Malta is improving its competitiveness according to a report released by the World Economic Forum. In the report Malta was placed 40th in the overall ranking, making the fifth largest jump out of the 138 countries involved. This was the highest position achieved within the last decade.
With regards to the economic environment Malta has placed 21st, significantly higher than the 71st place achieved by the final year of the previous administration, the government said in a statement.
It has been suggested that this is due to the reduction of the public debt and deficit, and the increase in national savings and the reduction in inflation. However, The World Economic Forum report has also highlighted the lack of skilled workers within the Maltese economy.
There was also an improvement in work efficiency with Malta ranked 41st. This may be reflective of the measures taken with free childcare, the tapering of social benefits and youth guarantees.
The reduction of tax is also believed to have played significant role in Malta's positioning regarding work incentives, placing 25th
Reacting, Economy Minister Chris Cardona said that the government is also committed to addressing the remaining challenges that Malta faces in order to continue to rise in the overall ranking of competitiveness. This can be achieved by creating better prepared workers for the requirements of sectors emerging in Malta.
Dr Cardona added that "The World Economic Forum report is among the most respected global leaders in business, it is another positive certificate giving more power to the government to continue to carry out positive changes for families and businesses in our country."
The 2017 Budget will also continue to work for greater access to finance and support to innovative companies, and will increase the emphasis on investment in the country's infrastructure, he said.