ARTICLE · 29 OCTOBER 2025

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Malta Budget 2026: Main Announcements

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The 2026 Malta Budget underscores the country's strong economic momentum and resilience amid global uncertainty. The GDP grew by 3.1% in the first half of 2025, the highest rate in the EU...

MaltaTax

Thomas Jacobsen

The 2026 Malta Budget underscores the country's strong economic momentum and resilience amid global uncertainty. The GDP grew by 3.1% in the first half of 2025, the highest rate in the EU, driven by robust domestic consumption and expanding overseas services.

Economic Stability and Fiscal Outlook

Malta's economy remains a European leader, with the digital and communications sectors growing by 7.4% and 10.3%, respectively, and tourism expanding by 12.9%. The GDP growth for 2025 is projected at 4.1%, with inflation easing to 2.2%.

Cost of Living Adjustment (COLA): €4.66 per week
Deficit: 3.3% of GDP (expected to fall to 2.8% in 2026)
Debt-to-GDP ratio: 47.1%, well below the EU's 60% benchmark

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