Issue link: https://maltatoday.uberflip.com/i/1300699
6 maltatoday | TUESDAY • 20 OCTOBER 2020 BUDGET2021 This no austerity budget is best ever – Robert Abela K ARL AZZOPARDI PRIME Minister Robert Abela has said Malta's low debt gave the country an economic advantage because it allowed government the space to provide fiscal stimulus. Describing the budget as the "best ev- er", Abela added that his administration had done what no other administration did. "Instead of austerity measures in a world-wide economic crisis we have continued to create wealth," he said. He also stressed the social aspect of the budget and how it will help people from all strata in society. Abela expressed confidence that eco- nomic growth targets will be reached when answering questions from jour- nalists during a post-budget press con- ference held in Castille Square. He played down concerns over the un- certainty that could threaten economic growth next year such as the progres- sion of the pandemic, the difficulty for tourism to recover and the Moneyval test. Abela insisted that a coronavirus vac- cine will be a "game changer". "Every day we edge closer to the day a vaccine is announced. Once that vac- cine is made available tourism and eco- nomic growth will bounce back," he said. Abela said Malta currently had a debt- to-GDP ratio of 55%, which is expected to grow to 58.6% next year. "In Italy alone they have a debt of 160%. This means that we are in a better position to incentivise the economy and so in a better position to put money in people's pockets," Abela said. Asked to react to concerns flagged by the Malta Employers' Association on the uncertainty posed by the Moneyval test, Abela said government engaged the best people to implement recom- mendations. "We have implemented 58 recommen- dations in a clinical manner without shocking the system. We are taking the test seriously and we remain focused on the goals we have. I believe we will pass the Moneyval test without any prob- lems," he said. "Instead of austerity measures in a world-wide economic crisis we have continued to create wealth"