News - Economic Update 2019

19/07/2019 12:00:00

Economic Update: Issue 7/2019

The Central Bank of Malta has just published its latest Economic Update based on information available up to 15 July 2019.

In June, the Bank's Business Conditions Index (BCI) remained unchanged when compared with the previous month, and continued to suggest above-average conditions. Economic sentiment rose in month-on-month terns, as confidence improved across all sectors, except amongst consumers, though it remained below its level a year earlier.

In May, the number of tourist arrivals and tourist expenditure rose moderately on the same month of the preceding year. The volume of retail trade also rose at a moderate pace, whilst industrial production contracted further in annual terms.

Conditions in the labour market remained favourable, as the number of registered unemployed and the unemployment rate remained low from a historical perspective. The unemployment rate remained stable at 3.5%.

In May, the annual rate of inflation based on the Harmonised Index of Consumer Prices (HICP) stood unchanged at 1.7%. The rate based on the Retail Price Index (RPI), which is the more relevant measure of consumer price inflation for domestic households, also remained stable, at 1.9%.

Maltese residents' deposits in the broad monetary aggregate M3 grew by 4.6% over the twelve months to May, while credit to residents rose by 5.6%.

In May, the surplus on the cash-based Consolidated Fund widened compared with a year earlier.

The Economic Update is available on the website of the Central Bank of Malta.