Budget Day

Finance Minister Edward Scicluna presented the government’s first Budget of the new legislature. The measures introduced included a €1.75 a week cost-of-living-adjustment, one extra day of vacation leave, a total of €11 million in tax refunds for those earning up to €60,000, a year of free public transport for those aged 16 to 20, free transport for independent and Church schools, the phasing out of Matsec and Sec exam fees by 2020, a €2 weekly increase for pensioners,  a stamp duty discount for second-time property buyers, a promise to publish a White Paper on the regulation of the property rental market and an investment of €50 million to build 700 social housing units. Prof. Scicluna said the country registered GDP growth of 6.3 per cent in the first six months of 2017 and a Budget surplus of €88 million was projected for 2017.  The national debt as a percentage of GDP is expected to drop to 54.93 per cent in 2017. Opposition leader Adrian Delia welcomed some of the measures but said the Budget lacked a long-term economic and social vision, reflecting a government with no plan. Dr Delia said the Budget did not address crucial issues like second-pillar pensions, traffic congestion, the shortage of teachers, the future of the tourism industry and the fight against criminality.

What made the headlines

Black economy ‘much larger’ than €280m: Undeclared economic activity is estimated to have exceeded €280 million last year, according to the National Statistics Office. It said economic activity classified as ‘the non-observed economy’ was estimated to stand at about three per cent of the country’s GDP, but that the real figure, which was actually likely to be far greater, could not be calculated.

Vatican Bank starts legal case in Malta over €17m lost investment: The Vatican Bank started legal proceedings in Malta against those it holds responsible for the loss of millions of euros in investment funds based on the island. A Vatican statement said the action was taken “against various third parties deemed liable of having caused significant damages to (the bank) in connection with certain investment transactions in which it participated”. A Vatican spokesman said the money lost in this specific case amounted to about €17 million.

Brussels still ‘unaware’ of State aid to Crane Currency: The European Commission has not yet been notified of the State aid arrangements the government has made with Crane Currency to lure the company to Malta, the Times of Malta revealed.  Prime Minister Joseph Muscat announced last year that Crane Currency would invest €100 million in a new plant in Malta to print money, but the Times of Malta later reported that Maltese taxpayers would be financing about €81 million of that investment.

Local councils no longer involved in roads maintenance: The government is planning to take the responsibility for road maintenance away from local councils and pass it on to the soon-to-be established new Roads Authority, the Times of Malta reported.  A spokeswoman for Transport Minister Ian Borg said the new authority will be responsible for the building and maintenance of all Maltese roads.  Until now, the maintenance of urban roads has been the councils’ responsibility while Transport Malta was responsible for some 400km of arterial roads.

University offices become lectures rooms: University lecturers are being forced to hold lectures in their offices or to postpone them as the number of rooms available on campus is not enough to cater for all classes, the Times of Malta revealed. Sources told the newspaper that lecturers were regularly being told to reschedule lectures due to a lack of classrooms available. As this is sometimes impossible the lecturers are opting to give lessons in small offices.

MUT says education system in critical situation: The education system was in an unprecedented critical situation that needed to be addressed urgently, teachers’ union president Marco Bonnici told the Times of Malta. He was speaking after University students received an e-mail in which the Education Department urged those interested to take up part-time teaching jobs. The call was made in a bid to address staff shortages. “The message sent to teachers was all wrong because it felt as though the Education Ministry was asking whether people had an hour on their hands and if so to resort to teaching. This is not how things are done,” he said.

Chris Said stays out of PN deputy leadership race: Gozitan MP Chris Said decided not to contest the post of PN deputy leader for parliamentary affairs.  The Gozitan MP had accepted PN leader Adrian Delia offer to run for deputy, but only if he was to be uncontested. The choice before party members next month will be between MPs David Agius and Edwin Vassallo.  The other deputy leader post, that of party affairs, is being contested by MPs Robert Arrigo and Toni Bezzina.

What trended

Tom who?

The Malta Football Association’s decision to make Tom Saintfiet coach of the men’s national team was met by a nationwide bout of head scratching, as local football fans asked themselves ‘Tom who?’

Then again, beggars cannot be choosers, and a team ranked below Vanuatu and Macau is most certainly that.

“Wasn’t Ancelotti meant to come?” one man sarcastically asked, as if to underline that point.  Still, Mr Saintfiet’s less-than-stellar résumé raised questions.

“Saintflet has coached 20 teams since 1997. 20. He is only 44,” wrote one perplexed reader. “A long CV is hardly a glowing one.”

There were plenty of others who felt similarly, though the many readers who mocked Mr Saintfiet’s stints at the helm of various African national teams probably need a reality check. Namibia (132), Zimbabwe (105), Ethiopia (144), Malawi (116) and Togo (121) might not be world beaters but they’re still better placed than Malta’s 191 FIFA ranking.

Rather than take aim at the new coach, others wondered why the MFA seemed so intent on casting its recruitment net on foreign shores.

“What’s the point of getting foreign journeymen coaches?” one asked. “There has to be some Maltese coach that can do the job just as badly.” Ouch.

Toothless roads agency

A new roads agency will take over responsibility for maintaining urban roads from local councils, the government announced this week. The decision didn’t thrill most readers.

“If it is going to be as toothless as the environment protection agency or the planning authority... well, what shall we say?” wrote one, as another suggested having the Pope or Queen over every other year to make sure some roadworks actually progressed.

“Before they start any projects one has to teach these guys how to align a manhole to the surface of the road,” wrote one gentleman.

With funding next to non-existent and mayors employed on a part-time basis, it was hardly surprising councils couldn’t fix roads, one woman wrote.

At least the news article prompted at least one person to come knocking for a job.

“I’m a retired roads inspector living in Scotland,” one man wrote. “I’d gladly come to Malta to do the same job.”

What they said

“Who are we to decide whether to help a woman start a family through available technological means based on their sexual orientation?”

Prime Minister Joseph Muscat criticising the PN’s proposed changes to a law granting lesbian couples and infertile women travelling abroad for IVF treatment.

“From one of the safest places in the world, Malta has become the capital of white slavery.”

Nationalist Party leader Adrian Delia criticising the government for not including any measures to fight criminality in the Budget.

“The Budget is strong because the economy is strong, but the economy is strong because of the Budgets that came before, which have all been strong, consistent and prudent.”

Finance Minister Edward Scicluna addressing a press conference the day after he presented the Budget in Parliament.

“I am not a populist and my decisions will be based on my own and the party’s values, which are inspired by Christian and democratic beliefs.”

Nationalist MP Edwin Vassallo speaking after submitting his nomination for the post of PN deputy leader for parliamentary affairs.

“The source of this income [sale of passports] is not sustainable and its moral and ethical implications should be questioned.”

The Church Commission for Justice and Peace commenting, in the aftermath of the Budget, on the fact that part of the government’s surplus was coming from the sale of citizenship.