Maltese upbeat on economy but worried about personal expenses: Eurobarometer

The Maltese hold a glowing view of Malta’s economy but are concerned about whether their own pockets will stretch to cover basic expenses in the future, according to a flash Eurobarometer study published on Thursday.

The study, carried out in late March, asked 501 individuals to assess Malta’s economy and its prospects.

Three-quarters (76%) of Maltese believe the economy is performing well, describing it as either “very” or “rather” good, the second-highest rate in the EU and far above the EU-wide average of 24%. By contrast, just 7% say the economy is performing poorly.

The only country with a more positive assessment of the national economy was Luxembourg, where 85% of locals view their economy positively.

The country’s economic health appears to be reflected in individuals’ pockets, according to the study.

The vast majority of Maltese, 73%, say their personal economic situation is “very good” or “rather good”, again second to Luxembourg.

And over two-thirds (68%) appear to be optimistic about the future, saying they expect the country’s economy to be better this time next year, with only 9% saying they expect the economy to decline.

Meanwhile, some 84% say they are very or somewhat confident that Malta will be able to compete in the global economy over the coming years, a sharp contrast to the 36% of Europeans who feel the same way.

And seven in ten say their children’s standard of living will be higher than their own when they grow up, again among the highest rates across the European bloc.

Concerns over costs

Nevertheless, despite their views on Malta’s economic health, many still worry about whether they will be able to afford certain basic expenses over the next 12 months.

Almost a third of respondents fear they will be unable to afford to pay their utility bills (31%) or housing costs (32%), with almost four in ten (37%) saying they might be unable to cover their healthcare bills.

Several others fear they will be unable to pay for their holidays (33%), household appliances (23%) or leisure activities (21%).

And, despite the country’s high employment rate, the Maltese appear to be disproportionately concerned about the prospect of unemployment.

Some 17% of respondents cited unemployment as the economic issue they are most worried about, the joint second-highest rate across the EU and almost double the bloc’s average of 9%.

A further 12% pointed to wealth inequality as their top concern, while one in 10 said they are worried about a dip in their standard of living.

On the other hand, the Maltese appear to be far less concerned about the economic impact of global political tensions compared to other Europeans, despite prime minister Robert Abela citing the issue as the main reason behind last month’s snap elections.

Just 13% of Maltese say global uncertainty is their top economic concern, the joint-lowest rate in the EU, compared to 20% of Europeans.