The unemployment rate in Malta rose to 3.5% in the first quarter of 2026 from 2.7% in the corresponding month of the previous year. The number of unemployed individuals increased 3,039 year-on-year to 12,093, while the number of inactive persons grew by 4,196 to 165,082. Women accounted for 56.9% of the total inactive population, with those aged over 65 representing the largest share (56.8%). The main reason for inactivity was people reaching retirement age or opting for early retirement (43%). Meanwhile, the employment rate fell to 79.6% from 80.4% in Q1 2025, despite the number of employed persons expanding by 6,039 to 333,682. The activity rate for the quarter also went up to 82.6% from 82.7%, with the highest participation recorded among those aged 25 to 54 (91.6%).