The trade deficit in Malta narrowed to EUR 131.4 million in November 2019 from EUR 241.5 million in the same month a year earlier. It was the smallest trade gap since December 2018, as exports surged 23.8 percent to EUR 325.7 million, boosted by sales of chemicals (107.3 percent) and miscellaneous manufactured articles (40.5 percent). Imports decreased 9.4 percent to EUR 457 million, mainly due to lower purchases of machinery & transport equipment (-28.8 percent) and food (-10.3 percent). Year-to-date, the country's trade deficit widened to EUR 3,661.2 million from EUR 2,847.5 million in the same period of 2018, as exports and imports grew 6.4 percent and 17.2 percent, respectively. Balance of Trade in Malta averaged -128813.85 EUR Thousand from 1996 until 2019, reaching an all time high of -7900 EUR Thousand in December of 2002 and a record low of -735969 EUR Thousand in March of 2019. source: National Statistics Office, Malta
Balance of Trade in Malta is expected to be -220000.00 EUR Thousand by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Balance of Trade in Malta to stand at -111300.00 in 12 months time. In the long-term, the Malta Balance of Trade is projected to trend around -131300.00 EUR Thousand in 2020, according to our econometric models.
Malta Balance of Trade
Malta enjoys a favorable geographic position and large deposits of limestone, which contribute to the strength its export sector. As an island, Malta produces only around 20% of its food necessities, has limited access to fresh water and lacks energy sources. Due to this mix of factors, the economy of Malta is very dependent on foreign trade. Malta mostly exports electrical machinery, mechanical appliances, fish and crustaceans, pharmaceutical producuts and printed material. On the other hand, Malta is a net importer of mineral fuels and oils, non-electrical machinery, aircraft and other transport equipment, plastic and other semi-manufactured goods, food, drink and tobacco. Malta adopted the Euro in 2008, highlighting the status of the European Union as its most important trading partner, having vast trade flows specifically with Italy, the United Kingdom, Germany and France.