The game of musical chairs has been around for quite some time and is often played at functions to the delight of both participants and spectators. The game begins with a number of players and a number of chairs which is one less than the number of players. Music is played and while the music is on the participants walk or dance around the chairs. However, when the music is stopped, the players must race to find a chair to sit on and the individual without a chair is eliminated. The game continues until the chairs are reduced to one and last man or woman sitting when the number of chairs is reduced to one wins the game.
The vital topic of fiscal reform over the years can be likened to the game of musical chairs. The metaphoric reference to this game is an interesting one albeit the only difference is that the last man or woman standing in this instance has been left to address this matter and must face the music. In essence, fiscal reform had become a game of political music chairs but now the music has stopped and chickens have come home to roost.
The participants over the years
The public discourse on the issue of fiscal and tax reform has rightly highlighted the fact that successive administrations have contributed to the current state of our financial affairs. The main players of the fiscal reform political music chairs have been the administrations of both the Progressive Liberal Party and Free National Movement. However, it would be disingenuous not to state that the levels of prudence and/or extravagance exerted by each administration have differed.
The fact that the percentage of our revenue obtained from taxes is one of the lowest in the world suggests that we have not sought to keep up to date with global trends and the changing landscape of our country. Additionally, the reality that we have depended heavily on custom duties and import taxes for so long shows our level of planning in a world of globalization and free trade.
The Band-Aid approach
The lack of courage to make the difficult decisions on fiscal reform over the years led successive administrations to use quick fixes to plug holes in our finances. Hence, the government adjusted tariff rates year after year in attempts to raise sufficient revenue to cover its expenditures. Additionally, some fees were increased sometimes to the detriment of businesses and private individuals in order to minimize recurrent deficits.
It is apparent that the plan of the current administration to curb spending, improve revenue administration, implement a more progressive form of taxation and spur economic growth should have been implemented several years ago. Had such a plan been developed when it ought to have been done, we would have had the luxury of phasing in our fiscal reform plan without our backs up against the wall. We chose to cover fractures with Band-Aids knowing full well that casts were required to fix the structural fiscal problems of The Bahamas.
The delight of the spectators
It is important that the private sector and we the Bahamian people take responsibility for our role as spectators in this game of political music chairs. The danger of political tribalism could not be better shown than in this instance as we failed to adequately hold successive administrations accountable for the management of our financial affairs. While the music played, we were entertained as we demanded more from the government on the expenditure side without considering the consequences of spending more than we earned.
On the part of the private sector, it is encouraging to see the current level of engagement on the proposed implementation of value-added tax (VAT) in The Bahamas. However, this also begs the question as to where the leaders of industry have been hitherto. Unfortunately, the discussion is being held at a time when the country is at a crossroad; at a period of desperation for our commonwealth. While the tax concessions were being given, tariff rates were being reduced and we amassed considerable debt, it seems that we were comfortable as long as there was no direct threat to our profitability or survival.
The hypocrisy of opposition parties over the years is even more profound due to the contradictions of positions taken. These positions were accompanied by complaints against and criticisms of the government of the day for not doing enough (which requires spending more or giving up more revenue in concessions or tax breaks), overspending and not having a comprehensive national economic plan. Sadly, upon assumption or regaining political power, the former opposition parties chose to maintain the status quo. It is therefore mind-boggling to see that we are only just considering fiscal reform in 2014.
The stoppage of the music
There is no doubt that the music has now been stopped and the current administration has been left holding the proverbial bag. Unlike the traditional game of music chairs, the government of the day in winning the competition and being elected is constrained to confront the important issue of fiscal reform under the watchful and prying eyes of international rating agencies and multilateral organizations.
This is indeed quite a time to be the government and a convenient period to be the opposition party. Long overdue discussions are being held and recommendations are now being made while the clock is ticking. We must face the fact that the downgrade of our sovereign rating and potential devaluation of our currency in future is imminent if we do not act now. We must remain cognizant that we do not have the luxury of time and the urgency of now demands calculated action in the short term.
Conclusion
There must be full acknowledgment by our political leaders across the various political parties that they have all failed over the years to put country first on the issue of fiscal reform by the reluctance to make the tough but right decisions on this issue of national importance. The rationale for their inactions may not be fully known but it is clear that political self-preservation was a major contributor. The fear of repercussions at the polls appears to have crippled successive administrations in this regard.
Once they admit this failure, it is incumbent upon them to now work together to address this matter.

It is unhelpful and counterproductive to simply disagree without offering realistic alternatives. In the midst of this debate, we must also not forget that tax reform is not unconnected to the globalization effort and the move toward trade liberalization with our accession to the World Trade Organization (WTO). Hence, commentators must consider the bigger picture and resist a myopic view to simply avoid VAT.
In the final analysis, it would seem that the game of political music chairs is a permanent fixture of our politics, and Bahamian politicians have mastered the art of finger-pointing. Regrettably, this game is played out on every issue of national importance in our nation. However, as is often said, when you point a finger at someone, the majority of the other fingers are pointing at you. The only saving grace for the individual pointing the finger is that when the music stopped, he/she was only watching as a spectator even though he/she had his/her day at the reins of power.
o Arinthia S. Komolafe is an attorney-at-law. Comments on this article can be directed to a.s.komolafe510@gmail.com.

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