Responding to yesterday’s statement made by Opposition leader Simon Busuttil on the 2016 Budget, Prime Minister Joseph Muscat said this evening that people in Malta and Gozo are realising that changes being made by this government are for the better.

We are ensuring Malta is future ready, he said, while also referring to countries like Singapore and Luxembourg which have thrived. He said Malta can be as good as Singapore and Luxembourg, if not better.

Malta will serve as a role model of economic best practice.

We have lowered unemployment levels to a record low, he said, adding that this government is fighting social benefit abuse.

Dr Muscat went on to say that this country could not afford having a good budget, a not so good budget and a good budget once again. We need consistency, he said.

In the past, people used to speak about how much the government took away from them after the budget but today, people are speaking differently and realising how much the government gave them back.

Malta managed to get out of the excessive deficit procedure, he continued, with his government having changed the country’s direction.

He said the Opposition is right when it states that this government increased expenditure. "Yes it is right. We increased our expenditure on education, and we are proud to be investing in education," he continued.

Dr Muscat said the government also managed to reduce taxes, but at the same time collected more money in taxes, not because taxes were increased, but due to the fact that the country's economic growth is accelerating at a fast rate.

The investment we will have next year will be 25% more than what a Nationalist Government invested.

The document presented by the Opposition on the budget was engulfed with lies and mistakes, he said. “Having a bit of knowledge is far more dangerous than not having any knowledge whatsoever on something,” he said, indirectly referring to the Opposition’s take on economy related issues.

Eight companies opened on a daily basis in these last two and the half years, ever since this government started to lead the country, Dr Muscat highlighted.

He said that Mriehel will be given a face-lift and workers will be given what they deserve – an investment hub.

He said that he will be promoting Malta’s products and services in Algeria soon. "You want to call me a salesman, do so. What is for sure, I am not a jealous salesman."

Less taxes and a good economy means more jobs, he said, adding that the PN used to say that if Labour was elected there would be a job crisis. But in two and the half years, we created 17 new jobs daily, three times more than the previous government created.

Referring to Dr Busuttil’s comments that public debts increased, he said that a previous PN government increased debts threefold. 

He said that most of those who were engaged on the government payroll were Learning Support Assistants and healthcare professionals. "What do you expect me to do, leave our children without LSAs?" he asked.

He referred to Dr Busuttil’s comments that Malta’s inflation is high. First he had said that Malta’s inflation is not high enough, now he says the opposite, Dr Muscat said. "This is what happens when you don’t know the principles of the economy," he warned.

Dr Muscat said that this government is reducing taxes as much as it can but responsibly. He also quipped that those who make one million euros in consultancies will obviously state that the income tax reductions weren’t much to write home about.

Dr Muscat was referring to claims that Dr Busuttil had made some one million euros in consultancy fees.

Turning to energy, he said that those who are bothered with the fact that Malta’s energy sector is thriving, set up a Google group with the aim of tarnishing the repute of Malta’s financial sector, referring to the ‘Finance Shadow Group’ which saw the involvement of former PN finance minister Tonio Fenech.

He said that a PN government wanted to increase the energy tariffs but this government reduced them.

The PN, he said, gave a guarantee of failure while this government gave a guarantee of confidence.

He said that this was the third budget and once again the fuel costs have been reduced. "Stability does not mean that prices must be reduced monthly but that families and businesses will have peace of mind."

“The PN said that Malta would need a bail-out if Labour was elected but we have one of the fastest rates of economy growth in the whole of Europe,” he said.

Dr Muscat said that a Nationalist government had opted to assist a company to the tune of some €10 million in direct and indirect assistance despite the fact that a due diligence exercise concluded that the promoter’s wealth came as a result of criminal activity.

Dr Muscat announced that Enemalta will be launching its first investment abroad, stating that what was a loss making company is being transformed into one which invested internationally.

On poverty, he said that the PN has finally realised that poverty is not a perception but a reality.

Dr Muscat said that the ones who have come to realise that poverty is a reality used to impose taxes on the poor.

Pensioners, he said, are the ones who are at risk of poverty most and after 20 years, pensions have been increased. This is the first realistic increase in 20 years for pensioners, he pointed out.

We will only reward hard workers

"We are not a government that fears losing votes simply because we are ensuring that there won’t be social benefit abuse," said Dr Muscat.

He warned that if there are people are are offered training but refuse to undergo such training, they will not receive social benefits. "Unpopular? Yes it’s an unpopular decision but we will only reward those who are hard working," Dr Muscat said.

Dr Muscat said that Malta has the most popular citizenship programme in Europe but Dr Busuttil still found time to criticise it.

“Dr Busuttil keeps asking us to publish the contracts but why doesn’t he start off by publishing the report of his party’s electoral defeat?” Dr Muscat asked.

Dr Muscat said that Dr Busuttil’s speech yesterday was “bitter”. He said that after his speech, he contemplated whether he would respond in the same manner – like with like – “but I decided not to”.

We have gone down to levels of absurdity where even parents of individuals are being mentioned by the PN, Dr Muscat said.

Anyone who wants to work with us in a genuine manner, can do so; I have no problem working with them, even those who occupied key positions before the election, he continued.

On traffic, Dr Muscat asked whether we needed to reach a stage where cars with registration plates bearing even numbers go out on one day and the ones with odd numbers on another day.

He said that to enhance the bus fleet, one would have to increase the subsidies but the PN leader keeps stating that if we increase subsidies, we should increase bus fares. We don’t want to do that, Dr Muscat told Dr Busuttil.

Dr Muscat said that the PN had thrown out its own people from their place of work, referring to PN media workers who were made redundant in 2013.

LGBTi rights

He said Malta is the first in Europe when it comes to LGBTI rights, adding that he knows perfectly well that he is speaking about a minority group.