Labour Leader Joseph Muscat explained that the real reason for ‘Standard and Poor’s’ downgrade of Malta’s long-term ratings was Enemalta’s current debt.

They argued that S&P had also mentioned the low amount of women in the Labour force and the vulnerability of the economy. In addition the S&P statement showed that the deficit was closer to 3% than the 2.2% which the government have been claiming, he announed.

Dr Muscat argued that Minister Fenech’s attempt to blame the downgrade on the Labour Party was wrong as it was the government’s job to pass the budget. He added that the Prime Minister knew early on that the budget would not pass, yet he did nothing.

The PL had long mentioned that projects need to be prioritized and not spend millions on a bridge that nearly no-one uses. He concluded that a PL government would aim to help economic growth as it has been proposing since the start of the campaign, through a reduction in tariffs adding that PL had proposed an energy plan which included a repayment schedule in order to reduce the company’s debts.

“With the S&P downgrade, it is more important than ever that the PL energy plan be put into effect, as it will expand our economy,” he stated. “Whilst the government is proposing keeping everything the same, we propose change”.

He said that in the S&P report explained that one of the main reasons for the downgrade is the continuous loss that companies run by the government have made. The PL Leader also argued the report held that the debt of Malta’s private sector also played its part.