PM Robert Abela announced that an additional €20 million in aid to businesses, and tax credits of €78 million to help businesses regenerate themselves and kickstart the road to economic recovery. These tax credits can be extended for a further three years.
Schemes will also be made available to businesses that remodel in a way which is sustainable, digital and environmentally friendly, while other incentives will be given to those businesses that have to remain closed after 10 May.
Abela said that Government wants to strengthen employees and businesses. Malta was only one of three countries in the EU to experience job growth in 2020.
Enterprise Minister Miriam Dalli said that the new incentives were discussed with all business stakeholders. She said that so far, Malta Enterprise has dished out over EUR 455 million through the Government’s Wage Supplement.
She also announced that Government will be extending the rental and electricity schemes. On rentals, the assistance will be extended by 50% on what was paid last year. The extension will be available to all businesses receiving the Wage Supplement.
The electricity subsidy will apply from July to August, supporting businesses in kickstarting the economy.
On the other hand, businesses remaining closed after 10th May will receive a one-time 1,000 euro grant.
Asked how Government will be financing such investment, in view of a growing deficit, Robert Abela said that economic growth will bring additional income to Government’s coffers. However, he appealed against what he defined as “attacks” on Malta’s reputation abroad.