The Labour Government, that some said was doomed for a bailout, has this week presented its seventh budget, the third yielding a surplus and the second with no new taxes.
It is important to look at the background to this budget for 2019. Professor Scicluna was very correct in reminding the nation of the starting point for, and the performance of, Labour's administration since March 2013. From a financial perspective, we managed to turn a deficit of €300 million in 2012 to a surplus of over €100 million in 2016 and, according to the latest data for the first eight months of the current financial year, another surplus of €392 million will be recorded for 2017.
The road to success
Today, there are 5,000 fewer people unemployed than in 2013. Today, we have around 22,000 more people in gainful employment and we have approximately 11,000 more women in employment than there were at the beginning of the last legislature. During the current year, we have 28,000 more people working in the private sector than we had in 2012.
This reflects the robust economic growth achieved by Labour. Today, the number of individuals on social benefits, including single parents, is approximately 3,000 fewer than in March 2013 and the number of those on unemployment benefits is approximately 3,500 less than we found at the beginning of our first term of office.
These results were achieved through bold reforms in the benefit system, including the 'tapering of benefits' and the 'in-work benefit', both of which provided ways for social benefits claimants to enter the labour market. In 2017, the Maltese economy has continued to show consistent progress. In the first 100 days of this term in office, we managed to achieve 'A' credit rating upgrades for our economy from Fitch Ratings, DBRS and Standard & Poor credit rating agencies and all throughout we have moved from stable to positive evaluations.
We have reached the point where, in the first 100 days of this legislature, Malta has been rated to have had the best economic growth within the European Union and to have had the best increase in the creation of jobs within the EU.
Managing challenges
Furthermore, we have also seen major reductions in poverty. The latest statistics show that the number of people at risk of poverty has fallen by 9,000. We have also managed to dramatically reduce the number of people who are unable to make ends meet - from 17 per cent in 2012 to 6.6 per cent by as early as 2016.
All this was made possible due to a succession of budgets that were well-planned fiscally, economically and socially so that the wealth that was created was also being equally distributed. We achieved much of what was promised in the electoral manifesto in a thoughtful, well-planned, prudent and consistent manner. Our policy of building a prosperity with a purpose can, in fact, be witnessed in the general wellbeing all around.
Despite having achieved this success, we are committed to work harder - fully aware that not a single person in Malta and Gozo will ever be considered numerically for statistical purposes, but as a whole person entitled to full dignity and deserving the nation's support for the best opportunities in life.
Labour's undeniable credentials for social justice are historically proven since the first time Labour was in power in the 1940s and, more evidently, in the 1970s, apart from the quality leaps during the last five years. Yes, we are proud of what we have succeeded in achieving, but our resolve to attain better results is second to none. We never stoop so low as to call challenges mere perceptions!
Gozo's rightful share
Understandably, over and above all the 166 major budget measures for the whole country, I was more than interested to know what my consistent proposals and demands for Gozo and its people had brought about. The government's first clear message to Gozitans was the record increase of €13 million in the budget allocated to the Gozo Ministry for the coming year.
Specific measures for Gozitans reflect that consultations week after week with fellow Gozitans and constituted bodies have been a learning exercise for me, followed by diligent but steady action, in accordance with national policies for equality, equity and accessibility. I have taken it upon myself to ensure that Gozo's particular needs - and the proposed remedies - are taken on board and moved further up the government's agenda. The budget for 2019 shows that determination and consistency do pay.
As from the coming year, private sector workers who commute from Gozo will be eligible for a partial refund on their Gozo Channel ferry ticket, on a par with those working in the public service. Some 3.000 workers will be receiving this refund. Public sector workers who use collective transport when coming to Malta from Gozo will also be receiving a €1.50 daily allowance and around 1,000 workers will benefit from this new scheme.
Further benefits
Gozitan students will be given further support, including the Ministry's continuous efforts to explore affordable housing for them while they are in Malta. In the meantime, apart from the €500 allowance, we are also extending to Gozitan students the Housing Authority's renting scheme with the applicable conditions.
Another important benefit will secure that, apart from the patients themselves, the adult family member or carer accompanying them for medical treatment in Malta will be entitled to a similar reimbursement of the cost of ferry tickets. Parallel to this particular issue, we are also actively considering some kind of affordable temporary accommodation for the relatives of patients who require longer therapy in Malta than expected.
Apart from these specific measures related to Gozo's double insularity challenges, the budget for 2019 also provides for a new Gozo Aquatic Centre for therapy and sport. The Gozo Ministry has already kick-started the process for the building of this new Centre, which will address the needs of many athletes with a fully equipped indoor pool in which to practice their particular sport.
Last but not least, we are looking forward to the establishment of Gozo's Regional Development Authority for which I tabled a first draft in Parliament last June. The public consultation period has now been concluded and we all look forward to a mature discussion and eventual approval of the relative bill. The Gozo tunnel mega-project has also been given a special mention with the geological model that will lead to the necessary technical design.
The budget 2019 measures for Gozitans will certainly be the particularly needed addition to a long list of other measures on a national scale as regards wage and pensions increases and tax rebates and exemptions, which confirm that both Malta and Gozo are actually living a success story. I also look forward to giving a detailed update during the budgetary debate allocated to the Ministry for Gozo scheduled for 7 November.