One of the most mentioned topics by MEPs from the 27 member states these days is the Lisbon strategy, EU’s aim of becoming the most competitive economy in the world by 2010. This plan was adopted back in 2000, during the Lisbon summit.

The plan focuses on seven points that must be improved so that the European Union and its member states grow stronger in the world market:

Internal market

A complete and operational single European market has always been a key element of the Lisbon strategy. Removing barriers to competition and allowing companies from other member states to access national markets on equal terms is regarded crucial to economic growth.

Financial services

Efficient and transparent financial markets foster growth through better allocation of capital. At Lisbon, there was a call for greater integration of the EU’s national financial markets.

A business-friendly environment

A friendlier environment for business, particularly small and medium-sized companies (SMEs), is another element of the Lisbon strategy. Member states are to share best practices and try to eliminate red tape and the cost of setting up new companies.

Information society

Another pillar of the Lisbon strategy from 2000 onwards was the development of the information society, which should help the shift towards a knowledge-based economy and the creation of jobs in areas with strong growth potential.

Macroeconomic policy mix

Another broad issue is the “macroeconomic policy mix”, that is, the best balance of economic policy tools for achieving growth.

Research and education

Education and research have a major impact on growth and employment.

This means member states must aim to increase per capita investment in human resources and give higher priority to lifelong learning, since better skills enhance employability. The EU invests 1.1 per cent of GDP in higher education, compared to three per cent in the US. The difference is largely due to a lack of private capital, as public investment levels are similar. The proportion of adults with higher education is growing but the gap with America remains.

National parliaments and governments

National parliaments are crucial for the Lisbon strategy, the most important areas of policy and practice for the revitalisation of the European economy either are wholly or mainly matters for national governments and parliaments. When it comes to labour market reforms, changes in tax systems, improving opportunities for education, encouraging greater participation in the workforce of women and older people and many other policies, the EU’s role is limited to helping member states through coordination, benchmarking and encouragement.

Investment in education and information technology together with legislations to assist the growth of financial services, are assisting our country to reach the objectives. The formulation of a National Reform Programme is involving both the public and the private sector to reach the required targets.

The Maltese government launched a series of public consultation processes so that a national reform programme is formed in line with the Lisbon strategy.

The principal aim of the National Reform Programme is to provide a wide range of possibilities that could be considered for adoption by the social partners, civil society and anyone interested in contributing towards achieving the objectives.

Any national strategy needs to consolidate upon the country’s strengths and competencies that permit it to seize new opportunities that could further contribute towards the country’s competitive advantage, while at the same time, taking the necessary measures to mitigate, and where possible redress any weaknesses and threats. Another important aspect of such a strategy would be to ensure that the quality of life and social inclusion are also improved and to secure against a deterioration of such aspects at the expense of economic and competitive regeneration. The National Reform Programme addresses five priority areas, sustainability of public finances, competitiveness, employment, education and environment.

The programme is meant to foster a unilateral front between the government, the social partners and civil society in the single goal of making Malta a more competitive nation that preserves its values and support network, and that acts as a beacon as to where the country should aim to be in three years’ time.

It is of national interest that these goals are reached, since these objectives will help the growth of our economy and improve our main resource, the human element. The Nationalist Party has always believed in the Maltese worker abilities.

David Casa is a Nationalist MEP

www.davidcasa.eu

[email protected]