Malta Out of Recession

24 - 08 - 2012

Malta is officially out of the recession, with the gross domestic product registering a growth of 0.9 per cent in real terms.

Malta had entered recession in the first three months of the year after in contracted for the second time in a row.

The economy contracted by 0.5 per cent in December and by 1.2 per cent in March.

The NSO said this morning that provisional estimates indicated that the GDP for the second quarter this year amounted to €1,658.8 million, an increase of three per cent compared to the corresponding quarter last year.

Total final consumption expenditure decreased by 1.4 per cent in real terms while gross fixed capital formation declined,by 1.7 per cent. Real exports and real imports increased.

The year-on-year increase in GDP at current prices amounted to €48 million, and is estimated to have been distributed into an €18.7 million increase in compensation of employees, a €22.9 million increase in gross operating surplus of enterprises, and a €6.4 million increase in net taxation on production and imports.

GOVERNMENT REACTION

In a statement, the government said that its economic policy was leading to the creation of better paid jobs and this was confirmed by the NSO which showed that the economy was growing with investors, industrialists and businessmen expressing confidence in the country.

The government said that the results achieved confirmed the success that its work at a time of unprecedented international difficulties, when it strengthened assistance to the private sector through a number of schemes, had borne fruit.

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