Effect of British semi-withdrawal from Malta.

Changes in British strategic policy and the development of new weapons have largely contributed to the run-down of service bases on Malta, which is thus deprived of its main source of revenue and employer of labour. Small island is overpopulated and undeveloped and will have great difficulty in maintaining its artificially high standard of living. Unemployment and economic uncertainty are already causing large numbers of Maltese to emigrate. Economic difficulties following the British withdrawal are aggravated by a dispute over the former naval dockyards, now run commercially, and by uncertainty about the political future of the island. Maltese Prime Minister wants independence within the Commonwealth, a policy which might be opposed by the more radical Labour Party. In the meantime Malta intends to develop a tourist industry, centred on her climate and many historical attractions, and is already starting up new light industries.