Updated | Malta's economic growth 'four times Eurozone average'

Provisional estimates indicate that the Gross Domestic Product (GDP) for the first quarter of 2015 amounted to €1,947.1 million, an increase of 6.0 per cent over the corresponding period last year. In real terms, GDP went up by 4.0 per cent.

The Finance Ministry said the strong momentum exhibited by the Maltese economy during 2013 and 2014 is set to continue during this year, adding that such growth rate was even more remarkable when compared to an average growth of 1 per cent registered in the Euro Area for the same period.

“These highly positive outcomes are the result of this Government's vision of implementing structural reforms to raise potential output while putting our public finances back on track,” Finance Minister Edward Scicluna said.

The ministry said that economic growth was underpinned by increasing consumer confidence on the back of higher employment levels, historically low unemployment rates and increasing purchasing power.

#Malta economic growth for Q1 2015 reaches 4%, four times Eurozone average -JM

— Joseph Muscat (@JosephMuscat_JM) June 8, 2015

During the first quarter, growth in gross value added was generated by Public Administration and Defence, Education, Human Health and Social Work Activities which increased by 6.3 per cent; Professional, Scientific and Technical Activities, Administrative and Support Service Activities which increased by 11.2 per cent; Financial and Insurance Activities which increased by 11.9 per cent; Wholesale and Retail Trade, Repair of Motor Vehicles and Motorcycles, Transportation and Storage, Accommodation and Food Service Activities which increased by 3.9 per cent. Drops were registered in Manufacturing which decreased by 6.0 per cent.

Total final consumption expenditure in nominal terms increased by 3.2 per cent. In real terms, total final consumption expenditure increased by 2.7 per cent. Gross fixed capital formation decreased by €65.9 million in nominal prices and decreased by 18.3 per cent in real terms. Real exports and real imports decreased.

Compared to the corresponding quarter last year, GDP at current prices went up by €110.9 million, and is estimated to have been distributed into a €36.3 million increase in compensation of employees, a €46.7million increase in gross operating surplus of enterprises, and a €27.9 million increase in net taxation on production and imports.

Considering the effects of income and taxation paid and received by residents to and from the rest of the world, Gross National Income (GNI) at market prices for the first quarter is estimated at €1,899.6 million.