Finance Minister welcomes Fitch’s ‘A’ Rating for Malta

Finance Minister Edward Scicluna welcomed a recent assessment of Malta’s economy by credit-rating agency Fitch that reaffirmed Malta’s ‘A’ rating with a stable outlook.

Fitch said the Maltese economy was outperforming its eurozone peers and estimated real GDP grew by 3.4% in 2014, better than in 2013 (2.5%) and higher than both the eurozone average (0.9%) and the 'A' median of 3.1% over five years.

Scicluna pointed out Fitch’s noting of the government’s recent agreement to sell 33% of shares in Enemalta to Chinese state-owned Shanghai Electric Power Company.

 “Fitch stated that the deal ‘has the potential to enhance Enemalta’s profitability ... and reduce its debt’, and is likely to reduce contingent risks,” Scicluna said. “This is likely to impact positively on Malta’s future ratings.

“Malta’s leading economic performance is expected to persist in the coming years, with the rating agency acknowledging the increase in real disposable income as a result of the reduction in electricity tariffs, and a buoyant labour market which stem from this Government’s active labour market policies.”

He added that both private investment and exports are expected to continue growing, with the latter buoyed by a recovery in the electronics sector, and sustained growth in tourism.