ARTICLE
15 February 2023

Brussels Forecasts 3.1% Economic Growth For Malta, Second-highest In EU

FM
Finance Malta

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Finance Malta is a non-profit public-private initiative set up to promote Malta as an international financial centre, both within, as well as outside Malta. It brings together, and harnesses, the resources of the industry and government, to ensure Malta maintains a modern and effective legal, regulatory, and fiscal framework in which the financial services sector can continue to grow and prosper. The Board of Governors, together with the founding associations: The Malta Funds Asset Servicing Association, the Malta Bankers Association, the Malta Insurance Association, the Association of Insurance Brokers, the Malta Insurance Managers Association, the Institute of Financial Services Practitioners; its members and staff are all committed to promote Malta as an innovative international.
The European Commission is forecasting 3.1% economic growth for 2023 in Malta, making it the second-highest in the European Union.
European Union Finance and Banking

The European Commission is forecasting 3.1% economic growth for 2023 in Malta, making it the second-highest in the European Union.

According to the European Commission's winter forecast, the EU and euro area should narrowly avoid a technical recession, which had been predicted in an earlier forecast.

Ireland tops the forecast at a projected 4.9 growth for the coming year, while Sweden sits at the bottom of the forecast with 0.8% decline in economic activity.

In addition, wholesale gas prices have fallen below pre-Ukraine war levels, while the EU unemployment rate remains at an all-time low of 6.1% by the end of 2022.

But there are challenges ahead. The European Commission noted in its forecast that consumers and businesses continue to face high energy costs while core inflation continued to rise in January.

As inflationary pressures persist, the European Commission expects that monetary tightening will continue, weighing on business activity and exerting a drag on investment.

Source: Malta Today

Growth forecast for 2023 (%):

🇮🇪 4.9
🇲🇹 3.1
🇷🇴 2.5
🇱🇺 1.7
🇨🇾 1.6
🇸🇰 1.5
🇪🇸 1.4
🇧🇬 1.4
🇬🇷 1.2
🇭🇷 1.2
🇸🇮 1.0
🇵🇹 1.0
🇳🇱 0.9
🇧🇪 0.8
🇮🇹 0.8
🇪🇺 0.8
🇫🇷 0.6
🇭🇺 0.6
🇦🇹 0.5
🇵🇱 0.4
🇱🇹 0.3
🇩🇪 0.2
🇫🇮 0.2
🇨🇿 0.1
🇪🇪 0.1
🇱🇻 0.1
🇩🇰 0.1
🇸🇪 -0.8

Winter #ECForecast

— European Commission 🇪🇺 (@EU_Commission) February 13, 2023

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