§ Mr. Wallasked the Secretary of State for the Colonies if he will make a statement outlining the extent to which the Maltese economy has been diversified, 191W and the degree of economic assistance given by Britain, since the suspension of the Constitution.
§ Mr. MaudlingNew industries inevitably take some time to reach full capacity but the programme of industrialisation has made a useful start. Since 1959 thirteen new industries have been set up with Government assistance and are in production. At present they employ about 500 people but their final capacity is about 1,500. Applications for assistance in respect of a further twelve concerns have been approved with a final employment capacity of about 3,000. In addition projects for six new hotels and for the extension of two existing hotels have been approved and it is expected that these will employ about another 1,500 people.
The original plans for the conversion of the naval dockyard to a commercial ship-repairing yard had to be revised and it was not until May, 1961, that agreement on an enlarged plan was reached. A good deal of preliminary work has been done and work on the main contract is due to start in a few weeks and to be completed in two years time. Modernisation of the civil harbour at Valletta at the cost of £2i million to meet modern industrial needs is almost completed.
The cost of the development programme is estimated at over £35¼ million of which the United Kingdom Government has undertaken to provide £29¼. million. It is estimated that by 31st March, 1962, a total of £16½ million approximately will have been spent, of which approximately £12½ million will have come from United Kingdom Government funds.