Malta’s stability remains a key factor attracting investment, the Prime Minister said on Thursday, stressing the country has “remained open to serious business” despite global uncertainty.
Speaking at the inauguration of Bank of Valletta’s new business hub at The Quad Central, Robert Abela pointed out that the International Monetary Fund has recommended that the next consultation will be held on a 24-month cycle, instead of 12 months.
Abela described this as “recognition of the responsible way in which the country’s economy is being managed, as well as a responsibility to remain disciplined, continue improving and strengthen resilience.”
According to the IMF handbook, non-programme countries can be on a 24-consultation cycle if they satisfy four criteria, namely that they are “not of systemic or regional importance”, they have not completed an IMF-supported arrangement in the past year, they have outstanding IMF credit under 25 per cent of the quota, and they are not potentially subject to risk because of policy imbalances or exogenous development, of they do not have pressing policy issues of broad interest to the IMF membership
Countries have to agree to move to a longer consultation cycle, and there may be interim staff visits, the IMF handbook continues.
On Thursday, Abela referred to Malta’s international role, particularly in the financial and insurance sectors, saying these send a clear signal that “capital continues to choose Malta because it offers certainty”.
He described Bank of Valletta’s investment in the new business hub as a “strategic step” that further strengthens financial services for businesses while sending a clear message of confidence in the Maltese economy.
“Against an international backdrop of uncertainty and economic pressure, Malta’s stability remains a key element in attracting investment.”
Abela added the new hub was a “renewed vote of confidence” in the bank, its staff and “in the direction the country is taking.
Bank of Valletta CEO Kenneth Farrugia said the hub offers a full range of on-site banking services with a dedicated branch for commercial clients.