Approaching this summer season is a set of new rules that will be re-shaping several aspects of the hospitality sector across Malta and Gozo, affecting all types of tourism accommodations, including hotels, boutique hotels, and short-term rental properties.ADVERTISEMENTPlayFullscreen0:01-0:28Mute

These new regulations were published on Wednesday via a legal notice, under the Malta Travel and Tourism Services Act.

On Wednesday, Deputy Prime Minister and Minister for Tourism and Foreign Affairs, Ian Borg, announced several new rules that will be affecting the industry as a whole and the short-let scene in particular. Minister Borg said that these regulations look to keep raising the standard of tourist accommodations across the Maltese islands.

“The new regulations will close enforcement gaps and align existing regulations with the Maltese Islands’ strategic shift towards a higher-value tourism offering, while safeguarding the wellbeing of local communities,” Minister Borg said.

In a bid to promote Malta as a higher quality destination, these laws will stop tourism authorities from licensing new all-inclusive and tourist villages. These new rules will also stop applications for one-star and two-star accommodations from being filed altogether.

Minister Borg remarked that through these regulations, “which will raise standards across all accommodation categories,” Maltese authorities are ensuring that visitors’ expectations continue to be met and exceeded.

As part of this reform, only hotel applications with not more than 200 rooms will be considered once these changes are officially in force; this will also act as an expansion cap for hotel extensions and redevelopments. In addition, guesthouses will be limited to having not more than 20 rooms; they must also be located in Urban Conservation Areas (UCAs) and in either a Scheduled building or one with distinctive architectural characteristics, and only if the development will preserve the property’s architectural heritage.

The only applications for new hostels that will be considered for approval are ones of an educational nature, inside residential zones, with a maximum of 40 beds.

These new regulations will also introduce new conditions over the entire sector, with specific focus towards the short-let industry.

These changes are also removing the exemption that has allowed hotels to construct an additional two storeys over local plan limits. This means that new applications will no longer be allowed to rise two floors higher than stipulated, extending also for existing hotels looking to expand upwards.

They will also impose for all apartments being rented out to tourists to include air conditioning.

These new laws, for the first time, are introducing the labels of boutique hotels and luxury boutique hotels into Maltese legislation, thus encouraging further investments in these upscale accommodations.

Two new accommodation labels are also being introduced: “Heritage” and “Diffuso” types. Diffuso accommodations are hotels or guesthouses operating across multiple converted buildings located within the same UCA, all in the proximity of a central building housing the main, central facility. “Heritage Hotels” will refer to three-star, four-star, and five-star hotels and guesthouses in buildings of historical importance, according to the relevant authorities, that have had their distinctive heritage features adequately preserved.

Significant changes to short-let rentals

Minister Borg shared that for all short-lets, as part of these changes coming into force this June, their owners or operators will be obliged to display their licence numbers on a sign outside the property, along with its owner’s name and phone number. This sign will need to remain on display at all hours so that they may receive complaints or be notified about certain issues at all times.

For properties forming part of a condominium, owners, once they are issued with a valid MTA short-let licence, will be obliged to provide this information to the residential block administrators as well.

A 10-person cap will be imposed onto all short-lets. These types of accommodations will also need to submit and provide a waste collection management plan, among other related requirements.

The Minister stated that all short-let operators caught without an authorised licence will be liable to a three-year disqualification, plus extra applicable penalties.

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The new route will operate three times weekly, providing customers with direct travel options between Malta International Airport and Palermo Falcone–Borsellino Airport. Flights are scheduled to operate from 30th May 2026, complementing the airline’s broader summer network.

“We are pleased to introduce Palermo as a new destination within our Summer 2026 schedule,” said David Curmi, Chairman of KM Malta Airlines. “At present, Palermo is not served by direct flights from Malta, and this new route expands the range of destinations available to the Maltese travelling public while also creating additional opportunities to attract inbound visitors to Malta. Sicily and Malta share strong cultural, economic and tourism ties, and we are confident this service will further strengthen connectivity between our two islands.”

“We warmly welcome the launch of the new service between Palermo and Malta announced by KM Malta Airlines”, says Gianfranco Battisti, CEO of Gesap, the managing company of Palermo Falcone Borsellino International Airport. “This is a strategic route that further strengthens the role of Palermo airport as a hub in the Mediterranean and expands mobility opportunities between two territories that are historically and culturally very close. This connection helps to support the growth of international traffic at the airport and to encourage new tourist and commercial flows between Sicily and Malta, concludes Battisti, in line with the path of development and progressive opening to international markets that we at Gesap are pursuing.”

Palermo, the capital of Sicily, offers visitors a vibrant mix of history, culture, and gastronomy. Travellers can explore the city’s historic landmarks such as the Palermo Cathedral and the Norman Palace, wander through street markets like Ballarò and Vucciria, or enjoy the city’s renowned street food scene. With easy access to destinations such as Mondello, Cefalù, Segesta, and Erice, Palermo also serves as an excellent base for exploring the cultural and scenic highlights of western Sicily.

This new service forms part of KM Malta Airlines’ Summer 2026 schedule, which includes an expanded range of routes and frequencies across key European and Mediterranean destinations. In addition to the Palermo service, the airline has also reintroduced seasonal flights to Catania, offering seven weekly flights to Sicily during the summer months with convenient timings ideal for short leisure trips, weekend getaways, and day-return shopping visits.

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MHRA President Tony Zahra stated that, “The figures achieved in 2025 are indeed something to celebrate. These figures confirm that Malta’s tourism strategy has been forward-looking and effective. The results we are witnessing today are the outcome of years of coordinated effort.”

The Association commended the leadership of the Malta Tourism Authority for its strategic positioning of Malta in international markets and its clear alignment with national priorities, noting that the close collaboration between industry and the Authority has been instrumental in delivering results.

“Strong marketing direction, responsiveness to market trends, and continuous stakeholder engagement have been key to maintaining Malta’s competitiveness within the Mediterranean region.”

MHRA also acknowledged the leadership of the Deputy Prime Minister and Minister for Tourism, Dr Ian Borg, for assuming clear political responsibility and steering the industry with confidence.
“His direction has ensured tourism remains a central pillar of Malta’s economic development and is helping to elevate the sector to the next level.”

In this context, MHRA stressed that strong numbers should not be viewed as a threat.

“Growth is not a concern — it is an opportunity. It gives us the space to focus on higher value, stronger economic contribution, and deeper community engagement in line with Malta’s long-term vision.”
MHRA concluded that the current momentum provides the right platform to ensure tourism continues to deliver tangible benefits for the economy, businesses, workers, and residents alike. In this context MHRA President Tony Zahra emphasized that, “In collaboration with the Malta Tourism Authority and all stakeholders, we now need to review, reset and realign the industry to ensure that we remain a sustainable and productive economic sector. Strong performance gives us the right moment to refine our direction and strengthen long-term value.”

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As the Malta Tourism Authority announced the 2025 tourism results during the National Tourism Conference on Thursday morning, Borg signalled the government’s “determination to keep steering Malta’s tourism industry towards long-term resilience, environmental sustainability, value-added visitor experiences and stronger community engagement”.

“We have reached unprecedented levels of growth as the implementation of our long-term tourism strategy is clearly leaving its mark. Today’s figures – with the EU’s highest increase in bed nights and a sharp increase in expenditure – show that the Government’s actions in recent years have put us firmly on the global tourism map, with an industry that is fast transforming itself in the right direction, in line with our Tourism Strategy and the Malta Vision 2050, as we attract tourists who are willing to spend even more for the unique experiences that Malta and Gozo have to offer,” stated Dr Borg.

Borg listed several ongoing initiatives to consolidate the industry’s resilience, while managing future growth responsibly.

There is a renewed effort to promote year-round tourism by strengthening connectivity and targeting higher value markets, as the country prepares for the first direct Malta-New York flights starting in June and extends its reach in other similar long-haul regions.

Following a public consultation late last year, in coming weeks the Ministry is launching new regulations to raise standards and responsibility across Malta’s hotels, short-term rentals and other tourist accommodation, ensuring that these activities are mutually beneficial to the industry and the wider community.

The Malta Tourism Authority has recently realigned its sponsorship and marketing budgets to prioritise value-added events and visitor experiences that celebrate Malta and Gozo’s distinct culture and heritage, particularly during the off-peak months, Borg said.

The Ministry is also coordinating the tourism community support pilot projects in Valletta and Swieqi, with different government entities set to provide additional support to tackle tourism-related challenges as from summer 2026, with a view to extending this assistance to other areas across the country.

The government is also increasing its investment in better quality tourist attractions and public infrastructure, such as the ongoing Bugibba Square Regeneration, the Blue Lagoon Rehabilitation, and other similar improvements.

The Malta Tourism Authority is also spearheading the industry to accelerate its digital transition across all tourism services, adopting new AI tools to better plan and manage tourism flows, while calibrating and further targeting Malta’s overseas marketing campaigns, Borg said.

Total expenditure by the 4 million tourists who visited Malta and Gozo in 2025 exceeded €3.9 billion – a new record – up 18.6% over the previous year and 44% higher than 2023. Expenditure per visitor also increased significantly, up from €924 to €971.

More importantly, with more than 25.4 million guest nights, the Maltese Islands recorded the sharpest increase in the European Union, 11% more than 2024. In comparison, the EU average stands at 2%. 

While the year-on-year increase in tourist arrivals slowed from 19.4% last year to 12.9% this year, Malta registered an increase of 19% in the off-peak months, showing more growth in winter than in summer.

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Total tourist expenditure was estimated at €3,904.4 million, 18.6 per cent higher than that recorded for the same period in 2024. Total expenditure per capita increased to €971 from €924 in 2024.

The number of tourists visiting Gozo and Comino, including both same-day and overnight visitors, totalled 2,305,968, or 57.3 per cent of total tourists.

December 2025

Total inbound tourists for December 2025 were estimated at 225,104, an increase of 17.0 per cent when compared to the corresponding month in 2024.

During the month under review, a total of 208,204 inbound tourists visited Malta for holiday purposes, and 11,940 tourists came for business purposes. The largest share of inbound tourists consisted of persons aged between 45 and 64 (36.3 per cent), followed by the 25-44 age bracket (36.2 per cent). British, Italian and Polish residents made up 49.0 per cent of total inbound tourists.

Total nights spent went up by 13.6 per cent when compared to December 2024, reaching 1.4 million nights. The largest share of guest nights (85.4 per cent) was spent in rented accommodation establishments. The average length of stay of total inbound tourists stood at 6.1 nights.

Total tourist expenditure stood at €162.9 million, an increase of 15.8 per cent over the corresponding month in 2024. The average expenditure per night was estimated at €117.7.

The number of tourists visiting Gozo and Comino, including both same-day and overnight visitors, totalled 94,251, or 41.9 per cent of total tourists.

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The year’s performance underscores the port’s importance as a key global cruise destination and reflects strong demand from international cruise lines and travellers, the company said.

385 vessels called at Valletta Cruise Port in 2025, an increase of 8% compared to 357 calls in 2024.

A record 962,966 passengers passed through the port in 2025, surpassing the previous year’s 940,915 – an increase of 2.3% year-on-year.

Of the total passenger movements 772,664 were transit visitors enjoying daytime visits ashore, while 190,302 were turnaround passengers beginning or ending their cruise in Malta. This places continued emphasis on Valletta’s appeal as a vibrant port-of-call destination.

These figures demonstrate the port’s growing appeal, maintaining passenger traffic near the historic peak levels seen in recent years and reinforcing Valletta’s standing in the global cruise industry.

Valletta Cruise Port’s performance in 2025 builds on the momentum from 2024, when the port recorded more than 940,000 cruise passengers – itself a record year that exceeded the previous pre-pandemic high from 2019, the company said.

“The sustained growth recorded in 2025 reflects Valletta’s strong positioning within the Mediterranean cruise market. Malta’s unique combination of rich cultural heritage and close proximity to other key destinations continues to make Valletta an attractive and highly sought-after cruise port. This performance is further supported by ongoing investment in port infrastructure and passenger services, as well as close collaboration with our industry partners, which together have strengthened Malta’s appeal to cruise operators and passengers,” commented Stephen Xuereb, COO of Global Ports Holding and CEO of Valletta Cruise Port.

“Our port has also been recognized as “The Most Beautiful Port in the World” in a study conducted by All Clear Insurance. This is something frequently highlighted by ship captains, crew, and passengers alike. In this case, the company scientifically examined how visually attractive different cruise ports are – and Valletta Cruise Port ranked first as the most beautiful port, with our port receiving a perfect score of 100%,” continued Xuereb.

Looking ahead, Valletta Cruise Port said it expects continued engagement with global cruise lines and anticipates further enhancements to its cruising offer in 2026. The port remains focused on sustainable growth, quality service delivery, and delivering memorable experiences for visitors from around the world.

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The 58-key Corinthia Lake Como will be built adjacent to the grounds of Italy’s second-oldest golf course in the alpine village of Menaggio, overlooking Lake Como, the company said in a notice on the Stock Exchange.

This will be the Corinthia brand’s second property in Italy, following Corinthia Rome, and offer a rare, fully integrated resort in the iconic yet supply-constrained destination. Plans for the Lake Como property include a world-class spa, wellness and dining experiences, and a lakefront club providing direct access to the water at the widest part of the lake.

The resort will feature three branded residences, while public spaces will be curated across three villas housing the lobby, lounge, and golf club, – each framed to face the mountains and lake beyond. Guestrooms and suites will be discreetly nestled in the foothills of the pre-Alps, settled into the natural contours of the land.

The agreement was signed with RoundShield, the European private credit and tactical opportunities platform of Harrison Street, a leading global investment manager, which recently announced its acquisition of this 40-hectare property.

The redevelopment and asset management will be carried out by Kervis SGR S.p.A. on behalf of the Putter Fund, which is fully invested and controlled by a RoundShield entity.

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There were 93 cruise liner calls during the fourth quarter of 2025, an increase of 1 when compared to the corresponding quarter of the previous year. Transit passengers accounted for the absolute majority of total traffic, reaching 169,152 (94.3 per cent). On average, every vessel that berthed in Malta carried 1,928 passengers, 6 more than the previous year. 

Passengers from EU Member States comprised 42.0 per cent of total traffic. The major markets were Germany, accounting for 11.3 per cent of the total passengers, followed by Italy, with 11.1 per cent. The total number of passengers from non-EU countries stood at 103,991, where the United States accounted for 20.5 per cent of the total passengers and 13.0 per cent came from the United Kingdom.

On a gender basis, female passengers made up 52.5 per cent of the total. The largest share of passengers fell within the 60-79 age bracket (43.8 per cent) and were followed by those aged between 40 and 59 years (27.3 per cent).

January-December 2025

During 2025, total cruise passengers stood at 870,560. Of these, 45.9 per cent came from EU Member States.

The majority of the passengers were females amounting to 463,366 or 53.2 per cent of the total. Most passengers were between 60 and 79 years old, totalling 313,575 (36.0 per cent). These were followed by passengers aged 40-59 years, reaching 263,091 (30.2 per cent).

There were 387 cruise liner calls during the year, with an average of 2,250 passengers per vessel, compared to 363 calls and an average of 2,339 passengers per vessel in the comparative period of 2024.

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The milestone was announced by Transport Minister Ian Borg in a social media post.

The record passenger figure coincided with increased inbound tourism during 2025. Total inbound tourists for October 2025 were estimated at 417,103, reflecting an increase of 17.3 per cent when compared to the corresponding month in 2024. Visitors spent a combined 2,564,811 nights in Malta during the month, while total tourist expenditure amounted to €437.8 million.

Accommodation data for October shows that the majority of guest nights were spent outside traditional hotel establishments. Rented accommodation establishments accounted for 89.5 per cent of all guest nights, while the remaining share was spent in other types of accommodation.

Tourism volumes remained high across the first ten months of the year. Inbound tourists between January and October 2025 amounted to 3,492,586, with total nights spent reaching 22.2 million over the same period.

Spending by inbound tourists also remained substantial. Total tourist expenditure for the January – October 2025 period was estimated at €3,467.7 million, while expenditure per capita stood at €993.

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He reaffirmed Malta’s strategic direction, including year-round tourism, product diversification, stronger community engagement, and the integration of sustainability across all tourism development. He also underscored the importance of the new AI in Tourism Platform, which will consolidate real-time data and analytics to support smarter governance and investment.

The Deputy Prime Minister stated that “The Mediterranean has immense potential, but to stay ahead we must evolve—by championing sustainability, empowering authentic experiences, and placing innovation and Artificial Intelligence at the heart of our tourism strategy. As travellers seek deeper and more meaningful connections, it is our responsibility to protect what makes the Mediterranean unique while ensuring that our growth remains sustainable and beneficial to our communities.”

Throughout the week, the Deputy Prime Minister also visited several intitatives held as part of the Mediterranean Tourism Forum. These included hospitality training initiatives, sector competitions, cultural showcases, and the discussions, which brought together experts to explore practical solutions tied to the Forum’s SEA pillars.

The week also featured the Mediterranean Tourism Knowledge Exchange & Policy Conference, addressed by the Deputy Prime Minister, bringing global researchers and scholars to Malta to strengthen the link between academic insight and industry practice. Hosted by H.E. President Myriam Spiteri Debono, Dr Borg was also present for the Mediterranean Tourism Awards ceremony which took place at the Palace of the President of Malta, recognising excellence in sustainable tourism and Mediterranean identity.

A courtesy meeting was also held between the Deputy Prime Minister and MTF leadership to discuss Malta’s growing role in Mediterranean tourism affairs and explore opportunities for deeper regional cooperation through MTF Senators.

The week also featured the Mediterranean Stars – Beyond the Sea concert, a celebration of Mediterranean musical culture performed by the Mediterranean Orchestra under the direction of Maestro Bruno Santori.

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