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Sharp drop in foreign direct investment

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Foreign Direct Investment in Malta dropped by 70% in the first sic months of last year compared to the previous year, officials figures issued today show. At the end of June 2011, foreign direct investment in Malta was estimated at €12.4 billion, an increase of €518.8 million over the corresponding month in 2010, the NSO said. The level of investment flows decreased significantly during the first six months of 2011 compared to the same months in 2010. The flows during January-June 2011 were estimated at €140.2 million, a decline of over 70 per cent over the comparative period in 2010. The gains in reinvested earnings and other capital during the period under review were not enough to outweigh the drop in equity capital investment, which had registered an extraordinary increase in 2010, mainly in the financial andinsurance activities, the National Statistics Office said. In the six months under review, the net flows for this sector amounted to €1.0million. Direct Investment abroad Outward flows of direct investment during the first six months of 2011 also contracted significantly when...

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