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Labour says PN's projections are 'incredible and unbelievable'

Labour MEP Edward Scicluna said this evening that it was incredible that Finance Minister Tonio Fenech had said that the PN electoral promises, costing an average of €120 million in recurrent expenditure every year, would be funded through increased efficiency in government spending.

Speaking at a press conference, Prof Scicluna said this government had a poor record where spending efficiencies were involved.

One only needed to remember the outcry last year when the EU told the government to reduce its spending by €40 million.

Yet the PN was making promises which would increase recurrent expenditure by €120 million, and the minister had said at a press conference this afternoon that the increases would be covered by improved efficiencies and recurrent expenditure would not change from the projections he had made in the Budget.

The question, Prof Scicluna said, was what would happen if these efficiencies were not achieved The answer was that the deficit would increase by 1.5 percentage points per year, and the dream of achieving a balanced budget would remain just that.

PL finance spokesman Karmenu Vella said such projections continued to undermine the PN’s credibility and that of the Finance Minister. It was little wonder that the European Commission and rating agencies such as Standard and Poor’s had shown that they did not believe government projections.

Malta had repeatedly missed deficit reduction targets, he said.

There were the same old people promising the same old things, he said, and they could not be believed.

When pressed by journalists whether a Labour government would aim for and achieve a balanced budget, Mr Vella said Labour would certainly be more efficient in its spending that the current one.

Prof Scicluna said it would be an achievement if Labour managed to stop the rise in the government debt, something which the present government never managed to do.

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Guido Farrugia

Jan 29th, 16:13

Ghal naqra ma kkonvincejtnix Nenu. Erga pprova wara id-9 ta'Marzu.

K Grech

Jan 29th, 11:18

yeahh if this is what you call panic, then what was the tablet proposal of PN? came out 1 hour after PL's, not even worked well, don't you realize that first this proposal was to all, and then it was reduced to year 3- form 5, hilarious how PN changes his proposals

John Zarb

Jan 29th, 11:33

@ Joseph cauchi senior
PL is not panicing for sure. It is only saying that Tonio Fenech is trying to fool us as he has done already in various budgets he presented. The only party that paniced was GonziPN when Labour introduced the water and electricity workings.

John Zarb

Jan 29th, 11:53

For sure GonziPN is country's disgrace with all the unfulffilled promises and lampant corruption smell all over the country.

Fran Abela

Jan 29th, 10:43

So you think that the Maltese electorate - journalists included - are all idiots who cannot understand a full electoral programme but will understand the 'pledges' that the Malta Labour Party is offering day by day ?

Eddy Privitera

Jan 29th, 09:52

Mark Both: You can "keep going on" for the next 5 years, AT LEAST, after 9 March !

Eddy Privitera

Jan 29th, 09:44

D. Ellul: Izda l-aktar fill-fallimenti tal-previzzjonijiet finanzjarji !

Neil Dent

Jan 29th, 08:52

Not sure what you're insinuating Mr BRINCAT, whoever you are!!!!! but it sounds very 80's MLP to me!

ND

K Grech

Jan 29th, 12:11

Hmm yeah, i think the more you write here and the more Gonzi talks non-sense, the better it is for PL. its like 1person/10mins is moving away from PN.

Simon Scerri

Jan 29th, 07:44

agree with you!!!!!!!!!

G Tonna

Jan 29th, 07:53

Because they have lost track of what they stand for. Are they socialist? Do they still believe in a centralised economy? Will they resort to robin hood fiscal policies of Mintoff's days? Do they believe in a liberalised economy? Will they go back to import substitution should their non existant economic policy bring about unemployment? Are we sure they won't pull out of the EU again?

G Tonna

Jan 29th, 07:55

They don't even have a party minifesto, or should I say they still have a real socialism one of Mintoff's days!

Steve Zammit

Jan 29th, 18:49

Ghax tal-PL ma jafux b'xix se johorgu, gonzi staqsa lil JM fuq Xarabank fejn jixtieq iwassal dal-pajjiz, u baqa' bla risposta.

m. borg (slm)

Jan 29th, 09:04

But 20 years wiser.

One is a Professor of Economics and the other a successful entrepreneur, What has Tonio to show except eight off the mark budgets as minister of finance.

Such sordid and infantile statements do not do you any good.

Andrew Azzopardi

Jan 29th, 11:42

Mr Borg,
I don't think I would ever mention results (especially financial) when sticking up for Labour. You could mention that labour did some great things for low wage earners like introduce the minimum wage. But otherwise, not much else. They were a total flop when it came to education, finance, investment of the country. However, I honestly hope that the next 5 years will be a different story

m. borg (slm)

Jan 29th, 09:05

100% right, Tonio's declaration about more efficient government spending only shows how inefficient he has already been.

Richard Caruana

Jan 29th, 07:22

And according to you Mintoffeconomics is the cure!

Golden days indeed, long gone and hopefully never to return.

These two have no faith in the future of Malta and will lead this country to stagnation

Simon Scerri

Jan 29th, 07:46

Pat looks you do not live in Malta!!! you make me laugh.....be realistic for once !!!!

Mario Buhagiar

Jan 29th, 12:51

lol you surely see only net. Because if you just hit wikipedia, you see that the Mosta Dome is by far larger than the LNG tanks

Colin Azzopardi

Jan 29th, 09:19

A true nationalist comment... But people are not buying all the sweet talking from this government. They had their chance to prove to be worth keeping but they messed up way too much. Their pockets are more important then people. I am not saying this because I'm a lejburist, far from it. However I consider myself as an ex PN.

Andrew Azzopardi

Jan 29th, 11:59

So the 14 percentage pnts are all your doing? so, Dr Muscats total revamp of the labour party image has nothing to do with it? Mr Privitera, let me spoon-feed you here - DR Muscat is doing his utmost to come across as progressive, new and a changed party and I would say with a lot of success - well done to him. But, you on the other hand sound like a throw-back to 80's - you are a liability to MLP

Andre Briffa

Jan 29th, 11:06

James Grech, Only ONE government went back on its word re: taxes....and that was the PL! When they removed VAT and then introduced another 33 taxes!!

Anthony Scicluna

Jan 28th, 19:43

Especially when you reflect on the sheer genius of the Golden Years of Mintoff-onomics.

Eddy Privitera

Jan 28th, 20:35

Anthony Scicluna And these people are being believed , while Tonio Fenech, Simon Busuttil and Lawrence Gonzi, ARE NOT !

Donna Parnis

Jan 28th, 21:04

LABOUR not lejber if your writing in English Mr Caruana will give the costing soon enough and then we shall laugh once again at the pn

anton cassar

Jan 28th, 21:49

So ...you think that Lejber is in panic ehh...let me call your bluff......do you have some Euros to spare ???

If so I double it for you !!

Lawrence Fenech

Jan 29th, 05:17

@Richard.

14 points ahead and in panic, you have it upside down my friend. PN is drowning everyday in it's programme and will keep doing so for the next 39 days. Gonzi's days are counted.

Andrew Camilleri

Jan 28th, 20:13

Yes Mr Cutajar as a matter of FACT the employment rate is better in Spain than in Malta. Just check your facts please.

http://epp.eurostat.ec.europa.eu/statistics_explained/index.php?title=File:Employment_rate,_age_group_15-64,_2001-2011_(%25).png&filetimestamp=20121030182934

Denis Pace

Jan 28th, 21:11

Dont forget Cyprus, Joe!

M Gatt

Jan 28th, 20:18

Be sure to pay those 25% though. Just pay them on top of your bills :)

David Farrugia

Jan 28th, 19:24

of course, the EU is already projecting an increase of Water and electricity rates, as things stand.

K Grech

Jan 28th, 19:14

This article is a bit difficult to understand it, especially when you start reading it without the want of understanding it. So take another moment to read it and search what 'recurrent expenditure' is.

Ruben Mifsud

Jan 28th, 19:32

@ K Grech,
please read it again you and try to understand what PL is saying between the lines!!

Vince Piscopo

Jan 29th, 05:57

So Mr Mifsud since you seem to be very into figures explain to me what PL is trying to say between the lines according to you ? I agree with you that you need not be that intellectual to comprehend simplistic terms but i ask you 1 thing? Would it be acceptable to you if PL were to say that those promised proposals that would not be met during this term will be tackled in the next term as Gonzi did?

Joe M Borg

Jan 28th, 19:11

peter, watch your words. Please don't scare Eddie Privitera away, as he's an asset to PN right now. With his reasoning, hopefully many first time voters who do NOT remember what PL can do, will think again. Let him speak, he shows what to expect from a 'new' PL. Prehistoric ideology!

Eddy Privitera

Jan 28th, 20:44

Peter Mercieca: There were no DOWNGRADES in those 22 months. There were no stories OF CORRUPTION too. There were no stories of POLITICAL VINDICTIVENESS too ! What is important is TODAY & TOMORROW. OR haven't you read what Dr. EFA has said in yesterday's The Sunday Times ?

Joe M Borg

Jan 28th, 19:09

Jason. EZATT bhal tal-VAT! Qabel l-elezzjoni qalulna BISS bis-sabih: 'se nnehhu l-VAT'. U kulhadd rama' l-cash register. Wara l-elezzjoni qalulna li 'se jkollhom' idahhlu CET u 33 taxxa ohra. Deja vu'. Wara l-elezzjoni jghidulna l-kumplament, u jekk ifalli, Joe iwarrab! Dik responsabbilta'. Mur afdah!

Eddy Privitera

Jan 28th, 20:45

Jason Zammit: Il-costings qed jithabbru KULLJUM, jew qed tghix fil-qamar ?

K Grech

Jan 28th, 19:18

lest we forget, it was PN that has last touched the stipends :)

Mr Alistaire Gill

Jan 28th, 21:11

Joey. ghidilna li kien GonziPN li naqqas l-istipendji u l-ismart cards kwazi bin-nofs.
Din ma ddoqx ghal widnejk.
Kien Joseph Muscat li qal xhur ilu li l-istipendji ghandhom jizdiedu a pparagun ta l-gholi tal-hajja.
Dawn m'huma xejn ta - 5 biljun dejn tal-gvern 800 miljun ta l-enemalta, 100miljun ta bieb il belt u downgrade ta S&P u negative outlook. Tort ta' Joseph avolja m'ghamilhomx hu.

K Grech

Jan 28th, 19:20

Hmm, 'shivers down one's spine.', have you had 'shivers down one's spine.' during these past 5 years? because if you had forgotten, PN promised a balanced budget in 2008.

John B. Borg

Jan 28th, 19:47

Money for Labour's gas terminal shall be found in the same manner that Gonzi PN found money to finance his massive ego trip costing 100 million euro on the Piano City Gap project and cutting the millions that are being squandered on consultancies, fabulous salaries to blue eyed boys and sheer mismanagement of public funds. Not so hard George.

Mr Alistaire Gill

Jan 28th, 20:58

Kemm iddum biex tifhem Gorg. Il-PL mhux se jibni power station, imma jixtri l-energija minghand il-privat li jibni il-powerstation. GvernPL jaqleb l-extension tal BWSC biex tahdem bil-gass.
Naturalment hemm xi whud se jitilfu kemxa gmiela minn fuq i-lcommission taz-zejt imma int u jien u l-industrija se niffrankaw mill-kontijiet ta l-energija u l-ilma. Jekk int komdu thallas bl-gholi jien minix.

L Zammit

Jan 28th, 20:30

Don't you worry. The Maltese will approve the budget on March 9.

Neil Dent

Jan 28th, 19:03

What a desperate comment 'jb'. I doubt you even believe it yourself, it's so ridiculous. The PN option, love it or hate it, was well considered, costed and structured in a sensible and logical manner. Far and away superior to that of the Movement.


nd

Joe M Borg

Jan 28th, 19:06

Joseph Muscat 'came out with the ideas' of the tunnel; pipeline; jobs for Gozo; solar energy; day care centres; MEP deputy; VAT; EU, Euro;...ALL AFTER PN introduced them. You were snoring then! Wake up, PL always trail miles behind.

Gordon Farrugia

Jan 28th, 18:51

+1 but the deficit is now closer to 6 billion than 5 plus you have to add to that figure that hundreds of millions owed by Enemalta, the millions owed by AirMalta and the hundred or so (milllion) we have guaranteed for Greek debt. When you look at the full-blown abyss figure it really paints a dark picture. And then you have politicians behave as if we are in surplus. Get REAL! Expect Taxes!!

Joe M Borg

Jan 28th, 19:01

j brincat Someone else promised us that if Gonzi were elected in last election, health would not remain free. After 5 years, WE KNOW who was lying.
You know what does NOT impress anybody? Building an entire power station in 18 months, with all the machinery, and the 2 atom bombs. Just an accident waiting to happen. Aren't M'xlokk local council worried? Are they laughing like you are?

Dennis Spiteri

Jan 28th, 19:02

Are you living in a real world jb? A slump throughout the world and you expect the government not to invest to spur on the economy i.e. an increase in expenditure and subsequently PN did not honor part of their promises. I prefer living in a country with no unemployment protests rather than one with balanced budgets and unemployment

Joe Sammut

Jan 28th, 19:45

@ Gordon Farrugia , people like you vote Labour because they can’t differentiate between debt and deficit.

People like you say “Mhux l-istess?” and continue their arguments as if they won the argument.

Gordon Farrugia

Jan 28th, 20:21

debt and deficit lol

well the 6 million are all DEBT - it is all money that we eventually have to pay and it is you, me, our children and their children who are going to pay it!! The first rule towards financial independence is to pay your debt before you even consider investments - at present we are paying hundreds of millions just to cover interest (money that could be utilised elsewhere!!)

Andre Briffa

Jan 28th, 20:28

J Brincat....they are using figures for people to understand the situation...if you think figures are used to impress people you clearly are a lost soul.

Joe M Borg

Jan 28th, 19:04

James, you are free to believe PL then. In 1996 most of Malta believed PL, because of the VAT 'bait'. They were sorry only AFTERWARDS. And they were SO SORRY, that PL have been in opposition ever since. So, go on, TRUST you glorious PL withy their power station gimmick. Building a power station in 18 months! My God, another Grimm fairytale!

Gordon Farrugia

Jan 28th, 20:26

@ Joe you know what are REAL gimmick? A tunnel between Malta and Gozo. That's a true gimmick. Likewise iPads for everyone - that surely a gimmick. Another gimmick was when PN in the last elections promised income tax cuts from 35% to 25%. haha. A gas powered station isn't a gimmick but a proposal we urgently need realisation of. Surely everyone by now experiences the occasional power cuts.

Eddy Privitera

Jan 28th, 19:00

C Sant: Dr. Musscat has NEVER made any election results forecast. Only Dr. Gonzi has been telling his blinkered supporters that he will be winning the election ! What has been published are opinion poll surveys by Malta Today and The Sunday Times . Or haven't you ever seen them ? There was one published yesterday by Malta Today. Have a look !

JL Deguara

Jan 28th, 23:15

I understand your expectations when we're used to forget when a project even started, just to have it finished, or inaugurated but not finished, at the eve of an election.

At least PL mentioned the Mriehel Bypass bridge. For PN it was insignificant, based on statistics on how much pedestrians cross the road each day.

Andrew Azzopardi

Jan 29th, 11:48

@JL Deguara.
You totally missed point that G Tonna was making.

m. borg (slm)

Jan 28th, 18:27

Just take into consideration that labour will not embark on useless projects like the roofless theatre, new parliament, hole-in-wall in Valletta's bastions, a bridge to nowhere and roads that are dug into only weeks after being finished.

Those are some of the kind of monies PL will be saving, let's not forget the milllions on consultancies and reports that never see the light of day.

Joe M Borg

Jan 28th, 18:39

Mr Scott, PL CANNOT give us THEIR credible and believable costings, because they do not exist. Dr T Abela stated that the 'rest' of the studies will come out AFTER election, when it's too late for hapless Malta.

Joe M Borg

Jan 28th, 18:41

Dr K Vella is famous for 'I don't know what I said...!' I think he STILL does not know what he is saying!

Godfrey Zammit

Jan 29th, 00:31

Look who's talking about efficiencies are they the same people who told us about the 7000 jobs at Smart city, 800 jobs at White Rocks, Ta` Qali crafts village and what about the downgrade by S&P. Best assets of this country were sold and now the Maltese people are left with huge debts and the worst ever deficit in our history. Gonzi PN made BUREAUCRACY part of our culture. (FINANZI FIZ-ZEJT)

Eddy Privitera

Jan 28th, 18:22

Edward Caruana Galizia. It seems that you were asleep when Konrad Mizzi had repeatedly explained that the money to build the new gas-fired power station will be coming from a private company ! Wake UP !

Brian Debono

Jan 28th, 18:41

Mr Privitera,

Are you so gullible? So a private investor will spend hundreds of millions for nothing? Maybe because he likes Joseph Muscat? Don't be ridiculous.
Someone ( you and me) will pay for it.

Joe M Borg

Jan 28th, 18:46

Eddie, It's clear YOU were asleep when PN were providing schemes for PV panels; solar water heaters; applying for the pipeline; finding 20,000; restoring all our bastions; marina; cruise terminal; Lusfthansa; SR; and all the rest. People like you are an ASSET to PN. YOU show what PL are all about! Onetv overdosed, daydreaming, and still 30 years backward! Keep it up. And thanks!

HENRY FENECH AZZOPARDI

Jan 28th, 18:50

@ Eddy Privitera
I heard K Mizzi. He said
1. The tanks will be built on the fore shore next to the power station.
2. The tanks will be built instead of the four existing tanks
3. The tanks will be built underground.

Which one of these Eddy? The most important that no matter what the rates will be reduced even it means driving Malta G A S D O W N gol hajt. Laqwa li tghaddi ta Muscat.

Neil Dent

Jan 28th, 18:52

Eddie - how and by whom? Your PL/MLP/Muviment NEVER answer a direct question put to them on costings, that are asked on a simple right-to-know basis. They just keep them under wraps (let's say that they actually exist just to give them the benefit of the doubt), together with Karmenu Vella's long awaited electoral programme. Ara vera tibla kollox li jghidulek jahasra, 'Dward.

Neil Dent

Jan 28th, 18:52

Oh, and by the way Eddie - where's Konrad gone!?

George Cutajar

Jan 28th, 19:26

@ Eddy Privitera - in all honesty do you know of a private investor who is willing to sponsor a project, guarantee a fixed price for the goods and perhaps recover his investment over a 25 year period? Unless the guy is crazy or has millions to throw away ( some far away state) or simply that you and your party are hoping that this guy might fall from the sky.

Denis Pace

Jan 28th, 21:15

600 million for a new power station which we do not really need is the BIGGEST question mark in this pre-election run-up

Joe M Borg

Jan 28th, 18:47

As usual, Karmenu does not know what he says! He HIMSLF confirmed this during another press conference. Keep it up, Karm.

Denis Pace

Jan 28th, 21:16

Karmenu's roots must go deep as he is still on the surface of the LP...not like Anglu

Joe M Borg

Jan 28th, 18:48

Se ddum tistenna twanny. Bhal tal-VAT, il-PL jispjehawlek WARA l-elezzjoni, meta jkun tard wisq. U jekk il-progett ifalli, Joe iwarrab! DIK responsabbilta'.

JOHN WHITE

Jan 28th, 18:18

A new prosperous project on the way,a new useless power station. We will see if the time frame will be kept as Konrad said. Yeah like we are building blocks. Don`t make us laugh JB

Dennis Spiteri

Jan 28th, 18:20

anke ghall-fondi tal-UE qieghed tirreferi? Aren't those also projections jb?

R. Camilleri

Jan 28th, 18:24

Part 1:
I think that you forget the sptar San Rafaele and general hospital saga.

Pre 1996 (PL Sant government) the new hospital was funded entirely by San Rafaele hospital Milan and was intended as a research hospital (including the medical school) and taking a load of 400 patients while refurbishing slowly each ward at St Luke's (which had already started with the orthopedic wards.

R. Camilleri

Jan 28th, 18:28

Part 2
Sant changed the plans and converted them to a general hospital and as a result we lost all the italian funding.

In 1998 the foundation had been changed by the Sant government to 800 beds and with the funding lost the PN had to continue on what labour had already ruined.

Joe M Borg

Jan 28th, 18:52

j brincat You 'missed' the 20,000 jobs; the billion euros from EU; Mater Dei was praised as 'state of the art' by YOUR idol; 10,000 university students....... Another thing! PL before last election terrorised us by the fact that if Gonzipn is elected, health will NOT remain free. WHO failed miserably there? PL who lied all along. It was ONLY under a PL gov that health was EVER charged!

Denis Pace

Jan 28th, 21:18

Mater Dei is a bottomless pit with parties vowing that Healthcare will always remain free.
But a useless power station will explode any deficit beyond repair!

Joe M Borg

Jan 28th, 18:56

'It never has.' Should Gonzi have implemented Joseph's advise to copy Cyprus then? If Gonzi was not wiser than Joseph, and did what he was told, the next government, whoever he might be, would have to ask for a bailout, like Cyprus. But luckily, we were in Gonzi's, not Joseph's hands. One thing PN did NOT implement was PL's warning that under PN health will not remain free. Thank God for PN.

JOHN WHITE

Jan 28th, 18:18

Well said Peter

Eddy Privitera

Jan 28th, 18:28

Peter Mercieca: If you just listen to the PL's press conferences, when it explains the costings of its pledges, then you would know. But it seems that you are not interested in hearing anything coming from PL. You just gobble up whatever is said by GonziPN !

m. borg (slm)

Jan 28th, 18:31

You say "...the only way we can judge labour is during the short days in government..." yet it is not the first time you commented on what happened in the eighties.

Isn't that somewhat hypocritical of you talking about events that supposedly happened in the 80s which you did not experience them?

HENRY FENECH AZZOPARDI

Jan 28th, 18:55

That is exactly what you do Eddy you just gobble all that is said by the PL even if all the experts say it is impossible for the power station to be built in two years.
Muscat says that the heavy fuel oil is a cancer factory and you parrot the same on the blogs when all the experts say the opposite.
Minn ma jifhimx ghandu jiehu parir mill esperti u mhux iffajjar bl adocc. Il Malta ma tidhaqx bih.

Joe M Borg

Jan 28th, 18:57

What do YOU gobble, Eddie. Believing that an entire power station CAN be erected in 18 months! The Grimm brothers are proud of you. Keep it up.

Steve Zammit

Jan 28th, 19:22

Eddy hear hear

Michael Magri

Jan 28th, 18:17

VETRY... VERY.. WRONG SUR PACE.. What the EU did not tell GonziPN is from where the 40 million would be deducted.... That`s All..?

peter mercieca

Jan 28th, 18:12

Eric int ghandek tfal???? ghax dan il Profs kien l istess bniedem li qallina li lis stipendji tat tfal taghna irridu jinqatghu!!!

JOHN WHITE

Jan 28th, 18:20

Inbabsu minn hemm u nnaqsu minn hawn ........ Stipendji zejda....

Jesmond Chetcuti

Jan 28th, 20:43

@Peter, yes eventually stipends in their present format has to end...loan without interest is the way forward...our children have to thank God (and the rest of the working population) that they don't pay any fees to attend Uni...not many countries in the world give this privilege ...

Michael Magri

Jan 29th, 17:29

I shall vote for him irrespective which party he is in!!

Eric.. You are 100% on the right track.. We all know of those famous two words .....SOUR GRAPES..... right...!!??

Maria Mangion

Jan 28th, 18:23

Since then Karmenu Vella proved himself even in the private sector. As joseph is saying we learned from our own mistakes. As for Tonio Fenech he is promising more of the same , and admitting no mistakes. May I remind you of the 5 billion debt most of which was created by this government, and do not forget enemalta and its 800 million debt with its stubbornness not to change to GAS . Hmmmmmm......

N. Bugeja

Jan 28th, 18:30

Glad to see I'm not the only one here who couldn't decide whether to laugh or to cry when I read that!

Neil Dent

Jan 28th, 18:44

Now THAT is what's truly "incredible", Karmenu Vella. By the way - where's that PL/MLP electoral programme that you've been supposedly working on for the past year or whatever.

And where are the PL/MLP costings?

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