The Government’s plan to conduct a comprehensive review aimed at right-sizing the Civil Service and controlling the public sector wage bill has raised significant concerns, according to Independent MP Faiyaz Koya.
Koya believes this initiative will lead to increased migration. “Our young and educated staff are likely to feel that the situation is too unstable and decide to leave, and that’s already happening,” he said.
He criticized the Government for not addressing several critical issues, including an expected slowdown in the tourism sector, worsening skills shortages, high immigration rates, an improved business climate, and the impacts of climate change. Koya also pointed out the failure to incentivize the Micro, Small, and Medium Enterprises (MSME) sector.
Koya argued, “Even the 16-year projection is incorrect. The highest growth in this country occurred within those 16 years. They’re mistaken; they cannot do the math properly. The MSME sector, which drives growth in any country, has been stifled for the last 18 months.”
He urged people to speak with local shopkeepers about their readiness for upcoming economic challenges. “Are we sufficiently prepared for the potential headwinds? No, we are not,” he stated.
Koya also vehemently criticized what he called the “greatest water hoodwink” in the last budget, where Parliament granted water bottling companies a tax-free holiday or incentives. “Now, our local water companies face a tax hike from one cent to five cents, a 500 percent increase,” he said.
“The Government gave with one hand and then slapped them with the other, demanding they pay up. Just 12 months ago, local water bottling companies were pleased with their tax-free status, but now they are far from happy,” Koya concluded.
The Independent MP did not support the budget.