Malta’s net International Investment Position (IIP) stood at €18.4 billion at the end of 2024, reflecting a decrease of €0.7 billion compared to the previous year, according to the latest data. The IIP, which measures the difference between Malta’s external financial assets and liabilities, indicates that the country remains a net creditor to the rest of the world, though the surplus has narrowed slightly.
According to the National Statistics Office, Malta’s total external assets reached a substantial €697.1 billion by the end of 2024. The largest component of these assets was Direct Investment, accounting for 80.5 per cent of the total, followed by Other Investment at 12.2 per cent. This illustrates Malta’s strong outward investment activity, particularly through foreign subsidiaries and equity holdings.
On the other side of the balance sheet, the country’s external liabilities amounted to €678.7 billion in 2024. Direct Investment continues to drive both Malta’s external assets and liabilities, reinforcing its role as a hub for international business, making up 86.6 per cent of total foreign liabilities, underscoring Malta’s attractiveness as a destination for foreign capital.
While the dip in net IIP is modest, it will be important to monitor whether this trend continues into 2025, particularly in light of global economic uncertainties
Both categories registered an annual inflation rate of 4.3%
As arrivals increase, the challenge will be to sustain growth without compromising quality of life or infrastructure
He said the latest data 'reaffirms the effectiveness of the Government's economic strategy'