Maltese financial system is ‘resilient’ despite global uncertainty – CBM

Despite turbulence in the international financial system, Malta has managed to pull through, the Central Bank of Malta’s latest report explains.

The authority is publishing the ‘Financial Stability Report –Interim 2018’, which examines the health and risks facing the Maltese financial system during the first half of 2018.

The report has said that with the amount of financial uncertainty existent in the international system, Malta’s ‘domestic financial system remained resilient’, thanks to support from the ‘positive local economic climate’.

They go on to explain that the main Maltese banks were able to bolster their capital rates and trade with strong liquidity levels.

The report also explains that credit risks connected with non-performing loans (NPLs) have ‘stabilized’. They also register a drop in the number of resident NPLs which they link to fewer being taken out by the construction and real estate sector, an area known for legacy NPLs.