Roman Catholicism is the most common religion. The strategically located islands constituting the Maltese nation have been ruled by various powers and fought over for centuries. Malta has been a member state of the European Union since May 1, 2004. It is currently the smallest European Union country in both population and area. Malta is the only nation in the world whose flags bear a decoration awarded by a foreign country, the British George Cross.

History

Malta has been inhabited since around 5200 BC. A significant prehistoric Neolithic culture marked by Megalithic structures existed on the islands during its pre-history, predating the Pyramids of Giza by a millennium. Phoenicians colonized the islands around 1000 BC, using them as an outpost from which they expanded sea explorations and trade in the Mediterranean.

The islands later came under the control of Carthage (400 BC) and then of Rome (218 BC). The islands prospered under Roman rule, during which time they were considered a Municipium and a Foederata Civitas. Many Roman antiquities still exist, testifying to the close link between the Maltese inhabitants and the people of Rome. In AD 60, the islands were visited by Saint Paul, who is said to have been shipwrecked on the shores of the aptly-named "Saint Paul's Bay".

After a period of Byzantine rule (4th to 9th century) and a probable sack by the Vandals, the islands were conquered by the Arabs in AD 870. The Arabs, who generally tolerated the population's Christianity, introduced the cultivation of citrus fruits and cotton, irrigation systems, and most notably, the Arabic language, which the Maltese population adopted as their mother tongue. Arab influence can be seen most prominently in the modern Maltese language, which also contains traces of Romance influence, and is written in a variety of the Latin alphabet.

The period of Arab rule lasted until 1091, when the islands were taken by the Sicilian Normans. Subsequent rulers included the Angevine, the Hohenstaufen, and the Aragonese (1283). The Maltese nobility was established during this period; some of it dating back to 1400. About 32 noble titles remain in use today, of which the oldest is "Barons of Djar il Bniet and Buqana".

In 1530, the islands were given by Spain to the Order of Knights of the Hospital of St John of Jerusalem in perpetual lease. (The Kingdom of Aragon had owned the islands as part of their Mediterranean empire for some time). These knights, a military religious order now known as the "Knights of Malta", had been driven out of Rhodes by the Ottoman Empire in 1522. They withstood a full-blown siege by the Ottoman Turks in 1565. The Turks, at that time, were considered to be the greatest non-European military power. After this they decided to increase the fortifications, particularly in the inner-harbour area, where the new city of Valletta, named after Jean Parisot de la Valette, was built.

Their reign ended when Malta was captured by Napoleon en route to his expedition of Egypt during the French Revolutionary Wars in 1798. As a ruse, Napoleon asked for safe harbour to resupply his ships, and then turned his guns against his hosts once safely inside Valetta. Grand Master Ferdinand von Hompesch zu Bolheim capitulated, and Napoleon stayed in Malta for a few days, during which he systematically looted the movable assets of the Order, and established an administration controlled by his nominees. He then sailed for Egypt, leaving a substantial garrison in Malta. The occupying French forces were unpopular, however, due particularly to their negative attitude towards religion. The Maltese rebelled against them, and the French were forced behind the fortifications. Great Britain, along with the Kingdom of the Two Sicilies, sent munitions and aid to the rebels. Britain also sent her navy, which instigated a blockade of the islands. The isolated French forces, under General Claude-Henri Belgrand de Vaubois, surrendered in 1800, and the island became a British protectorate, being presented by several Maltese leaders to Sir Alexander Ball.

In 1814, as part of the Treaty of Paris, Malta officially became a part of the British Empire, and was used as a shipping way-station and fleet headquarters. Malta's proximity to the Suez Canal proved to be its main asset during these years, and it was considered to be a most important stop on the way to India. In the 1930s, due to Malta's cultural and geographical proximity to Italy, the British Mediterranean Fleet was moved to Alexandria. Malta played an important role during World War II, owing to its vicinity to Axis shipping lanes. The bravery of the Maltese people in their long struggle against enemy attack led to them being awarded the George Cross on 15 April 1942, now included in the corner of the Flag of Malta.

After the war, and after a short period of political instability due to the Malta Labour Party's unsuccessful attempt at 'Integration with Britain', Malta was granted independence on September 21, 1964 (Independence Day). Under its 1964 constitution, Malta initially retained Queen Elizabeth II as Queen of Malta, with a Governor-General exercising executive authority on her behalf. On December 13, 1974 (Republic Day), however, it became a republic within the Commonwealth, with the President as head of state. A defence agreement signed soon after independence (and re-negotiated in 1972) expired on March 31, 1979 (Freedom Day) when the British military forces were withdrawn. Malta joined the European Union on May 1, 2004. It intends to join the Eurozone in 2008.

Politics

Malta is a republic, whose parliamentary system and public administration is closely modelled on the Westminster system. The unicameral House of Representatives, known in Maltese as il-Kamra tad-Deputati, is elected by direct universal suffrage through single transferable vote every five years, unless the House is dissolved earlier by the President on advice of the Prime Minister. The House of Representatives is made up of 65 Members of Parliament. However, where a party wins an absolute majority of votes, but does not have a majority of seats, that party is given additional seats to ensure a parliamentary majority. The Constitution of Malta provides that the President appoint as Prime Minister the member of the House who is best able to command a (governing) majority in the House.

The President of the Republic is elected every five years by the House of Representatives. The role of the president as head of state is largely ceremonial.

The main political parties are the Nationalist Party, which is a Christian democratic party, and the Malta Labour Party, which is a social democratic party.

The Nationalist Party is currently at the helm of the government, the Prime Minister being Dr. Lawrence Gonzi. The Malta Labour Party, led by Dr. Alfred Sant, is in the opposition.

There are several other parties that have no parliamentary seats:

Alternattiva Demokratika, which is a Green Party.
Imperium Europa, led by Norman Lowell, which promotes Pan-European ideologies.
Alpha Liberal Democratic Party, which is led by Drs. Emmy Bezzina and Dr. John Zammit.

Economy

Until 1800, Malta had very few industries except the cotton, tobacco, and shipyards industry. The dockyard was later used by the British for military purposes. At times of war, Malta's economy prospered due to its strategic location.

In 1869, the opening of the Suez Canal benefited Malta's economy greatly as there was a massive increase in the shipping which entered in the port.

By the end of the 19th century, the economy began declining and by the 1940s, Malta's economy was in serious crisis. This was due to invention of large ships which did not require refuelling.

Nowadays, 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. Tourism infrastructure has increased dramatically over the years and a number of quality hotels are present on the island.

Malta has recently privatised some state-controlled firms and liberalised markets in order to prepare for membership in the European Union, which it joined on May 1, 2004. Malta and Tunisia are currently discussing the commercial exploitation of the continental shelf between their countries, particularly for petroleum exploration.

The Maltese government entered ERM II in May 2005, and is intending to adopt the euro as the country's currency on 1 January 2008.

Although Malta is now a member of the European Union, it is not a member of the Schengen Treaty yet. It is currently adopting Schengen regulations with the goal to be finished by 2007.