VALLETTA, Aug. 4 (Xinhua) -- International credit rating agency Fitch has confirmed Malta's credit rating at A+ with a stable outlook, Malta's government said on Saturday.
Malta's surplus will be maintained at 1 percent of gross domestic product (GDP) in 2018, thanks to larger tax revenues and proceeds from the sale of Maltese citizenship and lower capital spending, Fitch said.
It said revenues would decline by 1.7 points to 38.7 percent of GDP as inflows from the cash-for-citizenship scheme (IIP) moderate, while spending will increase by 1.2 points to 37.7 percent of GDP due to a capital injection into Malta Air Travel Ltd for the purchase of London landing slots from Air Malta.
Real growth is expected to be strong at 5.6 percent in 2018 thanks to an increase in consumption and in investment, as well as strong performances by the remote gaming, tourism and financial services sectors.
The agency estimates Malta's medium-term potential growth to be 3 percent, with pressures on the infrastructure, and rising labor shortages expected to constrain economic expansion.
"Fitch highlights that Malta's ratings are reflecting a high income per head, a robust economic growth, and a large net external creditor position," Malta's goverment said.
