A quest for genuine secularism !

We cannot but agree with our Cardinal when he deplores the fact that " ...De plus, le coût de la vie monte en flèche pendant que la roupie dégringole , notre économie , déjà fragilisée doit composer avec un avenir incertain ....»

Jugutpal, ever heard of ministerial responsibility ?

Kailesh Jugutpal maintains “ Je ne suis pas responsable …Un ministre ne signe pas de contrat”

Such a statement is not surprising coming from a Minister who acknowledges that " he cannot change prepared answers given to him by his civil servants"

Pas moi ça, zot ça !

No, Mr Governor, the Bank Of Mauritius should behave responsibly!

(Revised version, published in l'express of 27 Dec 2021)

 

In a statement to the press recently, the Governor affirmed that “The Central Bank(CB) does not currently require any capitalization and can conduct its monetary policy without any financial constraints…”

 

You recall that the exceptional Rs 60 billion of money creation by the Bank Of Mauritius (BOM) to finance a higher budget deficit -the monetary deficit financing as opposed to Quantitative Easing(QE) by many countries-was met with disapproval from the IMF-“The monetizing of deficits has undermined the ability of the BOM to keep inflation under control “ .

A Machiavellic Mind : The arrest of Bhadain

Well planned by the Machiavellic minds of Lakwizinn to divert the population’s attention from the unprecedented levels of corruption in the country.

Very hard-hitting interview of Dr Vinaye Ancharaz in today’s l’express (15th Dec)

We subscribe fully to the points raised, as partly summarised below:

1. Economic irresponsibility of this regime: « En réponse aux défis de la pandémie, le gouvernement est venu de l'avant avec une panoplie de mesures fiscales et monétaires. Il est clair, cependant, qu'une telle réponse a été limitée par un manque d'espace budgétaire déjà érodé ces derrières années par une mauvaise gestion des finances publiques et des emprunts irresponsables. »

I’m ashamed of my health minister & my government !

There is that groundswell of anger building up, the outrage at the nepotism, the insider dealing, the state capture and the disgraceful forms of rodeurs-boutes’ advantage-taking; the rage at a veritable class of hangers on, cronies and other parasites and thieving lots that are draining the country ; frustration at the level of grave irresponsibility , gross incompetence and blatant amateurism of this regime and utter despair that we have slumped to such lows-the rock bottom- never reached before.

Cry my Beloved country ! Cry for change ! Cry out for a better leadership to get us out of this present mess !

Jackpot for the BOM’s Governor !

Rs 600,000 as Chairman of the Monetary Policy Committee(MPC)

This is not fake news....this is day light robbery

Black Friday for our democracy !

The virus is all around the globe ; its large number of mutations, especially the latest one that they have named Omicron , may increase reinfection risk, given some still early assessments of its transmissibility, its ability to get around parts of the immune system and bypass some, but not all, of the protection from vaccines.(but it is not yet known whether it worsens symptoms).

The credibility and reputation of the central bank is at stake !

Yes, the politically appointed and inexperienced governor of the CB ,Mr Harvesh Kumar Seegolam, and his apprenticing boss, the Minister of Finance , our dear Pada, did it again ! The audited accounts of BOM is now confirming that the accelerated depreciation of the rupee was a deliberate choice.

The latest Moody's reports: The outlook remains negative(baa2) !

The outlook remains negative, although the end of blacklisting is a positive development that decreases our external vulnerability.

Moodys remains concerned about the effectiveness of fiscal consolidation in stabilizing debt. The level of debt stabilization increased from 74% of GNP to 80% in a few months. And the recent PRB announcement will weigh heavily on debt.

It highlights our relatively high debt burden relative to peers; It is also concerned about the inability of monetary policy to fight inflation. Too much liquid injected as a result of the monetary financing of our deficit- An increase in interest rates, however unlikely, would be futile to hold back inflation.

Factors that could lead to a downgrade

A continued deterioration in debt metrics, weaker fiscal policy effectiveness, weakening monetary policy effectiveness as demonstrated by rising inflationary risks would also likely to result in a downgrade. An increase in domestic or external imbalances, as reflected in an increase in price and exchange rate volatility, accompanied by a deterioration in the country’s balance of payments position, could also lead to a downgrade.

The scheming of public debt figures continues - the consolidation adjustment which goes to Rs 16 billion, and the BoM which takes the place of Government to borrow in foreign currency.

More in Sushil’s forthcoming article “All Quiet on the External Front, until …." which concludes that

“Without a critical review of our monetary and fiscal policies, Moody’s might be led to downgrade the country’s sovereign credit rating, which could destabilize the financial sector. A lower rating that just clears investment grade status signals serious economic and financial risks ahead.”

Silencing the critiques: The IBA (Amendment) Bill !

The third wave of the pandemic continues to rage on; the peak is yet to be reached exposing the country's lack of preparedness, the inadequate healthcare infrastructure (as well as medical oxygen) and our misfortune of being ruled by a bunch of thugs and incompetents.

More Emphasis On Saving Lives

Hats off to

> the Mouvement Citoyen AntiCovid of Rodrigues for their courageous stand of a 14 days quarantine on the opening of their borders and

> the ReA for recommending these urgent measures to be put in place within 3 months

Bank of Mauritius is failing to comply with BoM Act

Section 32(3) of the Bank of Mauritius Act prescribes that the Bank submit a copy of its audited accounts together with a report on its operations to the Minister of Finance not later than 4 months after the financial year end, i.e., by latest 31st October 2021. And the Minister shall at the earliest available opportunity lay a copy of these documents before the National Assembly. So far, this has not been done. The audited accounts of the Bank and its report on operations for the year ended June 21 is still awaited. The Bank should explain its non-compliance with the provisions of its legislation, at least as a mark of respect owed to the members of the National Assembly.

Why were we caught unprepared ? Why were we caught napping as the virus made a comeback ?

The responsibility lies with this regime that has ignored all caution and allowed people to become more complacent about the virus.

The responsibility for the devastating surge of the pandemic now is "first and foremost" to this government.

It is a self-inflicted national catastrophe.

The PRB award-a futile and onerous exercise

(Published in l'express of 2nd Nov 2021)

 

Why is the PRB award a futile and onerous exercise.? Let us examine some of the issues pertaining to the PRB at these three levels : a)  Compensation for improved service delivery?  b) PRB: An outdated institution! and c) Financing the PRB and the wage-price spiral

Kee Chong : the new look ?

He alerts us to these happenings in our offshore sector "Qui ont intérêt à entretenir de telles cachettes dotées de structures fortes compliquées ? Qui ont cette expertise professionnelle à faire de tels montages financiers ? Cela démontre tout un réseau de facilitateurs qui ont failli à leur tâche de gardien de l'intégrité du système financier. Je veux dire certains cabinets d'avocats, d'experts fiscalistes, de comptables, banquiers, notaires et autres conseillers financiers."

Levelling up" : From slogan to strategy !

The recent party conference of UK’s Conservative Party in Manchester fleshed out its new signature policy, “levelling up ” , meaning closing the gap. Neil O’Brien , the new minister for levelling up has promised a white paper that will give a clearer definition of levelling up and also provide the measures to measure it .

Wrong message for Air Mts !

Fracassant début de Ken Arianus !

The super CEO , “divan divan”, led the 18 pilots of Air Mauritius, who were under five years of leave without pay, to the PM’s Office.

Our almighty PM, using his magic wand, reinstated them back on the pay system and our ex-laureate pilots will be receiving training on the A330 aircraft .

What do taxpayers think about the DOCA for our National Airline?

Was it the only solution ?

I am just thinking aloud and joining the many so-called x-perts on Air Mauritius. There are so many of them waxing lyrical now on what should and should not be done !

Let us give Ken Arian a chance !

Weird “maniere de voir” by El Figaro in L’express of today; an analysis that looks beyond the swirl of events, against the dreary background of hubris, myopia , duplicity and cronyism ,to try to convince us not to deny the newly appointed ex-senior adviser at the PMO a chance to prove himself as super CEO of Airport Holdings.

The SBM Holdings Ltd- a cash-cow for political nominees

The SBM Holdings Ltd- a cash-cow for political nominees

Ease of Doing Business Report Discontinued .

In 2011, I had a public spat with the then Financial Secretary , Ali Mansoor, that started with my article the “Guy must go” published in MT under the pen name Mohun Kanhaya , followed by his “Right of Reply”. I countered in “ TINA Policies: A Re-assessment” and Ali Mansoor hit back, with the support of his ministry, in a "Mise au Point", overwhelming everybody , including my Chief Editor, by displaying an avalanche of carefully picked achievements – an exalted list compiled very technocratically and in minute details. My Chief Editor gave him full marks ...I retreated with tails tucked firmly between my legs...

Are we being anti-patriotic ?

Someone rightly said that “true patriotism hates injustice in its own land more than anywhere else. “ and Einstein added “Nationalism(read Patriotism): An infantile disease. It is the measles of mankind.”

Watch out for today’s tam tam about the Laureates !!!

“L’heure de verité for some 9000 candidates !!!

Intervention of the Minister of Education who is usually absent when she is most needed ! Live, la proclamation de la liste des resultats.

“Plateau special” on different radios and on live Facebook

Réactions à chaud des lauréates et candidats

Témoignage des parents

Ambiance dans les collèges

Émissions spéciales on radios as from 17.00hrs

Photo, vidéos et réactions sur Instagram

Pour enn Nuvo Moris non-komunal , enn Nuvo system elektoral

It’s now some five years that Rezistans ek Alternativ filed a lawsuit against the State on the mandatory declaration of one's ethnicity for registering as a canditate for the general elections in Mauritius.

State of our Environment :

-Espèces menacées: Maurice 2ème sur la liste !

-The Draft National Land Development Strategy(NDS) pas à la hauteur !

-Un amas de résidus de coraux endommagés à l’entrée du lagon!

L'économie à genoux ?

The PM "Pei finn azenou ek kantité dépans kin bizinn fer"

The economy is in dire straits , they have brought it on its knees by their incompetent management and irresponsible populist policies that have led to the "kantité depans kinn bizin fer"

Teachers should be seen as as carriers of "emancipatory education"

Teachers should be seen as as carriers of emancipatory education"

"Your children are not your children. They are the sons and daughters of Life’s longing for itself. — Kahlil Gibran"

The five main factors undermining the regime

The five main factors that would be determining the course of future events; the five crucial reasons why this regime is between two minds about the Municipal elections or a snap general elections at mid-mandate are :

Containing inflation: Is the Central Bank running out of ammunition?

You recall that the exceptional Rs 60 billion of money creation by the BoM to finance a higher budget deficit -the monetary deficit financing as opposed to Quantitative Easing(QE) by many countries-was met with disapproval from the IMF which considered such financing as a last-resort mechanism, when it is not possible to obtain enough financing from any other source. “Moreover, it should be on market terms, restricted in time, and with an explicit repayment plan over the medium term.” The monetizing of deficits has undermined the ability of the BoM to keep inflation under control .

The PM asserts “Cinq credits : on doit garder un certain niveau ”

Ki niveau li pé causé ?

They are good at implementing populist policies not at carrying out crucial reforms, and least of all , reforming an ossified and dysfunctional education system.

PADA Bluffs ! : An economist’s comment

He is misleading the Public about the State of the Economy

The Minister of Finance has recently tried to paint a rosy picture of the economy, by misrepresenting the facts and misleading the population.

“Une brève histoire de l'égalité” by Thomas Piketty

Interesting interview of Thomas Piketty by AFP reproduced in today’s l’express in the context of the release of his new book ‘Une brève histoire de l'égalité”.

The LP leader shows equal biasedness as in the Britam report…

In his press conference the LP leader was all out in defending his main financier, the BAI . He gave some concrete examples of “the politics of revenge” , the vengeful act that led to the destruction of the BAI. The closure of the BAI group and revocation of Bramer Bank’s licence following persistent liquidity and regulatory capital shortages was indeed mismanaged. He gave some examples of the efforts undertaken by BAI ,when he was PM, to comply to concentration limits in related party investments etc..

Joining the gangster capitalists and cronies

To my daughter,

Sorry dear, I think I will not be able to make it to your place this winter. There are developments here, things are brightening up for us and it could be a game changer …I have been able to work my way up the higher echelons of Lakwizinn… it's a govt within a govt ; a Lakwizinn with untrammelled powers ; I think my recent claim to royal lineage has helped ; my contention that my forefathers are of Punjab descent related to the Sikh Maharaja Ranjit Singh is bearing fruits …..

A new variant of capitalism has emerged:The Mauritian variant ?

Please find below some relevant extracts from a very interesting recent article in "The Guardian" which claims that alongside the new variants of the virus there has been a new variant of global capitalism. 

Pension Populism: Reaping the dividends in 2024 !!!

All concerned economists , analysts and international agencies, including the IMF and the WB, were expecting a thorough reform of our pension system that would be setting the level and the gradual increase of benefits in a fiscally sustainable manner, while ensuring equity between public and private sector employees and freeing resources for more of pro-poor spending.(The recent WB’s CEM affirms that the targeted measures under Marshall Plan Social programme generated a more equal distribution of income and was superior to untargeted transfers because they could achieve the same degree of poverty and inequality reduction with fewer resources. Precisely, the same decline in the Gini index could be obtained by spending only 29 percent of the current BRP expenditure if it was targeted to the poor.)

Meritocracy-the Mauritian version !

In today’s l’express, "Pravind Jugnauth refuse de fournir des precisions à Bhadain ".

A doubtful unemployment rate of 9.8% !

The latest “Labour force, Employment and Unemployment” indicator for the First quarter 2021 shows an unemployment rate of 9.8% compared to 10.2% in December 2020.

Inflation measures : Mere palliatives !!!

Govt should come along with some serious measures !

The excess liquidity in the market , the depreciation of the rupee and the local increase in pretroleum prices are adding to the inflationary pressures from the hike in international commodity prices and freights.

Let IMF say what it says”….No , Sir, We do care !!“!

(Published in l'express July 2021)

Our Marxist old boy , our Chairman of the MIC, a skilled orator and famed showman with his flashy costume, fights back trying to justify the role of the MIC , despite criticisms from different quarters including the IMF. He argues that 

(a) many affected companies and jobs were saved by drawing from the foreign exchange reserves of the BoM rather than letting it lying in US Treasury Bills with yields at very low levels, 

(b) the MIC's mandate allowed it to channel funds for building future capacity and that their primary focus was the Mauritius economy of care and love not what profits the MIC and

(c) the investment committee did its job very efficiently in saving the affected companies and giving them some breathing space.

Another setback to our offshore sector

This week the Mauritian offshore sector has been named in two prominent investigations - the Sentry, an US investigative anti-corruption NGO, released a report on the Zimbabwean business magnate, Kudakwashe Tagwirei’s business activities and the the French website Mediapart ‘s report on the Rafale deal, an alleged corruption and favouritism in the 7.8 billion euro sale to India of 36 fighter aircrafts.

The PRB award-a futile exercise

My earlier comments on the PRB seem to have irked some of my readers and in an attempt to tone me down, they pointed out that even as a retiree I will still benefit from some fruitful adjustments to my pension. But I did not wait for my retirement to settle my scores with the PRB . My article titled “PRB: Compensation for improved service delivery?” dates back to the 5th June 2013 and was published in l’express .

A call for cancellation of the oil price increase !! Slash the fuel taxes !!!

Gasolene or Mogas price has crossed the Rs 50 mark as a result of the hike in its price since the beginning of July.

Mogas has increased by Rs 9.75 per litre or by 20.14%. whereas diesel retail price showed an increase of Rs12.20 per litre or 34.86%.

The new Reference Price of US$678.96 per metric ton for Mogas is the actual prices for April to June 2021 and the future prices for July to September 2021 at an exchange rate of Rs43.00/US$.

The fiddling with figures goes on !

After the presentation of Budget 2021-22, the series of articles, including the IMF analysis in the Staff Report -critical of the budget figures - show that the the government is failing to persuade the public that the economy is or will be doing well. That explains why the government is so proactive in the manipulation of figures focussing on the management of perception after failing to convince us with its BBB-Big Budget Bluff.

The worst is yet to come !

Something back in March in an article title “The Budget Deficit : Caught in their own lies !!!” I argued that “ It may continue with its old trick of depreciating the rupee during budget time to reap the windfall credited to the Special Reserve Fund........”.

The general concern is that the worst is still not behind us— this massive depreciation of the rupee comes at a time when the increase in freights and international commodity prices, including international crude prices, which is currently above $70 a barrel, is likely to nudge on the local inflation.

Exit from the Grey List- one last hurdle, the On-Site Inspection by FATF

We will have to wait for the next plenary session of the Financial Action Task Force scheduled for October 2021 for a delisting of Mauritius from the grey list.

The progress made will be validated by an on-site inspection with the aim of confirming that “the necessary political commitment remains in place to sustain implementation in the future ”

Differences between IMF comments & views of Govt

The IMF’s recent comments on Mauritius highlights some key differences between their assessment of our economic situation, and the views held by Govt.

Big Budget Bluff (BBB) on Public Sector Investment

The 2021/22 Budget is claiming to set a new strategy with a key pillar, namely “Giving an Exceptional Boost to Investment”, as mentioned in para 28. The Budget, at Para 32, aims at “launching an unprecedented investment drive in the economy”, and refers, at para 132, to “the surge in public sector investment over the next three years”.

Vague answers to straight questions ?

Going through the interview of the ex-Governor of the BoM in l’express, I got the impression that we have been taken for a ride ; instead of straight answers to straight questions , we had to go through a verbose analysis which merely grazes the swirl of current events ...

Sithanen : After his “helico money’, now ‘a greater marge de manoeuvre” for Budget 2021-22 !!

(Published in L'express, another version title " No room for Manoeuvre", May 2021)

Sithanen is asserting that Payadachy has enough of ‘marge de manoeuvre" for the forthcoming budget because the lower spending in the last budget has enabled a savings of some Rs 20 billion. Is that so ?

To our political representatives !

In their latest press conference, the representatives of the labour party were briefing us about their presence in the march /demonstration for the Palestinian cause and their concern for the people of Palestine , the killing of women and children , the injustice, of the ideological Jewish settlers evicting their Palestinian neighbours from their homes…

Continuing the debate...... Comments on Raj Ramlugun post : “THE PALESTINIAN KOZ - ANT FANATISM, HIPOKRIZI and LINDIFERANS!”

Raj : Arett fer ipokritt e populism avek soufrans lezott! Komie konn listwar problem Palestine vreman? Pu buku sa pena naryin ek nosion linzistis ek dominer enn pep. Fact check kredibilite sa bann ki souvan divan divan la dan Moris. Ki kantite zott konstan dan laguer kontt linzistis ek dominer dan zott lavi ou karyer? Check track record tou sa bann dimounn ki servi ou siportt koz Palestine kumsa kumsa , sirtou sa bann gran misie politisiyin la.

The BAI Saga: The two sides of the story

Whenever you read or listen to the narrative on the BAI saga by some hardcore labourites , they seem to get stuck to one side of the story-the verso side and, «kouma dire fin met œillères » , they refuse to flip over to the recto side .

Some confusion on BOM’s unconventional measures and the IMF reprimand

If you go through the recent interview of some of the analysts arguing about the unconventional BOM measures and the consequent IMF reprimand, you will notice that there is a lot of confusion.

La verité historique de Tsang Man Kin

Tsang Man Kin concludes his “ verité historique “ as follows : Qu’on ne vienne pas raconter des histoires sur le rôle d’Anerood Jugnauth sur l’industrialisation et encore moins sur le développement et la réussite de Maurice ! Ce sont deux hommes : Sir Seewoosagur Ramgoolam et le Général de Gaulle qui ont mis Maurice sur le chemin du développement de la prospérité qui a suivi. Que les jeunes générations ne l’oublient pas !

Georges Chung sent to the front for damage control

From the interview of G.Chung in Le Defi, it appears that our special adviser to the PMO- our metro man, who had been selling us the dream of the new transport infrastructure transforming Mauritius into “modern, liveable ,vibrant and environmentally-friendly Smart Mauritius”- has been sent to the front lines to limit the damage caused by the recent IMF article IV press release and the accompanying hard-hitting comments from various quarters.

Concrete and coherent alternatives that are both desirable and workable

Many of us have often proposed alternative strategies -see my “The chance of a real rethinking of our economy” published in l'express of the 13 Oct 2020. And recently P.Kugan of the ReA , V. Ancharaz of the MMM and the party Lalit have made enough of contributions for an alternative economic model for our economy to meet its future challenges- for e.g agro-processing, the ocean economy, renewable energy, the digital economy, land democratization, import substitution, food security, the fishing industry ,….while integrating environmental constraints etc. Many,however, are not convinced and there are still doubters. They are thus not convinced that these alternatives/proposals are better than what we have at present.

A severe but well-deserved rap on the knuckles from the IMF.

No more of dubious arithmetic or colourable accounting, by MOFED and the BOM, to hide their irresponsible policies !!!

Can we win the war against drug trafficking ?

Nearly 300 kilos of drugs, estimated at Rs 3.7 billion, seized at of Pointe-aux-Canonniers. What is the real issue ?

The Non-Citizens (Property Restriction)(Amendment) Act

Why this urgency ?

Government pretends that it brought these amendments to “clamp tighter controls on the purchase of real estate by foreign nationals” and thus “enable Mauritian households aspiring to home ownership to achieve their goal." They are selling this amendment as a long-due introduction of the necessary controls on foreign home ownership to give more protection to aspiring homeowners in our country and prevent foreign nationals to circumvent our legislation regulating land ownership, to acquire property in Mauritius.

Supplementary Appropriation 2020-21 Bill

The Supplementary Appropriation 2020-21 Bill provides for additional expenditure of Rs 17bn, of which the bulk relates to an equity injection of Rs11.9 bn into the National Property Fund. As I mentioned in November last when the bill was supposed to be taken up , the cost of dismantling the BAI could well reach a final amount of Rs20 bn and that the public will be footing the bill in the coming years, after having been fed with illusions of high returns from the outright sale of NIC, Maubank, Apollo Hospital, and other BAI assets."