Labour Member of European Parliament (MEP) Professor Edward Scicluna said today that while government is distracted by the problems within the PN, the country risks being gripped by austerity.
Addressing a press conference Edward Scicluna said that public debt not only was not reduced, it rose to 75% by March 2012. When government guaranteed loans are added to it, it goes up to 92% of GDP. The deficit in the first three months of this year rose to 5.5%.
Scicluna warned “If government does not focus on introducing reforms to reduce public spending and increase income, our country runs the risk of being subjected to the Excessive Deficit Procedure of the EU.
The Labour MEP said that government does not seem to understand what the EU Commission expects of us under the new measures taken because of the euro zone crisis.
Edward Scicluna said even the issues of pensionable age and the Cost of Living Adjustment mechanism that the EU wants us to change, government did not submit the report it had to and simply voting against in the Council is not enough.
Scicluna said that in this difficult situation the Labour Party is offering hope that things can be done much better in the country.
Watch Prof Scicluna in this ONE News feature: