The Gross Domestic Product (GDP) grew by 2.7 per cent in real terms in the third quarter of this year compared to the corresponding period last year, according to preliminary estimates.

The National Statistics Office said the estimate of change in the Maltese economy, as measured through GDP at current prices, was a rise of 4.7 per cent, to Lm501.5 million, in the third quarter of this year.

Output of goods and services at basic prices in the quarter under review increased by 3.8 per cent to Lm934.8 million. However, intermediate consumption rose by 5.8 per cent to Lm512.0 million, mainly as a direct result of rising oil prices.

Taxes on products went up by Lm15.6 million, while subsidies on products were cut by Lm0.5 million. The definitive Gross Domestic Product figure is taken using this approach.

Household consumption expenditure went up by 2.4 per cent at current prices when compared to the same quarter last year. Final consumption expenditure of non-profit institutions serving households registered a growth of 5.4 per cent. General government expenditure edged up by 0.8 per cent to Lm100.2 million.

Gross fixed capital formation increased by 1.7 per cent to Lm98.8 million. There was a slight decline in the overall exports and imports of goods and services, when compared to the same quarter last year.

In real terms, increases were registered in total final consumption expenditure and gross capital formation. On the other hand, exports declined by 4 per cent and imports went down by 3.5 per cent.Compensation of employees went up by 1.5 per cent to Lm220.1 million when compared to the same quarter last year. Gross operating surplus and mixed income rose by 3.6 per cent to Lm203.7 million.