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4 NEWS ANALYSIS 4 maltatoday | WEDNESDAY • 6 NOVEMBER 2024 MATTHEW FARRUGIA mfarrugia@mediatoday.com.mt Bernard Grech's BERNARD Grech's response to the budget was full of potential although it failed to present a convincing narrative outlining his plan for the country. The Opposition leader fre- quently mentioned what "a government led by himself" would do, but this was often followed by generic promises like "ensuring that every de- cision by a future PN govern- ment would be based on its im- pact on quality of life". Nonetheless, he did capture the public mood with a few jabs at a fatigued government "with- out head or tail" and prone to U-turns, and a Prime Minis- ter "secluded in an ivory tower without doors and windows". Grech's punch lines He also cleverly pitted Abela against his own ministers, in- cluding the finance minister. "The Minister for Finance ex- pressed his astonishment that in the US and China, they al- ready have driverless taxis. I do not know if this was a dig aimed at the one sitting next to you. Because what we have today is a government without a driver, as you yourself suggested in an interview with MaltaToday," Grech noted. He was referring to Caruana's warning that decisions like the Villa Rosa local plan change could threaten the Labour gov- ernment's credibility and if it ignores people's concerns, it will suffer the consequences. In this sense, Grech had a good script, even if his deliv- ery tended to be long-winded and tiring – he spoke for more than two hours and ultimately required permission to extend his time. This latter situation prompted government Whip Naomi Cachia to agree to an extension, albeit with a sar- castic remark that Grech was more focused on quantity than quality. Focus on social wellbeing The Nationalist Party lead- er, however, sidestepped the budget's key aspect – the €140 million tax cut – dedicating a large part of his speech to pov- erty, mental health, and the social sector. He even touched upon the lack of resources in addressing child abuse and domestic violence. This focus, although often expressed in a tedious moralistic tone, high- lighted neglected yet crucial issues. But he also repeated outdated platitudes on the war on drugs at a time when gov- ernments internationally are increasingly 'normalising' drug addiction and framing it as a health issue. It was only toward the end of his speech that Grech "wel- comed" the tax cut, while also promising to expand the par- ent tax brackets to give families with children greater tax relief and reduce company taxes. In short, Grech went an extra mile in tranquilising the electorate that the Opposition will not just endorse the government's fiscal relief but will offer more. But while noting that the gov- ernment tax cut is being intro- duced in the absence of a plan, it remained unclear whether a PN government would prior- itise capital investments over tax cuts. One of the weakness- es of the budget, identified by former Labour leader Joseph Muscat last week, is the way the tax cut was delivered in one blow instead of being split over a timeframe to give the govern- ment more elbow space when it comes to investing in capital projects. The population quandary One noticeable improvement over Grech's previous speeches was the way he framed his crit- icism of overpopulation, rarely mentioning foreign workers except to express empathy for those who sleep rough. Instead, he focused on the strain on the country's infrastructure due to the population increase. He also government's economic Bernard Grech was effective in delivering a couple of punches to Robert Abela. But how convincing is his plan for the country, asks James Debono. Report reveals 17% of Zebbug Gozo residents are golden visa buyers Despite the requirement for golden visa buyers to reside in Malta, the report on the controversial programme confirms that many of them continue living abroad while maintaining a minimal footprint in the country GOLDEN visa buyers make up 17% of Gozo's Żebbuġ residents and 14% of Munxar's popula- tion, a new report shows. Despite the requirement for golden visa buyers to reside in Malta, the report on the con- troversial programme confirms that many of them continue liv- ing abroad while maintaining a minimal footprint in the coun- try. New research conducted by The Daphne Caruana Galizia Foundation sheds light on the broader economic and social implications of Malta's golden visa scheme. The golden visa program al- lows non-EU nationals to secure residency in Malta in exchange for investments, predominantly in the real estate sector. The report confirms that many buyers remain absent, with the Daphne Foundation stating that this undermines the intended economic and social integration of visa buyers into Maltese soci- ety. The study highlights that the programme is contributing to rising competition for housing, which is disproportionately af- fecting low-to-medium income renters. Visa holders must meet a min- imum annual rent threshold of €12,000, or €10,000 if they choose to live in South Malta or Gozo. These figures exceed the median rental price for many Maltese citizens. The report also reveals the un- even distribution of golden visa buyers, with significant popu- lation growth in areas such as Żebbuġ (Gozo) and Munxar. In some towns, golden visa res- idents, including their family members, account for a substan- tial portion of the local popula- tion—up to 17% in Żebbuġ and 14% in Munxar. The data indicates that around 90% of golden visa buyers are Chinese nationals. However, the NGO highlighted a notable dis- crepancy between the number of visas granted and the record- ed Chinese population in Malta. The foundation noted that the 2021 census registered just over 2,700 Chinese residents in Mal- ta, a stark contrast to the 5,200 golden visas issued to Chinese nationals (including depend- ents) between 2016 and 2021. This discrepancy further sug- gests that many visa holders do not actually live in the country. The report notes that the pro- gramme is disproportionately benefitting law firms, tax firms, and the real estate sector. Figures included in the report show that Shanghai Overseas is the leading concessionaire with 2,214 golden visa applications between 2016 and 2021. In sec- ond place is Discus Holdings with just 108 applications. Meanwhile, the report notes that Mark Hyzler's Kyshen In- ternational had the largest mar- ket share in the sector. Given the findings, the NGO called for the government to reevaluate the golden visa pro- gram's structure and impact. The research advocates for a more balanced approach that considers the long-term social and economic well-being of the Maltese population. Golden visa buyers make up 17% of Gozo's Zebbug residents