EU funding helps KG Catering expand as government highlights €39 million SME investment

KG Catering Co. Ltd has invested in a new restaurant concept in St Julian’s after securing more than €128,000 in European Union funding, as the government renewed its call for businesses to make use of grant schemes aimed at improving competitiveness and digital transformation, the Ministry for European Funds said in a statement. 

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.