Regional statistics recently released reveal that in 2008, almost a quarter of Gozo’s tourism income was derived from local tourism.

Net use of bed places available in various forms of accommodation in Malta 2008 stood at 58 per cent, while a 49.2 per cent rate was recorded for Gozo.

In Malta, local visitors averaged a stay of 2.4 nights when opting for a break in one of the country’s various hotels. On the other hand, non-residents (tourists) average a stay of 7.1 nights during their stay.

With regard to Gozo, local residents spent an average of 2.1 nights in accommodation, while the average length of stay for non-residents was 5.3 nights.

The statistics, compiled by the Public Finance Department under the Directorate of Economic Statistics within the National Statistics Office in Malta (NSO), divides Malta into five regions: Northern District, Western District, South Eastern District, Northern Harbour District and Southern Harbour District, and draws comparisons to Gozo in various sectors of the economy.

Speaking to The Malta Business Weekly, Gozo Business Chamber president Joe Grech said that even though Gozo obtained top-marks when compared with other regions, as far as education and safety are concerned, the statistics also revealed that Gozo is lagging behind in other important sectors of the economy.

“The statistics highlight the fact that Gozo enjoys substantial success in the fields of education and road safety. Notwithstanding these assets, however, Gozo also boasts other strengths, such as its scenic beauty, its diverse flora and fauna and its world heritage sites that make it such a unique place to visit.

“Equally so, its main economic sectors, namely tourism, crafts, financial services, agriculture and fisheries, enjoy significant competitive advantages leading to higher productivity, if they are well nurtured.

“However, these economic activities are to some extent influenced in a non-positive way by the inherent features of double insularity. This is reflected in the employment opportunities in Gozo. Job creation in Gozo is far below that available in Malta. In 2007, the ratio of employed people to the working age population in Gozo stood at 51.4 per cent, whereas in Malta the figure was 61 per cent. This is also indicated by the fact that, between 2005 and 2007, employment in Malta rose by 4.9 per cent, whereas in Gozo it rose by a mere 4.1 per cent,” said Mr Grech.

He lamented the fact that the productivity of the manufacturing industry in Gozo is lower than that of Malta because Gozo is missing out on the relatively high-value-added sub-sectors of manufacturing industries, citing pharmaceutical production as one example. To add insult to injury, according to Mr Grech, Malta’s sister island has yet to fully exploit its potential in investing in sectors of the economy that are constantly on the rise, such as Internet gaming and other IT-related services.

“Suffice it to say that in 2007 the average productivity of a worker in Gozo had grown by 7.3 per cent since 2005, whereas in Malta the figure was 8.2 per cent. This is a clear indication that not only is the productivity of workers in Gozo lower than that of Malta, but also that it is growing at a slower pace.

“This is evidence that Gozo is currently not benefiting, in a proportionate manner, from the economic growth that is taking place in Malta. Our policy-makers have acknowledged this open secret and consequently have voted a record allocation of e22m in Budget 2010, which far exceeds the allocations of previous budgets.

“The potential achievements from the management of these funds in socio, economic and cultural development will ensure sustainable development for Gozo. Coupled with the plans for a more ecological Gozo, the ensuing economic growth will hopefully transform Gozo into a contributor to, and not a beneficiary of, the economic growth that is happening in Malta,” said Mr Grech.

While Malta saw a percentage increase of 35.5 per cent in local resident bed occupancy in 2008, similarly Gozo saw an increase of 34.3 per cent. With regard to tourist arrivals, Malta recorded an increase of four per cent from the previous year, 2007, while Gozo enjoyed an increase of 26.7 per cent in tourist visits compared to 2007.

Nevertheless, the statistics also revealed that over a quarter of Gozo’s tourist industry depends on visitors from either mainland Malta or from Gozitans themselves, as non-resident tourist arrivals accounted for 74.7 per cent of bed occupancy. On the other hand, Malta depends almost entirely on foreigners for its tourist industry, with the figure currently standing at 96.5 per cent.

When comparing 2008 to 2005, the share of local tourism in terms of the percentage of nights spent increased by 0.8 percentage points in Malta and by 2.4 percentage points in Gozo.

It is interesting to note that, as far as road safety is concerned, Gozo offers a much safer environment. In fact, Gozo registered far fewer recorded car accidents, and has a lower rate of traffic casualties and fatalities per capita. With regard to reported crime, there was a fall in the number of household burglaries and car thefts in Gozo in the years 2005 to 2007, compared with Malta.

The statistics also revealed that, last year, 339 people out of every 1,000 were in employment in Malta, while the corresponding figure for Gozo was 291. Moreover, Gozitans depend more on the public sector for employment than the private sector.

In 2005, the average household income in Gozo was aproximately e14,000, which was e1,641 less than the average in the Southern Harbour district (which includes Cottonera, Fgura and Kalkara) and e3,796 less than the average in the Western district (which includes, for example, Dingli and Rabat).

By 2007, however, the average household income in Gozo had increased by nearly e2,000 to e16,070. In spite of this increase, Gozo still has the lowest average household income out of the six districts in the country.

Furthermore, in 2007, Gozo’s at-risk-of-poverty rate – at 18 per cent – was four percentage points higher than that for Malta, at 14 per cent.

Residents of Malta consume more domestic energy than their neighbours, averaging 1,595 units per annum compared to the 1,290 units consumed by Gozitans. On the other hand, Gozitans consume more water than Maltese, with the average Gozitan per capita consumption standing at 89.7 cubic metres for 2008, compared to the 73.3 cubic metres consumed by the Maltese.