“Malta has a solid economic base to continue facing the challenges”, said the Minister for Finance and Work Clyde Caruana during the launch of the pre-Budget document for the year 2024. This activity opened also the period of public consultation in preparation for the same Budget which, as announced by the Prime Minister, will be presented in Parliament on Monday 30 October 2023.
“In the context of various international challenges, our country has a solid economic base to face them and through the coming Budget, one will be able to understand how our country will manage to remain resilient in the face of international challenges that affect the economic performance in Malta ,” Minister Caruana explained.
Among others these challenges include; inflation, energy prices, European politics – which while planning to incorporate new countries within it, is also making progress in the processes towards a more sustainable Europe, climate change, and fiscal policy more rigorous which is expected to be adapted by the end of this year. He stressed that the role of the government is to distribute the wealth that is created through economic and fiscal stability.
Minister Caruana noted that Malta is the third most country in the European Union that has people in the workplace. “Thanks to the number of measures we have introduced and the legislative framework which in itself contributes to the beautiful results in the field of work, today our country has a solid base for our economy and the creation of wealth”, explained the Minister.
In a context where the amount of income that the government had predicted was reached while the government’s expenditure is being controlled, Minister Caruana pointed out that, “the aid on the Wage Supplement scheme in during the pandemic it reached €800 million, while we are currently in the second year of subsidies in the energy field.” The impact of energy, fuel, gas and grain price subsidies is substantial on government expenditure, which subsidies will reach €350 million in 2024. “This budget will also be addressing priorities in various areas such as renewable and sustainable energy resources, because as a government we must continue to assist our industry in various ways and not only with subsidies”, the Minister claimed.
He explained that this government will continue to manage our country’s finances wisely. “We will continue to reduce the deficit gradually, in line with the European framework, but in a way that our industry can afford. If we did not have this wisdom, we would not have been able to sustain ourselves in these last years of challenges. We will be wise, with a debt burden that will continue to be lowered, and that will give enough space so that other governments in the future, will be able to address the challenges in front of them in a more comfortable way.”
The pre-Budget document is available on the finance.gov.mt website.
The public is encouraged to submit their suggestions for the upcoming Budget via email at budget@mfe.gov.mt.
