The Government yesterday decided to drop the controversial confidentiality clause in the cash-for-citizenship scheme but the Opposition insists the whole thing should go.

Deputy Prime Minister Louis Grech told Times of Malta last night the Government decided to remove the rule laying down that applicants’ names would not be published in view of the widespread objections the clause had provoked.

He said that, judging by the reaction to the confidentiality clause, which was included on expert advice in a bid to attract more revenue, it proved to be the most worrying aspect of the scheme.

That was why it had been decided to drop it, notwithstanding the financial impact the decision could have. Mr Grech pointed out that the money raised from the scheme would be used on social projects.

The decision did not satisfy the Nationalist Party, which said the Prime Minister persisted inhis stubborn plan to sell the country’s citizenship.

It said that, in the face of domestic and international pressure, the Government had no option but to make its “first retreat”. However, this was not enough and the Prime Minister should withdraw the scheme altogether.

The Government’s decision came just hours after the Parliamentary Secretary for Competitiveness and Economic Growth, Edward Zammit Lewis, said that the Government would consider making minor changes to the scheme but was not expecting any in the near future.

Dr Zammit Lewis was fielding questions about the highly controversial citizenship scheme, approved in Parliament last Monday, which would entitle non-EU citizens to obtain a Maltese passport for €650,000.

He attributed the negative publicity to the scheme in the international media to tactics adopted by the Opposition.

“Unfortunately, with the election of Simon Busuttil as leader, the PN has increased its dose of negativism, which in this case is doing no good to the country’s reputation,” he remarked.

Dr Zammit Lewis was addressing a joint news conference with Economy Minister Chris Cardona on the Budget at the Freeport.

Probed about the fact that even constituted bodies had expressed reservations about the scheme, he reiterated that the Government was willing to consult further, as it did with the Global Residence Programme, which, he said, was a huge success. “There can be room for improvement when it comes to the rules regulating specific details,” he said.

Dr Zammit Lewis expressed his confidence in the programme and fended off criticism that the Government rushed through the legislation with very little consultation.

Dr Cardona announced that, since March, Malta Enterprise had approved 30 new projects that would result in the creation of 500 jobs in the next three years. He said this foreign direct investment was mainly in engineering, the life sciences, digital gaming and information technology.

Dr Cardona said that an additional 200 jobs would be created following the expansion of five major private companies.

He announced that the first tenants at the life sciences park, currently under construction next to the Tal-Qroqq hospital, would move in towards the end of next year. The Government’s role was mainly to create the right environment to attract investment, mainly by reducing bureaucracy and keeping costs as low as possible, the minister said.

Dr Zammit Lewis focused on initiatives in the digital gaming industry, the financial services sector and open government. He said a foundation for responsible gaming would soon be launched, with proceeds going for social causes.

He said a Bill was being drafted to have an arbiter for the financial services, remarking that such responsibility could not be shouldered by the regulator.