Commission endorses Malta’s request for second RRF payment

The European Commission has endorsed a positive preliminary assessment of Malta’s second payment request for €58.9 million, net of pre-financing, under the Recovery and Resilience Facility, the centrepiece of NextGenerationEU.

Following its assessment of the payment request, submitted by Malta on 21 December 2023, the Commission has preliminarily concluded that Malta has satisfactorily completed the 29 milestones and five targets set out in the Council Implementing Decision for the second instalment.

The payment request covers important steps in the delivery of 24 reforms and ten investments that will drive positive change for citizens and businesses in Malta in the areas of construction, waste management, energy efficiency, transport, digitalisation, healthcare, education and training, justice, anti-corruption and taxation.

With this payment request, Malta is one step closer to building a state-of-the-art cancer treatment facility that will provide personalised, high-precision treatment and diagnoses, expected to be operational later this year. With this investment, Malta has made strides in enhancing the quality of cancer treatment, further bolstering the nation’s healthcare system.

To reduce construction and demolition waste and to stimulate the re-use and recycling of materials, new construction standards have been adopted under Malta’s recovery plan. Notably, these standards will facilitate the sharing of best practices in the classification of waste and excavation works as well as ensuring easier re-use of windows and doors in new residential buildings. 

With this payment request, Malta has adopted a new law introducing transfer pricing rules in its corporate tax system. The transfer pricing rules promote fair taxation and will contribute to a more level playing field and a fairer business environment.

The Commission has sent its preliminary assessment of Malta’s fulfilment of the milestones and targets required for this payment to the Economic and Financial Committee (EFC), which now has four weeks to deliver its opinion. Depending on the outcome, the payment to Malta can take place following the EFC’s opinion and the adoption of a payment decision by the Commission.