In a press conference held in Sliema, Alternattiva Demokratika – The Green Party gave its official reaction to the budget, one which it described as "generous financially but short both on tackling serious environmental issues as well as a number of social issues".

Chairman Harry Vassallo said: "Nobody should deny that this budget is generous. The Greens have been expecting an electoral budget, particularly after so many years of belt-tightening. Government is now able to give back some of what it has taken not only because economic growth is improving, but also because of the fiscal discipline imposed after EU membership."

He continued: "Alternattiva Demokratika is proud to have supported EU membership because we have always recognised the need to impose fiscal discipline. EU membership has contributed, both directly and indirectly towards achieving fiscal stability as well as allowing government to give out more."

Edward Fenech, spokesperson on Finance and the Economy then commented about a number of specific measured announced in the budget. He said: "We are glad that, after three years of listening to our proposals on the need to assist families raising children, government has finally decided to expand and extend children's allowance."

Whilst stating that the budget is financially generous, AD judges the budget to be "environmentally lame". Dr Vassallo said "It is cheap for Dr Gonzi to say that one of the pillars of his policies is the environment. When one looks at the budget, it is evident that government does not understand the most serious environmental issues the country faces. It is very disappointing that the budget makes no mention of the grave problems overdevelopment and transportation, two issues that are contributing towards the destruction of our environment and the worsening of our health," he said.

Dr Vassallo continued: "On Friday the government published the second have of the 2005 Census in which it was declared, as we have been stating for years, that Malta has a hideously large stock of vacant property. The census declares this to be 53,136 properties."

He said a responsible government would consider proposals, such as the one made by AD, to put these properties onto the market for sale or rent. "We have been proposing for three years that tax incentives and disincentives should be in place to achieve this. Instead government continues ignoring the issue and is ever more committed to allowing more construction. In addition it is scandalous that a budget that will spend over 2.6 billion euros, no mention is made of the critical situation in transport," said Dr Vassallo.

He said Malta needed to bring about radical changes in transport and mobility, using diverse means of transport, both land and sea. "Government seems only committed to increasing roads and vehicles, which our population suffers the consequences of air pollution generated from increased traffic.

"It is sad that the only initiative the Minister for Transport seems to have is the distribution of a newspaper on public buses. Once in parliament AD will push for the liberalisation and diversification of public transport, rather than perpetuating the existing public transport system that is of third world standard," concluded Dr Vassallo.