Understanding the Maltese Economy
Malta is an island nation and a member of the Eurozone. Its economy is heavily reliant on services, tourism, and international trade. For foreign nationals, understanding the cost of living is essential for financial planning. While the cost of living remains generally lower than in major northern European hubs, prices have seen a steady increase due to high demand for housing and the global rise in commodity prices.
Most daily transactions are conducted in Euro (EUR). It is important to note that as an island, many goods are imported, which can lead to higher prices for specific grocery items and consumer electronics compared to mainland Europe. However, public services and local transportation remain relatively affordable.
Accommodation and Housing Costs
Housing is the most significant expenditure for most residents in Malta. Rental prices fluctuate significantly based on location, proximity to the coast, and the type of property. The most expensive areas are the "Central Business District" hubs, including Sliema, St. Julian’s, and Gżira.
- One-bedroom apartment (Central areas): 1,100 EUR - 1,400 EUR ($1,166 - $1,484 USD, Jan 2026) per month.
- One-bedroom apartment (Peripheral areas/Gozo): 750 EUR - 950 EUR ($795 - $1,007 USD, Jan 2026) per month.
- Three-bedroom apartment (Central areas): 1,800 EUR - 2,500 EUR ($1,908 - $2,650 USD, Jan 2026) per month.
When renting, tenants are typically expected to pay a deposit equivalent to one month's rent and a real estate agency fee (usually 50% of one month's rent plus VAT). More information on rental regulations can be found at the Housing Authority - Private Residential Leases website.
Utilities and Connectivity
Utility bills in Malta are managed primarily by ARMS Ltd. Costs vary based on consumption and whether the property is registered as a primary residence (which qualifies for lower residential rates) or a non-residential property.
- Monthly utilities (Electricity, Water, Cooling): 90 EUR - 160 EUR ($95 - $170 USD, Jan 2026) for a mid-sized apartment.
- High-speed Fiber Internet: 30 EUR - 45 EUR ($32 - $48 USD, Jan 2026) per month.
- Mobile Phone Plan (Unlimited data/calls): 25 EUR - 35 EUR ($26 - $37 USD, Jan 2026) per month.
Daily Living and Transportation
The cost of groceries in Malta is comparable to the Southern European average. Large supermarket chains like Lidl, Welbee's, and Greens offer competitive pricing, while local "corner shops" may charge a premium for convenience.
Estimated monthly grocery budget for a single person: 300 EUR - 450 EUR ($318 - $477 USD, Jan 2026).
Transportation Options
Malta offers a comprehensive public bus network operated by Malta Public Transport. For residents with a valid Tallinja Card, bus travel is currently free of charge (excluding express and night routes). For those using private vehicles, fuel prices are regulated by the government.
- Gasoline (per liter): 1.34 EUR ($1.42 USD, Jan 2026).
- Ferry service (Valletta to Sliema/3 Cities): 1.50 EUR - 2.80 EUR ($1.59 - $2.97 USD, Jan 2026) per trip.
- Taxi/Ride-hailing (5km trip): 10 EUR - 15 EUR ($10.60 - $15.90 USD, Jan 2026).
Healthcare and Education
The cost of healthcare in Malta depends on the individual's residency status and employment. Foreign nationals who are employed and paying National Insurance (NI) contributions are generally entitled to free public healthcare.
- Private GP Visit: 15 EUR - 30 EUR ($16 - $32 USD, Jan 2026).
- Private Specialist Consultation: 60 EUR - 100 EUR ($64 - $106 USD, Jan 2026).
- Private Health Insurance (Basic): 350 EUR - 600 EUR ($371 - $636 USD, Jan 2026) per year.
Public education is free for citizens and residents whose parents pay social security. However, many foreign nationals opt for international schools, where fees range from 6,000 EUR to over 10,000 EUR ($6,360 - $10,600 USD, Jan 2026) per academic year, depending on the grade level.
