Malta |
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Last reviewed: 14 May 2009 |
Area: 316 sq km
Population: 402,700
Capital City: Valletta
People: Maltese
Languages: Maltese, English
Religion: Roman Catholic (98%)
Currency: Euro
Major political parties: Nationalist Party (in power) and Malta Labour Party
Government: Parliamentary democracy
President: Dr George Abela
Prime Minister: Dr Lawrence Gonzi
Foreign Minister: Dr Tonio Borg
Membership of international groupings/organisations: the European Union (since May 2004); the Commonwealth (including the Commonwealth Ministerial Action Group), United Nations (UN), Council of Europe (COE), and the Organisation for Co-operation and Security in Europe (OSCE).
GDP: 5.4 billion Euros (2007)
GDP per capita: €13,231 (2007)
Inflation: 3.7% (monthly figure for September 2008)
Major Industries: Tourism, electronics, the Malta Freeport (duty free container trans-shipment port), financial services, ICT, manufacturing industries, particularly pharmaceutical companies.
Major trading partners: UK, Italy, France, USA, Germany and the Benelux countries
Malta gained independence from the United Kingdom in 1964 and became a republic in 1974. British forces left Malta in 1979. In the 1970s and 1980s, the then Labour government, led by Dom Mintoff, forged links with the Soviet Union, North Korea and Libya. The Nationalist Party’s election victory in 1987 saw a new emphasis on EU membership. Neutrality remains enshrined in the Constitution. In March 2008 Malta rejoined Partnership for Peace.
There are temples on Malta that date from 3800 BC (eg at Ggantija on Gozo). The Phoenicians colonised the islands around 800 BC. The Romans made Malta part of their empire in 218 BC. St Paul was shipwrecked on Malta in AD 60, and converted the Maltese people to Christianity. Malta was under Arab rule in the 9th and 10th centuries which strengthened the Semitic roots of the Maltese language.
In 1530, the Emperor of Spain gave Malta to the Knights of the Sovereign Military Hospitaller Order of St John of Jerusalem. They survived a 3-month siege by the Turks in 1565 and governed until 1798 when Malta fell to Napoleon. In 1800, the Maltese expelled the French with the assistance of the British Royal Navy. In 1814, Malta became a British colony. Malta was an important naval base, being strategically placed between Europe and North Africa. During World War Two, it was subjected to a long blockade and 5 months of bombing raids by the Axis powers. Malta was devastated but did not surrender. In 1942 the island of Malta was awarded the George Cross: a unique tribute to Malta's fortitude.
Malta has strong economic ties with Libya and its North African neighbours, and works to ensure that political relations remain warm too. Regular meetings at Ministerial level with Libya cover three main areas of mutual concern: Off shore oil exploration, fisheries and illegal seaborne immigration from of sub Sharan Africans departing from Libya. Libya is an attractive market for Maltese manufacturers and services suppliers.
Malta hosted the Commonwealth Heads of Government Meeting (25-27 November 2005). It was opened by HM The Queen, and had the theme 'Networking the Commonwealth for Development'.
There are strong historical ties between Britain and Malta, going back to 1800, when the British Royal Navy blockaded the entrance of Grand Harbour and helped see off Napoleon. Malta remains a popular port of call for Royal Navy ships, including HMS Illustrious, which is twinned with the Three Cities (Senglea, Cospicua and Vittoriosa).
Postgraduate educational ties are strong – particularly in the professions. Family and business links are also strong. Around 500,000 British tourists visit the Maltese islands each year. The resident British population is estimated to be over 6,000.
HM The Queen and HRH The Duke of Edinburgh returned to Malta to celebrate their 60th wedding anniversary in October 2007. They were last in Malta together in November 2005, and before that in 1992 to commemorate the 50th Anniversary of the award of the George Cross to Malta. HRH The Duke of Edinburgh returned in 2001. In October 2000, President Guido de Marco made the first official visit to the UK by a Maltese President since Independence in 1964. Dr Lawrence Gonzi visited London on 23-24 October 2005, meeting the Prime Minister and the Foreign and Home Secretaries.
The Republic of Malta is an archipelago of 3 islands. Malta, Gozo and Comino. It is situated in the centre of the Mediterranean (58 miles from Sicily, 180 miles from Libya).
Malta has traditionally enjoyed high employment, low inflation and consisitent (if moderate) GDP growth. Although spared the worst effects of global financial crisis Malta is beginning feel the impact of the economic downturn with some job losses and short time working. There is a substantial budget deficit in the government’s current account, which is compounded by mounting loan repayments. 49% of GDP is spent on the Public Sector. Malta joined the Exchange Rate Mechanism in April 2005 and adopted the Euro as its sole currency in January 2008.
Further information about Malta’s economy can be found at:
UK Trade & Investment Country Profile: Malta.
The Nationalist Party Government applied in 1990 to join the EU and received a positive European Commission Opinion in 1993. The Labour Government of 1996-1998 froze, but did not withdraw, the membership application. The Nationalist Party reactivated it on their return to office in 1998. EU accession negotiations were completed in December 2002. A referendum in March 2003 was won by those in favour of EU membership. A general election followed. On 12 April 2003 the Nationalist Party retained power for 5 years with over 51% of the vote. . This decisive election victory enabled Dr Fenech Adami to sign the Accession Treaty in Athens in April 2003. Dr Fenech Adami retired as Prime Minister in March 2004 and was replaced by Dr Lawrence Gonzi. Dr Fenech Adami was elected President of Malta by Parliament and assumed office on 4 April 2004. He replaced Professor Guido de Marco for a 5-year term. A general election was held in March 2008 and the Nationalist Party was re-elected to power by a narrow margin. Lawrence Gonzi continues as Prime Minister for a second term.