Government welcomes Moody's confirmation of Malta's A2 Stable rating

The government has welcomed confirmation by Moody's of Malta's A2 Stable credit rating.

The credit opinion was announced on Tuesday and maintains the improved rating given to Malta last July.

This was the third ratings agency to confirm Malta's rating so far this year, the government said. 

Moody's praised Malta was its "track record of strong economic growthin recent years and elevated per capita income levels”.

It observed that the local economy was estimated to have grown by 5.1% last year, making it the strongest rate of growth in the EU. Stronger growth than the EU average was projected for the coming years with unemployment at record lows and employment continuing to grow.

Strong growth and government surpluses were projected to continue driving  government debt down.

The surplus was projected to continue to hover around 1% of GDP this year, with debt down to 40% of GDP from 70% in 2013.

The agency said Prime Minister Robert Abela's appointment was expectedto lead to a broad continuity of economic and fiscal policy, "while Abela has also reconfirmed the government’s commitment to tackle Malta’s institutional challenges”.

The government observed that contrary to what was...