Malta’s National Statistics Office (NSO) and Eurostat, the European Union’s statistical arm, have published data that indicates that the inflation rate for Malta during June this year was 4.4%. These are the results as calculated in the Harmonised Index of Consumer Prices. Although there are no comparisons with other EU states in the NSO’s News Release, the EU’s figures show that Malta has the highest inflation rate in the Euro area and the second highest in all the EU states.
An in-depth analysis of the respective indices would raise a series of questions. Nevertheless, according to figures submitted by the Maltese authorities, Eurostat charts show that whereas the inflation rate in Europe is stable at 2.4%, Malta’s inflation rate is set at 4.4% over the comparative month of last year. Furthermore, in June, Malta registered the highest increase over the previous month in all EU states. Ten states in the Euro 17 area, registered a decrease in inflation. There was no change in one of the states and the rate of increase in the other five states was a maximum of 0.2%. In Malta the rate of inflation was more than five times as much; it rose by 1.1%.
These results further demonstrate the government’s failure in financial management. The Gonzi government cannot curb inflation, cannot reduce the deficit but steadily increases National debt. The NSO’s figures, published earlier this month put the market value of total national debt at almost five billion euro, as at the end of 2011. With an election happening relatively soon and with the use of the power of incumbency this amount is bound to increase by the end of this year.
The government has two priorities – solving his internal problems and staying in power for as long as possible. The cost of living increases, the reduction of spending power and the exorbitant utility bills are of secondary importance to this government.
The Labour party has been warning the government over overspending for a long time. This type of financial and economic mismanagement will affect the country badly in the near future. The PL knows that it will make a difference. Proposals being put forward by the Labour Party will provide clear proof that things could have been done much better. The PL in government will give hope and guidance that would help improve the quality of life for all the population.
Surprisingly, the Department of Information did not issue any press releases to inform the public of very important data. A government department is being used for party purposes and if the trend continues, it should be renamed Department of Propaganda. The PN internal strife has continued alienating the Gonzi government.
GonziPN has managed the country’s finances badly. Now, it is not managing them at all.