This government’s Budget has once again exceeded expectations. For the eighth consecutive year it has presented a plan for economic growth, for the fifth consecutive year it has achieved a surplus and for the third year running it has ruled out new taxes.

The incentives proposed by the current administration have one goal in mind: To incentivise growth, rather than force it. And so far, such a positive attitude has rubbed off consumers and business alike: Sustaining an annual €1 billion growth in the Maltese gross domestic product every year is nothing to scoff at. 

Additionally, the news that our economy has managed to double in size in less than a decade is truly a certificate of success for our economic vision. This has translated in a €140 million increase in wages and salaries for all workers in Malta, while our country has among the lowest unemployment rates out of all European Union member states.

I had the pleasure of attending the Prime Minister’s speech, in which he clearly laid down his government’s economic vision. 

I took special note of the fact that no less than 35 budgetary measures were announced which focus squarely on climate change, and address the challenges that such a phenomenon proposes in a tangible manner, in a way that adds to our economy’s room for growth, as opposed to restricting it.

A Budget which rewards, rather than punishes, the hard work of our families and businesses, from a government which realised early on the way to enact change is to encourage and support it, not punish it.

This government has consistently pushed the envelope when it comes to economic success, so news of a positive economic outlook for the forthcoming year should come as no surprise. 

I would say that Budget 2020 is undoubtedly the most robust economic plan ever presented by a sitting administration. 

It promises substantial economic growth for our country, looks after those most in need and provides incentives for hard-working families, communities and businesses. All this will be done in a manner which is sustainable, from both an economic and an environmental perspective.

Budget 2020 is undoubtedly the most robust economic plan ever presented by a sitting administration

It would have been too easy to coast through the next few years on the back of what has been achieved but this government has upped the ante in the fight for sustainability.

Instead of adopting a punitive approach, this government is giving generous incentives such as lower tariffs for families charging an electric vehicle at home, a €200,000 grant for developers using new, efficient and cleaner machinery, more grants for PV installations and new schemes for solar water heaters. Even our public spaces, our schools and our water infrastructure are being addressed, changes which will contribute to more eco-friendly surroundings.

And that’s just in the short term. Any economic vision must extend far beyond a 12-month term, and in Budget 2020 concrete steps are being taken to achieve long-term goals, such as the prohibition of single-use plastic in the next few years, a changeover to electric vehicles and turning Malta and Gozo carbon neutral. 

I must also mention the new initiatives proposed by this government which address the circular economy, including incentives relating to the sale of products without excess packaging, and therefore aims to reduce waste in the long term.

Our country is party to the 2030 Agenda for Sustainable Development, as adopted by all United Nations member states back in 2015. Many of these aims have already been addressed by this government. Poverty has been reduced and inequality suppressed. This Budget will help us go further, with our strong economic performance underpinning further initiatives in this sector.

I am also very pleased with the Budget’s commitment towards a stronger diplomatic presence, with the opening of new embassies in South America and Japan. Just as this government cooperated with people with different interests to enact change at a local level, we must do the same on the international front. It’s only through mutual cooperation that obstacles will be overcome.

Truly, this is a Budget which ensures that we as a country can achieve more, locally and abroad, leaving no one behind.

Carmelo Abela is Minister for Foreign Affairs and Trade Promotion.