The Malta Chamber of Commerce, Enterprise and Industry has followed with interest the recent debates in Parliament and elsewhere regarding the Individual Investor Programme (IIP).
Without wishing to enter into the arguments as to whether citizenship should be exchanged for a monetary consideration or otherwise, the Malta Chamber notes that the Programme as outlined and debated in Parliament continues to leave serious doubts and unanswered questions.
The Chamber’s main concern centres around the Programme’s impact on the country’s economic reputation. So far, successive Administrations have, rightly so, gone through great lengths to protect the country’s reputation because its importance for future economic development was always recognized – especially in sensitive sectors such as financial services.
The Malta Chamber believes that, as things stand, the Programme can affect Malta’s reputation because it can raise questions about the soundness of the country’s fiscal and financial credibility. More importantly, the Chamber believes that Malta’s reputation can be tarnished by the unprecedented extreme positions taken by both sides in Parliament over a matter of such economic sensitivity.
This risk has been compounded by the dangerous statements made during the debate which may lead to misinterpretation and taken out of context. Uncertainty, of course, is not conducive to investment attractiveness.
The Malta Chamber strongly feels that the matter should have been handled better but that there is still time for political consensus to be reached. It is of the firm belief that the roll-out of the Programme should not be unduly rushed. Whilst it is acknowledged that 2014 budgetary projections rest on the IIP’s implementation, the Chamber believes that any attempt to force the Programme through at this stage is not in the country’s long term interest.
Therefore, the Chamber strongly urges the country’s political forces to seek common ground before proceeding any further with the Programme as this would be clearly the best outcome for the country.
Without wishing to enter into the arguments as to whether citizenship should be exchanged for a monetary consideration or otherwise, the Malta Chamber notes that the Programme as outlined and debated in Parliament continues to leave serious doubts and unanswered questions.
The Chamber’s main concern centres around the Programme’s impact on the country’s economic reputation. So far, successive Administrations have, rightly so, gone through great lengths to protect the country’s reputation because its importance for future economic development was always recognized – especially in sensitive sectors such as financial services.
The Malta Chamber believes that, as things stand, the Programme can affect Malta’s reputation because it can raise questions about the soundness of the country’s fiscal and financial credibility. More importantly, the Chamber believes that Malta’s reputation can be tarnished by the unprecedented extreme positions taken by both sides in Parliament over a matter of such economic sensitivity.
This risk has been compounded by the dangerous statements made during the debate which may lead to misinterpretation and taken out of context. Uncertainty, of course, is not conducive to investment attractiveness.
The Malta Chamber strongly feels that the matter should have been handled better but that there is still time for political consensus to be reached. It is of the firm belief that the roll-out of the Programme should not be unduly rushed. Whilst it is acknowledged that 2014 budgetary projections rest on the IIP’s implementation, the Chamber believes that any attempt to force the Programme through at this stage is not in the country’s long term interest.
Therefore, the Chamber strongly urges the country’s political forces to seek common ground before proceeding any further with the Programme as this would be clearly the best outcome for the country.
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