The government needs to be honest with the people on public finances, promote economic growth, prioritise, and discontinue hiding deficit and debt through the creation of schemes, Labour leader Joseph Muscat said this morning.
Replying to questions by One Radio journalist Matthew Carbone, Dr Muscat said that without economic growth, no deficit reduction programme would be sustainable.
Dr Muscat said that for Labour, projects such as that of the new Parliament were not a priority but a luxury. Capital projects, he said, should be productive and give added value.
He said that the debt and deficit created by the works at City Gate would not be showing in the budget as a special purpose vehicle had been created for the purpose so that the figures would not show in the government books.
Dr Muscat noted that families were getting well under their value for money for the projects the government was undertaking.
He hoped that Malta would be able to convince the European Commission that it was taking sufficient and permanent fiscal measures to rein its structural deficit in a sustainable manner, in reply to the early warning letter it received earlier this week.
The Labour leader said that the budget being presented tomorrow should be a prudent one which would encourage stability and through which the people would know what the major decisions that would affect their future are.
The PL expected the budget to incentivise employment, women, pensioners and young people. It also hoped for a government u-turns on the maternity leave issue.
Dr Muscat noted that one way of stimulating the economy was through lower water and electricity bills. This was one way of sustainably addressing the deficit.
He said that it was not enough to say how much the country was spending but one had to see what the return was.
Dr Muscat also spoke on the transport problem and said that the people had now realised that the government had a defective majority. And the government's first sign of weakness was that it was not addressing the problem.
He noted that no Nationalist MP had complained about the service before Labour presented its motion of no confidence in Transport Minister Austin Gatt. In presenting the motion, the Opposition was only doing its duty, which was to keep the government accountable.
Dr Muscat noted that public transport was currently being managed by crisis. What was the permanent solution going to be, he asked.
Asked about the government's criticism of the PL for failing to declare its policies, Dr Muscat said htat Labour will explain its policies before the election.
It had already given proposals on the cost of living adjustment, medicines, and the protection of whistle blowers.
It had also made proposals on reducing the electricity tariffs clearly, transparently and sustainably. However, it would be irresponsible fo him to provide figures now as they would need constant revision.
"I am responsible and ready to assume responsibility for what I promise," Dr Muscat said.