From traffic to dwindling support, ROBERT ABELA tells Mario Xuereb that his party has a plan for the barrage of challenges facing the country.

This is the second and final part of an interview with the prime minister. Watch part one here. 

MX: Malta’s overpopulation is a challenge. To counter, you have been speaking about the labour migration challenge. But you haven’t given any details.

RA: Let me give you some news. The labour migration policy will be presented to cabinet in a fully dedicated meeting. (The interview was recorded on Thursday; cabinet met on Friday) This will be a first for Malta.  The document will analyse the labour market, the needs of our economy, and establish where we want to go in the future. It doesn’t start from scratch, as though we have done nothing in this sector. Let me take three specific areas as examples: temping agencies, Y-plates and food couriers.

MX: But moving forward, what does the policy entail?

RA: Employers with a high turnover rate [of foreign workers], whose habit is to hire and fire large numbers only to replace them within a day or two, will face sanctions. Employers who consistently show this pattern will not be allowed to bring in foreign workers. This will be subject to public discussion, but these measures are necessary. This is about aligning our policies with the dignity and respect workers deserve. In recent months, we analysed the labour market and [the practices] of the temping agencies. We have already legislated. Previously, workers were brought in from abroad without analysing whether the labour market required them.

MX: A participant during an ACE conference this week said, “there are too many cowboys in this country”. Why have we allowed these practices to flourish over the past 10 years?

RA: Temping agencies have existed in Malta for many years, but there was no robust regulatory framework. We have created one. You can no longer simply call yourself a temping agency, bring in workers, and operate like you would have done a few months ago. Now, you must go through a rigorous process, obtain accreditations, and face consequences if you don’t follow regulations. You may even end up losing your licence. This is how we addressed Y-plates.

The opposition spent months complaining about too many foreign workers, yet when we took action – based on studies that indicated sectorial oversaturation of foreign workers – they questioned the studies. They can’t adopt a populist narrative about having too many foreign workers and then oppose our achievements.

Moving forward, our focus should be on skills and worker quality. Whether it’s in hospitality or other sectors, the emphasis should shift from quantity to the quality of workers. Employers must understand that their greatest resource, whether Maltese or foreign, is their workforce, and they need to invest in them.

MX: The word “quality” has been overused in recent weeks. Can you call the traffic caused by the Sigma conference “quality”?

RA: First and foremost, we need to address whether we want Sigma to remain in Malta or not.

MX: What’s your position?

RA: We need it in Malta. Yesterday, I received somewhat negative news that next year, while Sigma will stay, Malta’s will not be its biggest event. It will be the second-biggest and will take place in September instead of November. This shows how fierce competition is, in this case with Milan. If we indicate that we don’t want quality investments, others will seize the opportunity.

MX: Why has it moved to Milan? And why is this bad news for you?

RA: Because Malta had the opportunity for this conference to grow and attract even more quality investment. This year, Sigma brought €100 million to Malta and created 950 job opportunities for local tradesmen including hairdressers, beauticians, Y-plate and white taxi drivers.

Emphasis should shift from quantity to the quality of workers

MX: But that €100 million didn’t end up in the pockets of those stuck in traffic during the Marsa congestion. This happened two years in a row. Why was the conference still held in Marsa, knowing the problems it created last year?

RA: That’s exactly why we need to invest in facilities suitable for such quality sectors and conferences. For me, the answer is yes, we need these conferences. However, we must also address the inconveniences they cause, ensuring they don’t outweigh the benefits.

MX: Aren’t there any other locations in Malta where this event can be held?

RA: From next year onwards, we need to seriously consider a venue suitable for this level of conference. This year, the Sigma event brought 27,000 delegates – all high spenders and quality tourists – who left significant contributions to the economy.

You cannot simplify the matter by asking where the €100 million went. That money is reinvested into the country by the finance minister. It funds children’s allowances, pensions and measures to support persons with disabilities, among other things. The economy functions in this way: revenue is collected and reinvested in people.

That said, I fully acknowledge the inconvenience caused, which is why planning for such conferences must improve. The traffic flow on the third day of the event was much better than the first day, thanks to improved planning. We need to replicate that success. Looking ahead, we need to invest in quality infrastructure to host such events.

MX: Has a location already been identified?

RA: Discussions are still ongoing. This is a matter of prioritisation. Meanwhile, the opposition uses populist narratives to stir negative sentiment. If you ask the opposition whether they would stop the Sigma conference if they were in government, they would likely dodge the question. My position is clear: I want Sigma to remain the largest event in Malta.

We must also compensate people for the inconvenience caused and ensure the traffic management is handled better. I would like to thank the Transport Malta team for their exceptional work under challenging circumstances.

MX: Recently, Minister Chris Bonett discussed various transport initiatives. However, many of these initiatives were already part of a master plan presented by Minister Joe Mizzi in 2014.  These included off-peak deliveries, encouraging drivers to give up their licenses, and park-and-ride facilities in various localities. Why were these measures never implemented and why does it take so long to get things done?

RA: Free public transport for everyone is certainly not just on paper – it’s a measure we’ve implemented, investing tens of millions of euros annually to reduce private vehicles on our roads. Similarly, sea transport between the cities has increased significantly since it became free.

MX: And yet traffic persists.

RA: Traffic is a reality in any vibrant economy. I was recently in Brussels for the European Council, and traffic there is also a reality. The same applies to New York during where I attended UNGA.

However, this doesn’t mean we shouldn’t strive for better traffic management. I believe in a cumulative approach, where a range of measures taken together will help improve the traffic situation.

MX: Will these measures ever be implemented?

RA: Yes. For instance, waste collection outside of daytime hours is already being discussed between the responsible ministry and contractors. We are adapting to a 24/7 economy, and services must reflect this reality.

Other measures include car-pooling incentives to reduce single-occupancy vehicles. I strongly dislike seeing so many cars with only one person in them. Cumulatively, these measures will have an impact.

MX: Let’s discuss tourism and projects. The Malta Chamber and MHRA have both stated that Malta is reaching its carrying capacity for tourism. We have enough beds, even without the completion of projects like Villa Rosa and the DB Group. Does it make sense to build more hotels?

RA: The reports you mention were prepared by individuals who have investments in this sector. These are people who know the market and are investing confidently. Tourism has always been a lucrative sector for Malta, with 3.1 million tourists visiting this year, leaving €3 billion in revenue. This revenue allows the government to continually invest in social benefits and improve the quality of life for our people.

I believe we must shift our focus to attracting high-quality tourists. To do this, we need to offer a quality product, from accommodation to branded stores and other amenities.

MX: But branded stores can be accessed from anywhere, even online.

RA: Quality tourists seek the experience of shopping in branded stores locally. In the two projects you mentioned, this element is included to attract high-quality tourists.

On the other hand, we also need a certain level of critical mass. Those who invested in three- or four-star accommodations shouldn’t be told their investments are no longer needed.

And who are we to tell young couples or middle-class families who have taken a loan to start their Airbnb? These investments improve their quality of life because once they pay off their loans, they are left with the asset. We cannot say ‘no’ to them.

MX: Do you agree with the MTA’s proposals regarding Airbnbs?

RA: MTA’s draft policy is yet to be presented to cabinet. CEO Carlo Micallef has made his comments on it.  But I can set everybody’s minds at rest that this government will protect their investments. I do not believe in stifling the free market or economic opportunities.

MX: Does this mean current Airbnb operators will not be affected by the regulations?

RA: What I’m saying is that we need to strike a balance between protecting investments in Airbnb and respecting the rights of nearby residents. For example, the issue of waste being left outside at inappropriate hours is unfair to residents. The solution isn’t to discourage investment in the sector, which would be populist.  I believe in finding a balance and reaching reasonable solutions.

MX: On Glenn Micallef. You were proven right. He performed well [during the hearing at the European Parliament].

RA: It’s not a matter of me being proven right. Glenn is a competent 35-year-old young man. It wasn’t easy to get to where we are today. I had conversations with my close friend, the president of the European Commission, to convince her of his abilities. They were not straightforward discussions. I understand it’s challenging to take on such a role at a young age, but I believe in the abilities of our youth.

The fact that he was assigned such a powerful portfolio – responsible for sports, culture, youth, and intergenerational fairness and with a budget of €13 billion – speaks volumes.

I was disappointed by the opposition leader’s narrative. While claiming to support youth, he subtly and overtly tried to discourage Glenn even before his grilling. However, Glenn proved his competence during those three hours of questioning. I’m confident he will expand the strength of the portfolio assigned to him.

We are making a significant contribution within the EU

MX: Wouldn’t it have been wiser for Malta to stake a claim for the Mediterranean portfolio instead? Malta’s Mediterranean vocation has been championed by several prime ministers since the 1970s.

RA: The idea of a Mediterranean portfolio was ours. We proposed it a year ago during the Med-9 hosted in Malta. Glenn himself had come up with the idea of a commissioner for the Mediterranean.

I am very pleased with the portfolio we were granted, but I recognise there are significant challenges in the Mediterranean. While we speak, I am being informed of boats consistently leaving Libya, attempting crossings either toward Malta or Lampedusa, depending on their point of departure.  This is a constant challenge for our country. We are making a significant contribution within the EU, especially at the European Council level. Migration is now consistently discussed at the highest levels, compared to sporadic discussions we had in the past. This reflects the pressures faced by various EU member states.

On the local front, we’ve adopted a policy of preventing departures rather than arrivals. Let me be clear: our focus is on prevention at source.

MX: What do you make of the Italian prime minister’s position regarding the agreement with Albania to relocate migrants?

RA: The return-hub mechanism was an idea we actively explored. Italy’s approach aligns with the return-hub mechanism concept we developed. While our approach is slightly different, the principle is the same.

That said, Italy has faced judicial rulings on this matter. During my last meeting with the Italian prime minister, I expressed my support for the initiative. I believe this initiative needs to be addressed through EU legislative frameworks.

MX: Do you have any plans for similar agreements with other countries?

RA: The return-hub mechanism concept is something we developed and are actively considering.

MX: To which countries?

RA: Not yet. But we have already achieved significant success with our return policies. Those who do not qualify for asylum are returned to their countries of origin. That said, the European courts sometimes fail to consider the realities we politicians face. The European Convention was drafted decades ago, and as the Danish prime minister recently argued, it needs to adapt to today’s realities. As European leaders, it’s up to us to update legislation to reflect current circumstances.

MX: Recently, just before the leader of the opposition was due to reply to budget, the Labour Party released what it said was a leaked PN document. Wasn’t that below the belt?

RA: What was below the belt was the opposition leader failing to finalise the document. It wasn’t below the belt for us. It was unfair to the public.

MX: But it’s not the first time that documents remain works in progress and don’t get finalised.

RA: Exactly. That’s why it was a pre-budget document. Common sense dictates it should have been finalised before the budget. Historically, the Nationalist Party would publish such documents weeks before the budget to allow the public to evaluate their economic vision. By failing to do so, they deprived the public of that opportunity.

If it weren’t for the Labour Party revealing the document, the public would never have seen how unprepared and incompetent the opposition is. The document even failed to acknowledge the number of people working in the financial services sector in Malta – a glaring omission.

MX: But there is no legal requirement, not even tradition dictates that binds the opposition to come up with a finalised pre-budget document, is there?

RA: But they began preparing as they had done in previous years and gave up on it, which is quite significant. They usually start preparing in the last week of July, have a draft ready, and then there’s a phrase of “where’s the beef” and “this needs more work”. Instead of finding the “beef” and continuing to work on it as recommended by those handling the report, they gave up on it, scrapped the document, and didn’t share it with the public to allow them to form their judgment. This is a serious shortcoming for an opposition presenting itself as the alternative government in two years’ time.

MX: We journalists often hear that the Labour Party is worried about Roberta Metsola returning to Malta before the general election. Do you rule out calling an election before her term as president of the European Parliament ends in two-and-a-half years?

RA: We’ve already faced a mid-term election on June 8, during the European Parliament elections. Despite being mid-term in our third legislature, Labour still won. Roberta Metsola, as a leading Nationalist candidate, didn’t stop that.

MX: But Labour’s majority was significantly reduced.

RA: There were two victories – one by over 20,000 votes and the other by just over 8,000 votes. These were victories nonetheless.

MX: But Labour’s majority previously stood at 40,000.

RA: Those were general elections. Comparing them to European elections is a different matter entirely. Inflation was a factor during that campaign, and while we did everything possible to shield people from rising costs, inflation still hurt our citizens.

MX: Does Metsola concern you?

RA: Metsola is a rival, just like Bernard Grech. The opposition leader should answer that question, not me. My focus is on earning the trust of our people daily.

MX: But Grech has already made significant inroads into Labour’s majority.

RA: I work every day to maintain and strengthen the public’s trust. Trust is not given permanently – it must be earned every single day. At the end of the day, it is up to the opposition to decide who will lead them. Whoever they choose, I will work to earn the people’s trust once again.

MX: You have two budgets left before the next general election. Will you present both?

RA: Yes, both budgets will be presented. With that I confirm that I am not worried [about Metsola].

MX: Prime minister, thank you very much.