Malta Says Yes To EU

by Robert Lee, Tax-News.com, London

11 March 2003

Malta will now join the European Union as a result of last Saturday's referendum which saw 53 per cent of the vote in favour of the move.

The turnout of 91% was much higher than expected. However, despite the result, those who campaigned on the 'no' side remain unconvinced that it was decisive. National daily newspaper, the Times of Malta reported a mixed reaction to the vote.

Labour leader Alfred Sant who campaigned against Malta's full participation in the EU, said the result was a victory for his so-called 'partnership.' However, Harry Vassallo of the European Greens and Alternattiva Demokratika party disagreed, arguing that: "(Sant) should revisit his mathematics if he believes the result is a victory for partnership. Those who did not vote did not say either yes or no."

Sharon Ellul Bonici of the NO2EU organisation, also doubted the validity of the result: "All those who wanted to vote yes did so, the MLP's directive offered three options - to vote no, invalidate the vote or abstain - there were those who abstained so I count those with the no vote, there were those who invalidated their vote, whom I also count with the no vote, and there were those who voted no. I am extremely satisfied that out of all the eligible votes, fewer than 50 per cent of yes votes were obtained. This means a victory for the no lobby," she said, as reported by The Times.

Speaking for the Maltese Employment Association, Joe Faruggia, director general, was upbeat about the result, and reflected the view of other employers' groups on the island in his support for the yes vote. "Everybody stands to win with EU membership. When employers say that EU membership would be positive, that means better job opportunities. A win for the yes vote is a win for one and all. Conversely, a defeat at the polls would have been everybody's loss," he said in The Times.

The Maltese Institute of Directors (IoD) expressed similar sentiments last week in the run up to the referendum when chairman James Satariano explained that a yes vote would create "a more stable and well-regulated environment, attract new investment, position Malta as a country with European business standards." Federation of Industry boss Anton Borg also welcomed the result according to The Times report.

Meanwhile Denis McShane, British Minister for Europe, emphasised the strong ties Malta had with Britain, and felt that the result would enhance these considerably, explaining: "I look forward to complementing our excellent bilateral and Commonwealth relations with interaction, as partners of choice in the EU, adding a new dimension to our strong friendship. In the run up to May 1, 2004, we will continue to share with Malta, through the UK, Malta, Europe action plan, our own experiences of doing business in the EU."

Adding further weight to the argument of those who see the result as good for the Maltese economy, both the French and German ambassadors highlighted the potential benefits. French ambassador Patrick Chrismant commented: "We have always thought of Malta as part of Europe," adding: "We are very satisfied that Malta would reap great benefits as a true member of the EU. The fact that Malta was not a member of the EU had slowed down interest from French investors. It is clear that as far as French investment is concerned Malta will be seen in a more favourable light as soon as it joins Europe".

On a similar theme Christmant's German counterpart Georg Merten also focused on the economic advantages: "The benefits of membership include free access to a huge market," adding Malta's important tourist industry "will grow because Europeans prefer to visit countries which have a common ground as their own. The introduction of the Euro, furthermore, will ease economic development."

Inevitably, there were those who were less optimistic about the future of the island as a full member of the EU. One of the more outspoken critics was Tony Zarb, secretary general of the General Workers' Union (GWU). Whilst he was prepared to respect the result of the referendum, he vowed to continue to highlight the disadvantages of membership as he saw them, maintaining that "a lot of workers understood the GWU's message on the detrimental effects that EU membership would have on them and their families," continuing "workers, their families and pensioners are realising more than ever the importance of having a serious union to defend their interests. The GWU maintains that EU membership will mean negative results for workers."

The result is now widely expected to lead to the government calling a general election after a cabinet meeting on Monday.

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