In the first quarter of this year, Malta achieved an exceptional economic growth rate of 7.6%. This positive trend is attributed to solid domestic demands and significant investments. Compared to the pre-pandemic times' financial situation, the Maltese national wealth has grown by more than half a billion euros. In fact, between January and March of 2019, the national wealth was EUR 3,265 million, whereas the wealth for the same period of 2022 was EUR 3,784.5 million.

As the effects of the pandemic have shaped the economic growth of many EU countries in the last two years, it is thus essential to compare the current financial situation with that of pre-pandemic times. Many EU countries have faced harsh realities, being under pressure from increased strain on the healthcare systems and having staff shortages due to illness, precautionary quarantines or care duties.

As a Government, Malta was careful and well-managed and has successfully limited the impact of the pandemic crisis. Thanks to the forceful government interventions, the country has been relatively well insulated from external circumstances.  Compared to other European countries, Malta was able to keep the unemployment rate amongst the lowest levels in the block during the pandemic, thanks to the government's effective assistance measures, such as the Wage Supplement scheme, which mitigated the economic consequences of the pandemic. 

Having a strong economy is good news to everyone. As the statistics and hard facts show time and time again, this Government successfully manages the country's finances and economy and is very able to create wealth. Last February, in winter economic forecasts, the European Commission predicted that Malta’s economic growth for 2022 will reach a chart-topping 6% of GDP. This was two percentage points higher than the average projected growth of 4% for the entire EU. However, we managed to surpass this positive forecast with even more positive results as the growth rate in the first quarter was 7.6%, which is much higher than what was forecasted by other international agencies. It is almost double the growth when compared to the forecasted average of the EU.

While the Opposition argues that the Government has lost control of public finances, such statistics show a very different reality. This significant improvement in Malta’s public finances allowed the country to accumulate considerable resources to sustain the country’s growth and development and strengthen the resilience of our economy against inevitable downturns. The importance of a well-planned financial strategy was demonstrated with the sudden and unexpected crisis of the COVID-19 pandemic in early 2020.

Unfortunately, the pandemic has brought the global economy to a standstill and inevitably put brakes on Malta’s period of significant economic growth. However the Government has shown that it is able to steer our economy forward in testing times.

Our mindset is based on creating economic wealth which reaches everyone, especially those most in need. As a government, we have strategically transformed our country's economy from a mismanaged one under a previous PN administration, constantly going from one crisis to another, to a more resilient economy that has remained strong even in the most challenging times.

A few words about unemployment figures.  Eurostat data shows that Malta’s unemployment rate remains at a historic record low of 3.1% in February. Moreover, our country had the lowest unemployment rate among all EU countries. Only Germany managed to keep up with our economy, posting a 3.1% unemployment rate. This was the fifth consecutive month when Malta had the lowest unemployment rate in the Euro area.

Our unemployment rate is a whole percentage point lower than it was in the same month of 2021, confirming the success of our economic recovery. In the rest of the euro area, unemployment stands at 6.8%, or more than double our rate, with Spain having the worst unemployment rate of all at 12.6%.

Since Robert Abela became Prime Minister in January 2020, unemployment has fallen from 3.5% to 3.1% despite the pandemic. His handling of the impact of the pandemic was superior to that of other Euro area countries, so much so that for the first time in history, Malta has started to have the lowest unemployment rate ever one time after the other.

We cannot forget that in the meantime workers and students have received supplementary financial assistance.  This was done over and above the tax refunds from €60 to €145 previously announced in the budget. In all the government’s total outlay in cash cheques and tax refunds was €70 million, with 380,000 people benefiting from these supplements. 

Truly, Robert Abela and the Labour Government are a safe pair of hands.

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Culture forms an integral part of the economic success. The creative economy in Malta is thriving and doing very well and cultural events and large scale heritage restoration interventions generate positive economic effects.

When I was an Opposition M.P. back in 2008, we would meet in the Old Parliamentary building.  I remember walking out of that building at 9 pm or the whearabouts in a dead city, completely pitch black and desolate.  Currently I have my Ministerial office a stone throw’s away: each time I walk out of my office in the late evening, I see a capital city full of life, culture and energy.

This is the difference which a planned and very good cultural rehabilitation of a whole capital city brought about.  This is what culture can bring to a place: it breathes life back to where, previously, there was none.

This is applicable, of course, also to our villages and cities. In these last days, for instance, the Zurrieq Local Council organised a traditional festa to mark Zurrieq Day.  I have to commend Mayor Rita Grima, her council and the staff of the council for the excellent work to set up a very good program which attracted a lot of people from all over Malta to this beautiful village.

The piazza of Zurrieq, usually relatively quiet, was buzzing with life and energy.  Stalls were set up with traditional Maltese products as well as mainstream commerical ones.  The two band clubs of St Catherine and Our Lady of Mount Carmel proudly opened their doors, showcasing their rich history.

These are all very good things which have very positive effects on a whole community.