
The yield curve of many major government bonds is inverting and so is Malta’s. Inverted yield curves indicate a potential recessionary environment, but not necessary. Yields this high (relatively) are unsustainable for public debt, and global yields will have to eventually go down as interest rates go down.
Malta government bonds used to be a very safe investment and probably they still are, although, for the first time, the government is increasingly looking for foreign buyers for its debt as buyers dry up. For me, the 1st year looks attractive.
Actually, thinking about it, I prefer to take the 20 and 25 year with those discounts and take the duration risk.