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.

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In August 2026, the number of final deeds of sale relating to residential property amounted to 1,367, an increase of 33.8 per cent when compared to those registered in August 2025. The value of these deeds totalled €407.3 million, representing an increase of 29.1 per cent when compared to the corresponding value recorded in August 2025.

The residential property transactions featured in this release are not limited to purchases by individuals (households) but may also involve other economic agents. In addition, a single final deed of sale or promise of sale agreement may include more than one property.

In the month under review, 1,236 (or 90.4 per cent) of these final deeds of sale involved individual buyers (households), with companies accounting for virtually all remaining deeds. The value of the deeds involving individual buyers (households) amounted to €329.8 million, equivalent to 81.0 per cent of the total value.

Final deeds of sale by locality

The highest numbers of final deeds of sale were recorded in the following localities: St Paul’s Bay (91), Marsaskala (75) and Birkirkara (72). 

Properties transacted in the final deeds of sale

During the month under review, the number of properties transacted in the final deeds of sale was equivalent to 1,504. Apartments (534) and Garages (364) accounted for the largest shares, at 35.5 per cent and 24.2 per cent, respectively.

Promise of sale agreements

In August 2026, 1,241 promise of sale agreements relating to residential property were registered, equivalent to an increase of 18.3 per cent over the same period in 2025. The value of these agreements totalled €452.6 million, representing an increase of 15.6 per cent when compared to the corresponding value recorded in August 2025. Individual potential buyers (households) accounted for 1,101 (or 88.7 per cent) of these agreements, while the rest mainly involved companies.

The highest numbers of promise of sale agreements were recorded in the following localities: St Paul’s Bay (110), Birkirkara (58) and Żabbar (49).

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As the first Budget of the new legislature, the Chamber argues that the focus must now move from identifying structural challenges and announcing policy commitments towards establishing credible implementation pathways that deliver tangible outcomes for Gozo.

A number of proposals and objectives advanced by the Chamber in recent years are now reflected, wholly or partly, in the Government’s programme for the new legislature. While this convergence is welcome, it also means that Budget 2027 should focus on translating commitments into clear programmes supported by institutional responsibility, adequate resources, realistic timelines and measurable milestones.

The document identifies eight principal priorities for Budget 2027:

Regionality – undertake an evidence-based assessment of alternative governance models and develop a roadmap for the progressive exercise of an appropriate devolution of responsibilities and powers to a regional autonomous entity.

Mġarr Harbour – finance the expansion and futureproofing of the harbour, aligned with future ferry-fleet requirements.

Logistics Hub – move the Government commitment from concept to implementation, with a defined location, functions, governance, financing and connection with Mġarr Harbour.

Innovation and Enterprise – reposition the Gozo Innovation Hub as the anchor of a wider start-up ecosystem together with designated start-up support measures that will support the development of such eco-system.

Rural Airfield and Air Connectivity – provide a realistic annual capital allocation and commence implementation of the Gozo Rural Airfield project.

Financial and Professional Services – introduce a pilot regular MFSA presence in Gozo and develop a coordinated proposition for attracting substantive operations to Gozo.

Skills and Talent – implement employee upskilling support, align training with Gozo’s economic priorities and develop the Youth4Entrepreneurship into a structured entrepreneurship platform for youth.

Existing Businesses – extend transport assistance, strengthen direct support for digitalisation and productivity, and implement the proposed Valletta facility for Gozobased enterprises.

The Chamber stressed that these priorities are interconnected and should not be pursued as isolated measures. Stronger regional governance, strategic infrastructure, connectivity, logistics, diversification, skills and support for existing businesses must form part of one coherent, place-based development framework for Gozo.

Implementation should also be underpinned by transparent decision-making, clear accountability, objective criteria and effective consultation. The inclusion of many of these measures into the present Government’s manifesto, following also proposals by the Chamber, make these binding steps for the next legislature providing already the strategic direction that needs to be taken.

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The Malta Chamber of Commerce, Enterprise and Industry, the Malta Employers’ Association (MEA) and the Malta Hotels and Restaurants Association (MHRA) all opposed the proposal, although there was greater openness among the three organisations to another element of Camilleri’s argument: whether the basket used to calculate COLA still accurately reflects what households spend money on today.

Camilleri had proposed in an interview with The Malta Independent that COLA should be adjusted every six months rather than annually, arguing that the mechanism needed to respond more quickly to rising living costs and the financial pressures facing workers. He also questioned whether the basket underpinning the calculation adequately captures modern household expenses, pointing to sharply higher rental costs and the growing importance of services such as mobile phones and internet subscriptions.

The employer organisations, however, said the annual system provides businesses with an important degree of certainty.

MEA Director General Kevin Borg said the association was not in favour of an interim COLA payment because it would introduce additional uncertainty into companies’ annual budgeting.

He also pointed to practical difficulties in operating a system in which the adjustment could change during the year.

If COLA for the first six months were based on the previous September’s Retail Price Index, while the second payment was calculated using March data, higher inflation would automatically result in a larger second payment.

But a fall in inflation could create a different problem, Borg said.

A lower COLA for the second semester could require a downward adjustment to salaries in which the COLA had already been incorporated, something he described as “not ideal”.

The Chamber took an even stronger position, arguing that while the GWU proposal was intended to provide workers with more immediate relief during periods of high inflation, doubling the frequency of adjustments would be “economically counterproductive”.

It said employers plan their budgets, pricing and financial forecasts over a 12-month cycle, particularly SMEs operating on relatively narrow margins.

Moving to twice-yearly adjustments, it argued, would create unpredictable mid-year increases in labour costs.

The Chamber also warned that without corresponding increases in productivity, higher mandatory wage costs could feed directly into prices.

Businesses in retail, services and hospitality could be forced to raise prices to absorb increased labour costs, creating what the Chamber described as a wage-price spiral that could ultimately erode the purchasing power gains COLA was intended to provide.

It stressed that COLA was designed as a statutory macro-economic stabilisation mechanism rather than a real-time inflation tracker or a replacement for wage growth resulting from improved skills and productivity.

MHRA President Tony Zahra similarly defended the annual system, arguing that one of its major strengths was the certainty it provided businesses.

COLA had allowed companies to enter into contracts lasting more than a year knowing that wages would not fluctuate every few months, he said.

A move to twice-yearly adjustments would undermine that advantage by making it more difficult for businesses to project their costs.

For Zahra, the predictability offered by the current system has been an important part of Malta’s economic model.

There is, however, more common ground between the employer organisations when it comes to the composition of the COLA basket.

Borg said the MEA supported maintaining an updated list of goods and services representing the spending patterns of a typical household.

Consumer habits change over time, he said, and this should be reflected in the statistical weightings used to measure inflation.

The association nevertheless stressed that mobile phone services and internet subscriptions already form part of the current basket.

Zahra was also open to revisiting the basket, saying the issue had been discussed over the years and that it might now be time to examine whether changes were warranted.

Any changes, however, should be agreed upon by government and all the social partners, he said.

The Chamber was more cautious, stressing that the Retail Price Index basket is based on empirical data collected through the National Statistics Office’s Household Budgetary Survey and reflects average spending patterns across the economy.

It specifically opposed the idea of incorporating private residential rental prices into a universal mandatory wage index.

Rental inflation, it argued, affects particular sections of the population differently and linking national wage increases to housing costs could create distortions without addressing the underlying problems in the property market.

The Chamber also warned that changing the weighting mechanism without rigorous statistical justification and agreement at the Malta Council for Economic and Social Development could undermine the tripartite consensus behind the current system.

The debate ultimately comes down to competing pressures.

For workers, the argument for more frequent COLA payments is straightforward: when prices rise rapidly, an annual adjustment can leave wages trailing behind the cost of living for months.

For employers, however, more frequent mandatory increases mean less certainty over labour costs and potentially greater difficulty in setting prices, signing contracts and competing internationally.

Borg stressed that COLA is ultimately paid by employers, rather than government, and that salary increases generated by COLA are not necessarily matched by productivity gains.

He warned that particularly large adjustments could prove extremely difficult for major employers serving export markets, where margins can be tight and businesses have limited control over the prices they charge.

The Chamber raised similar concerns for manufacturing, maritime and technology companies competing internationally. Unlike businesses operating solely in the domestic market, exporters cannot simply pass higher wage costs on to overseas customers.

It also warned that more frequent statutory increases could reduce the scope employers have to reward workers through performance-related salary increases, bonuses and career development.

The MEA has proposed a different way of reforming COLA. Rather than moving to twice-yearly payments, it has previously suggested introducing minimum and maximum annual increases.

One possible model would set the annual adjustment within a range of between €2 and €6 per week. Every five years, the total COLA that should have been paid would then be compared with the amount actually paid, with any difference settled subsequently.

The proposal is intended to smooth out sharp fluctuations while ensuring that employees ultimately receive their full entitlement.

The Chamber believes, however, that the bigger issue facing Malta is not the mechanics of COLA but weak productivity growth.

It cited Eurostat figures showing that real labour productivity per person rose to 225.8 in Ireland and 130 in Denmark in 2025, compared with 103.6 in Malta. Malta’s figure had peaked at 109.6 in 2019 before falling during the pandemic.

The Chamber argued that wages cannot continue to rise sustainably without corresponding improvements in productivity and called for greater investment in digital transformation, automation and artificial intelligence, alongside worker upskilling.

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The company received the funding through the European Regional Development Fund (ERDF)-backed Business Enhance grant scheme, using the support to invest in professional catering equipment and modern refrigeration systems for its new operation.

The visit by Minister for European Funds, Social Dialogue and Consumer Protection Keith Azzopardi Tanti formed part of the government’s efforts to showcase projects supported through EU funds.

According to the ministry, the government has committed more than €39 million through over 680 grant agreements under various ERDF schemes designed to support small and medium-sized enterprises (SMEs). The funding covers investments including machinery and equipment, digitalisation, marketing consultancy, internationalisation, certification standards and business studies intended to strengthen competitiveness.

Speaking during the visit, Azzopardi Tanti described SMEs as the backbone of Malta’s economy, saying they play a vital role in creating jobs and driving economic activity. He said European funds provide businesses with an opportunity to expand operations, improve productivity and achieve long-term growth.

Rodrick Zerafa, chief executive of Servizzi Ewropej f’Malta, said KG Catering’s investment demonstrated how European funding can translate into tangible business improvements. He noted that the agency provides free support to businesses in Malta and Gozo by identifying suitable funding opportunities and assisting with the application process.

KG Catering representative Giuseppe Gravina said the company invested around €250,000 in modern kitchen and specialised equipment, with European funding helping make the project possible. He said the investment enabled the company to establish the restaurant with modern, efficient facilities.

The minister also highlighted the launch of the second call under the Digitalise your SME scheme, backed by a €15 million allocation. The programme includes increased funding thresholds for artificial intelligence projects, support for personnel costs through Simplified Cost Options and measures promoting the responsible adoption of AI.

Eligible projects may receive grants of up to €235,400, covering up to 50% of eligible investment costs in Malta and 60% in Gozo. Projects aligned with Malta’s Strategic Roadmap for the Digital Decade 2023-2030 may also qualify for an additional 10% top-up from the Malta Digital Innovation Authority, subject to available funds.

Concluding the visit, Azzopardi Tanti encouraged more businesses to apply for available funding, saying continued investment by local enterprises would contribute to strengthening Malta’s economy.

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In a statement on Facebook, Camilleri said the evaluation process for these submissions will commence in the coming days and weeks.

This charter arrangement serves as an interim measure until two new permanent vessels are purchased to join the existing fleet, aligning with the long-term strategy for the future of the Gozo crossing service.

The new fourth vessel will be replacing the Nikolaus, which has been chartered by Gozo Channel for several years but which has limited operations and has been the subject of so much criticism by passengers.

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The Group also continued to expand its third-party hotel management business through the signing of new agreements for future Corinthia-branded properties, supporting the roll-out of its asset-light strategy which is expected to underpin accelerated growth over the coming decade.

Total Group revenues exceeded the €150 million mark for the first half of 2026, with like-for-like revenue increasing by six per cent year-on-year, after excluding the Lisbon hotel following its partial sale in April 2026, as well as the ramp-up phase for the Rome Hotel which was launched midway through the period under review.

On the same basis, excluding the impact of the Lisbon sale and Rome operations, EBITDA increased by 18 per cent to €19 million, compared to the €16 million generated in the first half of 2025. This reflects the strength of the Group’s underlying operations.

Year-end forecasts indicate EBITDA to stabilise at the same level to 2025 notwithstanding lower contributions from the Lisbon asset sold in 2026. Furthermore, mid-year reported losses after tax do not include property revaluations as will be reported at the year’s end financial statements.

The period under review included some significant milestones, including

• the opening of the flagship Corinthia Rome;
• the signing of a new management agreement to operate a luxury property to be developed in Puglia, Italy; and
• the disposal of a majority interest in the Corinthia Lisbon.

The Lisbon transaction was an integral part of the Group’s strategy to monetise its real estate investments over time, with the scheduling of individual asset sales carefully managed to maximise value and returns.

The proceeds from the sale of the majority stake in the Lisbon hotel enabled the Group to allocate over €100 million towards the repayment of bank and other borrowings and to fund an €18 million interim dividend, whilst retaining the Lisbon hotel’s management agreement and a 28 per cent interest in the property.

Group Chairman Alfred Pisani said: “Our focus is increasingly on expanding the Corinthia brand internationally through development and management agreements, generating recurring fee income while relying predominantly on third-party capital for new hotel developments. This asset-light model enables the Group to leverage its development and management capabilities without committing significant capital to property ownership.

“The opening of Corinthia Rome and the addition of Puglia to the Group’s management portfolio mark further progress in the execution of this strategy. These developments build on the recent openings of Corinthia-branded hotels in New York and Bucharest, both owned by third parties and managed by the Group, as well as the Group-owned hotel in Brussels, all of which are now beginning to contribute to earnings.”

Hotel development projects are also progressing in Beverly Hills, Turks & Caicos, Dubai, Doha, Riyadh, Tuscany, Lake Como, the Maldives and Chengdu. Group companies are involved in these projects as hotel operators, development partners or providers of technical services. Virtually all of the capital required for these developments is being provided by third-party partners, underscoring both Corinthia’s strong track record as an operator and developer and the asset-light nature of the Group’s growth strategy.

The Group continues to evaluate strategic options for its other owned assets, including a potential sale of its Prague property, with a view to allocating any proceeds towards debt reduction, further dividends, and strategic capital expenditure and investments. Amendments to the Prague Metropolitan Plan, approved by the Prague City Council and due to come into effect in September, will permit residential development alongside hospitality uses on the Group’s site. These amendments are expected to enhance the property’s development potential and underlying value.

The first half of 2026 demonstrates the resilience of the Corinthia Group’s underlying business model and progress in the strategic evolution of the Group towards a development and management company.

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Economic activity in Malta remained broadly in line with its long-term average, with business conditions showing a modest improvement in July, according to the Central Bank of Malta’s latest Economic Update.

The Bank’s Business Conditions Index pointed to a strengthening in conditions during July, although the indicator remained slightly below its historical average.

The latest data presents a mixed picture across different sectors of the economy. Retail activity continued to grow in June, but at a more moderate pace, while services production also recorded slower growth in May. Industrial production, meanwhile, declined in annual terms and continued to display a volatile pattern.

Tourism remained one of the stronger performers, maintaining its momentum in June.

Consumer confidence weakened in July, although sentiment remained well above its historical average. At the same time, unemployment expectations continued to point towards relatively low unemployment over the coming year.

The labour market also showed some improvement. Malta’s unemployment rate fell slightly to 3.5% in June from May, although it remained higher than the rate recorded a year earlier.

Property market remains strong

Conditions in Malta’s property market remained robust, with both supply and demand continuing to show strength.

The number of residential and commercial development permits approved in July was lower than a year earlier, but increased compared with June. Similar movements were recorded in final deeds and promise-of-sale agreements, reflecting continued activity on the demand side of the market.

Inflation remains below euro area level

Inflation increased marginally in July but remained significantly below the rate recorded across the euro area.

The Harmonised Index of Consumer Prices (HICP) rose to an annual rate of 2.1% in July, up from 2.0% in June. Core HICP inflation, which excludes food and energy, stood at 2.3%.

The Central Bank noted that both headline and core HICP inflation across the euro area were higher than Malta’s, largely because of higher energy inflation.

According to Malta’s Retail Price Index, inflation increased to 2.7% in July.

Government deficit narrows

The government’s fiscal position also improved in June, with the Consolidated Fund recording a smaller deficit than a year earlier.

The Central Bank attributed the improvement primarily to stronger growth in government revenue.

Meanwhile, the annual rate of growth in deposits and credit held by Maltese residents increased compared with May, indicating stronger growth in both areas.

Overall, the August Economic Update points to an economy that continues to expand at a relatively steady pace, supported by strong tourism and property-market activity, while inflation remains comparatively contained. At the same time, slower growth in retail and services and continued volatility in industrial production highlight some of the uneven trends across the economy.

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During the first half of this year the financial performance of the Group reflected higher core Bank Operating Income and improved operational efficiency, the bank said in a statement on the Stock Exchange.

MaltaPost p.l.c., the Bank’s main subsidiary, also contributed to this positive result with a 12% increase in Profit Before Tax, reaching €3.6 million (H1 2025: €3.2 million).

During this period a one-off share of profit recorded in 2025 from the disposal of assets by an associate company was not repeated. Earnings per Share for the period, now stand at €0.04. Gross Interest Revenues rose by 11% to €21.8 million (H1 2025: €19.7 million), primarily driven by growth in customer lending, the bank said.

Treasury activities also contributed to the increase in interest income through continued optimisation of the Bank’s balance sheet with excess liquidity being employed in Treasury Bills and higher-yielding investment-grade debt securities. Interest Expense increased by 16% to €7.7 million (H1 2025: €6.6 million), driven by both higher volumes of customer deposits and higher interest rates paid on longer-term deposits.

Net Interest Income increased by 8% to €14.2 million (H1 2025: €13.1 million). Net Fee and Commission Income rose by 31% to €3.7 million (H1 2025: €2.8 million), supported by higher business volumes, particularly across commercial and retail lending and wealth management activities. Postal Sales and other Revenues were up by 8% to €23.1 million (H1 2025: €21.4 million), driven by a steady performance across key business areas, particularly parcel and logistics-related activities.

The continued shift from traditional Letter Mail to digital communication channels persisted during the reporting period, while e-commerce and parcel-related services continued as important contributors to revenue growth, the bank said.

Operating Income improved by 9% to €41.5 million from €38.1 million in H1 2025. Employee Compensation and Benefits increased by 7% to €15.2 million (H1 2025: €14.2 million), reflecting a tight and competitive labour market.

Other Operating Costs rose by 3% to €12.9 million (H1 2025: €12.6 million), reflecting continued investment in the business, while remaining well contained through ongoing operational improvements and cost management. Cost Efficiency Ratio of the Bank improved to 49.1% (H1 2025: 54.4%), reflecting stronger income growth and continued cost discipline. At Group level, the cost efficiency ratio also improved to 72.1% (H1 2025: 74.9%).

The higher ratio, when compared with that of the Bank reflects the nature of the postal services industry, which is typically characterised by high volumes, low margins and a labourintensive operating model. Expected Credit Losses (ECL), as set by International Financial Reporting Standard 9 (IFRS 9), resulted in a lower net release of €0.04 million during the first half of the year, compared with a release of €1.0 million in H1 2025.

Financial Position and Capital Loans and Advances to Customers rose by 8% to €1,002.7 million from €929.1 million at FYE 2025. Amounts Owed to Customers increased by 3% to €1,242.4 million from €1,207.3 million at FYE 2025, the bank said.

Bank Loan-to-Deposit ratio increased to 82.9% (FYE 2025: 79.6%). The Bank continued to rely on a diversified funding base, which over the years has proven to be stable. The Bank’s liquidity ratios remained well in excess of minimum regulatory requirements. Group Total Assets rose to €1,555.0 million (FYE 2025: €1,497.6 million).

Equity Attributable to Equity Holders of the Bank increased by 2% to €227.7 million (FYE 2025: €223.7 million). Group Net Asset Value (NAV) per share stood at €1.47 (FYE 2025: €1.45). Group Earnings per Share (EPS) stood at €0.04 (H1 2025: €0.06). Group Return on Assets (ROA) was 1.0% (H1 2025: 1.1%) while Group Post Tax Return on Average Equity (ROAE) was 5.9% (H1 2025: 6.9%). Total Capital Ratio at 18.0% (FYE 2025: 19.9%) exceeded the minimum regulatory requirements. During the first half of 2026, the Group continued to focus on its strategic priorities, including investment in digital transformation, operational efficiency and customer service, the bank said.

The Bank’s planned replacement of legacy systems with a modern core banking platform and enhanced digital channels forms part of a wider programme aimed at improving service delivery, strengthening operational capacity in the areas of regulatory compliance and wealth management services, and enhancing the overall customer experience.

The Bank continued to strengthen its physical distribution channels, complemented by sustained investment in human resources and compliance. These initiatives are expected to contribute to the Bank’s long-term competitiveness while preserving the prudent and conservative business model that has historically underpinned its performance. At MaltaPost p.l.c., the traditional postal environment is expected to remain challenging, while the potential impact of Customs tariff measures on cross-border postal and logistics activities continues to unfold.

That said, MaltaPost remains on the lookout for new and diverse business opportunities. Looking ahead, the Group will continue to pursue measured growth, supported by a strong capital base, sound liquidity, and ongoing investment in technology, operational resilience and customer-facing capabilities. It anticipates sustained stability throughout the latter half of 2026, driven primarily by the continuation of its cautious business strategy, the bank said.

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Backed by a Brussels-approved economic strategy and an injection of public funds that has seen government equity swell to €350 million, the airline was supposed to represent a new era of fiscal responsibility in local aviation. Yet, as the months tick by with zero transparency, the business community and the taxpaying public are left asking an uncomfortable question: are we witnessing the slow-motion prologue to another Air Malta disaster?

The core of the issue lies in a deafening silence from both the airline and the administration. To date, KM Malta Airlines has not filed a single set of audited accounts with the Malta Business Registry. Vague assurances from Finance Minister Clyde Caruana regarding filing extensions ring hollow when deadlines continuously pass unfulfilled. When inquiries from the press are met with stonewalling, it invites the worst kind of speculation. In the absence of audited figures, observers naturally assume the worst, with rumours swirling that the carrier is losing money.

This is not merely a matter of administrative bureaucracy; it is a fundamental breach of public trust. Taxpayers are involuntary shareholders in this enterprise, having contributed hundreds of millions in hard-earned capital. They are not asking for trade secrets; they are demanding the basic right to know whether public funds are being stewarded responsibly and whether the airline is adhering to the viability plan promised to Europe.

Transparency does not undermine a national airline; rather, opacity is what ultimately destroys it. Shrouding the company’s financial health in secrecy only serves to erode confidence among business partners, passengers, and staff who deserve stability, not a repeat of past failures.

The Nationalist Party has rightly ratcheted up pressure on the government, emphasising that accountability is non-negotiable where public money is concerned. Good governance requires that those entrusted with taxpayer funds answer for how those resources are utilised. If KM Malta Airlines is performing well and meeting its targets, the administration should be eager to publish the numbers and reassure the public. If it is struggling, hiding the truth will not make the losses disappear – it will only delay the inevitable reckoning until the damage is far harder to repair.

Malta cannot afford another aviation debacle. The government and the airline’s leadership must drop the defensive posture and come clean immediately. By publishing the outstanding accounts and detailing a clear financial outlook, they can (hopefully) dispel the rumours and chart a credible path forward.

Anything less is a disservice to the Maltese public and another severe blow to the principles of transparency and good governance.

The post EDITORIAL: Opening the books – Will KM Malta Airlines avoid Air Malta’s fate? first appeared on The Malta Business Weekly.