During a visit to ST Microelectronics, Ministers Silvio Schembri and Byron Camilleri discussed how the Malta Vision 2050 and Labour Migration Policy will drive the nation forward with a focus on quality.

The Minister for the Economy announced that the Malta Vision 2050 will introduce 13 targeted measures aimed at encouraging quality growth and improving citizens’ quality of life.

Let’s take a look at them.

1. Amendments to the Malta Enterprise Act

After 20 years of operation, Malta Enterprise has engaged an international firm to review its functions. This audit evaluated the efficiency of its measures, compared them with similar schemes in other countries, and identified necessary changes to better support specific businesses and sectors. Amendments to the Malta Enterprise Act will be presented in Parliament by mid-next year, including:

Rent Subsidy Scheme: This scheme will be revised to assist small businesses in purchasing properties instead of just offering rental support.

Get Qualified Scheme: Ongoing discussions aim to adjust this scheme to focus more on STEM subjects, with changes set to take effect in 2026.

Qualified Employment Rules: This scheme will transform into a Strategic and Innovation Employment Scheme, targeting high-skilled professionals with a minimum salary of €60,000. It will also encourage Maltese citizens with over eight years of overseas work experience to return to Malta.

Share Options and Share Awards: A new measure will incentivise activity in high-growth sectors like gaming, fintech, and startups, offering benefits in income tax and capital gains.

Micro Invest Scheme: A consultation process will enhance this popular scheme, currently benefiting around 4,400 individuals annually, to align it with a focus on quality.

2. A New INDIS Act

A significant change involves INDIS, this is responsible for administering Government-owned industrial parks and related facilities around Malta and Gozo. Currently, land allocation is based on the assumption that businesses will create jobs. The Government will now prioritise value-added contributions over mere job creation. A new legal framework will be established by mid-next year to regulate INDIS and introduce a comprehensive industrial policy that encourages high value-added activities. Successful examples, such as Copenhagen’s industrial zones, will be considered. This approach, along with the Malta Enterprise Act amendments, will ensure resources are directed towards high-value industries like technology, microchips, aviation, and life sciences.

3. A Central Data Repository

To enhance quality and reduce bureaucracy, a central data repository will be launched. Citizens and businesses will use an e-wallet to authenticate their identity with a photo of their ID card, utilising AI and blockchain for KYC (Know Your Customer) processes. Data such as ID cards and utility bills will be securely shared among entities like ID, ARMS, and MFSA. The first phase will support government entities in facilitating due diligence for the private sector, including banks and notaries. A tender for this system has been launched, positioning Malta as a leader in compliance and due diligence in Europe.

4. An E-Wallet

Through the Malta Digital Innovation Authority, the Government is preparing to issue a tender next year for a Digital Identity wallet. This will enable individuals to access government services securely and conveniently via a single app.

5. European Digital Innovation Hub

To support emerging start-ups, the Government has initiated the establishment of the European Digital Innovation Hub in Malta, funded through European resources. This hub will provide start-ups and SMEs access to advanced technology tools that would otherwise be too costly for smaller businesses. The Hub is expected to be inaugurated by the end of this year.

6. A High-Performance Computer

To enhance research capabilities, the Government is investing in a High-Performance Computer (HPC) to significantly reduce research times. Currently, researchers must travel to Italy, incurring costs of around €25,000. The HPC is expected to be operational by Q2 of next year, allowing more companies to invest in research more efficiently.

7. An Ambitious AI Strategy

Since launching the vision of artificial integrity in 2019, significant progress has been made. In light of recent discussions within the MCESD, the Government will update its AI strategy to focus on how artificial integrity can improve citizens’ quality of life. This process is expected to be completed by mid-next year.

8. A Start-Up Framework

The Government is committed to innovation and the potential of start-ups. Following extensive work by Malta Enterprise, which has allocated €1.5 million per start-up and launched initiatives like a start-up festival, a new framework for start-ups will be established next year. This will include a one-stop shop to meet all their needs, inspired by Israel’s start-up model. Success stories in this sector already see average salaries between €45,000 and €60,000.

9. A New Incubation Centre for Start-Ups

To further support young entrepreneurs, a new incubation centre will be built in the Ħal Far industrial area. This investment covers 17,000 square metres and is valued at €33 million, aiming to accommodate 50 new tenants in sectors such as renewable energy, food technology, and smart manufacturing. Construction is underway, with tenders expected to be issued in the first quarter of next year.

10. The Establishment of a Competence Centre

Next year, Malta Enterprise will establish a competence centre to enhance Malta’s position in the semiconductor sector, aligning with the European Chips Act. This centre will promote innovation, support industry players, and attract EU funding, fostering collaboration between local businesses and academia. An agreement has been secured with IMEC, a leading R&D centre in nanoelectronics, which employs around 5,500 professionals. This centre will strengthen Malta’s role in the European semiconductor supply chain and facilitate technological advances in Industry 4.0 projects.

11. Investment in Video Gaming Education

To further develop the economy, the Government will enhance the video game and esports sectors by focusing on training Maltese students. Following an agreement with Unity, which trained 400 students, a new agreement with Unreal Engine will be established next year to enhance technical skills in these high-demand languages.

12. An Interactive Media Academy

To improve skills in the interactive media sector, the Government is setting up an Interactive Media Academy (AIM) in collaboration with a leading global company. This initiative will feature masterclasses run by industry professionals, with operations expected to commence next year.

13. An Aviation Academy

The aviation industry is growing rapidly in Malta, particularly in the MRO (Maintenance, Repair, and Overhaul) sector, which has partnerships with major airlines. To address the skills gap, an aviation academy will be launched in collaboration with the private sector and Malta Enterprise, with the Government covering up to 80% of costs. This academy aims to shorten training from 4.5 years to just 18 months, enabling immediate skills development in the workplace. The first cohort of 16 workers has already begun training, with additional cohorts expected in March and September next year.