At the end of August 2026, Central Government debt stood at a record €12,002.3 million, an increase of €864.1 million when compared to 2025, the NSO said.
The increase reported under Malta Government Stocks (€658.9 million) was the main contributor to the rise in debt. Higher debt was also reported under Treasury Bills (€306.5 million) and Euro coins issued in the name of the Treasury (€4.8 million). This increase in debt was partially offset by a drop in Foreign Loans (€80.1 million) and in the 62+ Malta Government Savings Bond (€5.3 million). Moreover, higher holdings by government funds in Malta Government Stocks resulted in a decrease in debt of €20.7 million.
By the end of August 2026, the Government's Consolidated Fund reported a deficit of €376.2 million, the NSO said.
Between January and August 2026, Recurrent Revenue amounted to €5,749.2 million, €723.6 million higher than the figure reported a year earlier. The largest increases were recorded under Income Tax (€397.6 million), Value Added Tax (€146.6 million) and Social Security (€81.2 million). On the other hand, lower revenue was recorded under Fees of Office (€19.6 million), Reimbursements (€2.8 million) and Interest on loans made by Government (€0.2 million).
Total expenditure by the close of August 2026 stood at €6,125.4 million, €896.4 million higher than the previous year.
During the reference period, Recurrent Expenditure totalled €5,233.6 million, an increase of €687.2 million compared to the €4,546.4 million reported the year prior. The main contributor to this increase was a €374.2 million rise reported under Programmes and Initiatives. Further increases were also recorded under Operational and Maintenance Expenses (€111.9 million), Personal Emoluments (€106.1 million), and Contributions to Government Entities (€95.0 million).
The main developments in the Programmes and Initiatives category involved higher outlays towards Social security benefits (€109.7 million), EU own resources (€39.2 million) and Energy support measures (€38.1 million).
The interest component of the public debt servicing costs totalled €218.6 million, an increase of €26.1 million when compared to the previous year.
By the end of August 2026, Government's capital spending amounted to €673.1 million, €183.1 million higher than the comparative period in 2025. Higher outlay was, among others, reported towards Acquisition of property for public purposes (€43.5 million), RRP Grant schemes (€19.7 million) and Property, plant and equipment (€16.6 million).
The difference between total revenue and expenditure resulted in a deficit of €376.2 million being reported in the Government's Consolidated Fund at the end of August 2026, in comparison to the €203.4 million deficit registered the year prior. This difference mirrors an increase in total Recurrent Revenue (€723.6 million), offset by a higher rise in total expenditure, which consists of Recurrent Expenditure (€687.2 million), Interest (€26.1 million) and Capital Expenditure (€183.1 million).