Gross Domestic Product: Q1/2024
For the first quarter of 2024, the Gross Domestic Product (GDP) of the Maltese economy registered a positive year-on-year growth rate of 4.6 per cent in volume terms.
The GDP deflator went up by 3.7 per cent compared to the same quarter last year. This represents a decrease of 1.1 percentage points in comparison to the year-on-year rate recorded in the fourth quarter of 2023.
Table 1. Selected indicators
| Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | ||
| Gross domestic product (nominal) | € 000's | 4,508,819 | 4,794,245 | 5,169,629 | 4,945,078 | 4,889,756 |
| Gross national income (nominal) | € 000's | 4,160,340 | 4,317,019 | 4,739,355 | 4,471,246 | 4,463,760 |
| Gross domestic product (deflator) | 2015=100 | 121.27 | 124.70 | 126.37 | 126.12 | 125.72 |
| Gross domestic product per capita (nominal) | € | 8,265 | 8,767 | 9,417 | 8,952 | 8,787 |
| Gross national income per capita (nominal) | € | 7,626 | 7,894 | 8,633 | 8,094 | 8,021 |
Chart 1. Gross Domestic Product
growth rates, volume terms, year-on-year
No Data Found
The production approach
The production approach, also called the output approach, measures GDP as the sum of the Gross Value Added (GVA), which is the difference between value of Output and the value of Intermediate consumption and Taxes less subsidies on products.
During the first quarter of 2024, GVA rose by 3.3 per cent in volume terms, when compared to the corresponding quarter of 2023.
The contribution to the GVA growth rate in volume terms of Service activities (NACE Sections G to U) and Industry (NACE Sections B to F) were both positive and stood at 3.1 and 0.2 percentage points, respectively. Agriculture and fishing (NACE Section A) had a neutral impact on GVA growth.
The increase in Service activities was mainly driven by the growth rates recorded in the following sectors: Financial and insurance activities (5.8 per cent), Real estate activities (6.7 per cent) and Professional, scientific and technical activities (5.0 per cent).
Chart 2. Gross value added
growth rates, volume terms, year-on-year
No Data Found
Table 2. Production, contributions to GDP growth in volume terms
| Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | ||
| Gross value added | p.p. | 6.6 | 6.2 | 4.6 | 5.1 | 3.0 |
| Agriculture and fishing | p.p. | 0.0 | -0.1 | -0.1 | 0.0 | 0.0 |
| Industry | p.p. | 0.4 | 0.8 | -0.1 | 0.8 | 0.2 |
| Services | p.p. | 6.3 | 5.4 | 4.8 | 4.3 | 2.8 |
| Taxes less subsidies on products | p.p. | -0.3 | -1.2 | 2.6 | -0.7 | 1.6 |
Note: Contributions may not add up due to rounding.
The expenditure approach
The expenditure approach is another method used to calculate GDP and is derived by adding Final consumption expenditure, Gross capital formation and Exports less Imports.
Domestic demand had a positive contribution of 1.1 percentage points to the year-on-year GDP growth rate in volume terms. External demand also registered a positive contribution of 3.5 percentage points.
In the first quarter of 2024, Final consumption expenditure witnessed an increase of 2.1 per cent in volume terms. This was the result of an increase in the expenditure of Households and NPISHs1 of 3.7 and 4.0 per cent, respectively. Conversely, General government final consumption expenditure decreased by 1.7 per cent.
Gross fixed capital formation declined by 0.9 per cent in volume terms.
Exports and imports of goods and services in volume terms rose by 3.6 and 1.8 per cent, respectively.
Chart 3. Expenditure, main components
growth rates, volume terms, year-on-year
No Data Found
Table 3. Expenditure, contributions to GDP growth in volume terms
| Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | ||
| Final consumption expenditure | p.p. | 3.6 | 2.8 | 4.1 | 4.5 | 1.3 |
| Private | p.p. | 3.5 | 3.0 | 3.4 | 3.3 | 1.6 |
| Government | p.p. | 0.2 | -0.2 | 0.6 | 1.2 | -0.3 |
| Gross capital formation | p.p. | -2.5 | -3.9 | -6.1 | -8.3 | -0.2 |
| Fixed assets | p.p. | -2.6 | -4.1 | -6.0 | -8.3 | -0.2 |
| Inventories and valuables | p.p. | 0.1 | 0.2 | -0.1 | 0.0 | 0.0 |
| Exports of goods and services | p.p. | 16.3 | 19.1 | 11.1 | 11.7 | 6.1 |
| Imports of goods and services | p.p. | 11.0 | 12.9 | 1.8 | 3.5 | 2.6 |
Note: Contributions may not add up due to rounding.
The income approach
The third approach to measure economic activity is the income approach, which shows how GDP is distributed among compensation of employees, operating surplus of enterprises and taxes on production and imports net of subsidies.
Compared to the first quarter of 2023, the €380.9 million increase in nominal GDP was the result of a €185.8 million increase in Compensation of employees, a €87.7 million rise in Gross operating surplus and mixed income, and an increase of €107.5 million in Taxes on production and imports less subsidies.
Chart 4. Compensation of employees
growth rates, nominal terms, year-on-year
No Data Found
Table 4. Income, contributions to GDP growth in nominal terms
| Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | ||
| Compensation of employees | p.p. | 4.7 | 3.7 | 4.0 | 3.3 | 4.1 |
| Agriculture and fishing | p.p. | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| Industry | p.p. | 0.6 | 0.5 | 0.4 | 0.4 | 0.4 |
| Services | p.p. | 4.2 | 3.2 | 3.6 | 2.9 | 3.7 |
| Gross operating surplus and mixed income | p.p. | 6.1 | 7.3 | 5.6 | 5.7 | 1.9 |
| Taxes less subsidies on production | p.p. | 1.5 | -0.2 | 3.4 | 0.4 | 2.4 |
Note: Contributions may not add up due to rounding.
Gross National Income (GNI)
GNI differs from the GDP measure in terms of net compensation receipts, net property income receivable and net taxes receivable on production and imports from abroad.
Considering the effects of income and taxation paid and received by residents to and from the rest of the world, GNI at market prices for the first quarter of 2024 was estimated at €4.5 billion.
Upcoming revisions
The National Statistics Office will be implementing a benchmark revision in the National Accounts. The revision will take place in the third quarter of 2024. Benchmark revisions aim to reflect improved methodologies caused by changes in statistical methods, concepts, sources of data, definitions and classifications and affect the entire time series. The NSO will be publishing a Press Information Notice on 3 June to provide more information about the revision.
Tables
Tables
Methodological Notes
1. Under normal circumstances, GDP estimates are based on established sources and estimation techniques, which have been tested and evaluated carefully, as well as documented. GDP is estimated independently from the output approach and expenditure approach, complemented by estimates of income-related data. These estimates are based on a multitude of sources such as tourism statistics, short-term statistics, trade and balance of payments statistics, as well as administrative data.
9. The data contained in this release is subject to revision. For an updated time-series which includes past data, please refer to the Statistical Indicators for this domain.
10. A detailed news release calendar is available online.
11. References to this news release are to be cited appropriately. For guidance on access and re-use of data please visit our dedicated webpage.
12. For further assistance send your request through our online request form.
Gross Domestic Product: Q1/2024
- In 2024 Q1, Gross Domestic Product (GDP) rose by 4.6 per cent in volume terms.
- Final domestic demand contributed positively to GDP growth (1.1 percentage points).
- Foreign trade also contributed positively to GDP growth (3.5 percentage points).
Gross Domestic Product: Q1/2024
