Shops see drop in demand
Shop owners were feeling a drop in demand due to the announced water and electricity rates. They also had additional business related expenses as a result of budget measures, the Labour Party’s spokesman for the economy and the self-employed said.
Gavin Gulia said in a statement that the government was not doing anything to rise consumer demand and help small business sell their products. So much so that shop owners and businesses were constrained to try to help themselves by coming up with sales well before the sales period.
This situation was without precedent and a clear sign that consumption was very low. Dr Gulia said that the few positive incentives and measures announced to mitigate compliance costs and reduce bureaucracy had not yet been introduced.
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Mike Farrugia
Dec 4th 2008, 02:27
It is true that all the world is suffering from a lack of consumer spending; I'm sure Malta is no exception. The difference is that it did not have to happen in Malta. GonziPN should not have introduced the exceptionally high increases in the cost of energy at this time. It is also worth noting that other countries are not proud of the decreased consumer spending and are combating it by the introduction of a number of initiatives to kick start the spending by consumer. That is what makes the economy vibrant resulting in the positive impact to all of us.
Nigel Lawrence
Dec 3rd 2008, 20:57
Shops are seeing a drop in demand because people are wising up to the fact that shopping is a LOT cheaper if done on the 'net. I, for example, recently bought a Dell laptop computer, via the internet, which sells for TWICE the price I paid for it in Malta.
Enough said
Manuel Mifsud
Dec 3rd 2008, 18:09
Blame it on the water and electricity tarrifs! Only a few months ago they were blaming Super 5 lottery. Nowadays there are different trends whereby conventional products make way for modern technology products, which, by the way, are quite expensive. I am referring to LCD TVs, mobile phones performing like mini computers etc.
I urge retailers to be as competitive as possible. I know quite a few persons who do their shopping abroad where the same products are less expensive.
L. Muscat
Dec 3rd 2008, 15:45
It's as if, we are not part of the world, although let's face it, shop owners always moan about their business. Nothing new
Raphael E Vassallo
Dec 3rd 2008, 13:55
Nothingh new Dr Gulia. The same situation is evident in most countires. Consumer spending is low due to the current credit crisis. So we need not be too surprised if the same is happening in our country.