Updated 1230
Malta’s FDI Stock Reaches €485.1bn by Mid-2025: Malta’s stock of Foreign Direct Investment (FDI) stood at €485.1 billion at the end of June 2025, up €18.9 billion year-on-year, the NSO said. In the first half of 2025, FDI inflows rose by €5.6 billion, driven largely by financial and insurance activities, which made up 98.4% of the total and were mainly linked to EU partners. Meanwhile, direct investment abroad reached €459.2 billion, up €13.2 billion annually. Outward flows totalled €6.1 billion, primarily in equity and fund shares, with 99.5% concentrated in financial and insurance activities. (The Malta Independent)
MEPs Push for ‘Island Clause’ to Shield Malta from ETS Impact: Labour MEP Thomas Bajada and Nationalist MEP Peter Agius have jointly urged the European Commission to introduce an “island clause” to the EU’s Emissions Trading Scheme (ETS), arguing it disproportionately harms island economies like Malta. In a letter to Commission President Ursula von der Leyen, co-signed by Italian and Cypriot MEPs, they warn that ETS-related transport surcharges are driving up costs for freight and aviation, with impacts ultimately borne by consumers. Citing Article 174 of the EU Treaty, they call for reduced ETS obligations on air and maritime links serving islands. (Times of Malta)
ADPD Urges Tourist Caps as Overtourism Strains Malta: ADPD-The Green Party has called for urgent measures to curb overtourism, proposing strict limits on tourist numbers and accommodation capacity. The party advocates a national strategy prioritising quality over growth, including halting new hotels and short-lets, capping visitor numbers at sensitive sites, ensuring transparency in public land concessions, and enforcing environmental protections. Chairperson Sandra Gauci warned that four million tourists annually is unsustainable, increasing pressure on infrastructure, resources and communities. ADPD cited Comino and Natura 2000 sites as overstretched, urging an end to overcommercialisation and stronger regulation of the sector. (Maltatoday)
Morning Briefing
PM Abela says strong economy allows new debate on family leave and work-life balance
Prime Minister Robert Abela said that Malta’s strong economic performance makes it possible to open fresh discussions on improving work-life balance, including enhanced parental leave. He said that while other European countries are discussing pension freezes or benefit cuts, Malta is in a position to focus on giving families more time and choice. He confirmed that talks with social partners could begin on strengthening maternity and paternity leave arrangements. He said investment in free childcare has supported parents who wish to remain active in the workforce, while new measures could assist those who prefer to spend more time at home during early childhood years. Abela added that discussions on flexibility, including remote working, are only possible when built on a solid and growing economic foundation. (Times of Malta)
Permanent link must benefit north of Malta too, says Ivan Falzon
A permanent link between Malta and Gozo should not solely address Gozitan needs but also serve as a solution for the north of Malta, according to Ivan Falzon, Chief Executive of the Gozo Regional Development Authority. In an interview with The Malta Independent, Falzon acknowledged that the proposed tunnel between the islands does not appear imminent but stressed that studies must continue. Connectivity remains a central pillar of the Gozo Regional Development Strategy launched in 2023. Falzon noted that 85% of the authority’s 2024 targets were achieved, describing the strategy as a framework guiding practical and measurable action. He said any permanent link must be designed holistically, contributing to regional development on both sides rather than functioning as a standalone solution for Gozo alone. (The Malta Independent)
Income data shows sharp earnings divide based on citizenship
New data on 301,332 registered employees in 2024 reveals a marked income gap based on citizenship, with non-EU nationals heavily concentrated in the lowest salary brackets. Figures tabled in parliament by Finance Minister Clyde Caruana in reply to a question by Nationalist MP Ivan Castillo show that 34.4% of Third Country Nationals earn €12,000 or less annually. In contrast, 17.2% of Maltese workers and 29.5% of EU nationals fall within that bracket. Three-quarters of non-EU workers earn €20,000 or less, compared to 47.6% of EU citizens and 34.4% of Maltese employees. At the upper end, only 1.6% of non-EU nationals earn above €60,000 annually, compared to 9.6% of EU citizens and 9.1% of Maltese workers, highlighting a pronounced structural divide in earnings. (Newsbook)
