Fuel price hike untimely - MEA

The increase in the price of fuels will compound the negative impact on many businesses in Malta, the Malta Employers Association said.

It said in a statement that rather than higher prices, there should be a concerted effort for reducing operational costs at Enemalta coupled with a more effective purchasing strategy of fuel including investment to increase the storage capacity of the corporation.

The increase in fuel prices will affect many companies directly through higher cost of transport, particularly in the distributive trades.

The chain reaction will generate higher inflation which may translate into a higher cost of living adjustment for employers in the next budget, the MEA said.