International Economic and Financial Transactions: Q1/2024
Provisional figures for Malta’s external transactions show that during January-March 2024, the current account balance recorded a deficit of €27.6 million, compared to a deficit of €102.9 million in the same quarter of the previous year. This deficit was primarily the result of negative balances in the goods (€557.0 million) and primary income (€620.8 million) accounts. This was partly offset by a positive net balance in the services account (€1,245.1 million).
During the first quarter of 2024, the capital account registered a positive net balance of €77.5 million, which represents a decrease of €67.3 million when compared to the first quarter of 2023.
The financial account was shaped by net asset decreases of €87.0 million, a decrease in the balance of net assets of €150.9 million when compared to the value recorded in the same quarter of 2023. The development in the financial account balance was mainly brought about by net asset decreases in direct investment (€1,519.5 million). This was partly offset by positive net asset balances in other investment (€1,502.0 million) and portfolio investment (€55.4 million). Reserve assets increased by €170.0 million during the same period (Table 1).
Chart 1. Current account balance
Tables
Tables
Methodological Notes
1. The National Statistics Office (NSO), with the cooperation of the Central Bank of Malta (CBM), is responsible for the collection, compilation and presentation of both the Balance of Payments (BOP) as well as the International Investment Position (IIP) statements of Malta. Both statements are compiled in accordance with the international guidelines set in the sixth manual of the International Monetary Fund (IMF) as well as with the similarly-set methodological guidelines established by Eurostat.
2. Different data sources have been used in the compilation of the figures presented in this release. The main sources used include: (a) enterprise transactions data collected by the Commissioner for Revenue, which are then complemented with survey data; (b) customs data and INTRASTAT declarations, which are used as a source for merchandise transactions; (c) TOURSTAT and other administrative sources are used to compile data for the travel account; and (d) data published by the Bank for International Settlements, which advanced efforts to capture data on the household sector. These sources cover transactions relating to the current account, the capital account and the financial account.
3. The majority of the transactions that are collected through the above-mentioned sources are broken down by country. The data are subsequently compiled using a standard format and published at a quarterly frequency.
4. The data are compiled using a standard format and published at a quarterly frequency.
5. The data in this news release do not necessarily correspond to the latest published National Accounts data for the same reference period. This is due to different cut-off dates for the two sets of data.
6. The reported quarterly figure for re-invested earnings (a component of both the income account and the direct investment account) is partly collated annually. Where actual figures are not available, an average of the re-invested earnings quoted for the previous four years is apportioned on a quarterly basis. This figure is then revised once the actual questionnaires are submitted by the surveyed entities.
7. Shipment data (freight and insurance) are measured from the c.i.f. INTRASTAT import data, while data for the travel account are collected from TOURSTAT and other administrative sources.
8. Figures are not seasonally adjusted and may not add up due to rounding.
9. Figures may not add up due to rounding.
10. Any reference to the EU in tables 3 and 4 refers to the formation excluding UK.
11. More information relating to this news release may be accessed at:
12. References to this news release are to be cited appropriately. For guidance on access and re-use of data please visit our dedicated webpage.
13. Statistics in this news release should be interpreted in context to the unprecedented developments related to COVID-19.
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International Economic and Financial Transactions: Q1/2024
- Provisional figures for Malta’s external transactions show that during January-March 2024, the current account balance registered a deficit of €27.6 million as compared to a deficit of €102.9 million a year earlier.
- This deficit was primarily driven by negative balances in the goods (€557.0 million) and primary income (€620.8 million) accounts.
- The financial account balance was shaped by net asset decreases of €87.0 million, driven mostly by a net asset decrease in direct investment (€1,519.5 million).
