Malta is classified as an advanced economy together with 32 other countries according to the International Monetary Fund (IMF). Until 1800 Malta depended on cotton, tobacco and its shipyards for exports. Once under British control, they came to depend on the dockyard for support of the Royal Navy, especially during the Crimean War of 1854. The military base benefited craftsmen and all those who served the military.
In 1869, the opening of the Suez Canal gave Malta's economy a great boost, as there was a massive increase in the shipping which entered the port. Ships stopping at Malta's docks for refuelling helped the Entrepôt trade, which brought additional benefits to the island.
However, towards the end of the 19th century the economy began declining, and by the 1940s Malta's economy was in serious crisis. One factor was the longer range of newer merchant ships that required less frequent refuelling stops.
Currently, Malta's major resources are limestone, a favourable geographic location and a productive labour force. Malta produces only about 20% of its food needs, has limited freshwater supplies and has no domestic energy sources. The economy is dependent on foreign trade (serving as a freight trans-shipment point), manufacturing (especially electronics and textiles) and tourism.
Film production is a growing contributor to the Maltese economy, with several big-budget foreign films shooting in Malta each year. The country has increased the exports of many other types of services such as banking and finance.
The government is investing heavily in education, including college.
In preparation for Malta's membership in the European Union, which it joined on 1 May 2004, it privatised some state-controlled firms and liberalised markets. For example, the government announced on 8 January 2007 that it is selling its 40% stake in MaltaPost, in order to complete a privatisation process which has been ongoing for the past five
