PN slams Robert Abela for doubling national debt

The Nationalist Party has criticised Prime Minister Robert Abela’s economic stewardship, claiming he is directly responsible for an unprecedented surge in Malta’s national debt. 

In a statement, the PN said that when Abela succeeded Joseph Muscat in 2020, the country’s debt stood at just over €5 billion. Since then, the PN claims, that figure has more than doubled to €10.9 billion, with €859 million in new debt accrued in the past year alone, which is the equivalent of €2.3 million in daily borrowing.

“Robert Abela has become synonymous with debt,” the party declared, warning that the mounting obligations are placing an increasing burden on taxpayers. According to the PN, government is now paying around €710,000 per day in interest alone, a figure it says reflects a record-breaking cost to service the country’s debt.

The PN also took aim at Finance Minister Clyde Caruana, accusing him of attempting to frame modest fiscal improvements as major achievements. 

On Tuesday, Caruana announced that Malta will exit the EU's Excessive Deficit Procedure two years ahead of schedule.

However, the PN argued that Malta remains in breach of the EU’s fiscal limits and that the revised 2024 deficit target of 3.7% is being used to deflect from more serious structural issues in public finances. 

“A government spending less than originally forecast is not a cause for celebration,” the party said.

The PN further accused Caruana of having contributed to the problem, citing increases in foreign workers and unchecked government expenditure. “He now wants thanks for managing to get Malta out of a problem he himself created.” 

“The alarming rise in national debt certainly does nothing to provide stability or peace of mind,” the PN concluded, warning that investor sentiment is shifting and that fewer are comfortable with expanding their commitments in Malta under the current administration.

The statement was signed by shadow ministers Graham Bencini and Jerome Caruana Cilia.