Statistics confirm government playing with figures - PL
The Nationalist government had failed in the financial targets it had established and in the revised estimates for the budget 2009, Labour MP Charles Mangion said.
In a statement, he said that the latest figures published by the National Statistics Office confirmed that the government was continuously playing with figures to give the impression that the country's finances were strong. However, the published figures confirmed what the Central Bank governor said in his annual report for last year that the country's debt and deficit were keeping the government from implementing a package of economic stimulus to promote economic expansion.
In the revised estimates the government had projected a revised deficit of 200 million euros but this ended up being 233 million euros. The government's revised income had to be 2.38 billion euros but the government's ordinary income was 82 million euros less than projected in the revised estimates.
The government, Dr Mangion said, had projected a capital expenditure of 275 million euros but this was 53 million euros less than originally projected.
Capital expenditure for 2008 was of 222 million euros - 53 million euros less than the revised estimate.
The government's drop in capital expenditure confirmed the irresponsibility of the Nationalist government in the current economic situation.
The country, he said, was in recession and needed productive investment. But the Nationalist government was doing the opposite of what responsible European governments were doing.
The government's productive expenditure for 2008 was less than in 2006 when the economic situation was not so bad. The government's intervention was of greater need at the moment, Dr Mangion stressed.
He said that moreover, although the capital expendutre was less than projected, the national debt still increased by 227 million euros when compared to 2007. Interest which had to be paid each year also increased going up to 189 million euros for 2008.
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Patrick Cilia
Apr 21st 2009, 15:14
Perhaps we could read some constructive suggestions to better the situation. let us put aside these petty and parochial (almost child like!!!) comments and work together..I suppose most of you have heard of synergy (???!!!) ...1+1=3 and all that.......then put the theory into practice...these are times of synergy not petty mindedness.....if you open a newspaper, the internet or television today you will suyrely have heard about the economic downturn...this may have something to do with some budget expectations!
J Martinelli
Apr 21st 2009, 14:27
"...the country's debt and deficit were keeping the government from implementing a package of economic stimulus to promote economic expansion".
"The country, he said, (Dr. Mangion) was in recession and needed productive investment. But the Nationalist government was doing the opposite of what responsible European governments were doing".
Spending more in a recession is an option, but would that not increase the deficit and consequently the national debt?
So, Dr. Mangion, what is it going to be, more deficit which you and your party will criticize, or restraint with selective stimulus to industries most severely impacted by the world's recession?
Funny how the LP always harps on the recession while Maltese travellers abroad (air & sea) increased by 3.3% last month! It seems that the LP only concurs with statistics it deems to be politically expedient.
Steven Brockwell
Apr 21st 2009, 12:32
here is some creative accounting. if we divided the 189 million euros we pay in interest between each family we would all be millionaires. then the government would not have to pay any social security ?
Lewis Ellul
Apr 21st 2009, 11:54
Not the first time and it won't be the last either. The Government and its media (NET and TVM, Nazzjon and Mument) aims at keeping us all happy and smiling like the "anglu tal-festa", so might as well do some creative accounting, give us fictitious figures and show us the silver lining without showing us the dark clouds.