Matthew Xuereb
Malta well on track to emerge from recession by June - PM
Malta is well on track to emerge from the recession by June, in line with predictions, but this depended on whether the country's tourism industry picked up, Prime Minister Lawrence Gonzi said yesterday.
With the extra assistance being given to hotels and restaurants and the setting up of a base for Ryanair in Malta, which would see the introduction of several new routes, Dr Gonzi said he was "cautiously optimistic" this would happen.
He said the country's deficit stood at 3.8 per cent of the Gross Domestic Product, adding he would not risk predicting whether the government would achieve its previously set target of eliminating the deficit.
Addressing a press conference on the second year of this legislature, Dr Gonzi said 2009 had been a challenging year for the government but one that had yielded results, despite the turbulent international economic scenario.
While other countries had raised taxes and taken tough austerity measures, his government had placed jobs at the top of its priority list and extended assistance where it was needed most in order to safeguard jobs and attract new investment.
The Employment and Training Corporation found jobs for 4,027 workers, while over 7,200 people started working for the first time, raising to 18,494 the number of new workers so far in this legislature.
Dr Gonzi said over 30,600 engagement forms had been processed for full-time employment and another 21,000 for part-time jobs. Moreover, the ETC last year offered courses to nearly 6,800 people, an increase of 2,000 over the previous year.
In addition, he said, the government handed out €80 million under various investment schemes, from almost 2,200 companies, factories or individuals benefited.
In other areas, Dr Gonzi pointed out that the government had raised the budget of the Malta Tourism Authority by €31 million and more airlines were encouraged to start operating to Malta. Various schemes were launched to help hoteliers and other operators in the tourism sector.
Assistance was given to the self-employed and SMEs, including tax credits announced in the last Budget, which were benefiting 28,000 people.
Asked whether the government had learnt any lessons from the industrial unrest that followed the announcement of the new water and electricity rates in October 2008, Dr Gonzi replied in the affirmative.
He said the government had learnt its lesson and had voted an extra €10 million to help ease the burden of the new rates on families.
Asked about his solution to troublesome backbenchers, that of twinning them with ministers, Dr Gonzi said this was a system used in other countries, which have what are known as parliamentary private secretaries. He intended to introduce the system for backbenchers to make them contribute more, maximising on the good human resources available.
Reacting to the comments, the Labour Party said Dr Gonzi's second year in government was characterised by economic uncertainty, incompetence and political instability, which harmed families and businesses.
In two years, the Prime Minister managed to break his main promises to achieve a surplus in government's finances by 2010, to generate jobs, to keep free healthcare and lower taxes. The country instead was faced with a record deficit of €410 million, 7,758 unemployed people, the highest water and electricity rates in Europe, a proposal for healthcare to be charged and an increase in taxation.
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Jim Dale freq.Visiter
Mar 7th 2010, 19:27
i see we are blessed with some wonderfull PROPHETS, THE BOOK OF GENESIS I THINK, APPARENTLY THIS GUY ABOVE CAN SEE THE FUTURE. I hope you're right sunshine, pity we haven't got people like you back home who can foretell the future, then everything will be chusty, famous words by DelBoy.
adrian aquilina
Mar 7th 2010, 10:27
we might be if gonzi would actually do anything to help this country and its collapsed economy by helping small business/self employed,by not over taxing us and over charging on utillities so people have money to spend in shops,which is the economy,and stop finning business for late payments..the situation is drastic and neads a government who will do something about it now..too many people losing their jobs,too many buisinesses closing,too many families with no electric or water..its unaceptable when any governments first duty is to the people who live in the country.governments job is to make sure people can afford to live,to create jobs and to make sure buisinesses keep running and the economy keeps moving..p.n. have done none of these..the party needs to change their leader before they become the most disliked and most harmfull government to this country for many many years
Charles Muscat
Mar 7th 2010, 10:19
I feel sorry for the Maltese, you swallow the hook line and sinker.
lgalea
Mar 6th 2010, 21:38
Joseph E Briffa The per capita figure is absolutely absurd in that ti presents a totally distorted and not true picture.
As an example say that a country has 10 persons and the GDP per capita is 1,000,000 widgets. 1 person may have 999,991 widgets while the other nine may have only 1 widget each. Does that mean that all the persons have the same income?
P Attard Can you be so gullible my friend?
B.Borg
Mar 6th 2010, 18:31
@Lawrence Fenech
the first one after the next election
g.c.Forte
Mar 6th 2010, 17:14
@ P.Attard..........While respecting your opinion,I look at it this way.......Dr. Gonzi although he was part of the past P.N. governments, the responsibility for the disastrous financial situation goes to Dr. E.F.A `s era. Dr. Gonzi as P.M, inherited this situation,and he has no choice,but to lower our big deficit, like it or not. How ? God only knows................As for Gonzi / Piano`s project, if it will be materialize, during the work, yes,it is going to create jobs,but when it will be finished, I do not see how it is going to stimulate our economy in any way. As for tourists attraction, I am sure that they prefer to see it like it is,than see an entrance without a gate, a parliament on stills " like the house that Tarzan use to have " and a theater without a roof, like a tennis court.
Lawrence Fenech
Mar 6th 2010, 16:42
JUNE OF WHAT YEAR?
S Borg
Mar 6th 2010, 16:30
@P Attard
Can you please tell me in real terms how will the Valletta City entrance stimulate the economy and how will this effect our standard of living.
g.c.Forte
Mar 6th 2010, 16:02
@ Joe Vella...............As far as I know, most of it from yours ,mine and all those who pay taxes. If you have any other opinion,please give us the information, but I wish you to be a little bit accurate.
P Attard
Mar 6th 2010, 15:30
Malta's GDP, according to Google, is around $8 billion - http://www.google.com/publicdata?ds=wb-wdi&met=ny_gdp_mktp_cd&idim=country:MLT&dl=en&hl=en&q=malta+gdp . The graph itself makes for interesting reading as it illustrates quite starkly what a huge impact on our quality of living EFA and Gonzi have had.
As for some other comments in here - the Govt will fund the Valletta entrance with our taxes and this will help to further stimulate the economy. Dr Gonzi, perhaps more than Dr Fenech Adami, not only knows how to manage our finances but also knows how to invest our finances for OUR collective wellbeing - the evidence is stark.
Joe Vella
Mar 6th 2010, 15:18
@ g.c.forte
Can you tell us all how the Government is going to fund what you referred to as the Gonzi/Piano Project?
Joseph E Briffa
Mar 6th 2010, 12:27
According to my calculations the GDP stands at Eur10.5 billion, which gives a per capita income of Eur26 000 (about$35 000).
g.c.Forte
Mar 6th 2010, 12:00
@ Peter Vella.........You are wrong by saying that the P.L.are not aware of the global economical crisis........ What is worrying me is that, when I watch the NET news, I will be thinking that I am living in heaven, or having a nice dream,because everything is positive, nothing is going wrong in OUR country. Being a P.L. supporter, what I see wrong in this government is that, when we are passing through a very difficult time ( as you said so too ) this government is finding money ( our money ) to waste them on stupid projects like the " Gonzi / Piano`s " I am sure that you agree with me , when saying that for the moment we can wait a little bit to make these projects. People are still entering Valletta, people still going to the operas, and our parliament have a place to meet. Why now, or is it the P.N. that are not aware of this situation.
joseph gariboldi
Mar 6th 2010, 11:46
the deficit of 400.000.000 euro is = 3.8% of gdp? so the maltese gdp is about 14.000.000.000 euro? WOW!!! Why do the maltese think to be a "poor country"...???
g. scerri
Mar 6th 2010, 11:34
In the UK, Parliamentary Private Secretaries (PPS) are expected to support the government in important divisions in the House.
They should avoid associating themselves with recommendations critical of ,or embarrassing to, the government. No PPS who votes against the government can retain his position.
The cannot make statements in the House or put Questions on matters affecting the department with which they are connected.
They are unpaid.
In theory they are not members of the government but in actual fact they are working for the executive, ie.the government. Locally, this measure will effectively destroy the government's backbench.
With Malta's political culture together with the necessarily small size of its Parliament being what they are, the PM may have bought himself peace to the detriment of the independence of MPs thus diminishing their ability to scrutinize the workings of government.
Peter Vella
Mar 6th 2010, 11:03
Does the PL think that the Maltese do not follow international news and that they are unaware of the economic crisis that struck worldwide last year? Is the PL unaware of the high levels of unemployment in countries such as Spain and Greece? Does it not know that a simple search on the internet will show that Denmark currently has the highest utility rates in Europe? Does it not appreciate that in healthcare reform the government did not act obstinately and has listened to criticism? Please - if the PL wants to prove that it is really an alternative government it needs to work much harder than this.