DBRS Credit Rating Agency has confirmed Malta’s long-term rating at ‘A stable’, the Finance Ministry said as it welcomed the assessment.

DBRS Ratings acknowledged ‘the improving public finances and a reduction in public indebtedness’. This was attributed to the reforms undertaken by the government including the adoption of the Fiscal Responsibility Act and the comprehensive spending review contrasting with the ‘weak fiscal management in the past’.

Apart from the better monitoring and prioritising of public spending, DBRS also noted the increasing government revenue as a result of rising wages, corporate profitability and increased investment. It acknowledged that the government was on track to meet its 2015 deficit target.

DBRS commented favourably on the growth dynamics during the years, noting that most industries performed well with tourism, financial and business services as well as gaming being the major source of income and employment.

It expected growth to remain robust this year, with infrastructure investment and favourable labour market conditions supporting domestic demand and tourism and other services exports expected to continue contributing positively to economic growth.

It xpressed concerns about the limited access to credit by banks and other challenges including the female labour participation rates and certain educational outcomes from secondary schools.

The government, Finance Minister Edward Scicluna said, was committed to continue addressing these challenges with new initiatives to be announced in the Budget for 2016.