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Provisional estimates indicate that the Gross Domestic Product (GDP) for the third quarter of 2022 amounted to €4,402.2 million, registering an increase of €456.1 million, or 11.6 per cent, when compared to the same quarter of 2021. In volume terms, GDP rose by 5.2 per cent.

Gross Domestic Product: Q3/2022

The production approach
During the third quarter of 2022, Gross Value Added (GVA) rose by 14.4 per cent in nominal terms and 7.8 per cent in volume terms, when compared to the corresponding quarter of 2021.
The drivers behind this 7.8 per cent growth were Service activities (NACE Sections G to U) and Industry (NACE Sections B to E), with a contribution of 7.2 percentage points and 1.0 percentage point, respectively. Conversely, Construction (NACE Section F) had a negative contribution of 0.4 percentage points. Agriculture and fishing (NACE Section A) had a neutral impact on GVA growth in volume terms. Compared to the same quarter last year, Service activities increased by 8.5 per cent and Industry by 11.0 per cent in volume terms. A rise of 7.9 per cent and a drop of 8.7 per cent was recorded in Agriculture and fishing activities and Construction, respectively.
The increase in Service activities was mainly driven by the following sectors: Accommodation and food service activities (40.6 per cent), Administrative and support services activities (22.7 per cent), Wholesale and retail trade; repair of motor vehicles and motorcycles (9.2 per cent), Transportation and storage (15.0 per cent) and Information and communication (8.0 per cent).
Net taxes on products contributed negatively towards GDP growth, with a decrease of 25.4 per cent in volume terms (Tables 1a and 1b).
The expenditure approach
The expenditure approach is another method used to calculate GDP and is derived by adding Final consumption expenditure of Households, General government, and Non-Profit Institutions Serving Households (NPISHs), Gross capital formation and Net exports.
The contribution of domestic demand to the year-on-year GDP growth rate in volume terms was 2.9 percentage points, with Final consumption expenditure having a positive contribution of 3.0 percentage points and Gross capital formation contributing negatively by 0.1 percentage points. External demand also registered a positive contribution of 2.3 percentage points, with 17.4 percentage points attributable to exports and 15.1 percentage points explained by imports.
In the third quarter of 2022, Final consumption expenditure witnessed an increase of 4.8 per cent in volume terms. This was the result of an increase in the expenditure of Households and NPISHs of 7.6 and 1.8 per cent, respectively.General government expenditure decreased by 1.2 per cent.
Gross fixed capital formation declined by 0.9 per cent in volume terms. This decrease was mainly attributable to investment in Other buildings and structures.

Exports and imports of goods and services in volume terms rose by 10.4 per cent and 10.1 per cent, respectively
(Tables 2a and 2b).
The income approach
The third approach to measure economic activity is the income approach, which shows how GDP is distributed among compensation of employees, operating surplus of enterprises and taxes on production and imports net of subsidies.
Compared to the third quarter of 2021, the €456.1 million increase in nominal GDP was the result of a €130.6 million increase in Compensation of employees, a €323.5 million rise in Gross operating surplus and mixed income, and an increase of €2.0 million in Net taxation on production and imports (Table 3).
Gross National Income (GNI)
GNI differs from the GDP measure in terms of net compensation receipts, net property income receivable and net taxes receivable on production and imports from abroad.
Considering the effects of income and taxation paid and received by residents to and from the rest of the world, GNI at market prices for the third quarter of 2022 was estimated at €4,050.0 million (Table 3).
Updates
The National Statistics Office (NSO) has carried out an ad hoc revision in national accounts data with the publication of Gross Domestic Product for the third quarter of 2022. Ad hoc revisions result mostly from the incorporation of new data sources to replace past estimates with more robust figures, and methodological improvements, which may cause more significant changes than those carried out in routine revisions.
The main enhancements brought about by this ad hoc revision are the integration of the Supply and Use Tables (SUT) of 2017, the Structural Business Statistics (SBS) survey results of 2018 and 2019, the censuses of Aquaculture and Tuna Farming of 2020 and 2021, the Economic Accounts for Agriculture of 2021, the Non-Government Organisations (NGO) survey of 2017, the survey on internet purchases covering 2021, as well as new information on the Financial and insurance activities, Education, Human health and social work activities, and Arts, entertainment and recreation industries from updated administrative data sources.
The results of 2017 are now considered final until the next benchmark revision. More information relating to this ad hoc revision may be accessed at: https://nso.gov.mt/en/nso/Media/News/press_information_notice/Pages/Press-Information-Notice.aspx
In December 2022, the Supply and Use Tables of 2017 will be uploaded both in nominal and volume terms to the following path: https://nso.gov.mt/en/News_Releases/View_by_Unit/Unit_A1/National_Accounts/Pages/Supply,-Use-and-InputOutput-Tables.aspx



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