ECB data reveals €933 million surge in government debt after NSO delayed publication

Newly published European Central Bank data revealed that Malta’s outstanding government debt securities surged by almost €1 billion in a single month, following a controversial decision by the National Statistics Office to delay the release of updated debt figures until after the election campaign.

According to ECB Government Finance Statistics published on 26 May, Malta’s total government debt securities outstanding jumped from €10.976 billion in March 2026 to €11.909 billion in April 2026, an increase of €933 million, or around 8.5% in just one month.

The figure is classified by the ECB as provisional but nevertheless represents one of the sharpest monthly increases recorded in recent years.

The data was published days after questions were raised over the NSO’s decision to withhold updated debt and unemployment statistics during the election reflection period.

Sources told The Shift that the decision deprived voters of access to important economic information at a politically sensitive moment.

The newly released ECB figures now provide the clearest indication yet of why the data may have been politically uncomfortable.

The series published by the ECB measures government debt securities outstanding, mainly Malta Government Stocks and Treasury Bills, and reflects the amount of borrowing raised through financial markets.

While the data is non-consolidated, meaning it does not net out government holdings within the public sector, economists contacted by this newspaper said the scale of the increase remains highly significant for an economy the size of Malta’s.

The jump appears to indicate a major new issuance of government securities, likely linked to deficit financing and the refinancing of maturing debt obligations.

The April increase sharply reverses the relatively stable pattern seen in previous months.

ECB data shows debt securities stood at €11.015 billion in February before dipping slightly to €10.976 billion in March. The near €1 billion increase recorded in April cannot be explained by normal monthly fluctuations.

The figures also raise further questions about the government’s rapidly expanding borrowing requirements at a time when interest rates remain significantly higher than in previous years, increasing long-term debt servicing costs.

So far, Finance Minister Clyde Caruana has remained silent on the reasons behind the sudden increase in debt securities and has not publicly addressed the ECB figures.

The government has also not explained whether the increase reflects a one-off financing operation or the beginning of a broader acceleration in borrowing ahead of rising fiscal pressures.