Updated 5.15pm

Credit ratings agency Standard & Poor's has reaffirmed Malta's credit rating at ‘A’, with the outlook remaining positive.

The agency said this meant it "could raise the ratings on Malta over the next 18 months".

Malta has strong growth performance coupled with consistent current account surpluses driven by its large services exports, as well as its improving budgetary position and fiscal management, S&P said.

S&P highlighted that, in recent years and in the midst of a high-growth environment, the government had narrowed the budget deficit, reduced general government debt-to-GDP and undertaken various structural reforms, namely those which have increased women’s participation in the labour market and lowered Malta's energy bill.

"We anticipate that macro-economic policymaking will remain geared toward further fiscal consolidation," the agency added.

In a reaction, the government said S&P believed the country would maintain a good financial situation, with a surplus in the coming years.

"While the government has noted S&P Global Ratings’ comments, it will continue working so that the country can keep reaping benefit from a increased level of trust in it at an international level, trust which leads to more investment and an improvement in the income of families and businesses."

Finance Minister Edward Scicluna welcomed the results and pledged to "continue to strengthen our regulatory institutions in the fight against money-laundering."