Gross Domestic Product: Q2/2025
The National Statistics Office has carried out a major revision of the National Accounts, the results of which are being published in this news release. The main enhancements include the integration of the 2020 Supply and Use Tables and data from the Structural Business Survey for 2022 and partially for 2023.
For the second quarter of 2025, the Gross Domestic Product (GDP) of the Maltese economy registered a positive year-on-year growth rate of 2.7 per cent in volume terms.
The GDP deflator went up by 2.4 per cent compared to the same quarter last year. This represents no change in comparison to the year-on-year rate recorded in the first quarter of 2025.
Table 1. Selected indicators
| Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | ||
| Gross domestic product (nominal) | € 000 | 5,811,052 | 5,976,452 | 5,853,098 | 5,764,475 | 6,106,843 |
| Gross national income (nominal) | € 000 | 5,132,821 | 5,298,372 | 5,082,544 | 5,126,340 | 5,514,273 |
| Gross domestic product (deflator) | 2020=100 | 117.8 | 117.5 | 117.6 | 117.7 | 120.6 |
| Gross domestic product per capita (nominal) | € | 10,233 | 10,474 | 10,208 | 9,975 | 10,496 |
| Gross national income per capita (nominal) | € | 9,039 | 9,286 | 8,864 | 8,870 | 9,478 |
Chart 1. Gross Domestic Product
growth rates, year-on-year
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 the value of Output and the value of Intermediate consumption, and Taxes less subsidies on products.
During the second quarter of 2025, GVA rose by 3.8 per cent in volume terms, when compared to the corresponding quarter of 2024.
The contribution to the GVA growth rate in volume terms of Industry (NACE Sections B to F) and Service activities (NACE Sections G to U) was positive at 0.4 and 3.5 percentage points, respectively. Agriculture and fishing (NACE Section A) contributed negatively by 0.1 percentage points.
The increase in Service activities was mainly driven by the growth rates recorded in the following sectors: Information and communication (8.1 per cent), Accommodation and food services (11.5 per cent) and Financial and insurance activities (5.4 per cent).
Table 2. Production, contributions to GDP growth in volume terms
| Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | ||
| Gross value added | p.p. | 5.4 | 4.8 | 3.4 | 4.4 | 3.5 |
| Agriculture and fishing | p.p. | 0.5 | 0.5 | -0.6 | -0.1 | -0.1 |
| Industry | p.p. | 0.3 | 1.0 | 0.7 | 0.1 | 0.3 |
| Services | p.p. | 4.6 | 3.4 | 3.3 | 4.3 | 3.3 |
| Taxes less subsidies on products | p.p. | 2.9 | 0.7 | 2.0 | -0.7 | -0.9 |
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 2.0 percentage points to the year-on-year GDP growth rate in volume terms. External demand also registered a positive contribution of 0.7 percentage points.
In the second quarter of 2025, Final consumption expenditure witnessed an increase of 2.2 per cent in volume terms. This was the result of an increase in Households and General government final consumption expenditure of 2.2 per cent each. NPISHs1 increased by 1.3 per cent.
Gross fixed capital formation increased by 1.9 per cent in volume terms.
Exports and imports of goods and services in volume terms both rose by 7.1 and 7.9 per cent respectively.
1Non-profit institutions serving households.
Table 3. Expenditure, contributions to GDP growth in volume terms
| Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | ||
| Final consumption expenditure | p.p. | 3.9 | 3.7 | 5.4 | 3.1 | 1.3 |
| Private | p.p. | 2.9 | 2.0 | 2.4 | 1.5 | 1.0 |
| Government | p.p. | 1.0 | 1.8 | 3.0 | 1.5 | 0.4 |
| Gross capital formation | p.p. | 0.7 | 1.2 | -0.7 | 0.1 | 0.7 |
| Fixed assets | p.p. | 0.9 | 1.4 | -0.5 | -0.4 | 0.3 |
| Inventories and valuables | p.p. | -0.2 | -0.2 | -0.2 | 0.5 | 0.4 |
| Exports of goods and services | p.p. | 7.3 | 5.2 | 7.1 | 3.8 | 8.3 |
| Imports of goods and services | p.p. | 3.6 | 4.6 | 6.4 | 3.4 | 7.7 |
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 second quarter of 2024, the €295.8 million increase in nominal GDP was the result of a €222.3 million increase in Compensation of employees, a €94.1 million rise in Gross operating surplus and mixed income, and a decrease of €20.6 million in Taxes on production and imports less subsidies.
Table 4. Income, contributions to GDP growth in nominal terms
| Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | ||
| Compensation of employees | p.p. | 4.3 | 4.7 | 7.0 | 4.0 | 3.8 |
| Agriculture and fishing | p.p. | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| Industry | p.p. | 0.3 | 0.3 | 0.3 | 0.1 | 0.2 |
| Services | p.p. | 4.0 | 4.3 | 6.7 | 3.9 | 3.6 |
| Gross operating surplus and mixed income | p.p. | 4.8 | 3.6 | 0.2 | 1.8 | 1.6 |
| Taxes less subsidies on production | p.p. | 2.7 | 0.5 | 1.2 | 0.3 | -0.4 |
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 second quarter of 2025 was estimated at €5.5 billion.
Tables
Tables
The National Statistics Office has carried out a major revision of the National Accounts, the results of which are being published in this news release. The main enhancements include the integration of the 2020 Supply and Use Tables and data from the Structural Business Survey for 2022 and partially for 2023.
Methodological Notes
1. The chain-linked volume indices have been re-referenced to 2020=100 (Tables 6 and 8).
2. Data in this news release is unadjusted. Seasonally adjusted data is available in the table (namq_10_gdp) accessible here.
7. The ESA 2010 GNI Inventory provides a detailed explanation of sources and methods used for estimating GNI in Malta. It is the basis for the Eurostat assessment of the quality and exhaustiveness of GNI data and their compliance with ESA 2010 in the context of the GNI for own resources purposes. The Inventory is a reference document that is kept up-to-date to reflect the latest methodology in place. The GNI Inventory is available online.
8. More information relating to this news release may be accessed at:
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: Q2/2025
The National Statistics Office has carried out a major revision of the National Accounts, the results of which are being published in this news release. The main enhancements include the integration of the 2020 Supply and Use Tables and data from the Structural Business Survey for 2022 and partially for 2023.
- In 2025 Q2, Gross Domestic Product (GDP) rose by 2.7 per cent in volume terms.
- Domestic demand contributed positively to GDP growth in volume terms (2.0 percentage points).
- Foreign trade also contributed positively to GDP growth in volume terms (0.7 percentage points).
- The GDP deflator rose by 2.4 per cent when compared to 2024 Q2.
Gross Domestic Product: Q2/2025
