The economics behind the Mediterrane Film Festival

The role of the Malta Film Commission is simple—to attract film production investment to Malta. In many respects, we are the Malta Enterprise of the film industry. Our mandate, as established by law, is to bring business to Malta, create jobs, generate economic activity, and ensure that Malta remains competitive in one of the world’s most mobile industries.

Yet whenever the Mediterrane Film Festival is discussed, partisan commentary almost invariably focuses on one thing—its cost.

It is much easier to reduce an initiative to a line item on a balance sheet than to measure the value it generates. The problem with this approach is that it ignores the very purpose of the festival.

The Mediterrane Film Festival is not merely a film event. It is a marketing and investment promotion tool.

Since 2018, the film industry has generated more than €1.2 billion in economic value for Malta and supported an average of 2,500 jobs annually, while also delivering a positive return to public finances. These are not figures produced by the Malta Film Commission.
They emerge from independent economic assessments undertaken by some of Malta’s most respected institutions and economists. We have published these studies, presented them publicly, and made them available to anyone wishing to understand the sector’s impact.

The evidence is clear.

The benefits of film production extend far beyond the film set itself. Every international production that comes to Malta creates demand for hotels, restaurants, transport providers, retailers, construction companies, logistics operators, equipment suppliers and countless other businesses.
The sector has evolved from a niche seasonal activity into a structural contributor to Malta’s economy, generating employment, exports, foreign direct investment and international visibility for Malta.

The question, therefore, is not whether the industry creates value. It demonstrably does. The real question is how a small country like Malta competes for this investment.

The conventional approach would be to spend substantial amounts on international advertising campaigns, billboards in Los Angeles, pavilions at major film markets, and large-scale promotional activities in Cannes, Berlin and other global industry events. This is the route many competing jurisdictions take. They spend tens of millions of euros annually trying to capture the attention of decision-makers.

Malta does not have the luxury of competing on that scale.

Instead, we chose a different strategy. Rather than taking Malta to the world, we decided to bring the world to Malta.

The Mediterrane Film Festival allows us to place Malta directly in front of the people who make the decisions. Senior studio executives, producers, investors, location scouts and industry professionals are invited to experience first-hand what Malta has to offer.

They see our locations, understand our incentive structures, visit our facilities, meet our crews and witness the professionalism that has enabled Malta to host some of the world’s largest productions.

Instead of asking decision-makers to read about Malta, we invite and host them to experience it. We bring them here, introduce them to our locations, our infrastructure, our crews and our culture, and allow them to see first-hand why Malta is one of the most competitive filming destinations in the world. And we make sure we drive our message effectively—Malta is home for film.

Crucially, those visits translate into productions, investment and jobs. That is the return that matters. It is also the part that is often omitted by those who choose to view the film industry solely through a political lens. Years ago, we recognised that the most effective way to sell Malta was not through brochures, slogans or advertising campaigns during European festivals.

It was by allowing decision-makers to experience the country for themselves. That is the principle on which Mediterrane was built. It brings the people who make the decisions to Malta, showcasing what we have to offer, and converting that experience into investment for the Maltese economy.

This approach may have been unconventional, but it has been thoroughly scrutinised and independently assessed as every taxpayer’s expenditure should. The strategy, the incentives and the economic impact of the sector have been examined by economists, auditors and public institutions, including the National Audit Office.
They consistently arrive at the same fundamental conclusion—the film industry generates substantial economic value for Malta, and the strategy of actively bringing industry decision-makers to our shores has delivered tangible results for the country's economy.

So, beyond the noise, the numbers speak for themselves.

No advertising campaign can substitute the impact of a producer walking through Fort Ricasoli, seeing our water tanks, meeting local crew and understanding how a complex production can be delivered efficiently and competitively.

The festival also generates international media exposure that extends far beyond the event itself. Through global coverage, industry networking and direct engagement with decision-makers, Malta strengthens its position as a serious destination for film production and creative investment.

Over the past years, Malta has become one of Europe’s most successful film production destinations. Productions that might once have overlooked our islands now actively consider Malta as a first-choice location. The growth figures speak for themselves.

The festival should not be judged as an isolated event. It should be judged as part of a broader investment attraction strategy. The Mediterrane Film Festival should be evaluated by the investment it helps attract, the jobs it helps create and the economic activity it helps generate.

This is why Mediterrane is an investment that has continued to bring strong returns in one of Malta’s most successful and fast-growing economic sectors.

Investment promotion is not measured by expenditure but it is measured by results. On that point, the Mediterrane Film Festival has delivered.