Updated at 9pm with PN statement
The government used 100 per cent of the nearly €1 billion in EU funds allotted for the previous funding period, Deputy Prime Minister Louis Grech said today.
Addressing a press conference, Dr Grech said that when elected to government in 2013, the current administration had found that only 30 per cent of the funds allotted for the 2007-2013 funding period had been absorbed.
EU funding periods have an additional three-year buffer window within which projects can be finalised.
Dr Grech added that although data on other countries had not yet been published, he knew of a number that had utilised around 80 per cent.
“Losing out on 20 per cent would have a significant impact on the Maltese economy, and on people’s lives,” he said.
EU Funds Parliamentary Secretary Ian Borg said that the government was committed to ensuring that the “low absorption rate” seen in 2013, would not be repeated for this funding period.
The European Commission, he said, had introduced absorption targets that countries would now have to reach at various stages of the funding period – Malta, he insisted, would be meeting these targets.
“We don’t want another rush to finish projects at the end of the period and a lull afterwards. This would be detrimental to the island’s stability and to people’s lives,” he said.
During the press conference, Dr Borg gave an overview of the major projects undertaken in recent years through EU funds. These included, but were not limited to, the restoration of fortifications and historic buildings across the island, major infrastructural projects and roadworks, educational projects such as the Master It graduate programme, the youth guarantee, and employment initiatives such as jobs plus.
PN statement
In a reply, shadow minister Roberta Metsola said it was not true that the PN-led Government had “left 70% of EU funds allocated fall by the wayside”.
When Labour took over the government, there was still three years to use EU funds and most projects were already determined and under way. So there was never any problem with EU funds not being used, Dr Metsola said.
Funds were paid when projects were terminated, not when they started. So to imply that funds were not used just because the projects were still underway was false propaganda.