Prime Minister Robert Abela on Friday spoke about an “important transition” of the Maltese economy during a conference held by The Malta Council for Economic and Social Development (MCESD), in which key findings from the National Productivity Report for 2022 were presented. 

In his speech, which emphasized the government’s economic vision, the Prime Minister said that the government will not rest on its laurels, rather, it will continue to work on renewed principles, with an economic vision for the future. This will include the transition towards a knowledge intensive economy, the transitioning towards a greener economy, and embracing the economic diversification that our country offers to enhance our competitiveness.

This is necessary as economic growth during the past decade has led Malta to reach a higher level, confirmed by tangible economic results. Today, our country has the highest employment rate, the lowest unemployment rate, and the fastest-growing economy in Europe.

As a result of this, Malta will continue to experience strong economic growth and the Government will bolster its efforts further to strengthen quality of life, he said.

In his address, the Prime Minister welcomed the work carried out by social partners to produce a report that looks into our country’s productivity. He reiterated the key importance of social dialogue which is crucial for the country to continue moving forward, and recalled that when faced with major challenges, the government always found social partners to be a source of ideas for new ways to keep moving ahead. The Prime Minister added that the strategy and the economic vision should be drafted by numerous and various people who represent everyone’s interests.

The Prime Minister referred to the shock of inflation that hit various countries during the past months. He added that had we not used our economic growth to invest in people, private consumption would have halted rather than improved. Furthermore, renewed economic and financial leadership is still crucial as Malta’s economic success is a result of a nation that keeps evolving. The Prime Minister stated that change is key for a country to remain competitive and attract investment.

In terms of economic growth, the Prime Minister explained that this results from investment, upskilling, improved use of our country’s human resources, and increased productivity. The Prime Minister spoke about workers’ contribution. “I believe that it is workers who strengthen businesses in a world where competitiveness and productivity are measured on workers’ skills rather than on saving money from salaries,” stated the Prime Minister.

In terms of the transition to a digital and greener economy, the Prime Minister explained the government’s plans and that our country’s size should serve as an opportunity for certain changes to be implemented at a faster pace and more efficiently.

Investment in Malta last year stood at €3.7 billion. A decade ago, the figures were less than half this amount. The same applies for working graduates: we now have 94,000, which is more than double the figures of a decade ago.

The Prime Minister concluded that these achievements are only the start, and that in order to progress to the next level, change and innovation need to be at the centre of our everyday life. We need to increase productivity, strengthen the economy, and above all provide a better quality of life for families, while protecting workers by providing better conditions and an improved income.