Reversing the downward spiral

By FELIX AGUON
Special to the Saipan Tribune

One of the things that I think is important for the people of the CNMI and the region to know is that no mistake is irreversible. This is true particularly when it comes to the mistakes of the past.

In the final quarter of last year one of the stalwarts of the visitor industry and long time friend of the CNMI, Japan Airlines, discontinued service to the islands. So far this has hurt visitor arrivals to the CNMI with about a 15 – 20 percent decline in monthly visitor arrivals. Gov. Ben Fitial and his administration have had to contend with serious reductions in the amount of money flowing into the government’s coffers during the first few months of his term. So far he has been able to make do with the resources quite well.

This reaction, although not particularly popular, is probably among the best things he could do until he can sit back and take a good look on what has been happening with the economy of the NMI and the region over the past few years. I think that, although the average person working a job in the CNMI will have to tighten their belts for some time, it is a better thing to face a reduction in income via reduced hours than it would be to lose one’s major income source, which may be employment within a government department or agency.

If someone came up to me and asked me if I care about a family’s need to deal with the loss of a percentage of their income I would probably say, take it on the jaw for now and deal with it. Families often need to be able to react to crises situations and in the case of the CNMI it is timely. In the same breath I want to make a suggestion to them that they should try not to get into the situation where they would depend on government programs, which would be a trap that many would be unable to wean themselves from.

It is most unfortunate that there are many residents in the region, particularly Guam and Saipan, where their only income option other than government employment is welfare and many are not afraid to come out and admit it. Everyone should try to diversify and broaden their skills. If they are still able to take in and utilize new information that could lead to skills then they are probably the better for it.

Fortunately, for Guam, its economy has hit rock bottom some time ago and several years into the future the road looks a bit smoother. I wouldn’t say that we are out of the woods quite yet but I do think that we may have better times in store for us despite our lack of leadership and poor planning and accountability in using people’s money.

Well, the original thought for this week’s submission was to bring to light a way in which the CNMI can reverse the event of the JAL pullout late last year. I believe that the Japanese are amongst the most loyal people in this world ever. I have been involved with Japanese people for more than 30 years and I can personally vouch for the goodness of most of those I have known throughout my lifetime. Of course I have also been involved with some who have been negligent in their responsibility but then that is another story.

This region, Guam and the NMI are included in this, have been literal jerks when it comes to trying to keep important relations intact. For many years since the 1990s the visitor industries for Guam and the NMI have played footsie under the table with a few preferred businesses and have really placed public relations with the major players in the industry off to the side. Japanese companies have set up decades ago and placed a great deal of time, effort and money into their movement. In the beginning, it wasn’t as much a profit venture as it was an opportunity to be a part of global expansion and setting up international relations following World War II. Even during the early years Japan made it a point to do whatever it would take to get out there and make some noise. Unfortunately, the bubble economy burst, leaving many scrambling to protect whatever could be saved. The banks of Japan held out their necks to protect relationships to their own detriment. Japan Airlines has not been making money in the NMI for quite sometime and the rough realization that the economy was in a downward spiral was imminent.

Although JAL is gone, for the most part, and its infrastructure has been dismantled to a degree, some deep thinkers and good PR people can reverse the move. I think that Guam is on the road to follow what the NMI has so easily allowed to get away. Don’t get me wrong. JAL isn’t the only game in town but it would be more significant to win them back and a testimonial to the strength that could start a more meaningful recovery. ‘Nuff said.

(Felix Aguon is a writer based in Guam.)