Forecast that Malta will continue with surplus in public finances for the next three years
The Central Bank of Malta is forecasting that Malta will continue with an annual surplus in public finances for the next three years until 2021, and also forecasts that during the same period economic growth will be at a level of 4%.
During the presentation of the Central Bank’s annual report for 2018, the Head of the Bank’s Economic Analysis Department, Rita Schembri, stated that the growth rate of over 6% in 2018 should drop slightly to about 4.2% for the next three years, and this will help in Government income which should contribute to surplus, and the debt rate compared with economically created wealth will drop from 45% to 35% of the gross domesic product.
The Central Bank Governor, Dr Mario Vella, stated that in the context of strong economic growth, more attention is needed in regard to effects or pressures created by this type of growth which should stabilise. Dr Vella added that the main risks to the Maltese economy are of a geo-political nature like Brexit and the awakening of populism.