Commodities - Malta

Malta

The nominal value in the Commodities market is projected to reach US$20.70bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 3.38% resulting in a projected total amount of US$24.44bn by 2029.
The average price per contract in the Commodities market amounts to US$0.06 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$53,690.00bn in 2024).
In the Commodities market, the number of contracts is expected to amount to 377.50k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Commodities market in Malta is experiencing a notable shift in recent years, reflecting global trends and local economic developments.

Customer preferences: Traders and investors in Malta are showing an increasing interest in commodities as financial derivatives, seeking diversification and potential higher returns in their investment portfolios. The convenience and accessibility of trading platforms have made it easier for customers to participate in the commodities market.

Trends in the market: One prominent trend in the Maltese commodities market is the growing popularity of digital assets such as cryptocurrencies. With the rise of blockchain technology and the increasing acceptance of digital currencies worldwide, Maltese investors are exploring opportunities in this relatively new asset class. Additionally, traditional commodities like gold and oil remain attractive to investors in Malta, especially during times of economic uncertainty.

Local special circumstances: Malta's strategic location in the Mediterranean region and its status as a financial hub within the European Union contribute to the development of its commodities market. The country's stable regulatory environment and growing financial services sector have attracted international investors looking to access the commodities market through Maltese platforms.

Underlying macroeconomic factors: Economic growth, inflation rates, and global trade dynamics play a significant role in shaping the commodities market in Malta. As the Maltese economy continues to expand and diversify, investors are drawn to commodities as a way to hedge against inflation and geopolitical risks. Furthermore, fluctuations in global commodity prices impact the local market, influencing trading activities and investment strategies in Malta.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.