The government is spending €1.4 million on education for every day in the scholastic year, the Prime Minister said this afternoon.

He was speaking during a review of his government's activities at the end of the second year of the current term.

He said the money had gone on the building and modernisation of schools, the recruitment of more teachers and investment in classroom technology. As a result, students at Mcast had increased by 16.5 per cent and those at the University by a further 16 per cent. There were now 10,000 students at the university, with a choice of 111 courses.

Dr Gonzi said the government's focus remained on job creation and competitiveness.

The government, he said, had ploughed €80 million in the economy through tax cuts and assistance to various sectors, including manufacturing and tourism.

At the same time it had kept a careful eye on the deficit, which was not allowed to run out of control.

In the health sector, 39,000 operations were performed last year, 6,000 more than used to be performed at St Luke's.Spending on medicines increased by 6% to €22 million.

He said a new ward would be opened next month at St Vincent de Paul Home, taking 144 elderly patients. More night shelters would also be opened.

The government was also embarking on a €62 million project to improve 16km of major roads.

The government, Dr Gonzi said, would also continue the reform process started in various sectors, including the dockyard, which is about to be privatised, Mepa and public transport.