This substantial investment by the Freeport involved the complete replacement and modernisation of the medium-voltage switchgear and extensive refurbishment of the substation building, with all works carefully planned and executed while maintaining uninterrupted operations across the terminal.

The new medium-voltage switchgear was installed alongside the existing equipment, enabling the transfer of electrical circuits in phases without disrupting power supply to the terminal.

The upgraded distribution centre also includes a fully refurbished building envelope, with new doors and apertures to ensure an airtight environment, together with new air-conditioning systems, fire detection and alarm systems, and CCTV installations.

The project features Medelec’s locally factory-assembled MSGair medium-voltage switchgear, designed and manufactured in Malta in accordance with the internationally recognised IEC 62271-200 standard. The equipment has undergone independent type testing at the Cesi laboratories in Milan, confirming compliance with stringent international performance and safety requirements.

The new switchgear provides Malta Freeport Terminals with significant operational advantages. Its modular design allows for future expansion as the terminal’s electrical infrastructure continues to evolve, while the additional bus arrangement and ringed circuit capability substantially improves operational flexibility and network resilience.

The system has also been designed with safety and ease of operation as key priorities. All normal switching operations can be carried out with compartment doors closed, enhancing operator protection, while the equipment can be controlled both locally and through the terminal’s Scada system, providing greater operational flexibility.

Alex Montebello, chief executive officer at Malta Freeport Terminals, said the project represented another important investment in the terminal’s critical infrastructure.

“The reliability of our electrical distribution network is fundamental to maintaining the high levels of operational performance expected by our customers, and this upgrade provides us with a more resilient, flexible and future-ready system while ensuring the highest standards of safety and operational efficiency.”

David Fenech, Commercial manager at Medelec, said: “We are grateful to MFT’s chief engineering officer James Peter Alsop and his engineering team for the confidence they placed in Medelec and for the excellent cooperation shown throughout every stage of this project. Our team is proud to have contributed to another important milestone in Malta Freeport Terminals’ continued development.”

The successful completion of the project further reinforces Malta Freeport Terminals’ ongoing investment programme aimed at strengthening operational resilience, supporting future growth and ensuring the terminal continues to operate to the highest international standards.

The post Malta Freeport Terminals and Medelec complete major upgrade of primary distribution substation first appeared on The Malta Business Weekly.

 (i)             4.30% Malta Government Stock 2037 (II); and

 (ii)           4.50% Malta Government Stock 2041 (III)

The sum of money to be raised may be increased further by an additional amount of up to a maximum of two hundred million Euro (€200,000,000) in the event of oversubscription.

Members of the public who are interested to invest may apply for an amount up to a maximum of four hundred ninety-nine thousand, nine hundred Euro (€499,900) per person in any one or in each of the two stocks on offer. Application forms can be made by one person or jointly with other person or persons.    The applications for members of the public open from Monday, 5 October 2026 at 8.30am and close at 2.30pm on Wednesday, 7 October 2026, or earlier at the discretion of the Accountant General.

Applications from wholesale investors in the form of sealed bids (auction) open on Friday, 9 October 2026 at 8.30am and close at 12pm (noon – local time) of the same day, or earlier at the discretion of the Accountant General.

The Accountant General shall be announcing the price for each stock offered for subscription by members of the public on Thursday, 1 October 2026. These prices shall be published through a Press Release by the Department of Information (DOI).

The allotment results of each stock to applicants whose applications are in the form of sealed bids (auction) will be determined and announced two hours after the closing time of the auction.

Retail application forms may be obtained from and lodged at all members of the Malta Stock Exchange and other authorised investment service providers.  Application forms may also be downloaded from the Treasury’s website (https://treasury.gov.mt/en/services/) with effect from Friday, 2 October 2026.

The post New Issue of Fixed Rate Malta Government Stocks – October 2026 first appeared on The Malta Business Weekly.

The Office of the Prime Minister said in a statement on Wednesday that the government will present a Budget that continues to provide clear direction, courage, and confidence, while strengthening the sense of positivity and continuing to support an economy that is achieving positive results.

The Prime Minister, during a consultative meeting with representatives of the Chamber of Small and Medium-Sized Enterprises (SMEs), noted that discussions are currently underway regarding two key areas: the national budget for the coming year and the European Union’s Multiannual Financial Framework for the 2028-2034 period.

He stated that, despite international geopolitical challenges and rising energy prices abroad, the government will continue to provide necessary support in strategic sectors – such as energy – to ensure stable prices for families and businesses.

Abela emphasised that small and medium-sized enterprises are not only the backbone of the European Single Market but also a key pillar of the Maltese economy. Therefore, despite the turbulent international and geopolitical situation, the government will present a Budget that continues to provide clear direction, courage, and confidence, while reinforcing a sense of positivity and sustaining an economy that is achieving positive results.

He emphasised that an increasingly strong and competitive economy requires long-term planning – looking beyond today’s immediate needs – as well as decisions that strengthen sustainability and create the necessary incentives for sustainable growth. He maintained that just as this government provided essential support during difficult times, including the pandemic, it will continue to do so with even greater resolve in the future.

Abela highlighted the digital transition as pivotal for enterprises to continue growing and becoming increasingly innovative. He referred to various initiatives and schemes designed to encourage investment in digitalisation, automation, artificial intelligence, and research and development. He explained that these aim to help businesses boost productivity and strengthen their competitiveness, not only locally but also beyond our shores. He added that investment in technology must go hand in hand with investment in the workforce.

In fact, Abela noted that, to date, around 40,000 people have registered for the ‘AI for All’ initiative, while 23,000 have already successfully completed the training and are being provided with free AI software licenses.

He concluded by stating that, just as it did during the first 100 days, the government will continue to work with the same determination and pace to ensure that Budget 2027 marks another step towards increasingly robust enterprises and a high quality of life for the people of Malta and Gozo.

Representatives of the Chamber of SMEs presented the Prime Minister with a document containing a number of proposals based on five key pillars: investment and compliance; governance and fair competition; productivity driven by sound policies; energy and resources; and transport and mobility. They also referred to the decision announced during the ‘100 Days with You’ open Cabinet meeting regarding the reduction of tax on business transfers between family members, which will decrease from 5% to 1.5%. The representatives described this as a positive decision that will continue to support businesses in investing further and contributing to the growth of the Maltese economy.

The post Prime Minister meets with Chamber of SMEs ahead of 2027 Budget first appeared on The Malta Business Weekly.

The case concerned Venetian Macau Limited, a subsidiary of Sands China, and a VIP customer, Hu Yangning. After years of gambling at casinos in Macau, Hu entered into a credit agreement with Venetian Macau in 2023 for up to HK$15 million and signed a promissory note in connection with the credit extended to her for gambling. When the debt remained unpaid, Venetian Macau sued in Hong Kong and obtained a default judgment in March 2025 for approximately HK$19.35 million, plus interest and costs. It subsequently sought to register and enforce that judgment in Singapore. However, the Singapore High Court refused.

The important point is that the court was not deciding whether the Hong Kong judgment was valid. Nor was it re-trying the underlying dispute. Instead, the question was whether Singapore should allow its own courts to be used to enforce a foreign judgment founded on a gambling debt.

Justice Philip Jeyaretnam held that it should not. Under Singapore’s Reciprocal Enforcement of Foreign Judgments Act, registration can be set aside where enforcement would be contrary to public policy. The court found that Singapore has a firmly established public policy against the enforcement of gambling debts, reinforced by legislation, parliamentary debates and previous case law. In particular, section 5(2) of Singapore’s Civil Law Act provides that no action may be brought or maintained to enforce claims based on gambling debts.

The fact that the debt arose in Macau was therefore not enough to overcome Singapore’s domestic policy. Indeed, the court considered the promissory note inseparable from the credit arrangement that enabled the customer to gamble. Enforcing the Hong Kong judgment would consequently undermine Singapore’s policy against gambling on credit and against using its courts to recover gambling debts.

For the gambling industry, the decision is significant because it illustrates a fundamental feature of an increasingly cross-border business. A gambling operator may be licensed and operating lawfully in one jurisdiction, but the legal consequences of that activity do not necessarily travel with the licence. This is where the Singapore decision becomes particularly interesting from a Maltese perspective.

Malta has spent decades positioning itself as a major European hub for remote gaming. Malta’s controversial 2023 reform, commonly known as Bill 55, introduced Article 56A into the Gaming Act. The provision establishes, as a matter of public policy, that Maltese courts must refuse recognition or enforcement of certain foreign judgments which undermine the legality of gaming services lawfully provided under an MGA licence. The stated legislative objective was to codify Malta’s longstanding public policy in favour of gaming operators lawfully providing services from Malta.

The issue arose particularly from Austria, where courts have awarded players refunds for gambling losses incurred with Malta-licensed operators on the basis that the operators were not licensed under Austrian law. Those players subsequently sought to enforce their Austrian judgments in Malta. Maltese courts have increasingly resisted such enforcement, ruling that certain Austrian judgments ordering refunds conflicted with Malta’s public policy.

There is therefore an intriguing common thread between Malta and Singapore: public policy can place a boundary around the recognition and enforcement of foreign gambling judgments. But the direction of that policy is fundamentally different.

Singapore’s policy says, in effect, that its courts should not become a mechanism for collecting gambling debts, even where those debts were incurred lawfully abroad. Malta’s policy, by contrast, seeks to ensure that its courts do not undermine the legal status of gambling services provided by operators holding Maltese licences.

This distinction matters as Malta is not saying that every judgment involving a gaming operator is unenforceable. The Malta Gaming Authority itself has stressed that Article 56A is narrowly framed and applies only where the foreign action conflicts with or undermines the legality of activity that is lawful under Malta’s regulatory framework.

It also explains why Malta’s position has generated considerably more controversy within the European Union. The European Commission has challenged Article 56A, while Advocate General Nicholas Emiliou concluded in April 2026 that EU law precludes a provision of this kind where it prevents recognition of another Member State’s judgment concerning an operator whose services are lawful in Malta. His Opinion stressed that Member States cannot use unilateral measures of this kind to respond to what they consider to be infringements of EU gambling rules by another Member State.

The Singapore judgment therefore offers Malta an illuminating comparison, but not necessarily a precedent. Both cases demonstrate the power of public policy in private international law. Yet they also show that “public policy” is not a universal concept producing a universal result. It reflects the values and regulatory choices of the jurisdiction asked to enforce a foreign judgment.

Dr Lina Klesper is an International Legal Assistant at PKF Malta

The post When gambling crosses borders, public policy follows first appeared on The Malta Business Weekly.

The initiative recognises that buying a home is one of the most important financial and personal decisions a person can make. Through its Home Finance hubs, BOV is giving customers direct access to specialist expertise, clearer guidance and dedicated support throughout their home-buying journey, with a process designed to be simpler, more transparent and more responsive to individual needs.

The Gżira Home Finance hub was officially inaugurated by CEO Kenneth Farrugia, in the presence of director Diane Bugeja, chief Personal & Wealth officer Simon Azzopardi, chief Commercial officer Simon Grech, chief Operations officer Ernest Agius, and chief People & Culture officer Ray Debattista. The hub has been serving customers since May and builds on the experience gained through the successful launch of the bank’s first Home Finance hub in Mosta earlier this year.

Speaking during the inauguration, Farrugia explained: “Personalisation is a key strategic priority for Bank of Valletta because no two customers are the same. The Home Finance hub model reflects this philosophy in a very practical way. Purchasing a home is far more than a financial transaction. It is a significant life milestone, and customers rightly expect support that reflects their individual circumstances, aspirations and needs. Our ambition is not simply to open new locations, but to create a better experience for our customers. Through these hubs, we are bringing specialist expertise closer to customers, providing greater clarity throughout the process and strengthening ownership across every stage of the journey. This is how we translate strategy into meaningful improvements that customers can see, feel and value.”

The Home Finance hub model complements the bank’s branch network by bringing home loan specialists and supporting teams into a more coordinated operating model. Stronger collaboration between branches, consumer finance, credit and other supporting functions is intended to provide a smoother, more consistent experience, reduce avoidable delays and improve communication with customers.

Azzopardi said: “The Home Finance hubs are where strategy becomes visible to customers. They enable us to offer specialist support while remaining closely connected to the wider customer journey. Customers want clarity, reassurance and confidence that they have the right support at the right moment. The hub model allows us to deliver that in a more focused and effective way, combining specialist expertise with a personal approach.”

Addressing guests, Bugeja highlighted the importance of continued investment in areas that have a direct impact on customers’ lives. “Financing a home is one of the most significant decisions many people will ever make. Customers are looking not only for competitive solutions but also for guidance, transparency and confidence that their application is being managed with care and professionalism. The Home Finance hub model strengthens our ability to offer that consistently while reinforcing the trust customers place in the bank.”

Customers visiting the Gżira Home Finance hub can discuss first-time buyer home loans, property purchase financing, buy-to-let financing, refinancing of existing home loans, affordability assessments and property-related financial planning. The hub also provides guidance on government incentives, insurance requirements and other aspects related to home ownership.

The Gżira Home Finance hub is the second of four dedicated Home Finance hubs being established by BOV. Through this strategy, the bank is strengthening its position as a leading provider of home financing in Malta while continuing to invest in personalised service, specialist expertise and stronger customer relationships at every stage of the journey.

The post BOV inaugurates second Home Finance hub in Gżira first appeared on The Malta Business Weekly.

Labour status

The Labour Force Survey estimates indicated that, during the second quarter of 2026, total employment stood at 339,935, accounting for 65.9 per cent of the population aged 15 and over. The number of unemployed persons stood at 11,431 (2.2 per cent) while inactive persons totalled 164,136 (31.8 per cent). The activity rate for the quarter under review was estimated at 82.8 per cent with the highest rate being recorded among persons aged 25 to 54 (92.1 per cent). 

The employed population

On average, out of every 100 persons aged between 15 and 64 years, 80 were employed. The male employment rate for this age bracket was 85.1 per cent while that for females stood at 73.9 per cent. The largest share of employed persons was recorded among those aged 25-34 years, closely followed by those aged 35-44 years.

Self-employed persons accounted for 13.5 per cent of all persons with a main job. The majority of employed persons worked on a full-time basis, amounting to 299,994 persons. A further 39,941 had a part-time job as their primary employment. In the second quarter of 2026, employed persons worked an average of 35.3 hours per week, 0.2 hours more than in the corresponding quarter of the previous year. Results show that, on average, full-timers worked 37.3 hours while part-timers worked 20.5 hours per week.

The average monthly basic salary for employees for the second quarter of 2026 was estimated at €2,282. The highest basic salary by sector was recorded in the Financial and insurance activities sector (€3,021).  Average monthly salaries varied by occupation, from €1,412 among persons employed in elementary occupations to €3,657 among managers.

The unemployed and inactive population

The unemployment rate for the second quarter of 2026 stood at 3.3 per cent. Females accounted for 57.9 per cent of total inactive persons and those over 65 years made up the highest share of the inactive. The main reason for inactivity was reaching retirement age or taking up early retirement (41.7 per cent).

Education attainment

Among the total population aged 15 years and over, 36.9 per cent had attained a secondary level of education or less. By contrast, 41.1 per cent of employed persons within the same age group had attained a tertiary level of education.

The post Nearly 340,000 in employment, Labour Force Survey shows first appeared on The Malta Business Weekly.

The works will be carried out in an environmentally friendly manner, preserving the site’s historical and architectural character while upgrading it for continued operational use, the corporation said in a statement.

The pumping station is a scheduled Grade 1 Neo-Gothic building, constructed around 130 years ago to serve as the sewage pumping station for the region, and is recognised as part of Malta’s industrial and architectural heritage.

The building will undergo restoration alongside interventions to improve the operational systems used by WSC, so that it retains its original utilitarian and infrastructural function.

The regeneration also extends to the surrounding site, which is currently underused. Plans include a public garden designed around the principle of biodiversity, part of the main building hosting the offices of the Gżira Local Council as an anchor for the local community, and the restoration of the site’s existing concrete water tower, one of the few of its kind still standing.

Rainwater management, harvesting and reuse are built into the garden design, reflecting WSC’s core water management function. The project is built on two pillars, operations and community, balancing the pumping station’s role in Malta’s water network with the creation of public space for residents.

The design has been developed by AP Valletta in collaboration with WSC. The pumping station is listed as a building of particular historical and architectural interest. The tender forms part of WSC’s National Investment Plan, which will see more than €400 million invested in Malta’s water infrastructure over the next decade.

“This project brings together the preservation of an important part of Malta’s industrial and architectural heritage with the continued operational use of the site, while also creating a new public space for the local community,” said Karl Cilia, CEO of the Water Services Corporation. The tender reflects WSC’s commitment to safeguarding sites of heritage value within its estate. More information on the Gżira Pumping Station project can be found here: www.wsc.com.mt/gziraps.

The post WSC issues tender for the regeneration of the Gżira Pumping Station first appeared on The Malta Business Weekly.

The bank reported a profit before tax of €44.4 million for the six months ended 30 June 2026, down from €58.7 million in the corresponding period last year. Excluding notable one-off items, adjusted profit before tax stood at €51.7 million, reflecting the impact of a lower interest rate environment, market volatility and exceptional expenses.

Despite the decline in profitability, HSBC Malta’s management emphasised that the underlying business remains strong, supported by growing customer activity, expanding lending volumes, increasing deposits and exceptionally robust capital and liquidity ratios.

Speaking following the presentation of the bank’s half-year results, CEO Geoffrey Fichte told the Malta Business Weekly that preparations for the transition to CrediaBank are progressing smoothly and remain on schedule.

“The transition is going very well,” Fichte said. “We are working very closely with HSBC Global and CrediaBank to make sure the transition is a success. We are very enthusiastic and motivated, and we are committed to a seamless transition for our customers.”

The acquisition, first announced in September 2025, will see Greek lender CrediaBank acquire HSBC Continental Europe’s 70 per cent shareholding in HSBC Malta for €200 million. The agreement was formally signed in December 2025 and remains subject to the necessary corporate and regulatory approvals.

Fichte said the bank expects regulatory approval during the final quarter of 2026, with completion anticipated approximately six months later.

“We expect the transaction to close during the second quarter of next year,” he said.

Reassurance for customers

With many customers closely following developments surrounding the ownership change, Fichte sought to reassure clients that the bank remains financially strong and fully committed to serving the Maltese market throughout the transition.

“We think clients have nothing to worry about,” he said.

Pointing to the bank’s latest financial results, Fichte noted that HSBC Malta continues to maintain the highest capital and liquidity ratios among Malta’s listed banks, with capital levels also ranking among the strongest across Europe.

“We have a very strong team that’s staying on, and we are committed to a smooth transaction. We are very much open for business, so we think clients have nothing to worry about. In fact, we hope they’ll be as excited as we are about the future.”

Addressing questions during the results presentation, Fichte also rejected suggestions that the transaction was facing delays, arguing that regulatory approval processes of this nature typically require time.

According to the CEO, the transaction is progressing faster than comparable banking acquisitions elsewhere in Europe.

He added that HSBC Malta remains confident of delivering what management describes as “a seamless transition and upgrade” under CrediaBank, with continued support from the Board of Directors.

Strong underlying performance

While reported profits declined year-on-year, HSBC Malta highlighted solid underlying business momentum across several core activities.

Net interest income fell by €4.3 million to €85.6 million, reflecting the lower interest rate environment compared with the exceptionally favourable conditions experienced in 2025.

Non-funded income also declined slightly, although fee income increased thanks to higher lending activity and stronger wealth management sales. Trading income moderated following an exceptionally strong comparative performance in the previous year.

Operating expenses increased to €65.9 million, largely driven by €7.3 million in notable items, including accelerated software amortisation and staff-related payments linked to the industrial dispute with the Malta Union of Bank Employees (MUBE).

The bank also benefited from a €6.5 million release of expected credit losses, supported by the recovery of a long-standing non-performing corporate loan and improved credit quality within its retail portfolio.

Despite continuing geopolitical uncertainty globally, HSBC noted that Malta’s domestic economy remained resilient.

Lending growth continues

The bank continued expanding lending across both retail and corporate segments despite heightened competition.

Retail lending increased by 27 per cent during the first half of the year compared with the same period in 2025, while new corporate lending surged by 75 per cent.

Business financing remained particularly strong across hospitality, real estate, retail and manufacturing, with HSBC indicating that a healthy lending pipeline is expected to support further growth over the coming months.

Although total customer loans declined marginally to €2.7 billion due to repayments and portfolio optimisation, the quality of the loan book continued improving.

Non-performing loans fell by six per cent and now stand at their lowest level in recent years.

Customer deposits remained broadly stable at €6.2 billion, with retail deposits increasing despite seasonal reductions in corporate balances.

Strong capital position

Perhaps the bank’s strongest message was its continued financial resilience.

HSBC Malta reported a Common Equity Tier 1 capital ratio of 24.7 per cent and a total capital ratio of 27.8 per cent as at 30 June 2026, comfortably exceeding regulatory requirements.

Liquidity also remained exceptionally strong, providing the bank with significant capacity to continue supporting customers while navigating the ownership transition.

Reflecting this strength, the Board declared another quarterly interim dividend of €0.043 gross per share, amounting to €15.5 million.

Combined with the first-quarter dividend of €0.036 per share, shareholders will receive total gross dividends of €0.079 per share for the first half of 2026, equivalent to €28.5 million.

The latest payment represents a 60 per cent payout of adjusted profits after accounting for employee benefit expenses related to the industrial dispute.

Wealth and insurance

HSBC Malta also continued strengthening its wealth management and insurance businesses.

Wealth investment sales recorded double-digit growth year-on-year as customers increasingly sought long-term savings and investment products.

During April, the bank introduced eight additional Target Dated Funds to its HSBC Life pension platform, expanding retirement planning options for customers.

HSBC Life Assurance (Malta) reported profit before tax of €1.9 million compared with €6.5 million during the same period last year, reflecting more challenging market conditions and movements in financial markets.

Nevertheless, the insurer maintained a strong solvency ratio of 252 per cent while continuing to generate new business across protection and long-term savings products.

Continuing investment

Alongside financial performance, HSBC Malta continued investing in customer service and infrastructure.

The refurbishment of its Rabat branch was completed during the first half of the year, while modernisation works have commenced at the Gżira branch.

The bank also maintained investment in digital services, customer support and credit processing, while continuing marketing initiatives focused on lending, wealth management and insurance solutions.

Within corporate banking, HSBC renewed its Gold Sponsorship Agreement with The Malta Chamber of Commerce, Enterprise and Industry, reaffirming its support for Malta’s business community.

Earlier this year, HSBC Malta was also recognised with the Environment and Resources Authority’s Corporate Award for Environmental Innovation and Sustainability for the €30 million sustainable redevelopment of its Qormi headquarters.

Looking ahead

As HSBC Malta prepares for its next chapter under CrediaBank ownership, management believes the bank is entering the transition from a position of considerable financial strength.

“Our adjusted profit, strong capital and liquidity ratios, growing transaction volumes and continued momentum across customer acquisition and lending leave us well positioned for the future,” Fichte said.

With regulatory approval expected later this year and completion targeted for the second quarter of 2027, HSBC Malta says its immediate priorities remain unchanged: supporting its 180,000 customers, maintaining business growth and ensuring a smooth transition for employees, customers and shareholders alike.

The post HSBC Malta posts resilient first-half results as CEO expects CrediaBank takeover to close in Q2 2027 first appeared on The Malta Business Weekly.

The R&D expenditure was primarily dedicated to Basic Research, which accounted for 42.3% of total R&D in 2024, followed by Applied Research (30.7%) and Experimental Development (27%). 

Both the Business sector and the Government sector reported an increase in R&D expenditure compared to 2023. The highest increase in outlay of €21.5 million was registered under the Business sector while the Government sector increased by €0.8 million. The Higher Education sector reported a decrease of €3.2 million. Labour costs represented 67% of total R&D expenditure, followed by Other recurrent expenditure (24.3%) and Capital expenditure (8.7%).

The highest R&D expenditure by scientific field was recorded in Engineering and technology, which accounted for 56.1% of total expenditure, followed by Medical sciences (15.8%) and Natural sciences (11.1%). Most of the R&D activity in Engineering and technology and Medical sciences was undertaken in the Business Enterprise sector, whereas research in relation to Social sciences and Humanities was mainly carried out by the Higher Education sector.

Year-on-year comparisons show that the highest increase was registered in Engineering and Technology (€16.7 million), followed by Medical sciences (€9.7 million). These increases outweighed a decrease of €11.4 million in Natural sciences.

Each sector mostly funds its own research, supplemented by foreign funds. R&D in the Business Enterprise sector is mainly funded by local business enterprise funds, General university funds are directed to the Higher Education sector and Direct government funds service the Government sector. Foreign funds for R&D reached €10.2 million, or 7.3%, of total funds.

R&D employment

3,760 employees were engaged in R&D work, of whom 2,148 spent a portion of their time on R&D projects, while the remaining 1,612 employees dedicated their entire working time on R&D projects. The highest R&D employment was registered in the Business Enterprise sector, at 1,864 employees, followed by the Higher Education sector, with 1,800 employees.

Male employment was predominant among researchers and technicians. Females accounted for 36% of total R&D employment.

With regard to R&D employment by major field of science, the highest employment was recorded in Engineering and technology with 1,906 employees, followed by Social and Natural sciences, with 634 and 459 employees respectively.

R&D government budget allocations

The government budget allocations for R&D (GBARD) for 2025 amounted to €42.3 million, a decrease of €0.3 million when compared to 2024. The highest GBARD outlay was recorded in General advancement of knowledge: R&D financed from General University Funds of €25.2 million.

The post Total expenditure on Research and Development amounted to €140.2m in 2024 first appeared on The Malta Business Weekly.

This increase in debt was partially offset by a drop in Foreign Loans (€80.1 million) and in the 62+ Malta Government Savings Bond (€37.8 million). Moreover, higher holdings by government funds in Malta Government Stocks resulted in a decrease in debt of €22.7 million, the NSO said.

By the end of June, the government’s Consolidated Fund reported a deficit of €463.5 million.

Between January and June, Recurrent Revenue amounted to €4,155.2 million, €681 million higher than the figure reported a year earlier. The largest increases were recorded under Income Tax (€287.7 million), Grants (€156.8 million) and Value Added Tax (€137.4 million). On the other hand, lower revenue was recorded under Fees of Office (€13.8 million), Reimbursements (€2.1 million) and Sales – Others (€0.9 million).

Total expenditure by the close of June stood at €4,618.7 million, €687.1 million higher than the previous year.

During the reference period, Recurrent Expenditure totalled €3,952.9 million, an increase of €506.5 million compared to the €3,446.4 million reported the year prior. The main contributor to this increase was a €262.2 million rise reported under Programmes and Initiatives. Further increases were also recorded under Operational and Maintenance Expenses (€96.3 million), Personal Emoluments (€82.6 million), and Contributions to Government Entities (€65.5 million).

The main developments in the Programmes and Initiatives category involved higher outlays towards Social security benefits (€88.1 million), Medicines and surgical materials (€25.7 million) and EU own resources (€24.4 million).

The interest component of the public debt servicing costs totalled €158.5 million, an increase of €14.6 million when compared to the previous year.

By the end of June, government’s capital spending amounted to €507.3 million, €165.9 million higher than the comparative period in 2025. Higher outlay was, among others, reported towards the Acquisition of property for public purposes (€49.1 million), Property, Plant and Equipment (€18.6 million) and Road construction and improvements (€15 million). The rise in spending was partially offset by drops recorded under the Investments in Physical Assets (Agricultural EU funds) (€5.3 million) and Investment Incentives (€5.1 million).

The difference between total revenue and expenditure resulted in a deficit of €463.5 million being reported in the government’s Consolidated Fund at the end of June, in comparison to the €457.4 million deficit registered the year prior. This difference mirrors an increase in total Recurrent Revenue (€681 million), offset by a higher rise in total expenditure, which consists of Recurrent Expenditure (€506.5 million), Interest (€14.6 million) and Capital Expenditure (€165.9 million).

The post Government debt edges closer to €12 billion – NSO first appeared on The Malta Business Weekly.