NEWS | Wednesday, 05 March 2008

Electoral impact on business minimal – GRTU, FOI

David Darmanin

As word on the street may link election times with slower business, spokespersons for the Chamber of Small and Medium Enterprises (GRTU) and the Federation of Industry (FOI) told Business Today that complaints during the past weeks were at a minimum
“Obviously it has been felt in entertainment,” GRTU Vice-President Philip Fenech said. “Certain establishments have taken parties related to campaigns, and that created an added advantage. When there are political meetings on the other hand, the public consumes considerably. This will automatically keep customers away from other forms of entertainment. For these few days, people will abstain from consumption and this is very normal. It happens in every election. Perhaps, as channels of communication develop, it may have been felt a little more now than in previous years.”
Asked about other sectors, Fenech said that there were no complaints of slower business due to the run-up to elections.

Asked about his expectations after elections, Fenech said: “It is of my personal opinion that whatever the result, the situation would concretise, and therefore, there would be a clear affirmation of what people want and that should give an element of stability. Obviously, in the first days, somebody is going to celebrate but then another section of the population will not be in the mood for such things. This situation will of course normalise after a few days, as people will accept the democratic reality – whoever wins.”
On his part, Federation of Industry president Martin Galea told Business Today that the affect in these election rounds is hardly affecting larger enterprises.
“Those companies involved in manufacture are unlikely to be affected in the run up to the election,” he said. “Indeed we have not received any reports of disruption due to the elections. Perhaps it is a reflection of the political maturity of these islands where elections may be seen as a normal democratic process. Many of the larger companies are also export oriented and would not be affected by demand fluctuations which may occur due to the elections, and even those for the local market are unlikely to be affected before the elections.”
The issues are minimal, Galea said. “Perhaps the only issue we have is whether companies should close on the Monday after the elections or not, and how soon will everyone return to normal once the elections are over.”