It's time to give it a head
Casimiro Curbelo
President of the Cabildo of La Gomera and spokesperson for ASG in the Parliament of the Canary Islands
In the Canary Islands we have had a good economic year, which has only been clouded by the harmful effects of inflation on family economies. Our islands, for good and bad, have an enormously dynamic service economy, which is capable of flexibly supporting market changes. When an industrial sector collapses, it is very difficult to get it back on its feet, but the tourism and commercial fabric is capable of withstanding moments of enormous drought and recovering immediately with the first rains.
We have almost returned to the best tourism figures, we have managed to create more jobs and a record number of sales have been invoiced in the sector that mainly drives the economy of our land. These are encouraging and very relevant data, especially after having suffered zero tourism: let's not forget the image of the hotels, restaurants and shops closed and our empty tourist cities.
But just because we have refilled the empty pantry does not mean that we should close our eyes to threats. First, the inflation that we suffer and that impoverishes us all is going to be very difficult to eradicate: it will take a long time and many sacrifices. Second, the crisis in certain raw materials and energy supplies can cause a slowdown in the economic growth of the main European countries. These two factors, combined, can very negatively affect, in the worst scenario, the economy of our islands.
Many experts have warned of the “worst winter” for Europe. The uncertainties and effects of the war in Ukraine, the gas shortage and the increase in the cost of other fuels, inflation, the depreciation of the pound against the euro, political instability... All this pottage of complications could end up affecting the economies of the European Union. And the Canary Islands, which depend on the vacation spending of hundreds of thousands of families from those same countries, may see their tourism affected. Sector that registers 25% fewer reservations than those that occurred on the same date in 2019, just before the pandemic.
Therefore, it is time to think things through. We must tighten our belts and reserve resources in case the outlook becomes as ugly as some warn it can get. In the budgets of the Canary Islands Government and the other administrations of the islands, we will have to pay special attention to dedicating all the funds we can, and some more, to reinforcing the needs of many people who are in difficulties, still recovering from a few years of economic calamity.
There is no need to be pessimistic. The threats that appear on the horizon often disappear as the months go by. But as I always say, you have to hope for the best and prepare for the worst. The extraordinary funds from Europe and the extraordinary tax collection in this year of prosperity will allow the public sector, which has been fundamental in keeping the business fabric of the islands, tourism and commerce, alive, to have the necessary resources to defend the most vulnerable, if things get complicated.
The Canary Islands today have more employment than ever and our economy is growing robustly, above the average for our country. That is the best guarantee of progress and social well-being. But if a new crisis hits us, we have the insurance of public institutions that have proven capable of preventing collective shipwreck.
That benefits be contained now, that the necessary salary improvement be reasonably moderated and that we rulers eliminate unnecessary expenses by concentrating our actions on public investments, which generate work and progress, and in social areas, is a task that will help us contain inflation, but will also be useful to have muscle if curves come in the end.
