Investing in People
The Malta Budget 2025 has a number of measures with the aim to continue investing in people.
- The Minister announced the set up of a new unit focusing on AI technology that supports the creation of innovative systems through funding and research. Furthermore, the Minister announced that the Digital Identity Wallet app will be launched allowing citizens and businesses to share their digital identity in a secure and efficient manner.
- The Seed Investment Scheme has been extended to incentivize investment in local start-ups. The Malta Government Venture Capital has been established with allocated funding of €10 million to invest in shares issued by newly established companies.
- The Minister noted the government’s intention to introduce legislation regarding Limited Partnerships with the intention to promote this sector.
- An expansion in new areas within the Gaming sector will be launched. The Video Gaming Gateway initiative is offering financial support in innovative products whilst Basecamp is assisting start-ups to develop video games and esports.
- Malta will also introduce visas to attract and facilitate the movement of esports athletes.
- The Minister announced reductions in excise duty on low alcohol content beer produced by small and independent breweries in Malta. The excise duty on small local wine producers shall be reduced significantly.
- The existing measures aimed to incentivise the investment in renewable energy shall be extended for another year.
- Moreover, the available incentive on the acquisition of electric cars, motorcycles and electric bicycles will be extended with a capping of €8,000. The Minister also announced that the scheme will also apply to those that ordered electric cars but shall be registered during 2025.
- The exemption from the payment of registration tax and road licenses applicable to electric and plug in hybrid vehicles for a period of five years from the registration date will likewise still apply.
- Further investment is expected in the infrastructure covering electricity and water supply. Furthermore, organic waste will be pasteurised to extract soil additives that will be given for free to farmers.
The creative sector will benefit from an allocation of EU funds amounting to €15million, and an allocation of €2 million to Creative Malta to support local film producers.
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Ruth Farrugia Tax Director - Birkirkara
Elaine Marie Debono Tax senior manager - Birkirkara
