The Labour Party in a statement this morning expressed concern over persistent inflation and said it was especially concerned that the government was doing nothing about it.

It pointed out that according to official Maltese and EU statistics, the cost of living rose steeply in March and Malta was now with the highest inflation growth rate in the eurozone.

The current rate was the highest in three years and 0.7 percent higher than the eurozone average.

The MLP said prices were rising fastest for the most important items including food,which was up 9 percent over the past year, clothing and education, up 6 percent and medicines, up 3 percent.

Although international price rises were reflected in domestic prices, inflation could not be wholly attributed to such external factors, the MLP argued. Had that been the case, inflation here would be at the same rate as other countries.

In March, food prices in Malta rose at 150 percent the rate of increase in the EU, while the prices of clothes and medicines rose by six times and twice the rate of increase in the EU respectively.

The MLP warned that such price hikes eroded living standards and Malta's competitiveness, the situation having been made worse by the increase in fuel prices, particularly that of diesel.