Alternattiva Demokratika – The Green Party expressed its preoccupation that Malta’s 5.6% annual change in inflation rate is the highest in ten years and that the increase between June and July 2008 is the highest in the Euro-zone.
AD Party chairperson, Prof. Arnold Cassola, said: “It is extremely worrying that last month Malta had the highest inflation increase in the Euro-zone. This actually means that the spending power of Maltese salaries is being contnuously eroded, with certain categories of workers not making it till the end of the month on their salaries.”
Michael Briguglio, spokesperson for Social and Economic Development said that whilst certain sources of inflation are imported from beyond our shores, the Government can take action against other sources. “To begin with, AD believes that Government should seriously consider realistic compenstation for cost of living increases, an increase in the minimum wage and in tax credits.”
“AD believes that the Government should not remain idle against inflation. To the contrary, we are proposing the strengthening of fair trading office so that it can take action against cartels and abusive practices. Government should also encourage increased production of commodities such as agricultural products and incentivise local markets to avoid artificial price increases by middlemen. Government should also make life easier for small and medium enterprises whilst avoiding extra costs resulting from bureaucracy and communications.”
Michael Briguglio also appealed to Government to revise the energy surcharge rate so as to penalize wasteful practices and not basic energy use.