Month: February 2021

The Malta Chamber welcomes the Government’s announced reform which is set to absorb up to €10,000 in rent for the pre-1995 residential rental agreements. The mechanism that is set to be introduced reflects the position of the Malta Chamber in its Policy Recommendation ‘Rent Reforms: Eight Years on – A Review’ from 2017. In this document, the Malta Chamber had suggested to cap the rent payable at a maximum of 2% of the property’s market value, as well as to provide an alternative mechanism for persons with limited means.

The announced reform introduces the principle of reasonable rent payable to landlords. It makes a distinction between pensioners and social welfare beneficiaries on the one hand, and tenants who are in full-time employment on the other. Moreover, if properties are valued at more than €500,000, the state will offer alternative accommodation to tenants who are unable to cover the rent increase. This also follows on recent Constitutional Court judgments in Malta and decisions of the European Court of Human Rights.

While the Malta Chamber welcomes this reform, it feels certain issues still require further clarification and discussion, not least on the amount budgeted for the implementation of this scheme, which the Malta Chamber deems too low. In addition, further clarification is required about the mechanisms to assess the market value of the properties concerned. The Malta Chamber also asks that the means testing of the sitting tenants be accompanied by a valuation of all their assets, including any other properties owned, and whether they effectively reside in the rented property or merely hold tenancy by virtue of the address on their identity documents. It is also unclear whether or not tenants in part-time employment will be fully subsidised.

In conclusion, over the next days, the Malta Chamber will study this proposal in greater detail and will be requesting a meeting with the Prime Minister and the Parliamentary Secretary Hon. Roderick Galdes to further discuss and possibly refine this proposal.

In recent weeks, our country has experienced a significant spike in COVID-19 infections, which has been ascribed largely to social gatherings, a lack of observance with the measures in place and the circulation of the new and highly infectious UK variant. The Malta Chamber of Commerce, Enterprise and Industry highlights the need for greater discipline and enforcement to curb this latest trend without having to resort to lockdowns as other countries have been forced to do. More responsibility will also lighten the burden on the country’s healthcare workers, who have been working tirelessly to control the situation. This responsibility should be carried by all members of society.

Now is not the time to become complacent. The roll-out of the vaccine should not be a reason for us to let down our guard. The developments in Europe and the rest of the world have shown that this is a turning point in the pandemic and we cannot and must not be guided by this false sense of security. The vaccine surely is a step towards curbing this pandemic, yet we still have a long road ahead.

Further restrictive measures would be detrimental to our economy, which is facing one of its biggest challenges yet. The Chamber believes that if we all join forces we can lead the way to recovery. Every effort, no matter how small, has a significant impact. Therefore, the Malta Chamber urges its members and the business community at large to do their part by strictly observing the mitigation measures in the workplace and offering teleworking wherever possible. Only those workers who have no other option but to work on site should be asked to do so. Any social gatherings should be avoided, both in the workplace and beyond.

It is essential that we all assume our responsibility to safeguard the health and well-being of the community, which is imperative for recovery.

Following the recent launch of the first results of the CEO Confidence Index 2021 Q1 report by The Mata Chamber of Commerce, Enterprise and Industry, and Vistage Malta, the ‘Thriving during challenging times’ webinar was organized to further discuss these results from a national and international point of view.

“As a Chamber of Commerce, and Malta’s leading voice of business, we are honoured to have been chosen by VISTAGE Malta as their partner on the CEO Confidence Index, the first of its kind in Malta,” started off Ms Marisa Xuereb, Deputy President of The Malta Chamber.

Xuereb continued by noting that such an index could not have been launched at a better time, since due to the economic challenges that have been brought about by the pandemic, business confidence is more pertinent than it ever was. “This CEO Confidence Index is a great tool for any business to acquire valuable insight from other business leaders, and will help entities like the Chamber make more solid representations and draft more informed policy recommendations, for the benefit of the entire business community and the future of the country,” explained the Deputy President.

“Through this Confidence Index, VISTAGE has brought to the table an international benchmarking exercise which is critical to fully understand and appreciate how COVID is affecting not just our economy, but also the international business world on which we ultimately all depend,” stated Xuereb.

VISTAGE Malta CEO Nathan Farrugia said “The value of the CI index, beyond the obvious economic insights explained by Joe in his excellent summary, is a window into the minds of CEOs around the world. It is a tool that gives leaders the confidence to make decisions in a less abstract way. Many leaders state that “It’s lonely at the top” so having these Vistage insights is very helpful. That, essentially, is the reason why Vistage is the largest cohort of CEOs in the world, and why people join.”

Mr Joe Galvin, Chief Research Officer at VISTAGE Worldwide Inc. said “The Vistage CEO Confidence Index has been the leading source for SME CEO sentiment since 2003. Historically a strong predictor of economic growth 3 to 6 months ahead, the index combines CEO input regarding the economy, their business prospects and their expansion plans to create a forwarding looking expression of CEO confidence.”

Download the research results of Q1 by clicking here.

“Government, business leaders, and educational institutions must give vital importance to technology and innovation as the true backbone to any sustainable economy,” said The Malta Chamber President, Perit David Xuereb, during the Tech.MT Annual General Meeting which was held at The Malta Chamber.

Tech.MT, which was established in 2019 as a Public-Private Partnership between The Malta Chamber and the Maltese Government, aims at promoting Malta as a hub for innovation and technology.

Xuereb continued by emphasising the importance of smart investment by both businesses and the government to ensure optimum efficiency to achieve sustainable economic growth ambitions.

“This is becoming even more relevant today as we must seek new opportunities to re-engineer ourselves from both a personal and professional point of view. As a Chamber of Commerce, we believe that Malta should reach the maximum levels of productivity to enhance the country’s competitiveness level, within a local and international level, and Tech.mt is more than capable to help in achieving these targets,” explained The Chamber President.

Perit Xuereb noted that ever since it was established, Tech.MT had been a success story. “It has become a pillar for the tech industry and continues to deliver on its mission by organising a number of key initiatives such as the eBusiness Awards and the Women4IT project. Through such initiatives, technology has become ever more tangible and accessible to people of all ages,” said Xuereb.

The Malta Chamber of Commerce, Enterprise and Industry and the Tourism Executive Committee welcome the Malta Tourism Authority’s Strategy Document that is envisioning a higher quality, diverse Maltese tourism experience for travellers in the coming years, titled Recover, Rethink, Revitalise.

The Tourism Executive Committee has continuously noted the importance of shifting the strategic focus of tourism development. This would entail that the touristic experience of the island and its tourism economic operators are given centre stage for a more sustainable and smart approach towards tourism, the backbone of Malta’s economic success.

“As a country, we need to prioritise Good Governance practices in Malta to improve on a holistic front which definitely includes the tourism industry. In order for us to re-engineer our economy to ensure higher resilience levels, the need to invest accordingly is vital, and the tourism industry is an important player. This also means that the country needs to also invest in our infrastructure and our culture,” explained Perit David Xuereb, President of The Malta Chamber.

Due to COVID19, and its imminent impact on the tourism sector, the Malta Chamber and the Executive Committee continued their ongoing work to provide proposals to the challenges of the pandemic. To this extent, a roundtable made up of individuals representing the field of tourism was created.

The Tourism Think Tank Roundtable drafted a document that listed the industries’ issues according to Category and provided both short-term and long-term recommendations which focused on several areas such as better use of data, how essential it is that a holistic tourism strategy is formulated and the focus on heightened quality measures, among others. The Executive Committee endorsed the report and presented it to Government officials, including the newly appointed Minister for Tourism and Consumer Protection, Hon. Clayton Bartolo.

The Malta Chamber of Commerce, Enterprise and Industry has partnered up with 11 other entities, one of which being MCAST, across four other different European Union member states on a project aimed at designing and developing a European Platform of Centre of Excellence devoted to innovating the VET sector for the social inclusion of individuals belonging to disadvantaged groups. The project titled Governance for Inclusive Vocational Excellence better known as GIVE, aims at consolidating the activities and practices developed at local level by the partners in terms of inclusion, exploiting their outcomes and impacts of Inclusive Excellence.

The project will be targeting disadvantaged groups that come from a migration background, with disabilities, those that have low skills and obsolete qualifications, a drop-out history, with special learning needs and those from a difficult socio-economic background.

President Perit David Xuereb said, “This project is an excellent opportunity for The Malta Chamber to help make a difference and together with MCAST we are geared up to do so.”

The Malta Chamber will provide feedback based on their perspective on the business sector as a social partner and will work to bridge the gap between MCAST and the business community by participating in all work packages listed in the project. This project will amount to a total of 4 million euros and will have a duration of four years. The GIVE project will offer a trigger for the consolidation of a European Platform for the analysis and development of practices and tools in terms of pedagogical framework and governance for a really inclusive and excellent VET system, as well as leaders’ and trainers’ training in the EU and beyond.

Over 60 participants from 8 different countries joined the webinar, ‘Deciphering the Brexit deal for business’ held yesterday, providing a more thorough analysis to understand the salient specifications that emerged from the EU-UK Cooperation Trade Agreement.

With a strong line-up of speakers forming the panel of speakers, attendees could better grasp the influences that such an agreement could have within the business world.

EU and international trade lawyer, Dr Jan Micallef, who also forms part of the Malta Chamber International Relations Council, started off by giving a brief introduction as to what this trade agreement truly entails. Dr Micallef noted that “Although the agreement is nowhere close to emulating the benefits of the UK being in the EU, it does go further than normal free trade agreements.”

Micallef continued by stating that the trade deal does provide arrangements in various areas such as transport, energy and fisheries. However, it does fall short in tackling areas such as foreign policy and cooperation on external security. “The agreement contains limited provisions on trade in services. Moreover, restrictions on freedom of movement of workers have been created while recognition of professional qualifications have become more complicated,” said Dr Micallef. He concluded by encouraging businesses to seek developments and opportunities amidst the uncertainties.

Shanella Rajanayagam, Trade Economist at HSBC Holdings plc, reiterated what Dr Micallef explained in terms of the opportunities and risks that the post-Brexit trade deal will introduce. Rajanayagam noted that although the trade agreement does not cover all required specifications, it does provide extensive clarity when compared to other FTAs.

“Amongst other key provisions, new customs formalities and traveller visa restrictions in both directions are introduced and covered. This said, mutual recognition of conformity assessments and professional qualifications is not provided,” continued Rajanayagam. She concluded by saying that businesses within countries which have high trade exposure to the UK need to exert additional care to ensure that the complications incurred in such a trade deal can be overcome.

Lastly, Alan Mamo, Director of Compliance and Systems at the Department of Customs provided insights on trading with the UK as of January 1st of 2021. “UK goods imported into the EU are eligible for zero tariffs if the goods meet the Rules of Origin requirements set out in the agreement and have the correct documentation. If not, the goods may be subject to EU tariffs. It is vital to note that this also applies for EU goods exported to the UK,” noted Mamo.

The Malta Chamber and Klikk Ltd, have furthered their collaboration in the past months, as the leading tech company has equipped Malta’s foremost business representative body with the latest tools required to fulfil its mission.

“Klikk remains a valuable partner to the Chamber, as it has furnished our operation with all the necessary tech tools, required in this day and age. Through our collaboration, Klikk has enabled substantial parts of the considerable digitalisation journey undertaken by The Malta Chamber in the past months, through the provision of hardware” said Rachel Micallef, Projects Manager at the Malta Chamber.

The Malta Chamber has recently embarked on a complete restructuring process, which also included the upgrading of its tech, in its bid to stay at the forefront of Malta’s business representation, for the benefit of its membership.

Klikk Ltd, has enjoyed a privileged position of visibility with Malta Chamber members, throughout the past year, in its bid to support businesses in Malta.
Commenting to maltachamber.org.mt, General Manager of Klikk Ltd., Mr Joenick Farrugia said that “The partnership with the Chamber of Commerce highlights our maturity on the B2B scenario – we are proud and confident of our abilities and technological insight.”

“Our technical and sales teams are fully trained to offer highest level of IT and electronics equipment, software development, and other devices, along with excellent aftersales service, with minimal response time and at very competitive prices,” he added.

Mr Farrugia said that “Through Klikk Code Ltd, our specialised software division, we can offer the BizHandle application which is utilised by companies to handle their day to day running including management of jobs, time allocation, payroll, resource allocation and other tools.”

Klikk Ltd is a leading tech company in Malta, with over 22 years of experience in helping retail and corporate customers. Klikk also supports companies in reaching their goals through the correct hardware selection and software support consultations.

Through a Bronze Partner Support Agreement, Klikk Ltd has supported the Malta Chamber to be better equipped with the latest tools in order to provide its members with the best service possible. This adds to the ongoing modernisation efforts that have been carried out by the Chamber throughout the past year.

This agreement also follows in line with the principles and recommendations grounded in the Chamber’s Economic Vision for Malta 2020-2025. As reflected in the strategic principles upon which the document is founded, Innovation and Technology is considered at the heart of sustainable economic growth.

TradeMalta and Namibia, through the Namibian High Commission accredited to Malta from London and the Namibia Investment Promotion Development Board (NIPDB), successfully concluded a virtual B2B networking event from 16 to 17 February. Over 270 meetings were held between Maltese and Namibian enterprises from micro-businesses to large scale operators.

The event, which attracted over 200 Maltese and Namibian companies, was held in collaboration with the NIPDB, the Namibia Chamber of Commerce and the Namibian business community, under the auspices of TradeMalta and the Namibian High Commission in London. It was targeted at businesses from multiple sectors with the aim of establishing and enhancing commercial relationships between the two countries. The B2B event also generated new ideas and opportunities for post-pandemic activity linking Europe and Africa through Malta and Namibia.

As a result of the pandemic, we have recognised and taken advantage of the virtual technology, enabling our two countries to develop new partnerships for trade, explore new market opportunities and adapt to a changed global economic environment. Whereas Malta has been one of the EU’s leading economic performers in recent years, Namibia is also establishing itself as an important entry port and gateway for trade into Africa, following recent investments such as the expansion of the port of Walvis Bay.

TradeMalta CEO Anton Buttigieg commented:

“Despite the current travel restrictions, we are aware that companies are still scouting for international business. As a result, the team at TradeMalta decided to invest in the latest online technology platforms to facilitate business-to-business meetings between Maltese and international entrepreneurs. It is extremely encouraging to see such a huge response from the Maltese and Namibian business community to work together during this first ever B2B event between both countries. We are pleased to have initiated these fruitful business connections for the benefit of both countries.”

Namibian High Commissioner to Malta, H.E. Linda Scott commented:

“Aware of the restrictions placed on us by the pandemic, we have developed our creative potential to seek out new avenues of cooperation between our two countries, based on our resources and potential. We are sincerely grateful to our partners at TradeMalta who were able to explore a new framework for cooperation with us, and in so doing, introduced nearly 200 companies to each other from two regions. I look forward to the outcome of these conversations and to using this model repeatedly to grow our international cooperation for trade, development, value addition and real people-to-people contacts.”

For more information on TradeMalta visit the website: www.trademalta.org.
For more information on Namibia visit the website: http://www.namibiahc.org.uk/, https://mit.gov.na/, (email: commerce@namibiahc.org.uk)