Malta keeps receiving good ratings from credit rating agencies thanks to the soundness of its fiscal policies and the good results registered by the economy in the past year. DBRS and Fitch are the last two agencies to rate Malta A, respectively A+. If you are interested in starting a business in this country, our lawyers in Malta can offer legal assistance throughout the company registration procedure.
DBRS is an independent credit rating agency which has recently issued its last rating for Malta. The agency rated Malta A with a positive outlook and thus affirming the last rating issued by Standard and Poor’s in October last year.
The fiscal results registered by the country in the past year were the main reason behind DBRS’ rating, however, the agency also noted that the government managed to reduce the debt ratio below 60% of the Gross Domestic Product (GDP).
The legislation related to the taxation system also weighed a lot in Malta’s good results in the last year which has contributed significantly to the positive outlook the country received from the agency. DBRS also noted that Malta has complied with several rules related to the EU Stability and Growth Pact issued in 2016.
The last rating issued by Fitch last year was A and even if it was a good one, the agency considered there is still room for improvement at the time. Now, Fitch upgraded Malta’s rating from A to A+ and also forecasted a stable outlook for the near future.
Just like DBRS, Fitch commended Malta for its strong fiscal results, for the GDP growth and surplus registered in the country’s turnover.
Fitch also released a few predictions on the Maltese economy for the next few years which indicate the public debt will fall below 50% of the GDP in 2019. Moreover, the country will continue on a positive trend and have a fiscal surplus at the end of each financial year. Fitch also expects Malta to remain a strong competitor in the EU in terms of economy.
Exports and the services sector are expected to contribute considerably to the economic increase the country will report by 2019.
Foreign investors seeking to create a company here are welcomed to contact our law firm in Malta for assistance.
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