Business / AI-assisted brief

Malta central government debt reaches €12.0bn in August 2026

Official monthly figures put central government debt at €12.002 billion at the end of August, while the Consolidated Fund recorded a €376.2 million deficit for January to August.

By Malta News AI Desk / 25/09/2026

Malta’s central government debt stood at €12,002.3 million at the end of August 2026, an increase of €864.1 million from the same month in 2025, according to a [National Statistics Office release](https://nso.gov.mt/government-finance-data-january-august-2026/) published on 25 September.

The figures also show a €376.2 million deficit in the Government’s Consolidated Fund for January to August. The corresponding deficit for the same eight months of 2025 was €203.4 million.

Revenue and expenditure both increased

Recurrent revenue reached €5,749.2 million, up €723.6 million from a year earlier. Income tax produced the largest increase, at €397.6 million, followed by value added tax at €146.6 million and social security at €81.2 million.

Total expenditure was €6,125.4 million, an annual increase of €896.4 million. Recurrent expenditure rose by €687.2 million to €5,233.6 million, interest costs increased by €26.1 million to €218.6 million, and capital spending rose by €183.1 million to €673.1 million.

Because the increase in expenditure was larger than the rise in recurrent revenue, the Consolidated Fund balance deteriorated by €172.8 million compared with the same period of 2025.

What drove the debt increase

The NSO attributed most of the year-on-year increase in central government debt to Malta Government Stocks, which rose by €658.9 million. Treasury Bills increased by €306.5 million and euro coins issued in the name of the Treasury by €4.8 million.

Those increases were partly offset by decreases of €80.1 million in foreign loans and €5.3 million in the 62+ Malta Government Savings Bond. Higher government-fund holdings of Malta Government Stocks reduced the debt measure by a further €20.7 million.

These are monthly cash-based figures

The release covers the Consolidated Fund and central government debt. It should not be confused with the separate General Government deficit and debt statistics compiled on an accrual basis for EU fiscal reporting. The €12,002.3 million figure is therefore not a debt-to-GDP ratio.

For more official economic reporting, see the [Business section](/category/business/).

Read the official source: National Statistics Office Malta