Malta is very strategically located at the heart of the Mediterranean with very close ties to mainland Europe, North Africa and the Middle East. This makes it an attractive option for investing in Malta. The archipelago is considered to be the best choice for investments in knowledge-based sectors and high-end manufacturing. Malta is also considered an ideal logistical hub due to its excellent port infrastructure. This, together with EU membership, makes the country a perfect gateway to the Euro-Mediterranean region and further.
Progress and flexibility are key factors in the success of Malta’s ability to react quickly to international trends and the global market place.
Malta’s main economic motors consist of:
- Financial Services
- High-End Manufacturing
In addition, the economy is also driven by i-gaming, real estate, information technology, call centers and the pharmaceutical industry.
It is also pertinent to point out that the economy is diversified and export driven both in physical goods as well as the provision of services.
The country’s national language is Maltese but English is also an official language in Malta. This certainly adds to the destination’s appeal for visitors, traders and investors. Practically all Maltese are bilingual and many are also conversant in Italian. Some may also have a working knowledge of French or German. Foreign language fluency as a percentage of the population is as follows: English 88%, Italian 66%, French 17% and German 6%.
The success of a business is not achieved by financing or technology but is ultimately determined by people power. The labour force in Malta is a very productive one, highly educated and extremely flexible with an excellent work ethic. Our people are our greatest natural resource and the country has good availability of professional, managerial and technical staff as well as a ready supply of top graduates most of whom are technology-experienced. The link between education and industry is vital for our competitiveness. Education and HR-related strengths top the criteria for choosing Malta as an investment destination.
International Finance Centre
Malta is now an internationally recognised financial services hub. However, due to the sector’s traditional and conservative approach it never experienced a real financial crisis. Indeed, the strength of the financial services sector was a critical contributing factor to the speedy emergence of Malta’s economy from the recession. In fact, the reputation of the Maltese financial services sector improved considerably due to the resilience and stability it showed during the financial crisis. This did not go unobserved in the global scenario and the impeccable reputation of the local financial services is expected to fuel further growth in this sector.
Excellent ICT infrastructure
It has always been considered strategically important to the country’s human and economic advancement to be well connected with the rest of the world. As such there has been a great deal of investment and consolidation in order to create and ensure a reliable Information Communication Technology (ICT) infrastructure.
Malta’s fully liberalised and developed ICT infrastructure has certainly contributed to the island fast becoming a regional centre of excellence in ICT and financial services.
Low corporation tax
A long-standing, full imputation tax system has existed in Malta since 1948. The rate for corporate taxation in Malta stands at 35%; however upon distribution of dividends, shareholders may qualify for a refund generally equivalent to 6/7th of the tax paid, thus resulting in a paid tax rate of 5%.
Safe and pleasant lifestyle
There are many reasons why investing in Malta makes good business sense but it is not enough for the figures to add up and the stars to be aligned. In this day and age – where time, health, safety and true quality of life are precious commodities – Malta scores highly on all these aspects. Travelling distances are minimal, the healthcare facilities, which rank among the best in Europe, are first-class in both public and private hospitals and the crime rate is very low.
However, the biggest selling point of the island nation is undoubtedly the lifestyle that investors and their families enjoy in the country. Indeed, those thinking of investing in Malta are highly recommended to visit the nation to explore and experience for themselves the wealth of history, culture, hospitality, bars and restaurants. That way they can also get a real taste of the flavoursome Maltese and Mediterranean cuisine that the country offers.