Parliamentary secretary Ian Borg yesterday announced that Malta’s EU Structural Fund absorption rate had increased to 78% at the end of 2014 from a paltry 30% by March 2013 – at the time of the last general election.
No doubt, there is a bit a political spin on this, in terms of their having been projects in 2013 that were still awaiting approval. But it is still a big turnaround, and as a result of his secretariat’s work, there has been a significant uptick in application and approval of funds, so much so, that Malta did not lose out on any funds in 2013 or 2014.
In addition, Malta seems to be well on track to avail itself of all funds that are available until the end of 2015. The funds have been invested in some major projects which will be of benefit to the general public and include the Youth Guarantee, additional space in Mater Dei Hospital and the Coast Road project.
Other prohects that are nearing completion, include restorational works on the Ċittadella and Fort St Angelo, the Creative Hub project as well as the Oncology Hospital. Malta still benefits from a high ratio of EU funding. But that funding is already being squeezed and new members Bulgaria and Romania are getting more of a slice. When Croatia eventually becomes an EU member, those funds will be strained further and as more developing countries in the East of Europe join the European Union, Malta will drop down the pecking order. The reasons are two-fold. Not only will Malta have advanced in terms of finances and infrastructure, but other countries with a lower standard of living will be given priority. So the onus is on us to get the most out of the EU (and there is absolutely no shame in that, many have done so before us) before the funds are allocated elsewhere.
Malta has come a long way since it joined the EU in 2004. The country has seen the implementation of massive capital projects as well as hundreds (if not thousands) of smaller projects on a national level as well as others on a local level – all thanks to support from the EU in terms of funding.
In the two years that the PL has been in government, the momentum has been ramped up, with continuity from the previous adminstration being complemented by the commencement of new projects piloted by this government. But there is still a long way to go. Our transport system still relies on buses and the odd water taxi – more needs to be done. We need some form of mass transit system which will allow for people to leave their cars at home finally. Our roads are also in an absolute shambles, and while work has been going on to the network for the past 11 years, we are still nowhere near finished. As the saying goes, we must strike while the iron is hot and we must get what we can, while we can. In a few years, we will go from net receivers to net contributors and the more affluent we become, the more that process will be speeded up.