Malta’s A game acknowledged with Fourth A
During the past two months, Malta’s A game has been acknowledged with four As by ‘the Big Three’ comprising of Moody’s Corporation, S&P Global, and Fitch Ratings, and by DBRS.
The latest credit rating report has been that by S&P’s, affirming Malta’s A-/A-2 ratings with a positive outlook. The rating reflects Malta’s strong growth performance, the recurring current account surpluses driven by Malta’s large services exports, and the improving general government budgetary position and fiscal management.
With recurrent fiscal surpluses, the report projects that the debt-to-GDP ratio will decline to under 40% in 2021 from a projected 47% in 2018.
In light of this, S&P’s could be raising the ratings over the next 12 months.