Economy of Malta

Malta has an economy that is based on industries and services. This country’s economy is classified as an advanced and developed economy, by the International Monetary Fund. Malta is also considered as a high income economy country, by the World Bank.

This country has an economy that is driven by innovations. This has been declared by the World Economic Forum. Malta is a member of European Union and also of Eurozone. This country has formally adopted Euro as its national and official currency, on January 1st, in the year 2008.

It is a country that is situated in a strategic location. This strategic location of Malta makes this country’s economy stronger. It is in the middle of the Mediterranean Sea and at across road between Europe, Middle East and North Africa.

Malta is a fully developed and an open market economy. It has a multi-lingual population. Majority of Maltese people speak English.

The per capita GDP of Malta is US $ 29,200, as adjusted by Purchasing Power Parity. It is ranked 15th, in the list of European Union countries, in term of per capita purchasing power.

The economy of this country is dependent on foreign trade. It is also dependent on its sector of manufacturing. The manufacturing industry of this country, mainly manufactures electronic goods and pharmaceutical products.

Tourism is an important revenue earner for Malta. This tourism industry is steadily on the increase, in this country, since the year, 1987.

After the setback on world economy due the attack on September 11, Malta could sustain the rapid growth of its economy due to favourable international economic climate, the availability of domestic resources, and its industrial policies that support foreign export-oriented investment.

The Central Bank of Malta has kept a strong control over the consumer price inflation, that did not exceed 2.2%. It has a strong manufacturing base of high value-added products, which makes economy of this country, even stronger.

Why form an offshore company in Malta?

Malta is very important location for those foreign investors who are into trading within the European Union (EU). It also has double taxation treaties with majority of the countries throughout the world. There are various industries for which this region is profitable – shipping and airlines. You can easily form a Private Limited Company and a Private Exempt Limited Company. Also foreigners are not charged any income tax on the profits made outside of Malta.

Form an Offshore Company in Malta

Benefits of Forming an Offshore Company in Malta

  1. O% inheritance tax
  2. 0% tax on gifts and wealth
  3. 5% tax on real estate
  4. 2% tax on transfer of shares
  5. 15% flat tax rate for HNWI permit holders