banner

MALTA GETS AN A+ RATING FROM FITCH

MALTA GETS AN A+ RATING FROM FITCH

MALTA GETS AN A+ RATING FROM FITCH

The stability of Malta’s economy has been reconfirmed by Fitch Ratings, one of the leading rating agencies globally. Having been downgraded to an A rating in September 2013, seemingly due to the prospect of an excessive deficit procedure by the European Commission, Malta returned to its former A+ score with a stable outlook thanks to its ‘fast declining gross general government debt’ which is expected to ‘decrease to 50% of GDP in 2019...supported by strong nominal GDP growth and recurrent primary surpluses.’

In its economic forecast, Fitch said it expected Malta's GDP to grow at a faster pace than its similarly rated peers, with growth forecast at 4.3% this year, 3.7% the next and 3.5% in 2019.

This growth is partly attributed to increased revenue from citizenship and residency programme. However, the report also outlines the fact that Malta has successfully built a net external creditor position and takes account of the prospect of fresh EU funds that can be utilised for large transport, health and education projects. The government's successful re-election was also outlined as a stabilising factor. 

Fitch also expects the Maltese banking sector to remain solid with improved profitability, a decline in non-performing loans as well as conservative lending system.

Welcoming the news of Malta’s credit rating, Finance Minister Edward Scicluna commented that: "Malta is becoming a solid top performer in economic growth, employment growth, and sound public finances. All this is being confirmed by the rating agencies."

To see how the combined expertise of our consultants and partners could work for you, contact us to arrange a free private consultation.

RC International is dedicated to helping you thrive in a globalised world.

We are passionate about helping clients and their families apply for second citizenship and residence programmes that suit their unique objectives.