Worrying statistics higlight need for greater economic diversification – de Marco

PN Deputy leader Mario de Marco has called on the government to diversify the economy, insisting that the government must act on the various “worrying” economic indicators before it is too late.

On Wednesday, the Chamber of Commence echoes concerns over the declining levels of bank lending by Central Bank governor Josef Bonnici. The Chamber said that while local banks are experiencing a strong demand for credit from SME’s, the demand for large credit from larger businesses has declined.

Echoing the warnings voiced by the Chamber of Commerce and the Central Bank, de Marco said the decrease in demand is mainly attributable to the uncertainty and reduced appetite for investment in the manufacturing and import industries.

While insisting that the Malta’s economic situation was not yet beyond redemption, de Marco insisted that the government can no longer depend only on tourism and financial services.

“Conversely, the government must implement innovation in Malta’s economy, and should expand its operations in new economic niches. We have yet to see any government initiative to create new areas of business,” de Marco said.

Flanked by PN MEP hopefuls Therese Comodini Cachia and Jonathan Shaw, de Marco appealed on the government to diversify the economy.

“Coupled with the decrease in exports and industrial production, commercial trading and business sentiment have decreased. Consequently, the government must focus more on the manufacturing and retail industries,” he said.

On the government’s energy plan, de Marco called on Prime Minister Joseph Muscat to publish the deal signed last week by his government over the new Delimara power plant – saying this is the government’s latest failure at implementing its meritocracy pledge.