The Hon Prof Edward Scicluna presented Malta’s budget for 2018 on 9th of October. Below is a link to our overview of the budget prepared in collaboration with the Malta Chamber of Commerce, Enterprise and Industry.
The 2018 budget continues on the success of recent years having introduced a number of benefits to pensioners, low income earners while planning for additional measures to improve living standards and sustain economic growth. Malta managed to record a surplus in 2016, which is expected to be repeated in 2017 and anticipated reach 0.5% in 2018. A cost of living increase of €1.75 will be granted from 2018.
Measures to be introduced in the coming year range from reductions in VAT on bicycle rentals to planning of trees linked to the number of births. A number of incentives introduced in previous years were extended aimed at keeping the property market’s momentum were extended.
Furthermore, the government continues to recognise the importance of its financial services and gaming industries and will be introducing the option of VAT grouping within these industries. Malta will also be seeking ways to benefit from Brexit offering Malta as an alternative for insurance, aviation and the maritime industries.