I am a strong believer in our business community, in its entrepreneurial attitude and its potential to lead the transition towards a greener economic model. Despite the unprecedented challenges brought by the pandemic, the private sector and the government have worked tirelessly to ensure that we emerge stronger together.

The business community’s pragmatic and responsible approach, coupled with our steadfast commitment to shield our economy and our workers’ livelihoods, is leading to a strong post-pandemic recovery, with our businesses still creating jobs in an economy operating very close to full employment.

With even bolder vigour, we are now working harder to enable our business community to invest, grow and, above all, lead the way to a decarbonised economic model which will translate into a better quality of life for all.

With this budget, we are providing a clear direction for our businesses to invest in greener growth. This dovetails with the wider vision we want for our children and future generations. A vision of a nation which ambits for societal well-being and economic prosperity, while nurturing a dynamic and sustainable economic model.

I am pleased to see that this economic signal has been well received by our stakeholders. This is also a natural result of the high level of stakeholder engagement which comes second nature to this government’s way of conducting politics. It’s our conviction that stakeholder’s views, their needs and ambitions should be at the core of our policymaking.  This year’s budget is a true reflection of this conviction of ours.

We will be supporting our family-owned businesses and SMEs to invest in their own green and sustainable future. We are committed to this because this is the only way we can guarantee a resilient future for our enterprises and a competitive future for our economy.

Sustainable business models will do well through lower operating costs, more efficient operations and a wider access to a virtually untapped market of sustainability-sensitive consumers.

Budget 2022 provides a practical toolbox for our commercial entities to embrace this transformation.

Bottom line, this budget’s incentives will make it easier for our decision-makers to make investment calls in favour of sustainable rather than conventional projects. This is why Malta Enterprise will be actively supporting businesses in converting their commercial fleets to electric vehicles. This adds on to €70,000 in cash grants and tax credit that are being channelled to our SMEs to help them finance green and digital projects.

The economy is operating very close to full employment- Miriam Dalli

While Malta Enterprise will be providing soft loans to enable companies to invest in otherwise difficult-to-finance innovative projects, the Malta Development Bank will be extending the remit of the SME Tailored Facility to incorporate green and sustainable projects up to €5 million. We are also enriching an already strong start-up proposition by adding on a seed fund that will finance eco-entrepreneurs and green innovators in their research of sustainable commercial ideas and eco-start-ups.

We want Maltese companies to attract private capital that they can, in turn, use to fund their green and sustainable projects. We will be launching an ESG framework that will showcase the environmental, societal and good governance credentials of Maltese companies. This will, on one hand, serve as an instigator of positive corporate behaviour from these companies and, on the other, allow investors to reward these companies by investing in their bonds and shares.

Moreover, the Carbon Credit Fund will allow Maltese companies to invest in green and sustainable projects of national importance that will offset the inherent carbon footprint of their operations.

What fuels our confidence in these projects is the fact that these proposals are coming directly from our own business community and their representatives.

All this is being done without losing focus on today’s challenges. The soaring energy prices and transportation costs, together with global issues affecting logistics, are indeed real concerns which we are neither underestimating nor dismissing.

Maltese citizens and businesses are Europe’s most shielded from skyrocketing energy prices which have crippled entire economies across the region. We are working hard to do this, while working on initiatives that will support the upskilling of our human capital which is so important for the long-term potential of our industry.