Market Operations

Market Operations

The Central Bank of Malta has been acting as market-maker for Malta Government securities (also known as Government stocks or bonds) since its foundation in 1968. To date, there have been no other private market-makers or primary dealers in Malta who have been prepared to take on this role owing to the market’s small size. Thus, the Bank has been contributing significantly to the development of the domestic money and capital markets and has enhanced the liquidity of Malta Government securities.

The Bank’s market-making role is solely limited to secondary market dealing with absolutely no involvement in the primary market. Indeed, the Bank is statutorily precluded from participating in the primary market in all types of public sector debt instruments. The Bank’s market-making function is performed through the Government Securities Office, which publishes daily prices and yields and other reporting for Malta Government securities, namely Malta Government Stocks and Malta Government Treasury bills. This section also contains reports on the Money Market and the Legal Opinions on Enforceability of Master Agreements.