LA VALLETTA (MALTA) (ITALPRESS/MNA) – Malta is on track to exit the European Union’s Excessive Deficit Procedure (EDP) ahead of schedule, following a stronger-than-expected financial performance in 2024. This development marks a significant milestone for the country, with official figures showing notable improvements in both deficit and debt levels.
According to data released by the National Statistics Office (NSO), the Government registered a deficit of €825.3 million last year—equivalent to 3.7% of Malta’s Gross Domestic Product (GDP). This represents a reduction of 0.8 percentage points from earlier projections. Meanwhile, the national debt stood at €10.6 billion, or 47.4% of GDP—well below the previously forecasted 55.3%.
Finance Minister Clyde Caruana hailed the figures as a clear sign that Malta is emerging from the EDP more rapidly than anticipated. Speaking at a press conference, he said, “The figures confirm that our country’s finances are stronger than ever. The targets we set last year were not only met but exceeded.”
Caruana underscored that this fiscal progress has been achieved without any new or increased taxes, stressing the Government’s commitment to avoiding additional burdens on citizens. “This progress is being achieved without the need to introduce or increase any form of taxation,” he affirmed.
The EDP is a corrective mechanism used by the EU to address excessive deficits and debt levels among member states. Malta had entered the procedure during a period of elevated spending and economic uncertainty, but Caruana now says the country is demonstrating that its public finances are on a sustainable path.
Looking forward, the Finance Minister projected that the deficit will narrow further to 3.3% in 2025, and fall below the 3% threshold by 2026. If achieved, this would place Malta comfortably within EU fiscal rules.
Despite external economic pressures, Malta’s debt levels are now about 30 percentage points below the EU average, indicating resilience in the face of global volatility. Caruana reaffirmed the Government’s commitment to “safeguarding the long-term sustainability of public finances” while maintaining compliance with EU fiscal guidelines.
“These results show that Malta is not just recovering but moving ahead with confidence and stability. Our prudent fiscal approach is paying off and setting the stage for future growth,” Caruana concluded.
-Foto Department of Information Malta-
(ITALPRESS).
