Updated - Adds Finance Ministry statement - Foreign direct investment (FDI) increased by €8.2 billion at the end of December compared to December 2013, the National Statistics Office said today.

The stock position of Foreign Direct Investment  at the end of December was€141.9 billion. €139.1 billion originated from financial and insurance activities, accounting for 98.0 per cent of foreign direct investment in Malta.

There was a net increase of €7.0 billion in FDI flows during 2014, compared to an increase of €7.4 billion during 2013. Increases in claims on direct investors were the main contributors to this increase, with decreases in equity capital having a mitigating effect. 

During 2014, direct investment abroad reached €36.7 billion, an increase of €1.8 billion, compared to an increase of €2.0 billion during the previous year. This was mainly the result of increases in claims on direct investors of €2.3 billion.

In terms of stock position, in December 2014 direct investment abroad by resident entities was estimated at €36.7 billion.

INVESTMENT IN ALL SECTORS

In a statement, the Ministry of Finance said that the figures showed how in two years,  FDI in Malta increased by 14.4 billion.

It observed that FDI inflows increased in all economic activities, with the financial and insurance activities being the main driver of the increase.

"Of particular note is the fact that investment in manufacturing registered a marked increase of €38 million in 2014 following a notable increase of €101 million in 2013. This contrasts with a fall of €78 million in 2012," the ministry said.

"This strong inflow of FDI is one of the most important indicators of the confidence that foreign investors have in the prospects of our economy. This is the result of Government’s efforts to ensure fiscal sustainability, creating the right macroeconomic conditions while pro-actively seeking investment in new growth sectors," Finance Minister Edward Scicluna said.