The Gozitan community is becoming an ever more dynamic element in the country’s everyday reality and the progress we have achieved together over the last six years is felt in all sectors of the island.
This was basically the Prime Minister’s message last Wednesday, when he signed the final agreement for the new fibre optic link for Gozo which will shortly be using the island’s technological potential to the full. Dr Muscat stressed that it is beyond doubt that Gozo has changed significantly in most sectors, not least in respect of the latest technologies and innovative industries. As Malta as a whole progresses with a robust macroeconomic performance that is instigating higher and faster economic growth and quasi-full employement, it is very evident that Gozo is not just tagging along.
In fact, Gozo’s GDP last year reached around €470 million, with a 25% increase in full-time employment over October 2014. Gozo is fast becoming the ideal place for holidaying, and has established itself as the place for innovative and thematic events in which the Government is investing heavily to attract the thousands who cross over from Malta more frequently all year round and thus eliminating the seasonality challenge.
New fibre optic link
The island has gradually, but steadily, become the place to which people from all over the world are bringing their families and establishing themselves. This is the way we want Gozo to be – a place where you can live and work. It is providing the opportunity for locals to stay and find better employment, or to venture into enterpise and growing and diversifying their business. We want our young people back on the island and we are workng hard to provide the right opportunities to meet their aspirations.
The new fibre optic cable will therefore provide the required infrastucture for technology-based businesses. The project in itself is more tangible proof of our vision for Gozo and in fact, during his speech Elettra CEO Didier Dillard made the point that projects of this nature are usually carried out by the private sector. He firmly acknowledged this Government’s commitment to ensuring that the cable is in place for the benefit of Gozo for decades to come.
Reliable internet connectivity is the foundation of any digital activity and the Gozo Ministry is committed to ensuring that the infrastructure in Gozo reaches the highest standards. A technical gap analysis, commissioned in order to study the need for further direct support, clearly highlighted that the island could not depend on just one fibre optic cable.
We are continuously promoting Gozo as place in which to do business – and as the Prime Minister said on a recent occasion in Gozo – a place in which to do business smartly. However, to attract the kind of business we want, there are three basis requirements: infrastucture, connectivity and human capital. Indeed, the Gozo Innovation Hub, the SME park and the Xewkija Industrial Estate extension are crucial. The new Gozo Innovation Hub at the former Malta Dairy Products site will serve as another prestigious address for digital innovation in Gozo. Over the next five years we estimate that around 15 companies will begin operating from this area, with further high-level jobs being created on the island. We already have an important tenant, Noovle – a premium partner of Google – and we are targeting more important names.
However, these facilities would not have been sustainable without further investment that will deliver certainty and reliability to the technology business. These businesses are dependent upon an internet service that is secure on a 24/7 basis with emergency systems in place as contingencies. The government is therefore addressing this reality by investing €3.5 million in national funds for an ancillary cable that connects the two islands. This will help develop Gozo into a truly advanced technology location that enables companies based on the island to take their output to the next level.
On the human capital side, tailor-made policy instruments and initiatives are needed to address the regional imbalances which cannot not be mitigated through a national ‘one size fits all’ solution. The recent initiative of the Gozo Employment Scheme saw the creation of 80 new jobs in Gozo with 32 different companies. The idea behind this scheme is that the Gozo Ministry is allocating €6,000 to successful applicants for the creation of new jobs in Gozo. These funds are to be used by the employer for training purposes, better employment conditions and family-friendly measures.
Third consecutive surplus
However, this investment would not be possible, were government finances not stable and strong. In fact, for the third consecutive year the Government achieved a very significant €250.8 million surplus in 2018 – indeed, the second largest among all EU member states.
Public debt was reduced by €17.8 million and the debt-to-GDP ratio stood at 46 per cent, down from 50.2 per cent in 2017. The Maastricht criteria set a 60 per cent benchmark for debt, with Malta having been below that mark from as far back as 2015. Our performance stands out in that Eurostat shows that, by comparison, Europe’s largest economy, Germany, registered a surplus of 1.7 per cent. Fourteen member states had government debt ratios higher than 60 per cent of GDP, with the highest registered in Greece.
This is a further confirmation that Labour does work!
Celebrating Labour Day
With the Government constantly delivering on its electoral promises, the Labour Party is equally very active with its Annual General Conference that this year has come closer to the people with current issues being discussed publicly, including the one at Sannat, Gozo, last Wednesday. With the closing speech today, by Prime Minister Dr Joseph Muscat, Gozitan and Maltese workers will add to the Labour Movement’s momentum this Wednesday to celebrate Labour Day.
While millions of workers in Europe – and many other parts of the world – will march around the bigger cities in protest against high unemployment and the lack of adequate social measures, we will gather to celebrate the country’s achievements in Castille Square on Wednesday. It is indeed a time to be proud of the many firsts we have achieved, but we will not sit on our laurels. We are committed to work harder and ensure that the country’s economic and financial success is accessible to all, thus delivering further on our solid principles of social justice that are better translated into prosperity with a purpose.
The First of May will see us through the last phase of the election campaign leading to a national vote for our deserving members in the European Parliament and our 68 Local Councils. Notwithstanding the increasing majorities in the past two general elections, we still need to be focused and ensure that the electorate grasps the only clear-cut option at stake: a vote for Malta and Gozo!