The Nationalist Party on Saturday launched a pre-budget document with proposals aimed at bettering economic stability following the pandemic and improving the administration of public finances.

Its document (see PDF below) outlines recovery, growth and success as the three short, medium and long-term goals for the upcoming fiscal year. 

The 2022 Budget speech is scheduled to take place on October 11. 

Opposition leader Bernard Grech said that as part of the party’s commitment to better governance, it had decided to follow in the footsteps of social partners and unions and submit its proposals to the government before the budget and not only react to the government’s plans once they are made public. 

Use of public finances

Malta's national debt has grown considerably over the past year and as of August stood at €7.6 billion, according to National Statistics Office figures. The deficit stood at €753 million as of that month. 

Grech said that while COVID-19 certainly had an impact on the growing deficit, the pandemic was not the only cause. 

“Every government must make use of public funds in the best possible way,” Grech said. 

“One of the glaring shortcomings where we saw a bad use of public funds is the two hidden contracts the government signed with Steward and Electrogas. It bound us to spend millions without getting the quality we deserve.”

“So this is our obligation and I am determined that a government lead by myself will cut down on waste and inefficiency by having serious procurement rules and value to the money that people are paying,” he added. 

Steward Healthcare has a concession to run three state hospitals, while the Electrogas consortium operates a gas-fired power station in Malta's south. 

“We want a strong economy that strengthens important sectors like financial services and gaming, and in order to do that we must win back credibility, and see that all wrongdoers are held accountable for their actions.” 

Five key issues

Shadow finance minister Mario de Marco presented the document, saying it had five main areas of concern; the rule of law; the impact of COVID-19 on economy and society; public finances; the labour market and; new economic opportunities. 

Regaining a good reputation after being greylisted by the FATF should be a top priority, de Marco said, which is why the PN was putting forward proposals that would serve to crack down on political patronage and ensure that the institutions can operate autonomously and independently from the government. 

He added that the country also needed a system of scrutiny from parliament that addresses a government that fails to institute the outcomes from rulings given by the ombudsman.

Among the legislation that the PN is suggesting should be introduced are a law making it a crime to abuse public office, legislation covering unexplained wealth and the regulation of lobbyists, including a lobbyist register. 

“We want to see more transparency in how the government operates and this includes public procurement.” de Marco said.

The full lists of the PN’s proposals can be viewed on www.pn.org.mt/recovery_growth_and_success