VALLETTA, Nov. 7 (Xinhua) -- Malta's economic growth in the next two years is expected to be the highest in the European Union (EU), according to the European Commission's Autumn Economic Forecast released on Thursday.
Malta's real GDP growth rate is predicted to stand at 4.2 percent and 3.8 percent for 2020 and 2021 respectively, said the latest Economic Forecast of the European Commission.
Malta's GDP growth for 2019 stands at 5 percent, the second highest after Ireland.
After recording annual real GDP growth of close to 7 percent in 2017 and 2018, Malta's economy started to show signs of cooling down in the first half of this year, the Commission said.
The fast pace of economic growth in Malta has been coupled with strong employment growth and record-low unemployment rate, which is projected to reach 3.5 percent in 2019, and to remain broadly stable over the forecast horizon.
As economic growth slows down, the fast pace of job creation is expected to be moderate.
In a statement, the government said that economic activity in Malta remained vibrant while economic conditions in the EU are forecasted to deteriorate.
"This means that, although the government will significantly increase public spending, and the 2020 Budget included various measures benefitting the elderly, families and the disabled, the budgetary surplus is expected to remain stable," the government said.
