Recently published statistical data on inflation, is a clear proof that the economic policy of GonziPN has failed.
The internal strife within the PN, is reflected in the state of the economy, creating instability and leading the country into a recession. This is a known fact even though the Finance Minister insists it is only a statistical one.
Inflation stands at 4.4% at a time that there is no economic improvement. This is diametrically opposite to the norm that during a period of a shrinking economy, consumer prices are lower and not higher. In Malta inflation has continued its increasing trend despite the reduction in the price of fossil fuels.
Current economic trends should help reduce inflation whereas in Malta and Gozo inflation has kept increasing at an alarming rate, to the detriment of families and businesses in our country.
The difference in Consumer price indices in June 2012 compared to the relative month last year is most alarming. Indices with a high rate of inflation include services directly relates to family expenses such as food and drink; health, transport, education and other general services. These price increases are effecting the quality of life of our families that are already burdened with exorbitant wtaer and electricity bills.
In the Euro 17 zone, the average hourly wage is € 27.60; in Malta the average is that of € 11.90 per hour. Considering that this is the average wage, there are many Maltese workers that earn half this amount, especially those employed in precarious work. This rate, especially when adjusted to reflect cost of living in each state, added to the highest rate of inflation in the Euro zone, has a very negative effect on the purchasing power of maltese families.
Commercial activity is suffering as a result. With a decrease in the purchasing power, retail sales are on a downward trend, resulting in a less competitive pricing of services and products both locally and internationally.
The PL spokesman on the Economy and Financial services, Charles Mangion said that this is the result of a failed economic policy by GonziPN, that is leading the country without any sense of direction.
Charles Mangion said the country needs a stable government that can focus on the economic challenges that our country faces. Malta does not deserve a government focussed solely on partisan politics, to achieve its obsession to cling to power at all costs. GonziPN is doing just that, he has neglected the people to the detriment of their quality of life.