Recent allegations about Panamanian companies drew a “black cloud” over Malta, according to the chief executive of the Union Ħaddiema Magħqudin.

Josef Vella said this latest debacle added to the previous ones including that of the Cafe’ Premier in Valletta and the Gaffarena saga when the government paid more than €3 million in cash and land in return for half a property in Old Mint Street, Valletta.

This legislature was characterised by incidents indicative of a governance crisis, with one crisis following rapidly on the heels of another, he added. “We are now living through ‘Panamagate’, with new revelations being made every day. Even the way the facts relating to this case are coming to light in itself denotes a crisis,” he said.

Josef Vella

Making his observations in a weekly UĦM publication, Mr Vella said there were also undercurrents involving unions.

“We have faced a series of issues related to industrial relations that cut close to the bone for UĦM… Even in the field of industrial relations it looks like someone high up is trying to pull the strings,” he wrote.

“I believe all this is leading to this legislature being characterised as a legislature of crises. The questions are obvious: how long can we go on like this? How can this impact our country? We must understand that this will not only impact local politics directly, it will also leave a dent in people’s faith in politicians. This situation will also leave its mark on our industry, our economy, the job market and investments – they are all linked,” he stressed.

Mr Vella noted that what was happening in Malta was followed closely from overseas.

“Investors do not materialise out of thin air. They generally spend quite a long time observing what is happening in the country before deciding to invest. A good environment for investment is not created simply with facts and figures. It is important that we stay out of the news as much as possible! When these crises are reported in the news day in day out, they draw a black cloud over the island that does not do us much good in terms of attracting investment,” he said.