biggest dilemma for politics today is to decipher what people aspire to. “The polls talk about the economy, and if this is the case till the next election, we will be economically very strong.”
The Nationalist party first stood for liberty, then a different way of doing government and later Europe. What does it stand for now?
He acknowledges that elections will be won and lost because of small interest groups. He derides the importance of the media and argues that personal contact is far more important. “The party media are preaching to the converted.”
Gatt doesn’t even have any worries about Alfred Sant. “Alfred Sant is a nobody,” he bluntly states.
And what about the PN? Who are the intellectuals replacing the Peter Serracino Inglott of yesteryear? “The Nationalist party never had long term planning as many would imagine. There are a number of people around the leader but that is about it.”
Success, I say, is measured by electoral victories. “No, it is by proving one has acted to the best of his abilities,” he says, saying the local council elections have no bearing upon the national elections. “The classic example is the referendum and local council result in 2003.”
So where does Austin Gatt see himself in two years’ time? He laughs and cackles: “I always told myself that at 50 I would be retired and spending all my time at Marsalforn in Gozo. I am 52 and here I am, with a very hardworking and able team – even though they are not accepted by everyone.
Of course, he knows what I’m getting at, here… “I don’t know – Jien naf? Ma nafx!”
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