VALLETTA (MALTA) (ITALPRESS/MNA) – Maltese Finance Minister Clyde Caruana warned that energy and fuel subsidies could exceed spending forecasts this year, as global instability pushes prices higher.
Regarding the economic consequences of the ongoing conflict with Iran, Caruana said the government expects to spend between €80 million and €100 million more than initially planned. Despite this, he insisted that Malta remains on track to meet its fiscal targets.
Malta currently spends around €150 million annually on energy subsidies, a system introduced in 2022 with no set end date. Costs peaked at around €350 million in the same year, following Russia’s invasion of Ukraine. However, Caruana expects the current crisis to have a more limited financial impact in 2026 than previous shocks. He noted that the projected increase remains well within the government’s emergency reserve of €250 million.
– Photo Malta Department of Information –
(ITALPRESS).
