The Central Bank of Malta has published the fifth edition of its annual Financial Stability Report, covering the year 2012 and the first months of 2013. The Report analyses the financial system in Malta, identifying potential risks and vulnerabilities and the system’s resilience to shocks.

The main focus of the Report is on financial institutions which play a significant role in the economy, referred to as the core domestic banks.

Overall, the Report concludes that throughout 2012 the domestic financial sector remained robust, supported by positive, albeit modest economic growth. However, it continued to face challenges from an uncertain external environment, characterised by fragile conditions in international financial markets.

The report can be downloaded from the Central Bank of Malta website or by clicking here.