In recent years, Malta’s infrastructure landscape has been a focal point of discussion, driven by economic growth, population increases, increased tourism and a strategic pivot towards service-based industries.

But despite having a robust infrastructure system, the country grapples with significant challenges in meeting the escalating demands placed upon it.

On March 12, EY held a Business Breakfast event titled ‘Build and Share: Sustaining Malta’s Growth’, in collaboration with Times of Malta and the Malta Chamber, building upon the themes discussed at EY’s 2024 Future Realised event held last October. This gathering provided a platform for industry leaders to explore more collaborative efforts in infrastructure development.

The event was moderated by Mark Laurence Zammit, assistant editor at Times of Malta.

The opening keynote was delivered by Mats Persson, an EY partner and former special adviser to the UK prime minister and chief of staff to the Chancellor of the Exchequer. As a distinguished expert in business strategy and innovation who specialises in macro strategies, Persson examined how policy, geopolitics and macroeconomics influence critical topics such as infrastructure. He focused on five fundamental transitions which are set to influence capital investments over the next decade: the increasing cost of capital, energy transition, a new form of supply globalisation, technology and ageing population. These will influence the design and funding of infrastructure projects, including in Malta.

Following Persson’s presentation, attendees were introduced to the pivotal role of the European Investment Bank (EIB) in addressing Malta’s infrastructure needs.

Lawrence Walsh, head of the EIB Malta office, elaborated on the EIB’s commitment to the region, emphasising the significance of its recently opened office in Malta as of November 2024. He highlighted that the EIB has already funded several infrastructure projects in Malta and can offer a range of financial options, including intermediated lending and guarantee products through local financial institutions to support future initiatives.

Chris Meilak and Gilbert Guillaumier, both partners at EY, presented key insights on the Build and Share frameworks, which are essential for facilitating investment and innovation in infrastructure projects − viable solutions are available through enhanced collaboration between the public and private sectors.

By investing in infrastructure, the country can continue to balance quality of life, economic prosperity and environmental sustainability

The Build framework highlights the importance of using existing mechanisms for infrastructure procurement, with the government regulating the provision of services while allowing private operators to deliver them. It advocates for a diverse funding approach, combining government resources, EU funding and private investments, to address challenges, for example, of an ageing population.

The Share framework promotes collaboration among private entities to improve resource efficiency and achieve economies of scale. It emphasises the role of the government in facilitating partnerships, with financial providers engaging at various investment stages. This framework aims to reduce pressure on existing infrastructure and offers benefits such as pooled expertise and efficiency.

Guests at the EY Business Breakfast held at the Malta Chamber.

The event culminated in a fireside chat featuring Steve Ellul, CEO of Infrastructure Malta, and Marthese Portelli, CEO of the Malta Chamber, moderated by Rachel Bondi Attard, head of communications at the Malta Chamber. The dialogue revolved around the necessity for government and private sector collaboration, from inception and design to ongoing communication, as well as the willingness of private enterprises to join forces and share resources.

Ellul highlighted the importance of adopting successful European infrastructure models and utilising AI for traffic management while prioritising well-being and alternative transport to minimise road disruption.

Portelli emphasised the need for a coordinated approach to improve Malta’s productivity and competitiveness, advocating for a national platform for permits, stricter enforcement of construction regulations and a serious discussion on mass transit to support sustainable growth amid rising population pressures.

The ‘Build and Share: Sustaining Malta’s Growth’ Business Breakfast underscored the pressing need to address Malta’s infrastructure challenges through innovative frameworks and collaborative efforts, presenting a valuable opportunity for investment. The socio-economic growth experienced in Malta has brought both opportunities and challenges, and by investing in infrastructure, the country can continue to balance quality of life, economic prosperity and environmental sustainability, the speakers agreed.

They further noted that it is essential for all stakeholders, the government, private sector and civil society to engage in this critical conversation. Through collaboration, Malta can build a resilient infrastructure that supports its continued development.