Prime Minister Joseph Muscat yesterday said the former Nationalist administration was responsible for the €300 million of the €373 million in debt racked up last year.
He said that this proportion of the increase in the national debt had been incurred in the last three months of the PN government, between January and March 2013.
“Simon Busuttil is out of his depth when speaking about the economy or finances and with former finance minister Tonio Fenech advising him, it’s like the blind leading the deaf,” Dr Muscat told a Labour European Parliament activity in Żejtun last night.
He said one of the consultancies Dr Busuttil had been paid for under the last administration was the opening of a wine bar at the water’s edge.
“I think he understands wine bars better than the economy,” he quipped, with economist Alfred Mifsud adding that he was ready to offer him free private lessons on the subject.
It’s like the blind leading the deaf
Turning to the PN’s criticism that not enough jobs were being created, Dr Muscat conceded that this could be the case but added that more jobs had been created by Labour in its first year than in the previous administration’s own first year in office.
“Having said that, this is not a comparison at all. There are many who are finding jobs but others who are having difficulties. We are addressing this through the introduction of specific measures to tackle the skills gap,” he said, referring to the Youth Guarantee Scheme launched on Wednesday.
Dr Muscat also referred to the lower energy tariffs, which had been reduced by an average of 25 per cent when the previous administration had been planning to increase them by 30 per cent to keep Enemalta afloat.
In the coming days, families will be receiving a letter with an explanation of how much money they were saving through the reduction in water and electricity rates.
He said he was heartened that astronomical bills had been wiped off families’ list of top concerns. He considered this as one of his government’s biggest successes.
He expressed confidence that Enemalta would eventually become a profitable company as it once was. The process had started by halving the company’s debts. He was convinced that Labour’s message during the first five days of the EP election campaign was coming across and people understood the importance of giving the government a strong signal of approval and backing.
“This is a genuine government; we have already made a difference in people’s lives by giving them back what really matters: more spending money through reduced power rates, free childcare and a refund on VAT paid on car registration,” he said.