Statistics released by government show that exports in the first two months of this year dropped by €20 million or six per cent when compared with the corresponding period last year, the Nationalist Party said.

The drop in exports contributed to a deterioration in the international trade balance, which at the end of February showed a deficit of €558 million compared to a deficit of €382 million in February 2015.

Commenting on the results, PN deputy leader Mario de Marco said that regrettably this is yet another indication that Malta’s manufacturing sector is suffering.

He recalled the statement made by the president of the Chamber of Commerce and Industry last March who pointed out that manufacturing registered a negative growth of 0.4 per cent last year and the index for industrial production decreased by 8.1 per cent in January when compared to the previous year.

Hundreds of jobs in the manufacturing sector are hanging in the balance, he warned.

Dr de Marco reiterated the call made by the Chamber for cheaper energy for the manufacturing industry and further reductions in the price of fuel. The significant drop in the price of oil, the access to cheaper energy through the interconnector and the efficiency of the BWSC plant justify further reductions in the price of energy, which reductions together with lower fuel costs will make the industry more competitive and help save jobs.

"Instead of focusing on such strategies, the government is focusing its energies on fire-fighting the Panama Papers scandal."