Malta’s Budget for 2019 forecasting further economic growth
Malta’s Minister for Finance the Hon. Prof. Edward Scicluna yesterday presented the House of Representatives in Malta with the Budget for 2019.
In the budget document presented to the House it was reported that during 2018 real economic activity in Malta continued to report robust growth with real growth reported at 5.4%. Amongst the highest contributors to growth where the gaming industry, professional services, real estate activities, ICT and financial and insurance activities.
GDP figures indicate that during 2019 real GDP growth will stand at 5.3% with the economy set to continue reporting robust economic activity; even if the said growth rate is expected to ease.
Furthermore revenue from the Individual Investor Programme (IIP) and sustained economic performance are expected to lead the government to be able to sustain current surplus positions. For the year 2019 fiscal surplus is expected to reach 1.3% of GDP while public debt as a percentage of GDP is projected at 43.8%. The same budget reveals that during 2019 real investment levels are expected to grow by 8.4%.
Minister Scicluna also announced the government’s intention to transpose into legislation the EU’s Anti-Tax Avoidance Directive (ATAD 1) and the ratification of the OECD’s Multilateral Instrument. Minister Scicluna further confirmed the government’s intention to adopt in a timely manner the EU’s ATAD 2, DAC 6, DRM. Furthermore Malta shall introduce a Patent Box Regime and shall continue to strengthen the strategy to counter money laundering.
The budget also included a number of other measures aimed at providing assistance to a number of sectors in society including pensioners and low wage earners.