The government is conservatively projecting that Malta’s economic growth will be 1.2 per cent this year, and possibly more, Finance Minister Edward Scicluna said in the Budget speech.
He said the deficit is this year expected to slip to 2.7 per cent.
For next year, economic growth is being projected at 1.7 per cent, a conservative estimate which was still higher than the European average. International agencies were projecting even better growth figures.
Prof Scicluna said revenue this year was expected to be slightly over €3.05 million while total spending would be €3.23 billion.
The deficit would be €191.3 million.
For next year, government revenue was projected at €3.27 billion. Total spending would be €3.41 billion. The deficit of the extended government would be €151.7 million or 2.1 per cent of GDP.
The government would borrow €650 million next year.