86% of FDI flows were financial and insurance activities

Tista' taqra bil- Malti.

Foreign Direct Investment (FDI) in Malta stood at €180.9 billion at the end of 2018, while the Direct Investment abroad amounted to €61.0 billion, according to the figures released by the NSO on Thursday.

The main contributors to total FDI flows were financial and insurance activities with a total contribution of 86.1 per cent.

The stock position of FDI in December 2018 shows an increase of €8.8 billion over the previous year. Financial and insurance activities accounted for 97.1% of FDI stocks in December 2018.

The direct investment flows abroad show a marginal decline over the amount registered in 2017. These changes are attributed to lower flows in equity capital and other capital, mainly in claims on direct investors.

In September, the Financial Times reported the findings of a study carried out by the International Monetary Fund and the University of Copenhagen that had found that more than half of Malta’s foreign direct investment is “phantom” capital.