The Budget for the 2025 legislature was presented to the Maltese Parliament on the 28th of October 2024, against a backdrop of notable global economic growth, despite significant international uncertainty given the upcoming US presidential elections as well as the upheaval being caused by ongoing conflicts in Ukraine and the Middle East.
Further to high inflation observed over 2023, measures to counteract the effects of the rising cost of living in Malta appear to have been effective, with the jurisdiction expecting a decrease in inflation from 5.6% in 2023 to 2.5% in 2024 – this also in line with similar trends witnessed across the EU. However, the effects of the rising cost of living continue to be felt by those who are most vulnerable, such as pensioners and low-income families. This is evidenced by a number of measures featured in this year's Budget, such as the widening of the income tax brackets and increases in the minimum wage and pensions.
High on Government's agenda is the prioritised action against climate change, with the aim of reaching climate neutrality by 2050, in line with the targets set by the European Green Deal. The Climate Action Authority has been established in 2024 to work towards attaining this goal. This will be achieved through various measures including the provision of financial support to those who invest in renewable and/or efficient energy and water sources, allocating further funds to cleaner public transport, opening of additional green public spaces and the efficient management of waste and recycling.
Malta Budget 2025. Download
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