The Budget for 2021 announced on Monday received mixed reactions from different industries, but none were as vociferous as the response from the creative industry. 

WhosWho.mt caught up with the Malta Entertainment Industry and Arts Association's (MEIA) president, Howard Keith Debono, to find out more about what a sector with a 7.9 per cent share of GDP and 5,000 employees needs for its continued survival and success.

"That is dependent on the measures implemented," he says. Echoing his Association's press release, he laments that the Budget does not seem to consider the arts & entertainment sectors as drivers of economic development in a time of recovery.

"It also does not address ways in which the sector can recover in the coming 3 years and recoup the major losses incurred." Mr Debono notes that it is globally predicted that the next 3 years will be the most difficult for the creative industry, stressing that many countries reacted immediately with a recovery plan.

He calls out the unbalanced allocation in the Budget between the public and private sectors as regards the arts and entertainment industry. "There’s nothing wrong in such allocation, but using the same measuring stick, we expect the Budget allocation to reflect the market share accordingly, which is 77%." 

Pointing out that most private operators in the industry have been on effective shutdown since March, Mr Debono makes no bones about the urgent need for specific measures. "This was even done in other countries who seem to be struggling with their economy unlike Malta."

Mr Debono does not shy away from explaining the repercussions if the creative sector is not protected and nurtured.

"We foresee a lot of experienced and talented people having no option but to find another job, which will certainly affect the industry as a whole and start a domino effect through the feel good factor and the multiplier effect that goes with it." He warns of a ripple effect throughout the whole economy. 

"However, our industry is also known to be resilient, as we have seen in our response to past challenges such as piracy and other problems we faced. The creative sector is never short of ideas on how to bounce back, but for the immediate future we are waiting for a response as to why our industry is not considered as important when compared to other industries that contribute less to the GDP and have a smaller workforce."

Asked about the viability of mass events, Mr Debono points to two failures in the response to the COVID-19 pandemic. "The biggest mistake was, and still is, the adoption of a one-size-fits-all approach. This unfortunately did not help with public perception either."

Secondly, the lack of measures, enforcement and appropriate risk assessments meant that the introduction of legal notices did not translate into responsible behaviour. 

In view of these mistakes and in the context of the current sharp spike in cases, he does not see how such events can be made viable.

"But we do see other options. Safe events with small audiences can be organised if the Government helps with subsidies, as 25 per cent occupancy can never translate into a viable business model. We do foresee a reality that is sustainable online, once again if our recommendations are put into effect."

Mr Debono also expressed concern with the prevalence of free arts and entertainment funded by the public sector. "When content is exposed to the public for free, it devalues the art, and once the mentality spreads there is very little that can be done to reverse it."

He was however forthcoming about ideas to overturn the drive towards free entertainment. Acknowledging that the voucher scheme was a great incentive, he noted however that the arts and entertainment industry gained nothing from it.

"To address this we came up with a voucher that could be spent on any service or good that could be considered cultural consumption." Other measures the Association wanted to see include cancellation subsidies, seed funding and a guarantee facility. 

"We need to have content being created and this requires confidence, time and money. Private funding is currently dead. The same applies to events. Most projects require one month to a year of planning so our industry needs to work from now to be operational next summer. To do this our measures address all of these requirements."

He continues, "To put it bluntly, the wage supplement is there as a safety net and as a means to survive. It doesn’t address how the industry will bounce back and how it will once again contribute to make up 7.9 per cent of our economy. That is why we came up with 10 measures, including the wage supplement, but it’s the combination of all measures which will kick start our industry."

"That is where the state starts receiving back the return on investment, once we can once again contribute to the economy. Not doing so will spell disaster in the economic chain."

Calling out the authorities for their inaction, Mr Debono highlights that all the facts have been made clear and the industry has organised itself to make its needs known.

"Unless this is addressed urgently, arts and entertainment within the private sector will not recover and all that has been built to date would have been destroyed in 2020."

"The livelihood of talented individuals and their families and the future of our industry are in Government's hands."  
Main Image:

Read Next: Placeholder

Written By

Robert Fenech

Robert is curious about the connections that make the world work, and takes a particular interest in the confluence of economy, environment and justice. He can also be found moonlighting as a butler for his big black cat.