Issue link: https://maltatoday.uberflip.com/i/1463329
9 EDITORIAL BusinessToday is published every Thursday. The newspaper is a MediaToday publication and is distributed to all leading stationers, business and financial institutions and banks. MANAGING EDITOR: SAVIOUR BALZAN EDITOR: PAUL COCKS BusinessToday, MediaToday, Vjal ir-Rihan, San Gwann SGN9016, Malta Newsroom email: bt@mediatoday.com.mt Advertising: afarrugia@mediatoday.com.mt Telephone: 00356 21 382741 R obert Abela's ministerial choices in the formation of his new Cabinet bode well for continuation and stability at a time of international turmoil. e Prime Minister did not lose time to appoint his Cabi- net after Saturday's election that gave the Labour Party a strong and clear mandate. e reappointment of Clyde Caruana at the finance ministry, Silvio Schembri at the economy ministry, Clayton Bartolo at the tourism ministry and Miriam Dalli at the energy and enter- prise ministry provide continu- ity. ey understand the diffi- culties and expectations of the various economic sectors. e three of them know the ropes and can hit the ground running without the need to acclimatise themselves with their respective portfolios. is is important in a global economic climate still condi- tioned by the pandemic and by the Russian invasion of Ukraine. e European Commission's winter economic forecast re- leased last February projected that Malta will have the highest economic growth rate across the EU by the end of the year. e commission predicts Mal- ta's growth rate for 2022 will reach 6% of GDP, two points higher than the EU average. When the forecast was pub- lished the Russian invasion of Ukraine had not yet started and this could pose a downside risk in the months ahead. e forecast had posited Mal- ta's greylisting by the Financial Action Task Force as a down- side risk. But earlier this month the FATF said Malta had imple- mented its action plan and a site visit will be held in April to as- sess the progress. How these two factors will play out still has to be seen, which is why a measure of continuity af- ter the election was a necessity. Government has done well to cushion the impact of higher energy prices and provide fami- lies with a cash injection to mit- igate the rising cost of living. But for the longer term, gov- ernment needs to ensure that doing business in Malta is not shackled by unnecessary red tape so that firms are competi- tive and nimble. e issues of rising transport and logistical costs needs to be tackled through discussions with stakeholders. e €400 million investment programme announced during the pandemic to upgrade indus- trial estates should be stepped up so that modern space is cre- ated for new industries. With tourism expected to pick up in the summer, the Prime Minister must live up to his commitment that all restric- tions linked to the pandemic will be lifted. Re-starting the tourism engine is important to get the cogs turning in oth- er sectors as well, which is why Malta has to make it easy for tourists to be able to travel here. A decision on whether the fourth COVID booster vaccine dose should be given to certain vulnerable groups must be tak- en now before the onset of the summer season. e pandemic has not gone away and caution should con- tinue being exercised but this should not come at the expense of stifling tourism. e Labour Party had pledged to lower the top tax rate for businesses. Now that the gov- ernment has a clear mandate, this leader believes this propos- al should be implemented in the next budget to send out a posi- tive signal. A Cabinet of continuity 31.3.2022