The group discussed issues of mutual interest for both countries and initiatives necessary to enhance bilateral relations, such as tourism, initiatives related to innovation and the possible twinning between local councils.

Opportunities for engagement and fellowships for Japanese pharmacists with the Malta Medicines Authority were also discussed.

Agreeing that Japan and Malta have a “maritime destiny” the delegation established that sea pollution and the need to address the realities that seas suffer from the excessive presence of waste plastic are issues to be tackled of mutual interest.

EPA to bolster trade

In light of the Economic Partnership Agreement (EPA) between the European Union and Japan coming into effect on 1 February 2019, the members referred to the enhanced possibilities of more trade and economic activity, according to the DOI release, however, further details are not disclosed.

The EPA between the European Union and Japan removes the vast majority of the €1b of duties paid annually by EU companies exporting to Japan, according to a press statement issued by the European Commission on 31 January, before the agreement came into force.

As a result of the agreement, the EC said it expects annual trade between the European Union and Japan to increase by nearly €36b once the agreement is implemented in full.

“Europe and Japan are sending a message to the world about the future of open and fair trade. We are opening a new marketplace home to 635 million people and almost a third of the world’s Gross Domestic Product, bringing the people of Europe and Japan closer together than ever before,” President of the European Commission Jean-Claude Juncker said upon the announcement of EPA.

“This agreement has it all: it scraps tariffs and contributes to the global rulebook, whilst at the same time demonstrating to the world that we both remain convinced by the benefits of open trade. As of 1 February, European companies will benefit from removed tariffs and simplified customs procedures,” said Cecilia Malmström, Commissioner for Trade.

The following video was originally posted by the European Commission to explain the EPA in detail.

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“Although there are regulations for aviation and aircraft, and drones do fall under that category, there is no drone regulation currently in place,” Ms Ferrando says about the drone usage landscape in Malta. “Additionally, while the Air Navigation Order does apply to drone operations, this law was set in the nineties, when nobody thought about drones in their current form,” she adds when describing the present sentiment. Therefore, the European Union regulations just passed and entering into effect next year come in a timely manner.

Due to being easily accessible in the market, users often falsely assume that drones are rather toys, however, flying them outdoors poses numerous risks and can bring danger to the airspace of any country. The regulations are expected to break down the misconceptions related to drones.

The new EU rules regulate both the technical and operational requirements for drone usage. In fact, each and every drone must be registered in the member state, where the owner resides or their main place of business is by June 2020. The two regulations came into force within 20 days of 11 June, however, they will only be applicable as of June 2020. Ms Ferrando says this will bring peace of mind to the market. Furthermore, she notes that the European Union passed regulations and not directives, so the rules will be automatically applicable in all member states.

The environment will be unified, which means that instead of haphazard rules in every member state, the same guidelines will apply everywhere. Nevertheless, Malta does slightly stand out due to the fact that the air space is entirely controlled.

Malta’s controlled airspace

“Malta is a very specific country. Usually, we talk about controlled and uncontrolled airspace — most countries have both. However, Malta only has controlled airspace. Generally, drones are not allowed within the controlled airspace in other countries. Therefore, local authorities will set out how drone usage could work in Malta, within the controlled airspace,” Ms Ferrandio explains. The professional adds that this falls under the scope of Transport Malta’s Civil Aviation Directorate.

Flying drones can also raise privacy issues, especially if the unmanned aircraft is equipped with a camera that records either private properties or passers-by in public spaces. Ms Ferrando underscores that the data protection and privacy laws already cover for this. “Regardless of anything else, legislation already in place must be followed. A collection of images of identifiable individuals may be subject to data protection law. That of course also applies to drones flying with recording devices on board.”

At the moment, if an individual is planning to fly a drone, they are required to fill in a self-declaration form on Transport Malta’s website. “If the individual can answer yes to all the listed requirements, they can self-declare that they abide by the conditions or operational requirements. If one cannot approve one of the elements on the list, they need to apply for a single permit, for now at least,” Ms Ferrando says.

How will the new regulations change the drone game in Malta? “They will definitely increase the certainty that we do not currently have in Malta, or anywhere else in the European Union. Having a law gives certainty in terms of what is meant to be done. The regulations will also bring a uniform playing field across the bloc, which is another advantage,” Ms Ferrando adds.

Nevertheless, the adoption of the regulations is only the first step. Further guidance will be issued by the end of the year related to how the rules have to be applied. At the same time, there are other factors that need to be taken into consideration. “Right now air traffic management regulates only manned aircraft. With the increase of drone operations lair traffic management will be required for both manned and unmanned aircraft. This is also going to be an exciting development,” Ms Ferrando concludes.

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Malta believes that the Europan Union budget should include measures that address gender inequalities in all spheres, as the EU budget is an excellent tool that has contributed to social and economic development across Europe, the DOI press statement underscores.

The Multiannual Financial Framework (MFF) can also play a crucial role in contributing to achieving this aim. Minister Dalli also reiterated her calls about the need to protect the EU’s cohesion policy, in order to address regional disparities, the DOI press release says.

This was the last in a series of debates on the MFF 2021-2027 held under the Romanian Presidency. The General Affairs Council will then continue discussions with a view of reaching an agreement before the end of 2019, as agreed to by leaders in the December 2018 European Council Conclusions. In this context, Minister Dalli focussed on the need for further progress and compromise, n order to ensure that there are no delays.

In addition, discussions on the Conclusions on Enlargement and Stabilisation and Association Process focused on the European Commission’s positive recommendation for the opening of accession negotiations with Albania and The Republic of North Macedonia.

In the absence of an agreement between member states on this matter, Minister Dalli stressed the importance of proceeding on a merits-based approach and sending a strong message to these countries, also as a matter of credibility for the European Union.

Minister Dalli also made reference to the Valletta Declaration adopted last Friday in which the Southern Mediterranean EU member states expressed solidarity with Cyprus in the context of the current challenges with Turkey.

Ms Dalli also highlighted the importance of keeping a channel of communication with Turkey, noting that continued engagement can play a vital role.

The General Affairs Council finalised its preparations for the European Council scheduled for this Thursday and Friday in Brussels, which is expected to focus on institutional appointments, MFF, climate change, and external relations.

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The project was launched by Parliamentary Secretary for Financial Services, Digital Economy and Innovation Silvio Schembri and Parliamentary Secretary for European Funds and Social Dialogue Aaron Farrugia.

The lack of women participation in the IT sector is a problem experienced all across the European Union, and the whole world, nowadays. In 2017, the employment rate for men in this sector in the European Union was 76.9%, while for women it was 65.3%. Therefore, the target for 2020 in the EU is to reach 75% for both genders.

The initiative will be implemented in many countries, like Greece, Ireland, Latvia, Lithuania, Malta, Romania and Spain with €2.7m as the total budget allocated for this purpose. Out of this fund, Malta can call for €346,672 between September 2018 and August 2021.

The project is hoped to develop digital competencies and employability of young women vulnerable of getting out of a job, as well as to provide innovative solutions to increase the numbers of young women in ICT careers and in the digital economy. Special focus will fall on unemployed young women, women returning to work after maternity leave and women coming from low income or disadvantaged families. The main tools used are awareness-raising, skills assessment, innovative partnerships with employers, development of a new online employability profiling tool and training in digital jobs, according to the DOI release.

“As a country, we have improved a lot within the digital space, now becoming a main point of reference, yet we are still lagging behind in women participation. If addressed now, the digital sector could be the first sector where we could see women on par with men”, said Mr Schembri.

“This is an exciting time for women. After registering a spike in the number of women elected to the European Parliament, I look forward to the next legislature to see the fruit of the positive measures being taken locally to increase the number of women in the Maltese Parliament”, said Mr Farrugia.

“It is encouraging to see the government fully committed to reducing the digital divide and organisations coming together today to support this collaborative framework. Thanks to this commitment we can ensure that women and young girls are truly allowed to decide their future and regain their destiny” said Dana Farrugia the CEO at Tech.MT, an organisation launched by the Malta Chamber of Commerce in cooperation with the government, aiming to help support further growth of the local technology sector.

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Euler Hermes has been commissioned to conduct a related study. The kick-off meeting for the study was held at the Malta Enterprise headquarters, where a number of economic presentations and meetings with business representatives and stakeholders took place, according to the press statement by Malta Enterprise.

Malta Enterprise is supported by the European Commission, through the SRSP (Structural Reforms Support Programme), to examine options for developing an Export Credit facility for Maltese businesses proactively engaged in exporting goods and services.

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“A no-deal Brexit seems to have become the only true option at this stage. The votes, which Prime Minister May has announced and which will take place in the House of Commons this week, may change this and give some more certainty on the chosen path forward,” said Frank V. Farrugia, President of the Malta Chamber of Commerce, Enterprise and Industry, in his opening address, according to a press statement by Bank of Valletta.

“However, given the circumstances, it is now our duty to stand foursquare by our members and businesses to support them through these challenging times ahead,” Mr Farrugia added.

While some economic sectors within the European Union and some EU member states will be more exposed than others, from a macroeconomic level, Brexit is mostly a British problem with a risk of contagion close to zero, according to keynote speaker Christopher Dembik, Head of Macroeconomic Analysis at Saxo Bank, the BOV press statement reports. Mr Dembik said that probability of a delayed Brexit and a new referendum is high; however, he believes that the main worry is the lack of new credit growth, which is the United Kingdom’s top issue for medium and long-term macroeconomic output.

Due to the massively uncertain nature of Brexit, not only preparing for it is difficult but even discussing it, said Tony Zahra, President of the Malta Hotels and Restaurant Association, when concluding the event. Mr Zahra reminded that 29 March is close and he hopes that a deal is reached before then, because he sees the consequence of a “No deal Brexit” is “too disastrous to even entertain”, the BOV press statement says.

Joe Tanti, CEO of MBB, who chaired the event, encouraged the EU institutions to assist businesses in addressing the current uncertainty due to Brexit and urged EU member states to uphold the integrity of the Single Market in spite of the populist political climate, according to the press release

The Malta Business Bureau is the EU-business advisory office of the Malta Chamber of Commerce, Enterprise and Industry, and the Malta Hotels and Restaurants Association.

UK Parliament votes today

Today the UK Parliament votes on Prime Minister Theresa May’s revised Brexit deal. The vote is widely described as the meaningful vote two, after on 15 January the UK government suffered what some call as a historic defeat by 230 votes. After the vote, PM May promised to hold cross-party meetings “to identify what would be required to secure the backing of the house”, according to a report by the Guardian.

Should PM May lose today’s vote by a short margin, which would mean her Brexit plan is not backed by the UK parliament, she could trigger a third meaningful vote, according to the Guardian. However, this would be preceded by two votes; on whether parliament wants a no-deal Brexit or the delay of it. Should she suffer a bigger defeat, news reports and opinion pieces internationally have suggested she should resign from her position.

“She will face a dilemma over how, and whether, to whip Tory MPs on the no-deal Brexit vote. Keeping that option on the table has been an integral part of the government’s negotiating strategy, but May would face a slew of resignations if she tried to whip MPs to vote for no deal with little more than a fortnight to go until exit day,” the Guardian writes in its thorough report about the vote scheduled for today.

PM May says she secured “legally binding” changes following last-minute talks with the EU, according to a report by BBC. “The PM said the changes meant the Irish backstop — the insurance policy designed to avoid a hard border in Ireland — could not ‘become permanent’,” the BBC report says.

UK nationals residing in Malta can rest assured

UK citizens who reside in Malta on 29 March 2019 will continue to have the right to live in Malta, and the residence document they currently hold as EU nationals will remain valid until a new document is issued, the Maltese government says in its guidelines recently published for a possible scenario of no-deal Brexit.

Citing its figures, the Maltese government says that the island nation is home to approximately 13,000 UK nationals, out of whom 5,000 are in employment, all exercising their EU treaty rights.

Under the decision of the Maltese government, UK citizens “who are, or will be exercising their freedom of movement rights in Malta” until 29 March 2019 will be able to maintain their freedom of movement.

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Citing its figures, the government says that Malta is home to approximately 13,000 UK nationals, out of whom 5,000 are in employment, all exercising their EU treaty rights.

Under the decision of the Maltese government, UK citizens “who are, or will be exercising their freedom of movement rights in Malta” until 29 March 2019 will be able to maintain their freedom of movement with the conditions outlined below:

• The residence document they currently hold as EU nationals will continue to be valid until a new document is issued reflecting their new immigration position;
• A new document will be issued in the format specified by Regulation 1030/2002 (the uniform EU document laying down the standard specifications for third-country nationals), as suggested by the European Commission;
• The application for a new residence document and the issue of the document will be free of charge;
• The new and special immigration status of such UK nationals shall be valid for a ten-year period.
• The document shall be renewed when it expires, providing the criteria continues to be met.

Government agency Identy Malta says it is committed to facilitating “matters to ensure a smooth and streamlined process for those in possession of a residence document as EU nationals and can prove that they were residing in Malta on the withdrawal date.”

The Maltese government says that UK nationals will have unrestricted access to the local labour market for ten years, and will be exempt from the need to hold an employment licence.

“The government has decided to give UK nationals moving to Malta after 29 March 2019 residence documents valid for ten years, as long as they satisfy established criteria. Fees currently applicable to third-country nationals will apply,” the entry on the government’s official website says.

The fact sheet published by the Maltese government with further details is available on their official website.

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During what the foreign minister dubbed as a “timely meeting is an opportune moment”, the official emphasised that Malta attaches particular importance towards the ongoing dialogue between the EU and the LAS. Minister Abela also mentioned the importance of the European Commission – League of Arab States Liaison Office (ECLASLO), hosted by Malta since 2009, which he tagged as “one of the most tangible aspects of cooperation between the two blocs”.

The ministerial meeting was held as a preliminary meeting before the EU-LAS Summit, which is scheduled to be held between 24-25 February 2019 in Sharm El-Sheikh, Egypt, according to the press statement by the foreign ministry. On the margins of the ministerial meeting, Minister Abela also held bilateral talks with the Foreign Minister of the Kingdom of Saudi Arabia. Discussions focused upon regional as well as bilateral issues, the press statement adds.

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