Malta, debt reached 9 billion euros, 674 million more than last year

LA VALLETTA (MALTA) (ITALPRESS/MNA) – Malta registered a deficit of €103.5 million at the of May, while the Government debt stood at €9,083.6 million. This is an increase in debt of €673.8 million when compared to May last year.
According to current forecasts, Maltàs debt ratio is set to increase to 55.3% by 2025. The EU’s Maastricht Criteria state that the ratio of gross governance debt to GDP must not exceed 60%, otherwise the country will enter the Excessive Deficit Procedure. However, the Maastricht Criteria are due to be reassessed in 2024.
Government’s total recurrent revenue at the end of May 2023 stood at €2,454.8 million, while the total expenditure at €2,558.3 million. These represent an increase of €325.4 million and €55.3 million respectively. While expenditure has consistently been higher than recurrent revenue since at least 2003, the difference between the two increased significantly during the pandemic, peaking at €673 million in 2020, and only now returned to pre-pandemic levels.
Recurrent revenue was sourced mainly from income tax, value added tax, and social security, amounting to 78.4% of the total. Respectively, they contributed 36.5%, 21.4%, and 20% of recurrent revenue. Expenditure was spent mostly on programmes and initiatives (53.7%), personal emoluments (17.7%), contributions to government entities (11.6%), and capital expenditure (8.7%).

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Source: medNews