The recovery mini-budget announced by the government on Monday is expected to help restart the economy as the country still battles the Covid-19 pandemic.

Many of the measures were welcomed by the business community. As an example, the measures resulting in a reduction in operational costs for businesses, the one-time cash subsidy in energy tariffs for a few months, and the one-time cash rent subsidy. Energy prices and rents were two things which businesses have been struggling with, and hopefully these measures will help businesses survive and thrive. It must be mentioned however, that there has been some criticism in terms of the rent aid still being too low.

Other measures were strategically aimed at businesses that serve consumers, but are still struggling despite reopening due to Covid-19 fears. As an example, the €100 voucher, €80 of which will be redeemable at outlets such as restaurants and bars, while the remainder can be used at retail outlets which recently re-opened. This seems to be a measure to entice people to visit these types of establishments again to quell fears.

The reduction in fuel prices will also be welcome, however perhaps this should have been done much earlier than now.

One point of concern raised by employers is the change to the wage supplement scheme. As a result of this scheme, a number of businesses receiving €800 per month for employees will have this amount reduced, which is of concern, as even though businesses are opening people are not really spending. The Malta Employers Association had raised concerns that the reduction to €600 for some businesses might result in more redundancies.

The government has to realise that while it is pushing business ahead, and trying to make things seem normal, things are not normal. Support to protect jobs must continue to be a priority.

One major criticism is that the reduction in energy tariffs was not extended to households. While helping businesses is good and will of course preserve and create more jobs in the future, the people do need help now, and one way of doing that would be by reducing energy tariffs. People have taken wage cuts, have stopped taking overtime, have paid their dues to help in these trying times. Creating incentives for people to go out and spend is not enough if they don't have the extra money to spend in the first place. Targeting businesses with support will result in wages rising and other benefits in the medium to long-term, and it is also understandable that they did not want to give hand-outs. But perhaps a little bit more should have been done for families in the short term as well. With more money in hand after all, they can spend more

There were some measures which of course will help those who spent and lost during the Covid situation. The main example being the €2000 for people who were meant to wed over the past months.

A point which must be highlighted is that the government seems to be moving towards the country going towards the old normal, rather than taking the opportunity to create something new. The government must push towards more sustainable practices all round, lest we remain a traffic-filled over-developed country with little greenery.