Pressure on government to find solution before EP debate

Pressure is mounting on the government as it seeks to conclude its negotiations with the Opposition on a revised citizenship scheme before the European Parliament is set to discuss the issue on 15 January.

It is understood that the two sides have moved closer to a solution but one major bone of contention is the time factor – with the government insisting that applicants seeking a Maltese passport should be able to get one immediately after they pass the due diligence test while the Opposition is pushing for a commitment linked to residency or investment between the application and the eventual granting of a passport.

The government wants the European Parliament discussion to take place at a time when the issue would have already been deflated following changes that

One major bone of contention is the time factor

are being envisaged. The aim is to defuse the importance of the Brussels debate and cut down on the negative impact that this might have on Malta.

But while the government knows it must back down on the amendments that have already been approved by Parliament – after they led to public and international outcry – on the other hand, it wants to do so with an exercise that limits political damage on the local scene.

As the law was approved in Parliament, foreigners could buy a Maltese passport for €650,000 without any commitment to invest in the country, purchase property or reside here. But since the House gave its assent the government has been bombarded with calls to review its position as the scheme as approved made it extremely easy for buyers, who saw a Maltese citizenship as an open road into Europe.

The government has since already decided to change its mind on keeping the list of buyers secret, but the Opposition – supported by the strong reaction against the scheme in the international fora – is seeking much more than this. Backed by international support, the Nationalist Party is pushing for the government to accept all of the terms it had listed in the parliamentary debate, but which were at the time turned down by the government.

Two ministers have also spoken of backtracking on the part of the government – Finance Minister Edward Scicluna admitted during a meeting in Brussels that the scheme as it had been pushed through Parliament had been “a mistake” and Foreign Minister George Vella told CNN that the scheme will be linked to investment.

Matters changed after the House’s approval made it in the international news, with the government offering to open talks with the Opposition in a bid to find common ground. The government and the Opposition have now been locked in discussion on a revision of the scheme for more than three weeks.

The major stumbling block appears to be the immediacy with which the scheme, as approved by Parliament, will enable buyers to obtain a Maltese passport. Opposition leader Simon Busuttil said during a televised programme that as things stand now the situation allows buyers to obtain a passport simply by signing a cheque for €650,000, whereas the PN is insisting that some form of commitment should be imposed on the buyer, such as residency.

What the PN is effectively arguing is that there should be a period of time between the application for a passport and its attainment, during which time there would be some form of bonding between the applicant and Malta.

The government however sees this as a condition that would inevitably delay the effective implementation of the scheme, and this would result in a loss of revenue the government planned to start raking in from selling passports.

Talks between the two sides have seen the participation of the two leaders in only one of the four meetings that have been held so far, the last one. But whereas PN leader Simon Busuttil, in this last meeting, was accompanied by Nationalist MP Jason Azzopardi and PN administrative committee chief Karol Aquilina, both of whom had attended the first three meetings, Prime Minister Joseph Muscat was flanked by deputy PM Louis Grech and chief of staff Keith Schembri.

These latter two had not been present in the first three meetings, for which Labour had been represented by Home Affairs Minister Manuel Mallia and parliamentary secretary Owen Bonnici. Dr Mallia and Dr Bonnici are not expected to attend the next meeting, which should be held after Dr Muscat returns from the European summit in Brussels.