Nation at a Glance - Malta

History

Great Britain formally acquired Malta in 1814. The island staunchly supported the UK through both world wars and remained in the Commonwealth when it became independent in 1964; a decade later it declared itself a republic. Since about the mid-1980s, the island has transformed itself into a freight transshipment point, a financial center, and a tourist destination while its key industries moved toward more service-oriented activities. Malta became an EU member in May 2004 and began using the euro as currency in 2008.

Location: Southern Europe, islands in the Mediterranean Sea, south of Sicily (Italy)

Border Countries: 0 km

Total Area: 316 sq km Land: 316 sq km Water: 0 sq km

Climate: Mediterranean; mild, rainy winters; hot, dry summers

Terrain: Mostly low, rocky, flat to dissected plains; many coastal cliffs

Natural resources: Limestone, salt, arable land

Land use: Agricultural land: 32.3% arable land 28.4%; permanent crops 3.9%; permanent pasture 0% Forest: 0.9% Other: 66.8% (2011 est.)

Ethnic groups: Maltese (descendants of ancient Carthaginians and Phoenicians with strong elements of Italian and other Mediterranean stock)

Languages: Maltese (official) 90.1%, English (official) 6%, Multilingual 3%, Other 0.9% (2005 est.)

Religions: Roman Catholic (official) more than 90% (2011 est.)

Population: 415,196 (July 2016 est.)

Literacy: 94.4%; Male: 93.1%; Female: 95.8% (2015 est.)

Administrative divisions: 68 localities (Il-lokalita); Attard, Balzan, Birgu, Birkirkara, Birzebbuga, Bormla, Dingli, Fgura, Floriana, Fontana, Ghajnsielem, Gharb, Gharghur, Ghasri, Ghaxaq, Gudja, Gzira, Hamrun, Iklin, Imdina, Imgarr, Imqabba, Imsida, Imtarfa, Isla, Kalkara, Kercem, Kirkop, Lija, Luqa, Marsa, Marsaskala, Marsaxlokk, Mellieha, Mosta, Munxar, Nadur, Naxxar, Paola, Pembroke, Pieta, Qala, Qormi, Qrendi, Rabat, Rabat (Ghawdex), Safi, San Giljan/Saint Julian, San Gwann/Saint John, San Lawrenz/Saint Lawrence, Sannat, San Pawl il-Bahar/Saint Paul's Bay, Santa Lucija/Saint Lucia, Santa Venera/Saint Venera, Siggiewi, Sliema, Swieqi, Tarxien, Ta' Xbiex, Valletta, Xaghra, Xewkija, Xghajra, Zabbar, Zebbug, Zebbug (Ghawdex), Zejtun, Zurrieq

Economy: Malta’s free market economy – the smallest economy in the euro-zone – relies heavily on trade in both goods and services, principally with Europe. Malta produces less than a quarter of its food needs, has limited fresh water supplies, and has few domestic energy sources. Malta's economy is dependent on foreign trade, manufacturing, and tourism. Malta joined the EU in 2004 and adopted the euro on 1 January 2008. Malta has weathered the euro-zone crisis better than most EU member states due to a low debt-to-GDP ratio and financially sound banking sector. It maintains one of the lowest unemployment rates in Europe, and growth has fully recovered since the 2009 recession. In 2014 through 2016, Malta led the euro zone in growth, expanding more than 4.5% per year. Malta’s services sector continues to grow, with sustained growth in the financial services and online gaming sectors. Advantageous tax schemes remained attractive to foreign investors, though EU discussions of anti-tax avoidance measures have raised concerns among Malta’s financial services and insurance providers, as the measures could have a significant impact on those sectors. The tourism sector also continued to grow, with 2016 showing record-breaking numbers of both air and cruise passenger arrivals. Malta’s GDP growth remains strong and is supported by a strong labor market. The government has implemented new programs, including free childcare, to encourage increased labor participation. The high cost of borrowing and small labor market remain potential constraints to future economic growth. Increasingly, other EU and European migrants are relocating to Malta for employment, though wages have remained low compared to other European countries. Inflation remains low.

Agriculture - products: Potatoes, cauliflower, grapes, wheat, barley, tomatoes, citrus, cut flowers, green peppers; pork, milk, poultry, eggs

Industries: Tourism, electronics, ship building and repair, construction, food and beverages, pharmaceuticals, footwear, clothing, tobacco, aviation services, financial services, information technology services