A billion-euro success story

There was a time when Malta's film industry was viewed as a welcome visitor.

A production would arrive, create activity for a few months, spend money across the economy and then move on. The benefits were real, but they were often temporary. Good years were followed by quieter years, and the industry struggled to establish itself as a consistent contributor to Malta's long-term economic growth.

That Malta no longer exists.

Today, film production has become one of the country's most effective foreign direct investment, generating sustained growth, attracting international capital, driving infrastructure development and creating value across multiple sectors of our economy.

The numbers tell a remarkable story.

An independent study conducted by the Chief Officer for Economics at the Central Bank of Malta Dr Aaron G. Grech found that Malta's film industry has cumulatively generated more than €1.5 billion in gross value added for the Maltese economy, with over €1.2 billion of that value being created since 2018 alone. The same study concluded that annual economic value generated by the sector increased from approximately €30 million before 2018 to around €173 million every year thereafter.

The film industry today contributes almost six times more economic value to Malta than it did previously.

The impact becomes even more significant when viewed against Malta's wider economic performance. Research based on National Statistics Office data found that film production contributed an average of 0.28% of Malta's gross value added between 2005 and 2017.

Since 2018, that figure has risen to 0.83%, reaching a record 2.16% in 2023. Remarkably, almost one-fifth of all economic growth recorded in Malta during that year was generated by film production activity.

We often talk about quality over quantity, and film productions are certainly a prime example of that. What makes this success particularly important is that the benefits extend far beyond the studios themselves.

When an international production chooses Malta, the economic effect is felt throughout the country.

Hotels accommodate hundreds of cast and crew members. Restaurants, cafeterias and catering companies experience increased demand. Transport providers, shipping companies and logistics operators become critical partners. Construction firms build sets and specialised facilities. Retail businesses supply everything from equipment to daily necessities. Among the crew are numerous high-net-worth individuals who spend extended periods living and working in Malta.

The same economic study identifies accommodation and food services, wholesale and retail trade, transportation and storage among the sectors benefiting most significantly from film production activity. Together, these sectors account for a substantial share of the industry's overall economic footprint.

This is precisely why countries around the world compete aggressively to attract international productions. In Malta's case, the return on investment is particularly compelling.

According to the same study, tax revenues generated by film activity consistently exceeded the cost of the rebate scheme. Between 2018 and 2025, the industry generated a net fiscal benefit of €94 million for the Government after all rebate payments had already been made. This compares to €35 million generated during the entire period between 2005 and 2017.

Success, however, cannot be measured solely by today's achievements. The global demand for content continues to grow. Streaming platforms, international studios and major broadcasters are investing billions annually into new productions. Countries that possess the right infrastructure, expertise and reliability will be best positioned to benefit from this expansion.

This is why Malta must continue thinking ambitiously.

The planned Land-Sea Super Stage represents exactly that ambition. It is designed to build on Malta's unique strengths by combining large-scale land and marine production capabilities within a single integrated facility. Rather than attempting to replicate larger countries, Malta is focusing on creating infrastructure that amplifies what already makes us distinctive.

Our predecessors had the vision to build facilities that established Malta as a respected production destination. We now have a responsibility to build the infrastructure that will ensure Malta remains competitive for future generations.

It demonstrates that a small island nation can compete internationally through vision, consistency and excellence. Most importantly, it proves that strategic investment, when combined with long-term planning and effective execution, can deliver extraordinary returns for the entire country.

Film production has become far more than an industry, it has become one of Malta's economic engines.

And the most exciting chapter is still ahead of us.