The rating agency Fitch ratings has confirmed their rating for Malta and awarded the country an A-rating. Even though Malta lost the A+ rating from September last year, the results are still a great success. They attest Malta a positive development, and what is even more important, a security for the economy and the companies that are moving to Malta. Finance Minister Scicluna recently even toyed with ideas of more measures to make Malta even more friendly and attractive for foreign business operators.
It should be clear though that an important aspect of the attractiveness of Malta is not only the simple bureaucracy, but also the economic, political and legal security. In the office of Dr. Werner & Partner we know how the Maltese authorities work and how to handle them, but not every new entrepreneur is familiar with these procedures.
As confirmed by Fitch Ratings, a stable economy are the foundation for operating a successful company. The rating agency follows certain procedures for rating. Various parameters are assessed, and the result is an indicator of a country’s creditworthiness. Of course, the agency does not reveal all the specific parameters and their weighting, but it is safe to assume that fundamental factors, such as economic growth and unemployment are given special consideration during the assessment of the rating.
Malta can present stable figures. The economic growth is 2.4% which is higher than the European average. The unemployment rate is equally good in comparison to other European countries, and it is currently at 6.5%. The prospects for the future, in particular the years 2014-15, are very good, even with the existing deficit of 3%.
Even though these ratings of agencies have an international influence, I see them calmly. We know that these ratings have to be evaluated critically since the economic crisis of 2008 hit the international markets, and economic interests are also a factor of the evaluation. However, they point into the right direction when it comes to the economic development of a country.