This paper presents a direct non-linear based predictive control for a single-phase Shunt Active Power Filter nine-level Packed E-Cell inverter (SAPF-PEC9). The proposed control based on a Finite Set Model Predictive Control (FS-MPC) has been designed to compensate the reactive power requested by the nonlinear load at the Point of Common Coupling (PCC). An outer loop consisting of a PI regulator together with a low pass filter is used to regulate the main capacitor voltage and to inject the proper filter reference current. Meanwhile, the overall design is very simple where a very fast and robust controller is achieved. Moreover the nine-level converter operation together with the direct predictive approach allows the reduction of the passive filter at the shunt converter terminals. Hence a microscale filter is obtained. The performance of the proposed hybrid controller in reactive power compensation, harmonics suppression and unity power factor operation is investigated under stiff grid conditions (zero impedance) through both normal and dynamic load-change operation. Simulation results are provided to validate the fast and effective dynamic performance, the very low harmonic content in the mains current as well as the DC capacitors balancing of the PEC inverter.