City Gate projects 'temporarily shelved'

Infrastructure Minister Francis Zammit Dimech yesterday said the City Gate and the Royal Opera House project had been temporarily shelved for financial reasons.

Responding to criticism by Labour Party spokesmen, including leader Alfred Sant, Dr Zammit Dimech said the European Investment Bank was still prepared to lend the government the money to realise the project.

"However, the government felt that the project could wait a while to address higher pending priorities such as salaries and pensions," he said.

"I cannot understand how on the one hand Dr Sant accuses the government of doubling the debt and on the other he accuses us of being responsible enough to halt a project which would have only added a financial burden," he said.

On the rehabilitation of the bus terminus at City Gate, Dr Zammit Dimech said this would cost over Lm200,000.