AD concern over galloping inflation

Alternattiva Demokratika expressed its concern today over the way how inflation had risen by 5.6% in a year, the steepest increase in the eurozone.

Party leader Arnold Cassola said the situation was extremely worrying.

"This actually means that the spending power of Maltese salaries is being continuously eroded, with certain categories of workers not making it till the end of the month on their salaries".

Michael Briguglio, spokesman for Social and Economic Development said that whilst certain sources of inflation were imported, the government could take action against other sources.

"To begin with, AD believes that the government should seriously consider realistic compensation for cost of living increases, an increase in the minimum wage and in tax credits", he said.

"We are proposing the strengthening of fair trading office so that it can take action against cartels and abusive practices. Government should also encourage increased production of commodities such as agricultural products and incentivise local markets to avoid artificial price increases by middlemen. The government should also make life easier for small and medium enterprises whilst avoiding extra costs resulting from bureaucracy and communications".

Mr Briguglio also appealed to the government to revise the energy surcharge so as to penalize wasteful practices and not basic energy use.