As at December 2012, total foreign assets increased by €2.76 billion over the position prevailing at December 2011. Total foreign liabilities rose by €1.62 billion during the corresponding period, resulting in an overall increase in the International Investment Position (IIP) of €1.14 billion.The International Investment Position (IIP) refers to net foreign assets (NFA), and is the balance of foreign assets less foreign liabilities.The level of Malta’s total foreign assets abroad amounted to €47.35 billion as at the end of December 2012. Other Investment and Portfolio Investment accounted for 53.6 per cent and 42.3 per cent of total foreign assets respectively. The increase in Malta’s foreign assets was characterised mainly by a €2.83 billion increase in debt securities, primarily bonds and notes. This was partly offset by a €0.23 billion decline in Other Investment due to a fall in loans generated by the banking sector.During the period under review, Malta’s foreign liabilities were estimated at €45.65 billion. Accounting for 70.9 per cent of total foreign liabilities, Other Investment reached €32.35 billion from €31.22 billion recorded in December 2011. A rise in currency and deposits was the main contributor to this growth. Foreign direct investment, representing 27.0 per cent of total foreign liabilities, increased to €12.34 billion from €11.96 billion registered a year earlier.Source: Maltatoday.com.mt