Carmel Cacopardo

Prime Minister Robert Abela is currently meeting various constituted bodies and sectoral representatives in the run-up to the budget later this month. It is now time for this annual circus.  

A meeting in which Robert Abela has not yet participated in, is one with future generations. Such a meeting would be the perfect opportunity for him to explain his plans for the continuing exponential increase of the national debt. Future generations will have to foot the bill, so they are definitely interested in Robert Abela’s plans of burdening them with an ever-increasing deficit.

Data published recently indicates that the national debt increased from €4.9 billion in 2012, to €9.8 billion in 2023, and has surpassed the €11 billion mark. At the end of July 2025, as reported by the National Statistics Office, the Central Government Debt stood at €11.16 billion. This signifies an increase of approximately €1,400 million over a twelve-month period: an average increase of almost €4 million for every single day of the year, Sundays and public holidays included.

An increased national debt also signifies an increased cost in order to service this debt. During the current financial year, public debt servicing is estimated to cost approximately €312 million, a €40 million increase over the 2024 expenditure.

Government has definitely not consulted with future generations on this matter nor taken them into consideration for one simple reason: future generations have no vote. In the words of the United Nations Brundtland report “future generations do not vote; they have no political or financial power; they cannot challenge our decisions.” So, like many other governments, Robert Abela just spends and sends the bills into the future. So far, these accumulated bills amount to €11,162 million. This total will definitely be much higher at the end of the year.

The data in the public domain clearly shows that government is continuously relying on future generations to fund its handouts, tax refunds, tax reductions and subsidies.

Both Government and the PN Opposition are actively engaged in a competition as to who promises to reduce the most taxes. It is a race to the bottom. They have been at it for years, in the process contributing to an ever-increasing national debt. In the current circumstances all tax reductions serve one purpose: shifting the tax burden from the present generations into the future. The end result is that we are living beyond our means. As a nation we cannot pay our bills and consequently we are shouldering future generations with this burden. A burden which has surpassed the €11 billion mark.

In 2012, Parliament in Malta approved a Sustainable Development Act (Chapter 521) which took up a proposal of Malta’s Green Party (then Alternattiva Demokratika) to establish the post of a Guardian of Future Generations.

The post of Guardian of Future Generations in terms of article 8 of the Act was aimed at “safeguarding inter-generational and intra-generational sustainable development” in Malta. The Guardian should be at the centre of the national debate not just on environmental issues but also on fiscal, social and cultural issues too. Yet the Guardian of Future Generations is unfortunately neither seen nor heard.

It is pretty obvious to all that a national debt spiralling out of control and increasing at a rate of €4 million per day is anything but sustainable. Yet the Guardian of Future Generations is silent. What will it take for the Guardian to wake up and defend future generations? Shouldering future generations with today’s burdens will prejudice their rights, as, overburdened, they will be less in a position to make their own choices and decisions.

Malta’s EU Commissioner Glenn Micallef is responsible for inter-generational fairness at EU Commission level. Obviously, he has nothing to say about future generations footing today’s bills as a number of other EU countries are in a much worse state than ours in this respect. This, however, does not make our situation any better. Following EU targets and avoiding the excessive deficit procedure is not enough. We can and should do much better to solve our problems instead of shifting them to the future.

Maybe we should start considering constitutional provisions which prohibit Parliament from approving the budget unless it is balanced, that is without any provision for a deficit. This would place government in a tight place with less room to plan political gimmicks with public funds. More importantly it needs to be underlined that the present generation should pay its own bills. We owe it to future generations.

Carmel Cacopardo – Deputy Chairperson ADPD-The Green Party

first published in The Malta Independent on Sunday: 12 October 2025