Abstract
MALTA
Title page
MALTA
STAFF REPORT FOR THE 2022 ARTICLE IV CONSULTATION—INFORMATIONAL ANNEX
January 18, 2023
Prepared By
European Department
(In consultation with other departments)
Contents
FUND RELATIONS
STATISTICAL ISSUES
Fund Relations
(As of December 31, 2022)
Membership Status
Joined: September 11, 1968; Article VIII
| General Resources Account | SDR Million | Percent Quota |
| Quota | 168.30 | 100.00 |
| Fund holdings of currency | 123.68 | 73.49 |
| Reserve Tranche Position | 44.65 | 26.53 |
| SDR Department | SDR Million | Percent Allocation |
| Net cumulative allocation | 256.71 | 100.00 |
| Holdings | 249.98 | 97.38 |
| General Resources Account | SDR Million | Percent Quota |
| Quota | 168.30 | 100.00 |
| Fund holdings of currency | 123.68 | 73.49 |
| Reserve Tranche Position | 44.65 | 26.53 |
| SDR Department | SDR Million | Percent Allocation |
| Net cumulative allocation | 256.71 | 100.00 |
| Holdings | 249.98 | 97.38 |
Outstanding Purchases and Loans
None
Financial Arrangements
None
When a member has overdue financial obligations outstanding for more than three months, the amount of such arrears will be shown in this section.
| Projected Obligations to Fund 1/ | |||||
| (SDR million; based on existing use of resources and present holdings of SDRs) | |||||
| Forthcoming | |||||
| 2023 | 2024 | 2025 | 2026 | 2027 | |
| Principal | |||||
| Charges/Interest | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 |
| Total | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 |
When a member has overdue financial obligations outstanding for more than three months, the amount of such arrears will be shown in this section.
| Projected Obligations to Fund 1/ | |||||
| (SDR million; based on existing use of resources and present holdings of SDRs) | |||||
| Forthcoming | |||||
| 2023 | 2024 | 2025 | 2026 | 2027 | |
| Principal | |||||
| Charges/Interest | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 |
| Total | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 |
When a member has overdue financial obligations outstanding for more than three months, the amount of such arrears will be shown in this section.
Exchange Rate Arrangement
The currency of Malta is the euro.. The exchange rate arrangement of the euro area is free floating. Malta has been a member of the euro area since January 1, 2008 and has no separate legal tender. The euro, the common currency floats freely and independently against other currencies.
Malta maintains an exchange system that is free of multiple currency practices and restrictions on the making of payments and transfers for current international transactions with the exception of restrictions notified to the Fund in accordance with decision No. 144-(52/51).
Article IV Consultation
Malta is on the standard 12-month consultation cycle. The previous consultation discussions took place during July 7–20, 2021, and the staff report (Country Report No.21/211) was brought for the Executive Board’s consideration. The Article IV Consultation with Malta was concluded on September 15, 2021.
Technical Assistance
| Date | Department | Subject |
|---|---|---|
| February 1999 | MAE | Monetary operations and liquidity Forecasting |
| March 2001 | STA | Money and banking statistics |
| October 2002–January 2003 | MFD | FSAP missions (joint with the World Bank) |
| June 2005 | STA | ROSC Data Module |
| November 2006 | STA | Producer price index/SDDS preparations |
| April and December 2007 | STA | Expert visits |
| April 2009 | STA | SDDS subscription finalization |
| May 2013 | STA | Balance of payments |
| March 2014 | FAD | Strengthening public financial management |
| August 2021 | FAD | Revenue administration |
| November/December 2022 | FAD | Corporate income tax |
| Date | Department | Subject |
|---|---|---|
| February 1999 | MAE | Monetary operations and liquidity Forecasting |
| March 2001 | STA | Money and banking statistics |
| October 2002–January 2003 | MFD | FSAP missions (joint with the World Bank) |
| June 2005 | STA | ROSC Data Module |
| November 2006 | STA | Producer price index/SDDS preparations |
| April and December 2007 | STA | Expert visits |
| April 2009 | STA | SDDS subscription finalization |
| May 2013 | STA | Balance of payments |
| March 2014 | FAD | Strengthening public financial management |
| August 2021 | FAD | Revenue administration |
| November/December 2022 | FAD | Corporate income tax |
Resident Representative
None
Statistical Issues
(As of December 31, 2022)
| I. Assessment of Data Adequacy for Surveillance | |
| General: Data provision is adequate for surveillance purposes. Malta publishes timely economic statistics and most macroeconomic statistics can be accessed through Eurostat and Haver Analytics. | |
| National Accounts: In September 2014, Malta, together with all other EU Member States, introduced the European System of Accounts 2010. In August 2020, the National Statistics Office (NSO) made a benchmark revision and several methodological changes to improve the accuracy and richness of national accounts data and to harmonize the data with that of other countries. The NSO releases quarterly national accounts data in current and constant prices with a lag of about two months, annual nonfinancial sectoral accounts in current prices with a lag of about 10 months, and a monthly index of industrial production with a lag of about one month. National accounts data have been subject to substantial revisions, often affecting several years, in part due to large statistical discrepancies (captured under changes in inventory stocks) and revisions of deflators. Annual financial balance sheets and transactions by sectors are published on the Eurostat website, while data on household savings are not available. | |
| Price Statistics: Data on consumer prices are released monthly within 30 days after the reference month. In addition to the national index, Malta also produces a harmonized index of consumer prices (HICP). The HICP differs from the national index by including expenditures of foreign visitors to Malta, which leads to a larger weight for restaurants and hotels. Malta also publishes a quarterly residential property price index and a monthly industrial producer price index (PPI) with base year 2015. The PPI does not currently cover services activities. | |
| Government finance statistics: Fiscal statistics meet requirements, with quarterly accrual-based data on general government operations compiled in accordance with the ESA2010 methodology and disseminated with a one-quarter lag. The general government comprises data from the consolidated fund of government adjusted to include other accounts of government, the accruals elements, and the financial performance of the Extra Budgetary Units and of the Local Councils. The NSO also publishes monthly statistics on the cash operations of the central government with a lag of one month, for which the authorities plan to utilize the targeted timeliness flexibility option in light of additional time required for the final month of the fiscal year. | |
| Monetary and Financial Statistics: Monetary statistics are timely and of good quality. Since the entry into the euro area in January 2008, monetary data for IMF statistical publications on central bank and other depository corporations balance sheets have been obtained through a gateway arrangement with the ECB. Malta reports data on several series and indicators of the Financial Access Survey (FAS), including mobile and internet banking, mobile money, gender disaggregated data, and the two indicators (commercial bank branches per 100,000 adults and ATMs per 100,000 adults) adopted by the UN to monitor Target 8.10 of the Sustainable Development Goals (SDGs). | |
| Financial Sector Surveillance: Malta has reported Financial Soundness Indicators since 2005 along with metadata. They are currently reporting 14 core and 22 additional indicators including those for other financial corporations. | |
| External sector statistics: Balance of Payments (BOP) and International Investment Position (IIP) statistics are released quarterly, with a lag of three months. Summary trade statistics are released monthly with a lag of about 40 days. The CBM publishes the external debt statistics templates in line with requirements of the Special Data Dissemination Standard (SDDS), including both gross and net external debt. Malta reports quarterly external debt statistics to the Quarterly External Debt Statistics (QEDS) database. ,Concepts and definitions used in BOP and IIP statistics follow Balance of Payments Manual 6th Edition’s recommendations, therefore special purpose entities incorporated in Malta are treated as resident units. Coordinated Portfolio Investment Survey (CPIS) and Coordinated Direct Investment Survey (CDIS) data are reported to the IMF Statistics Department for publication. | |
| II. Data Standards and Quality | |
| A data ROSC was published in August 2006. Malta subscribes to the SDDS since December 2009 and publishes the data on its National Summary Data Page. The latest Annual Observance Report is available on the Dissemination Standards Bulletin Board. Malta is currently preparing for SDDS Plus adherence. | |
| I. Assessment of Data Adequacy for Surveillance | |
| General: Data provision is adequate for surveillance purposes. Malta publishes timely economic statistics and most macroeconomic statistics can be accessed through Eurostat and Haver Analytics. | |
| National Accounts: In September 2014, Malta, together with all other EU Member States, introduced the European System of Accounts 2010. In August 2020, the National Statistics Office (NSO) made a benchmark revision and several methodological changes to improve the accuracy and richness of national accounts data and to harmonize the data with that of other countries. The NSO releases quarterly national accounts data in current and constant prices with a lag of about two months, annual nonfinancial sectoral accounts in current prices with a lag of about 10 months, and a monthly index of industrial production with a lag of about one month. National accounts data have been subject to substantial revisions, often affecting several years, in part due to large statistical discrepancies (captured under changes in inventory stocks) and revisions of deflators. Annual financial balance sheets and transactions by sectors are published on the Eurostat website, while data on household savings are not available. | |
| Price Statistics: Data on consumer prices are released monthly within 30 days after the reference month. In addition to the national index, Malta also produces a harmonized index of consumer prices (HICP). The HICP differs from the national index by including expenditures of foreign visitors to Malta, which leads to a larger weight for restaurants and hotels. Malta also publishes a quarterly residential property price index and a monthly industrial producer price index (PPI) with base year 2015. The PPI does not currently cover services activities. | |
| Government finance statistics: Fiscal statistics meet requirements, with quarterly accrual-based data on general government operations compiled in accordance with the ESA2010 methodology and disseminated with a one-quarter lag. The general government comprises data from the consolidated fund of government adjusted to include other accounts of government, the accruals elements, and the financial performance of the Extra Budgetary Units and of the Local Councils. The NSO also publishes monthly statistics on the cash operations of the central government with a lag of one month, for which the authorities plan to utilize the targeted timeliness flexibility option in light of additional time required for the final month of the fiscal year. | |
| Monetary and Financial Statistics: Monetary statistics are timely and of good quality. Since the entry into the euro area in January 2008, monetary data for IMF statistical publications on central bank and other depository corporations balance sheets have been obtained through a gateway arrangement with the ECB. Malta reports data on several series and indicators of the Financial Access Survey (FAS), including mobile and internet banking, mobile money, gender disaggregated data, and the two indicators (commercial bank branches per 100,000 adults and ATMs per 100,000 adults) adopted by the UN to monitor Target 8.10 of the Sustainable Development Goals (SDGs). | |
| Financial Sector Surveillance: Malta has reported Financial Soundness Indicators since 2005 along with metadata. They are currently reporting 14 core and 22 additional indicators including those for other financial corporations. | |
| External sector statistics: Balance of Payments (BOP) and International Investment Position (IIP) statistics are released quarterly, with a lag of three months. Summary trade statistics are released monthly with a lag of about 40 days. The CBM publishes the external debt statistics templates in line with requirements of the Special Data Dissemination Standard (SDDS), including both gross and net external debt. Malta reports quarterly external debt statistics to the Quarterly External Debt Statistics (QEDS) database. ,Concepts and definitions used in BOP and IIP statistics follow Balance of Payments Manual 6th Edition’s recommendations, therefore special purpose entities incorporated in Malta are treated as resident units. Coordinated Portfolio Investment Survey (CPIS) and Coordinated Direct Investment Survey (CDIS) data are reported to the IMF Statistics Department for publication. | |
| II. Data Standards and Quality | |
| A data ROSC was published in August 2006. Malta subscribes to the SDDS since December 2009 and publishes the data on its National Summary Data Page. The latest Annual Observance Report is available on the Dissemination Standards Bulletin Board. Malta is currently preparing for SDDS Plus adherence. | |
Malta: Table of Common Indicators Required for Surveillance
(As of December 31, 2022)
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D); weekly (W); monthly (M); quarterly (Q); annually (A); irregular (I); and not available (NA).
Malta: Table of Common Indicators Required for Surveillance
(As of December 31, 2022)
| Date of latest observation | Date received | Frequency of Data7/ | Frequency of Reporting7/ | Frequency of Publication7/ | |
|---|---|---|---|---|---|
| Exchange Rates | Current | Current | D | D | D |
| International Reserve Assets and Reserve Liabilities of the Monetary Authorities1/ | Nov 2022 | Dec 2022 | M | M | M |
| Central Bank Balance Sheet | Nov 2022 | Dec 2022 | M | M | M |
| Consolidated Balance Sheet of the Banking System | Nov 2022 | Dec 2022 | M | M | M |
| Interest Rates2/ | Current | Current | D | D | D |
| Consumer Price Index | Nov 2022 | Dec 2022 | M | M | M |
| Revenue, Expenditure, Balance and Composition of Financing 3/–General Government4/ | 2022Q2 | Oct 2022 | Q | Q | Q |
| Revenue, Expenditure, Balance and Composition of Financing3/–Central Government | 2022Q2 | Oct 2022 | Q | Q | Q |
| Stocks of General Government and General Government-Guaranteed Debt5/ | 2022Q2 | Oct 2022 | Q | Q | Q |
| External Current Account Balance | 2022Q2 | Oct 2022 | Q | Q | Q |
| Exports and Imports of Goods and Services | 2022Q3 | Nov 2022 | Q | Q | Q |
| GDP/GNP | 2022Q3 | Nov 2022 | Q | Q | Q |
| Gross External Debt | 2022Q2 | Oct 2022 | Q | Q | Q |
| International Investment Position6/ | 2022Q2 | Oct 2022 | Q | Q | Q |
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D); weekly (W); monthly (M); quarterly (Q); annually (A); irregular (I); and not available (NA).
Malta: Table of Common Indicators Required for Surveillance
(As of December 31, 2022)
| Date of latest observation | Date received | Frequency of Data7/ | Frequency of Reporting7/ | Frequency of Publication7/ | |
|---|---|---|---|---|---|
| Exchange Rates | Current | Current | D | D | D |
| International Reserve Assets and Reserve Liabilities of the Monetary Authorities1/ | Nov 2022 | Dec 2022 | M | M | M |
| Central Bank Balance Sheet | Nov 2022 | Dec 2022 | M | M | M |
| Consolidated Balance Sheet of the Banking System | Nov 2022 | Dec 2022 | M | M | M |
| Interest Rates2/ | Current | Current | D | D | D |
| Consumer Price Index | Nov 2022 | Dec 2022 | M | M | M |
| Revenue, Expenditure, Balance and Composition of Financing 3/–General Government4/ | 2022Q2 | Oct 2022 | Q | Q | Q |
| Revenue, Expenditure, Balance and Composition of Financing3/–Central Government | 2022Q2 | Oct 2022 | Q | Q | Q |
| Stocks of General Government and General Government-Guaranteed Debt5/ | 2022Q2 | Oct 2022 | Q | Q | Q |
| External Current Account Balance | 2022Q2 | Oct 2022 | Q | Q | Q |
| Exports and Imports of Goods and Services | 2022Q3 | Nov 2022 | Q | Q | Q |
| GDP/GNP | 2022Q3 | Nov 2022 | Q | Q | Q |
| Gross External Debt | 2022Q2 | Oct 2022 | Q | Q | Q |
| International Investment Position6/ | 2022Q2 | Oct 2022 | Q | Q | Q |
Any reserve assets that are pledged or otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents.
Daily (D); weekly (W); monthly (M); quarterly (Q); annually (A); irregular (I); and not available (NA).