Chamber, MHRA urge government to reduce business costs

The Malta Chamber of Commerce, Enterprise and Industry and the Malta Hotels and Restaurants Association have urged the government to reduce costs for businesses as one of a series of measures to counter the immediate risks of an economic downturn as a result of the current international climate.

The proposal is one of a series made to the Prime Minister and the MCESD Chairman for a stimulus package for the Maltese economy.

The two private sector organisations proposed:

A reduction in the operational costs of business in Malta to be better able to meet the price competitiveness challenges within the difficult demand scenario, for example an immediate reduction in utility bills through the introduction of a formula which takes into account the current development in energy costs in the global markets;

Safeguarding major productive establishments from losing valuable human resources as a result of a significant and temporary drop in demand;

Marketing support to immediately sustain demand in the tourism sector, which makes a significant direct and indirect contribution to economic activity in Malta;

An enhanced access by business to low cost liquidity to enable them to meet short-run constraints;

The expediting of MEPA permitting procedures so as to unleash the economic potential of a number of major projects that are already in the pipeline, without jeopardising environmental sustainability.

They also called for the timely and effective implementation of EU-funded projects especially in areas which will create productive assets such as infrastructure, yacht-marinas, energy and training; enhanced incentives R&D and Innovation through measures such as tax rebates, and the enhancement of schemes recently launched by Malta Enterprise such as those involving equity financing and training of entrepreneurs with internationally-scoped ideas.