The area around Dock 1 in Cospicua, disused for the past few years, has been transformed into a hive of activity for the HSBC Premiere Valletta Boat Show, which was inaugurated this evening.

More than 70 gleaming yachts are on display in the sea and on the wharf along with a wide range of yacht services which were being exhibited under a row of marquees.

Infrastructure and Communications minister Austin Gatt, who inaugurated the show, praised the decision to locate it around Dock 1, saying it gave the people the opportunity to visit a place they rarely ever saw, thus being better able to appreciate the potential it had for re-development.

He explained that the area, besides Malta's oldest dry dock, also included 68 seafront vaults. The government, he said, did not wish to see the area developed in the same way as the Valletta and Vittoriosa waterfronts but was seeking something new and hoped to adopt a proposal by the end of the year. Embellishment would be taken in hand in March at a cost of €7 million, which would be partly funded by the EU.

Dr Gatt underlined the importance of the yachting industry and pointed out that despite the recession, the registration of yachts under the Maltese register had continued to grow - by 3% for yachts smaller than 24m and by 11% for the larger ones.

He announced that after a year of talks, the government had signed an agreement to transfer the former Malta Maritime Authority offices in Ta'Xbiex for use by the Royal Malta Yacht Club.

The Boat Show remains open up to Sunday. Opening hours are from 6 p.m to 11 p.m.. tomorrow and from 11 a.m. to 11 p.m. on Saturday and Sunday. The show is sponsored by HSBC Premiere.

Activities include live entertainment, food and beverage outlets and children's entertainment.