Updated 1230
Clyde Caruana raises concerns over HSBC bids amid OTP and APS interest: Finance Minister Clyde Caruana expressed concerns over the known bids for HSBC Malta’s takeover, stressing the need for more banking competition and a reputable buyer. He indirectly questioned both Hungarian bank OTP—criticised for continuing operations in Russia—and local bidder APS Bank, cautioning against reduced competition. Caruana emphasised the importance of maintaining Malta’s improved financial reputation post-greylisting and hinted the government could intervene if needed. He confirmed the MFSA is in talks with HSBC but refrained from further comment. Prime Minister Robert Abela also declined to speculate, saying the European Central Bank will ensure proper safeguards before approving any deal.
BOV announces record profits of €302m in 2024: Bank of Valletta (BOV) announced record profits of over €302 million in 2024, a 20% increase from the previous year, driven largely by strong core lending operations. Shareholders will receive an unprecedented €85 million in net dividends, equal to 42.6% of earnings. Commercial, personal, and home loans grew by 7%, 15%, and 2% respectively, with BOV holding significant market shares. The bank’s return on equity rose to nearly 23%, and its loan-to-deposit ratio reached almost 55%. Despite strong performance, BOV forecasts slightly lower profits of €200–€250 million in coming years due to falling interest rates. Executives noted their close ties to Malta’s economy and expressed interest in HSBC’s exit, without confirming involvement in any takeover.
Enemalta strengthens its electricity distribution system in Tas-Sliema, Gżira and St Julian’s: Enemalta is enhancing Malta’s energy distribution system by installing 13km of underground cables in Tas-Sliema, Gżira, and St Julian’s. Energy Minister Miriam Dalli highlighted this as part of a broader strategy to ensure a stable, modern, and future-ready electricity supply, especially in high-demand urban and tourist areas. The initiative supports economic growth and strengthens the national grid’s resilience. Enemalta has already added 60km of cables across 21 localities in Malta and Gozo. CEO Ryan Fava emphasised that these upgrades are essential for delivering a reliable and sustainable energy service to both families and businesses.
Morning Briefing
Expert in Vitals Inquiry to testify via rogatory procedure
Court-appointed expert Jeremy Harbinson will testify in the Vitals magisterial inquiry through a rogatory procedure after repeatedly refusing to appear in person, citing safety concerns. Wednesday’s hearing focused on defendants Kenneth Deguara, Kevin Deguara, Jean Carl Farrugia, Deborah Anne Chappell, and DF Advocates. Defence lawyer Franco Debono argued that without Harbinson’s testimony, the magisterial inquiry’s conclusions would collapse. The prosecution has requested a delay to issue a formal request for Harbinson’s remote testimony, as his absence has stalled proceedings in the hospitals concession case. Harbinson, a court-appointed expert, has cited concerns for his safety and will now provide his testimony through a rogatory procedure. (Maltatoday)
Only migrants who deserve asylum should be allowed in EU – Abela
Many EU member states support Malta’s call to reform international law for easier deportation of failed asylum seekers, Prime Minister Robert Abela said on Wednesday. Speaking after a recent EU Council meeting, Abela noted that around 14 leaders, including those from Denmark, Italy, Cyprus, and Greece, backed the proposal. He added that European Commission President Ursula von der Leyen is drafting a legal framework to ensure only those who “deserve asylum” can stay in the EU. Abela’s comments follow his pledge to prioritise reform of the European Convention on Human Rights during Malta’s presidency of the Council of Europe from May to September. His remarks in parliament that Malta would defend human rights when they are “merited” have drawn significant criticism. (Times of Malta)
Prosecution’s claims weaken in Identity fraud case
The investigation into a large-scale residence permit and identity fraud case involving former Identità employee Maria Rita Spiteri and car dealer Bernard Attard has uncovered only seven fake identity cards, far fewer than the thousands initially alleged. During Tuesday’s court hearing before Magistrate Donatella Frendo Dimech, the prosecution admitted that police investigations found just a small number of fraudulent documents, challenging earlier claims of a widespread scheme. Spiteri and Attard face charges of identity theft, money laundering, people trafficking, fraud, and forgery. Former Identità Chief Head of Compliance Claudio Spiteri testified that the suspected scam involved only 16 case files and denied ever seeing evidence of thousands of fake IDs or residence permits. The case emerged after former MP and lawyer Jason Azzopardi requested a magisterial inquiry in 2024, alleging up to 18,000 fraudulent residence permits. However, recent testimony and police findings cast significant doubt on that figure. (The Malta Independent)
