Prime Minister Lawrence Gonzi told a delegation from the MaltaEmployers' Association today that the purpose of the tax cutting planshe announced earlier this week was for the economy to replicate thesuccess it had last year.

Dr Gonzi said the tax cuts which thegovernment had introduced last year had boosted the economy, and he wasconfident that further cuts would be just as effective, benefitingworkers and businesses.

At the same time, the government would stick by its target of achieving a budget surplus by 2010.

MaltaEmployers' Association president Pierre Fava said the association wascalling for bureaucracy to be slashed so that economic growth could befacilitated. He also underlined the need for continued social dialogueand expressed appreciation for the fact that proposals by theassociation had been included in the last budget.

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