The Malta Maritime Forum (MMF) has called for active measures to strengthen Malta’s position as a regional maritime hub, warning that growing geopolitical uncertainty, regulatory pressures and the transition towards decarbonisation are reshaping the global shipping landscape.

Addressing the Forum’s Annual General Assembly held at MaritimeMT, MMF chairman Godwin Xerri presented a 77-point maritime-centred electoral manifesto aimed at reinforcing the sector’s strategic contribution to the Maltese economy ahead of the next general election.

The proposals, which have already been presented to Malta’s main political parties, focus on four key areas: governance, the National Maritime Transport Strategy, education and skills, and infrastructure. Central among the recommendations is the re-establishment of a National Maritime Authority, a measure the forum argues would improve coordination, accelerate decision-making and provide clearer strategic direction for the industry.

Xerri also called for the appointment of a minister specifically responsible for maritime affairs, supported by a permanent interministerial structure to strengthen coordination across government.

“The common objective across all proposals is to strengthen the industry’s role within the economy and position Malta as a leading regional maritime hub,” he said.

The MMF stressed that Malta’s maritime policies must align both with the government’s Vision 2050 framework and emerging European Union strategies. Xerri argued that EU policies should better reflect the realities faced by island states such as Malta, particularly as the industry grapples with digitalisation and decarbonisation requirements.

Among the forum’s proposals are measures to enhance the competitiveness of the Malta ship registry, attract investment in ship finance and support the development of clean-fuel bunkering infrastructure.

On infrastructure, the MMF reiterated its call for new multi-purpose quays within the Grand Harbour and urged the government to proceed with the long-delayed Ras Ħanżir project before works linked to the Grand Harbour Revival Plan commence. The forum also renewed calls for a full nautical risk assessment to safeguard existing and future commercial port activity.

Addressing members during the assembly, MMF CEO Kevin J. Borg outlined the organisation’s lobbying efforts in Brussels, particularly concerning the European Union Emissions Trading System (EU ETS).

Borg said an MMF delegation had met European Commission officials, Maltese MEPs and European Commissioner Glenn Micallef earlier this year to highlight concerns about carbon leakage and business competitiveness arising from the current ETS framework.

While supporting the principle behind the emissions system, the forum argued that revisions are needed to better reflect the operational realities of European ports and maritime operators.

The MMF has also submitted formal positions to the European Commission regarding the EU’s Islands and Coastal Communities Communication, as well as proposed Ports and Maritime Industrial strategies.

Meanwhile, Kenneth Farrugia, CEO of Bank of Valletta, highlighted the banking sector’s role in supporting the industry’s next phase of growth.

Farrugia pointed to opportunities in ship finance and noted that the bank is exploring syndicated financing structures in collaboration with the MMF. He also emphasised the importance of financing digitalisation and green investments through partnerships with the European Investment Bank and the Malta Development Bank.

The BOV CEO underlined the importance of compliance, transparency and anti-money laundering procedures, while noting that a resilient maritime ecosystem remains critical to Malta’s wider economy given the country’s dependence on maritime connectivity.

Economic projections presented by economist Gordon Cordina showed the maritime industry continued to expand steadily between 2018 and 2025, driven by port activities, maritime business services and water transport.

Cordina said the sector now generates 4.8% of Malta’s value added while accounting for around 2% of national employment, making labour productivity in the industry more than double the economy-wide average.

He noted that future growth should increasingly focus on high-productivity services such as regulatory and governance functions, maritime finance and legal services, as well as education and human capital development.

“The industry is of systemic importance to Malta’s economic model,” Cordina said, adding that continued competitiveness and sustainability would be essential for long-term economic resilience and the successful implementation of the National Maritime Transport Strategy.

He concluded that Malta’s maritime ambitions under Vision 2050 would depend on continued innovation, private investment and political commitment to higher-value maritime services.

The post Malta Maritime Forum calls for dedicated authority as sector targets high-value growth first appeared on The Malta Business Weekly.

Despite remaining above its long-term average, economic sentiment weakened as confidence in the industry and the services sectors declined. On balance, according to the European Commission’s Economic Uncertainty Indicator, there was less economic certainty surrounding decisions made by respondents in April.

Supply and demand conditions in the property market remain strong. In April, residential permits were higher on a year earlier, but commercial permits were lower. Meanwhile, both the number of residential promise-of-sale agreements and the number of final deeds of sale increased on a year earlier.

The labour market shows some signs of easing. In April, the European Commission’s Employment Expectations Indicator, fell below its historical average. The unemployment rate in March remained unchanged at 3.5% for the third consecutive month, though it was higher than the rate recorded in the same month a year earlier.

Malta’s inflation rate rose in April but stood well below that in the euro area. The annual inflation rate based on the Harmonised Index of Consumer Prices (HICP) edged up to 2.5% in April, while HICP inflation excluding food and energy remained unchanged at 2.4%. Across the euro area, HICP inflation was higher than that in Malta due to an increase in energy inflation. However, when excluding energy and food prices, HICP inflation in Malta was higher. According to the Retail Price Index (RPI), inflation in April edged up to 2.8%.

In March, the Consolidated Fund registered a larger deficit compared with that recorded a year earlier, due to higher expenditure coupled with a decline in revenue, brought about by lower tax receipts.

The annual rate of change of Maltese residents’ deposits rose, while credit grew at an unchanged annual rate in March, compared with February.

The full Economic Update is available here.

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The project, which started in 2022, represents a private investment of nearly €60 million and is expected to create more high-quality jobs, introduce advanced technology and provide specialised training opportunities for Maltese and Gozitan workers, a government statement said.

Accompanied by Economy Minister Silvio Schembri, Abela said the expansion further strengthens Malta’s position as a centre for advanced manufacturing and security printing.

The investment includes the installation of advanced visual systems and more efficient production processes aimed at improving productivity and competitiveness.

Speaking during the inauguration, Abela described De La Rue as a strategic partner in Malta’s economic development. He said the continuation of such investment in Malta could not be taken for granted and was the result of what he called a climate of trust, stability and business-friendly economic policies.

The Prime Minister noted that despite major international changes within the De La Rue group, Malta has remained central to the company’s future plans.

“This confirms the skills of our workers and the competitiveness that our country has achieved,” Abela said, adding that the company had continued to believe in the potential of Maltese and Gozitan employees by investing in training and creating quality employment opportunities for hundreds of families.

Abela also referred to other recent industrial investments, including the expansion of STMicroelectronics and the announcement of investment by Vantive in the medical and pharmaceutical sector.

“These are clear examples of how Malta is continuing to diversify its economy and attract investment in high value-added sectors,” he said.

Schembri said the De La Rue project was the direct result of what he described as a strong and stable economy built over recent years.

“It is precisely this environment of stability and certainty that gives international companies of this level the confidence to continue investing, expanding their operations and creating more added value and quality jobs in Malta,” Schembri said.

He added that the investment would strengthen Malta’s competitiveness while contributing to sustainable economic growth.

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The airport said in a statement that the project is expected to be completed by 2028, ahead of the target date stipulated by the Alternative Fuels Infrastructure Regulation (AFIR) for airports forming part of the Trans-European Network to supply grid electricity to remote aircraft parking stands.

 “This investment forms part of a broader roadmap through which we will continue to deploy low-emission technologies and expand the use of solar power. By embarking on our most ambitious project yet, we are reaffirming our commitment to address Scope 3 emissions, while contributing to Malta’s climate targets and the wider European airport industry’s journey towards decarbonisation,” Justine Baldacchino, Head of Sustainability and Analytics at Malta International Airport, said.

The project will introduce 35 hatch-pit systems, supplying parked aircraft with a direct provision of electricity during ground operations. This will eliminate the use of diesel-powered Ground Power Units (GPUs), reducing carbon dioxide emissions significantly.

Aprons where hatch-pit installation is not technically feasible will be served by mobile battery GPUs together with the necessary charging infrastructure comprising 20 charging points. Additionally, the investment will provide for the installation of 15 electric bus charging points, supporting ground handlers in making the transition to cleaner vehicles.

At the heart of the programme is a major upgrade to the airport’s electrical infrastructure, including the introduction of five medium-voltage substations, two generators, and an electrical network with peak installed capacity of 7.5 MVA. Integration with the national grid, with the support of the island’s electricity services provider, will ensure stability and reliability.

This project is co-financed by the European Union with a grant of €5.4 million received through the Alternative Fuels Infrastructure Facility (AFIF). AFIF is a funding instrument under the Connecting Europe Facility (CEF) that supports the decarbonisation of Europe’s transport sector and contributes towards the European Union’s objective of achieving climate neutrality by 2050.

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The report projects Malta’s economy to grow by 3.7% this year, the highest rate among the EU’s 27 member states. Growth is then expected to ease only marginally to 3.6% in 2027, after reaching 4% last year.

Despite the slight slowdown, Malta is forecast to remain the bloc’s fastest-growing economy, well above the EU average growth rates of 1.1% in 2026 and 1.4% in 2027.

The Commission attributed Malta’s strong performance largely to its services sector, particularly tourism, which it said “outperformed expectations in 2025”. The tourism industry is expected to remain resilient despite global geopolitical uncertainty.

Malta is also forecast to record one of the strongest employment growth rates in Europe, with employment expected to rise by 3.9% in 2025. Although job growth is expected to moderate in the coming years, unemployment is projected to remain low at around 3%.

At the same time, the Commission noted that Malta was among the countries registering a relatively sharp increase in unemployment between mid-2025 and early 2026, with a rise of 0.6 percentage points.

Inflation is expected to edge upwards to 2.7% in 2026, driven mainly by higher international energy prices. However, the Commission said the government’s policy of subsidising energy prices would help shield consumers from the full impact of these increases.

The report also paints a positive picture of Malta’s public finances, with both the deficit and debt levels expected to remain comfortably within EU limits over the coming years.

The fiscal deficit is forecast to decline from 3.4% in 2024 to 2.2% the following year, supported by stronger government revenues linked to economic growth and improved tax collection.

Nevertheless, the Commission highlighted rising government expenditure, including substantial increases in the public sector wage bill and a one-off €71 million compensation payment awarded to former National Bank shareholders following a court ruling.

Tax revenues are expected to weaken slightly in the coming years as tax cuts announced in last October’s budget begin to take effect, while expenditure is projected to rise because of the growing cost of energy subsidies.

Even so, Malta’s fiscal deficit is expected to remain stable, edging down to 2.1% by 2027.

The country’s debt-to-GDP ratio is forecast to stabilise at around 46% over the next few years, according to the Commission.

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Addressing a press conference during the handover ceremony, Prime Minister Robert Abela described the occasion as “a proud day” for the country, highlighting both the complexity and importance of the project.

“This was a project that was not easy to facilitate,” Abela said, referring to the investment’s status as an Important Project of Common European Interest (IPCEI).

He noted that the initiative differs from traditional industrial investments because of the highly specialised sector in which it operates.

Abela said the investment aligns closely with the government’s long-term economic vision, centred on innovation, technology and workforce development.

“STMicroelectronics is the largest company that has invested in Malta,” he said, adding that the government wants “an economy that facilitates the reskilling and upskilling of our workers.”

Abela also praised the resilience shown throughout the project’s implementation, saying that “even with Storm Harry working against us, we still delivered.”

Economy Minister Silvio Schembri described the handover as another key milestone towards the launch of what he called Malta’s first smart factory.

“After months of close collaboration between the government and STMicroelectronics, we are taking the next step towards the opening of the first smart factory in Malta,” Schembri said.

Schembri said the strategic importance of the semiconductor industry, noting that while Malta lacks natural resources, it must instead build its economic strength through knowledge, innovation and specialised industries.

“As a country we don’t have natural resources, so we need to be intelligent enough so that what nature didn’t give us, we create for ourselves,” he said.

Schembri pointed to the growing importance of microchips in modern life, describing them as essential components found in everything from mobile phones and cars to medical equipment.

“Microchips have become just as important as oil,” he said.

He explained that the investment goes beyond safeguarding STMicroelectronics’ local operations and is intended to establish Malta as a recognised player in semiconductor manufacturing.

“We need to ensure not only the operation of ST in our country, but this investment has a more strategic intent: to position Malta as an important country in the production of microchips,” Schembri said.

Schembri also highlighted ongoing efforts to strengthen Malta’s talent pipeline, including initiatives to send students abroad to contribute to semiconductor research and development.

Linking the project to the government’s long-term national strategy, Schembri noted that advanced manufacturing is one of the seven priority sectors identified in the Malta Vision 2050 framework.

He added that Malta continues to attract high-quality foreign investment despite global geopolitical uncertainty.

“When we see the recent geopolitical climate, Malta remains that country which not only has the best economy in Europe, but attracts investment of the highest quality,” he said.

Schembri concluded by underlining the importance of continuing to upskill Maltese workers in order to create better career opportunities and higher wages in emerging technological sectors.

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Certainly, I had some time to read through the Nationalist Party’s pamphlet. One of the proposals that struck me was the paternity leave proposal under the Social Policy Chapter, proposal number 2. Here, the Nationalist Party is proposing a six-week fully paid paternity leave. However, those with a memory of an elephant remember that on Mother’s Day, the Leader of the Opposition proposed an extension of fully paid paternity leave of four weeks. The information is in the public domain; just Google Net News online. And legitimately, we ask, which version is correct?

Another contradiction concerns the proposal for renewable energy. Here, the Nationalist Party’s pamphlet states, under the Clean Energy Chapter, that it aims to reach a 30% renewable energy target by 2030, specifically under proposal number 8. However, under the Chapter Innovation, R&D and Digital Sectors, specifically proposal number 24, the Nationalist Party is proposing a 50% renewable energy target by 2030. The day after publishing their pamphlet, the Nationalist Party issued a statement correcting the figures after the media flagged them. I am mentioning it as it’s only fair to be true to what we are analysing and not to mislead our readers. Here, we can state that the Nationalist Party was not ready for a general election, despite its insistence that it would be ready whenever the general election was announced.

Another proposal the Nationalist Party is pledging is to reward university students with the equivalent of National Contribution for the years spent studying, a measure already implemented and in place. The credit for years spent at university contributing toward our future pensions is already in place, so in truth, it is a redundant proposal. What we have here is a situation where the electorate must decide which party will provide stability for their families. I was also let down by not finding anything relating to IVF. Whereas the PL is pledging an additional two cycles, up to five, fully covered by the state. And this boils down to empathy, and assistance to families. Before 2013, families trying to conceive babies through IVF were left on their own. Thereafter, the situation changed, and the PL assisted in amending the laws and conditions to provide greater clarity and support to families.

There are other proposals of the PN, which I wanted to cover in this weekly column. However, I also need to talk about the PL’s proposals. As I have already stated, one of the proposals I am most passionate about is the Affordable Housing proposal. We acknowledge that the increase in GDP and our economic success has brought new challenges to our families. And we must follow this not through statistics but through empathy. Surely, we, as economists, know quite well what families require, because over the past 13 years, the PL has stood shoulder to shoulder with them and the business sector. And they did it out of conviction, not convenience. The PL’s manifesto is clear. We need to go to another level.

The Wellbeing Index is ingenious, and we must seriously consider what’s being proposed to improve the quality of life. The PL is now presenting a manifesto that addresses the challenges of economic success. Gone are the days of an economy of €7 billion. With an economy of €24 billion we can now provide better assistance to our families, not least increases in students’ stipends, assistance with tax credit to our businesses, and additional measures such as the super bonus, the increase in pensions up to €50 per week, the 25% interest-free for first-time buyers and those priced out of the market, the €30,000 tax exemption for the younger generation, and the list goes on. Besides, the PL is pledging a target of a 4% annual GDP increase per annum during the legislature. The idea is to increase economic growth through sectors that add greater value, such as FinTech, Gaming, and Advanced Manufacturing, Family Offices, Prediction Markets, as well as new sectors like eResidency. These require limited space in a small territory and a less labour-intensive supply.

And the electorate will be analysing while they watch us, politicians, debate ideas and discuss our proposals on TV. They know in their hearts that the PL generated significant wealth and distributed it to families and businesses. What they will be asking before they enter the voting booth is whether they risk losing what they have achieved over the past years under a PL government or step into an uncertain and unknown territory. And the analysis will be done not because the Nationalist Party’s proposals are better, but because the PL’s manifesto is superior, and they delivered on their promises from 2013 onwards, unlike preceding Nationalist Party administrations.

My interest is that the younger generation requires a financial and economic boost to achieve their aspirations and dreams when they finish their studies or drop out of school with brilliant start-up ideas. And that financial and economic boost can only be given by the PL in government. As we did with their parents, and the older generation, Gen Z, Gen Alpha and Digital Natives know that there is only one party in Malta that can fulfil their dreams. And that party is the PL in government. The PL was always open to new ideas. And the testament of this is its track record. I urge you to read the PL’s manifesto, the proposal therein, and analyse what’s in it for them and for you, too.

The post It is all about credibility! first appeared on The Malta Business Weekly.

This was announced by Chief Executive Officer Alan Borg at the Company’s 34th annual general meeting earlier today. The financing comprises a €50 million loan for a term of five years and a €50 million loan for a term of seven years.

“The backing of a leading local bank reflects shared confidence in our vision for Malta International Airport and its role in the future of the tourism industry.  Besides leveraging our projects, the financing will allow us to preserve our liquidity to ensure that ongoing financial obligations towards employees, business partners, and shareholders can continue to be met,” said Malta International Airport Chief Executive Officer, Alan Borg.

The Company is currently undertaking the most significant upgrade to airport facilities since privatisation through the East Expansion project, the centrepiece of a €345 million investment programme.

Unveiled earlier this year, the project will expand terminal facilities across a gross floor area of 26,000 m2 by 2028, introducing 32 new check-in desks, five departure gates and a crew gate alongside additional circulation, baggage sorting, and commercial space.

Since the investment was announced, site enabling and mobilisation works have progressed according to schedule, including excavation below road level, the rerouting of critical building services, and the establishment of safe access routes.

In parallel, works on SkyParks 2 have continued apace, with the final quarter of 2026 being targeted for the handover of the hotel building, which is being developed as part of the project, to its operator in shell form. Earlier this year, it was announced that the four-star hotel will be operated by Claret Group under hospitality company Accor’s Tribe brand.

The progress achieved on the East Expansion and SkyParks 2 builds on the successful delivery of a number of key projects within the Company’s five-year investment plan in 2025. Through capital expenditure of €61.6 million, the Company reinvested nearly 40 per cent of its annual revenue into projects aimed at strengthening operational resilience, modernising the airport infrastructure, and enhancing the passenger experience.

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GO plc, Malta’s leading integrated communications and digital services group, today held its Annual General Meeting, where shareholders were presented with a landmark set of financial results for the 2025 financial year together with a compelling vision for the future of the Group.

GO described 2025 as “a milestone year on every front” during which it celebrated its 50th anniversary and marked half a century of connecting Malta through continued investment and innovation. The Group also completed its nationwide True Fibre rollout, a €100 million infrastructure programme that firmly positions Malta among Europe’s leaders in fibre-to-the-home connectivity. At the same time, GO cemented further its market leading position as an internet provider and as the island’s fastest-growing mobile operator.

The financial results were equally historic.

“For the first time in our history, GO crossed €254 million in Group revenue, the first time in the company’s history it has exceeded the quarter-billion euro mark, with net profit rising a remarkable 32% year-on-year to €20.7 million, itself a record. Around 30% of that revenue is now coming from beyond traditional telecoms, reflecting the strength of our strategy. We are, at our core, in the business of winning trust. That trust is our most valuable asset, and it is the foundation of our future growth,” said Nikhil Patil, Group CEO of GO plc.

EBITDA grew to €92 million, while operating cash flow strengthened to €73.9 million. The Board is recommending a total net dividend of 16 euro cents per share for 2025, the highest ordinary dividend paid in five years, as part of a seven-year track record that has returned over €162 million to shareholders.

Going Beyond Telecoms

Critically, approximately 30% of Group revenue now derives from activities beyond traditional telecoms services, a deliberate and accelerating strategic shift. Subsidiaries including BMIT Technologies, AQS Energy, SENS Innovation, Connected Care, Cybersift, Klikk, GO Ventures and Cablenet in Cyprus are each contributing to a broader digital and energy ecosystem.

“In a year of rapid technological change and rising customer expectations, GO did not simply keep up the pace, it led. The GO Group exists to make people’s lives better, not just to sell services. Long-term investment and shareholder returns are not in tension at GO. They go hand in hand,” said Lassaad Ben Dhiab, Chairman of GO plc.

Over the past five years, AQS has installed more than 50,000 photovoltaic panels, generating over 25 million kWh of electricity and avoiding roughly 10,000 tonnes of CO₂ emissions. Connected Care supports over 10,000 individuals in living safely and independently at home. Klikk delivered 46% year-on-year revenue growth.

Cybersift is protecting Malta’s digital ecosystem and has expanded its collaboration to Cablenet in Cyprus. GO Ventures backed Airalo, which has since achieved unicorn status, delivering multiple returns on the original investment. Meanwhile, BMIT made a strategically significant €25 million investment for a 49% stake in Malta Properties Company.

“Non-telecom revenue now stands at €68.2 million and continues to grow. This is not accidental. It is the deliberate result of a strategy to build a broader digital and energy ecosystem around our core business, one that deepens customer relationships, creates new revenue streams, and strengthens our resilience. I am pleased to report that 2026 has started strongly, with revenue growing at approximately 11% year-on-year,” said Reuben Attard, Chief Financial Officer of GO plc.

With GO’s peak infrastructure investment cycle now complete, capital expenditure normalising, and a diversified revenue base continuing to grow, GO is now entering the next chapter from a position of considerable strength.

“We have built the best digital infrastructure on the island, we are one of the most trusted brands in Malta and we have a talented and highly engaged team. The best of GO is still ahead of us,” concluded CEO Nikhil Patil.

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Covering an area of approximately 24,000 square metres, equivalent to nearly 3.5 football pitches, the solar farm hosts nearly 5,000 photovoltaic panels. The project will enable more than 40 per cent of Melita’s energy requirements to be generated from clean, renewable sources.

The solar farm has been developed on previously unused land, demonstrating how disused spaces can be transformed into valuable infrastructure that contributes to Malta’s transition to greener energy.

Melita CEO Harald Rösch said the project marks an important milestone for the company’s long term sustainability efforts. “This is a significant moment for Melita as we continue to invest in initiatives that reduce our environmental impact while supporting the resilience of our operations. Generating over 40% of our energy needs from renewable sources is a major achievement and reflects our ongoing commitment to sustainability. The project also shows how disused land can be repurposed to create lasting value for the country.”

Melita’s Head of Customer Operations and AI Deployment Kevin Borg highlighted the scale and complexity of the project and the importance of collaboration in bringing it to fruition. “This solar farm has been several years in the making and represents a major investment in Melita’s sustainable future. Developing a project of this scale required navigating a complex permitting and approvals process, as well as close collaboration with multiple stakeholders. Seeing the solar farm now connected to the national grid and generating clean energy for our operations is an incredibly rewarding milestone for everyone involved.”

With the solar farm now operational, Melita continues to explore further opportunities to improve energy efficiency and expand its use of renewable energy as part of its broader environmental commitments. More information is available at https://www.melita.com/sustainability/

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