The finance industry is the largest sector in Malta and is the largest contributor to the gross domestic product. When Malta joined the European Union in 2004 there were only four hedge funds present in Malta. Since then over 400 investment licences had been issued by the Malta Financial Services Authority (MFSA), and more are issued every year. But what makes Malta so popular for financial companies to move their business operations here?
With Malta being part of the European Union, it offers a convenient position for companies to target the European market. Even though Malta is an island in the middle of the Mediterranean, flight connections to other European countries are available in abundance, especially the selection of routes and frequency of flights to the United Kingdom.
The government also offers companies attractive incentives to settle on the island. The cost for licensing and registrar fees are competitive on the European market, and office costs in Malta can be very low as well – depending, of course, on the area you choose for your business. A few years ago, the government invested into the communication systems, and they are now providing high-speed broadband services using state-of-the-art technology. Services are offered at a comparatively low cost for the clients. The Maltese government also offers a refund of corporate tax if the company is structured according to strict regulations.
Malta is a bilingual nation, using Maltese and English as national languages. The university and the College for Arts, Science and Technology (MCAST) provide skilled workers that are prepared in English.
The abundance of Hedge Funds and Collective Investment Schemes in Malta speaks for the popularity of the islands. If you have further questions about setting up a financial company in Malta, or applying for the licences, you are welcome to schedule a personal consultation with the legal office of Dr. Werner & Partner.
