Business Agenda Issue 36

BUSINESSAgenda THE OFFICIAL PUBLICATION OF THE MALTA BUSINESS BUREAU ISSUE 36 | SUMMER 2019

1 5 Y E A R S S I N C E M A L TA ’ S A C C E S S I O N TO T H E E U R O P E A N U N I O N President George Vella looks ahead to the future in his new role

NEWSPAPER POST

Malta’s newly-elected MEPs share their views on how they will help shape the future of business

OFFICIAL SPONSORS OF BUSINESS AGENDA

Why does curbing food waste make sense for the planet, as well as for business?

BUSINESSAgenda

CONTENTS ISSUE 36 | SUMMER 2019

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22 14 COVER STORY

REVOLUTIONISING THE LANDSCAPE: 15 YEARS SINCE MALTA’S EU ACCESSION

Rebecca Anastasi reaches out to the presidents of the Malta Business Bureau, the Malta Chamber of Commerce, Enterprise and Industry, and the MHRA about the significance of this momentous event in Maltese history.

22 SOCIETY

“THE MOMENT I STARTED THINKING ABOUT WHAT NEEDED TO BE DONE FELT LIKE A NEW LEASE ON LIFE”

President of Malta, H.E. George Vella, discusses his hopes and priorities for the Presidency with Sarah Micallef.

29 EUROPEAN ELECTIONS 2019 MEET THE MEPS: A BUSINESS MANIFESTO FOR EUROPE

With our new cohort of MEPs having taken up their positions in Europe, Jo Caruana meets them to discuss how they will help shape the future of business at both a local and a European level.

59 NEWS

The Malta Business Bureau’s latest business and news updates.

72 BUSINESS PROFILE BACK TO NATURE

72 78 TOURISM

WASTE NOT, WANT NOT

Marie-Claire Grima seeks to find out why curbing food waste makes sense for the planet, as well as for business.

94 CULTURE

LOVINGLY RESTORED: THE ART OF INTIMATE CONSERVATION

Art restoration is experiencing a renaissance as collectors and owners strive to turn back time.

Rebecca Anastasi speaks to three of the island’s foremost art restorers to reveal the passion for their work.

Vanessa Conneely speaks to fashion designer Saz Mifsud on how her vibrant fabric works of art are leading the way.

COVER ILLUSTRATION

By Moira Scicluna Zahra, created exclusively for Business Agenda

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BUSINESSAgenda EDITORIAL

BUSINESS AGENDA is 10!

Welcome to this special edition of Business Agenda! This year happens to mark the publication’s 10-year anniversary and we are celebrating MBB’s longstanding collaboration with Content House, thanks to which we have brought – and continue to bring – our readers the latest and most relevant EU business trends and insights.

This year we also happen to celebrate 15 years since Malta’s EU accession – a theme which features quite prominently throughout this issue. Since membership, Malta has been able to maximise people’s potential, allowing them to study, work and travel abroad freely. EU membership has also provided new pathways and avenues to success for our businesses. So, what has been the significance of Malta’s accession to the EU and what are the opportunities and challenges which Maltese businesses face today as a consequence of EU membership? These are questions we explore together with the Presidents of the MBB, the Malta Chamber of Commerce and the MHRA in our Cover Story on page 14.

Moreover, in anticipation of the MEP elections in May, MBB published a business manifesto reflecting on current political trends, as well as analysing the outcomes from the last legislature, and communicating what the Maltese business community expects from the EU in the next five years. In our ‘Meet the MEPs’ corner on page 29, we invite Malta’s newly appointed MEPs to share their brief reactions to the guiding principles 12 | SUMMER ISSUE

BUSINESSAgenda EDITORIAL

PUBLISHER

Mallia Building, 3, Level 2, Triq in-Negozju, Mriehel BKR3000 Tel: +356 2132 0713 info@contenthouse.com.mt www.contenthouse.com.mt

put forward by MBB in its Business Manifesto and how these will be reflected in their political work during the next mandate.

In line with our 10-year theme, Business Agenda dedicates its Society article on page 22 to an interview with H.E. President of Malta, Dr George Vella, on his recent appointment as Malta’s 10th President of the Republic.

Looking ahead, Business Agenda shifts its focus to the Future of Europe Summit – an event which was originally intended to provide a vision for the Union’s common future by enacting concrete reforms. Considering recent political developments such as Brexit and the rise of populism across the EU, should the bloc carry on with business as usual? We ask experts their opinion on the outcome of the summit in our EU Policy article on page 110.

The recently launched EU LIFE Food Waste Reduction Project has also greatly caught the interest of the media and is under the spotlight in our Tourism feature on page 78. Food waste is becoming an increasingly hot topic, both due to environmental concerns, but also due to the economic implications that it presents.

MBB continues to act as a bridge between current EU priorities and Maltese businesses. Together with our European partners, we continue to contribute towards the fight against food waste in the European hospitality industry, using education and training as key enablers for behavioural change,

and exploring possible solutions with European policy-makers to help combat this issue. We are now also seeking to expand this knowledge and our efforts on a national scale, collaborating with key strategic partners.

In our Business Profile feature on page 72 we invite fashion and textile designer Saz Mifsud to inspire other entrepreneurs to embark on their own international ambitions. After moving back to Malta from London in 2014, Saz has turned her passion into a thriving business through hard work and persistence, and we’re proud to be showcasing her progress.

In celebrating the many milestones featured in this issue, I too reflect upon my 10 years as MBB CEO, and feel very fortunate to still be a part of this exciting journey!

I hope you enjoy reading this special issue and I also hope the chosen topics will inspire our readers to join us in our initiatives to push for a better, more sustainable future in Europe.

Joe Tanti MBB CEO

Malta Business Bureau, 64, The Exchange Buildings, Republic Street, Valletta VLT 1117 Tel: (+356) 2125 1719 info@mbb.org.mt infobrussels@mbb.org.mt www.mbb.org.mt The Malta Business Bureau is a non-profit making organisation acting as the European-Business Advisory and Support Office of the Malta Chamber of Commerce, Enterprise and Industry, and the Malta Hotels and Restaurants Association. The MBB has two offices, the Head Office in Malta and the Representation Office in Brussels.

EDITOR Joe Tanti EDITORIAL COORDINATORS Ana Vella and Rebecca Anastasi DESIGN Nicholas Cutajar EDITORIAL TEAM Jo Caruana, Marie-Claire Grima, Helena Grech, Sarah Micallef, Vanessa Conneely and Martina Said CORPORATE SALES & BUSINESS DEVELOPMENT MANAGER Bernard Schranz ADVERTISING SALES COORDINATOR Sue Pisani Business Agenda is the bi-annual magazine of the Malta Business Bureau. Business Agenda is distributed to all members of the Malta Chamber of Commerce, Enterprise and Industry, all the members of the Malta Hotels and Restaurants Association, and to all other leading businesses. Business Agenda is also distributed by the Malta Business Bureau to leading European and business institutions in Brussels.

Articles appearing in this publication do not necessarily reflect the views of Content House Ltd or those of the Malta Business Bureau. All rights reserved. Reproduction in whole or in part without written permission of the publishers is strictly prohibited.

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REVOLUTIONISING THE LANDSCAPE: 15 YEARS SINCE M A L TA ’ S E U A C C E S S I O N

On 1st May 2004 – 14 years after its initial application – Malta formally joined the European Union, opening up its borders and economic prospects to the bloc.

Rebecca Anastasi speaks to the President of the Malta Business Bureau, Simon De Cesare, the President of the Malta Chamber of Commerce, Enterprise and Industry, Perit David Xuereb, and the MHRA President, Tony Zahra, about the significance of this momentous event in Maltese history.

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“Malta needs Europe to do well, and, therefore, this is an appropriate time to use all our resources in Brussels to ensure that competitiveness is put at the centre of EU policy making.”

SIMON DE CESARE

On 8th March 2003, the Maltese electorate went to the polls in a referendum to decide on one of the biggest political, economic and cultural issues in a generation: European Union membership.

With each of the two main political parties lobbying for a different outcome – and some trade unions also stepping into the discursive fray – the result was far from certain. But, with 53.6 per cent of the votes in favour, and 46.4 per cent against, the smallest country in Europe took a leap into integration with the bloc.

Opening the island up to a market of 500 million consumers “brought competition challenges”, he continues, but it also brought about “ample opportunities for our businesses to internationalise.”

Indeed, the MBB President notes the advantages being part of the Union brought with it, including

PHOTO: ALAN CARVILLE

“Membership of the European Union was possibly the most divisive political question since our independence,” Simon De Cesare, President of the Malta Business Bureau, says. “Once the decision was taken, Malta embarked on a process which saw us officially join the ranks of fully integrated members of the EU some 15 years ago. Since then, Malta undertook a complete process of modernisation, in terms of economic activity as well as its people’s mindset.”

world. As a result, Malta has also embraced the digital revolution, taking leadership in new niche sectors such as blockchain and artificial intelligence (AI), and various programmes have been implemented to upskill workers and provide life-long and digital learning to adults and senior citizens.”

the necessity to adopt “common rules of the highest standards” which “brought consistency and strengthened our credibility in key sectors such as financial services.”

Moreover, the benefits experienced by the island’s citizens have had a knock-on effect on the economy, he says. “Thousands of students have gained valuable exposure while studying and living abroad and this, in turn, gave our youth a wider view of the world that was challenging the ‘island mentality’ in the context of a globalised

In terms of the island’s wider economy since EU accession, Mr De Cesare notes that, despite membership, Malta “remains a small, open economy subject to international volatilities”, and, thus is, today, dependent on the financial performance of bigger countries in the bloc. “Economic forecasts for Europe already indicate smaller growth in the coming years, but Malta needs Europe to do well, and therefore, this is an appropriate time to use all our resources in Brussels to ensure that competitiveness is put at the centre of EU policy making.”

He notes that this can be done through a further deepening of the single market; the approval of an EU budget which stimulates public and private investment; smart legislation which adds no financial or administrative burdens to SMEs; the opening of more market access globally; and the promotion of economic sectors which bring value-added to the economy such as tourism. “These are all policy practices that continue creating SUMMER ISSUE | 15

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“Having a voice at the table has been instrumental for the country’s unprecedented growth of the last years.”

PERIT DAVID XUEREB

However, challenges remain, according to the President, particularly when it comes to political and social issues which may impact the economic outlook and performance of the Union.

Migration is one of these, he states, going on to underline that “the lack of a common and comprehensive migration strategy is an EU failure.”

This holds especially true “in the face of an ageing population and a skills crisis,” and he states that “the EU should look beyond the shortterm burden-sharing disputes, and, rather, see the benefits that migration brings to EU productivity and the sustainability of social systems in the long term by spreading the weight of social contributions on a larger pool of people.”

Despite this lack of strategy, the EU’s reputation has remained positive here in Malta, Mr De Cesare notes, though he credits the strength of the local economy for this, saying that “as long as the economy keeps growing, while people are employed and social services remain strong, public approval of the EU can be expected to remain intact.” But, he warns, this should not be taken for granted. “As experienced in many

PHOTO: RAY ATTARD

the conditions for businesses to do what they know best – creating value through productivity and jobs. Having these at the forefront of Malta’s priorities within the EU will continue to create new opportunities for our local business community,” he asserts.

other EU member states where the economic crisis hit the hardest, seeds of populism are easily planted, and the EU can quickly turn into an easy target to blame for one’s economic misfortunes.”

EU funding is another aspect of membership which has paid its dividends to the island, Mr De Cesare continues. “Since our membership, Malta has been an exemplary member state on how to maximise the use of cohesion funding allocated to the country through targeted investments, good management and timely implementation.” However, he predicts that this will take a hit in the eventuality of Britain’s exit from

the European Union. Indeed, “if and when it happens”, Government and the private sector will need “to think seriously on how to bring more EU funding towards Malta, this time from EU programmes that are managed directly in Brussels.”

In this regard, he highlights the EU’s various financial instruments “to stimulate investment in areas that meet its broad objectives, such as climate action, innovation, digitalisation, cybersecurity, education and social inclusion,” and he identifies the “lack of awareness, expertise and capacity” as bottlenecks from accessing these direct EU funds over the past years. “But this should not be an impediment for the future.

There have already been various successful Maltese entities participating in international consortia tapping direct EU funding.”

Moving forward, the priority for the next few years, according to the MBB President is to expand on the good work done so far by, firstly, “encouraging current beneficiaries to build on their successes, and, secondly, by bringing these positive experiences to others through bestpractice sharing, intensive coaching and, where possible, incentives to tap direct EU funding.”

Echoing many of these sentiments, the President of the Malta Chamber of Commerce, Enterprise and Industry, Perit David Xuereb, comments on the pivotal importance of Malta’s membership to the bloc, stating that “Malta’s accession to the European Union is possibly the single most important socio-political event to take place this century so far. Becoming part of the EU has changed the Maltese economic landscape completely, bringing about changes in the way we do business, the way we run the country and to an extent, the way we live,” he says.

He notes that the political vision, on accession, was to position Malta “within a free and democratic Europe,” going on to specify that this was “buttressed by a SUMMER ISSUE | 17

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As a result, membership has fostered the creation of new sectors which “were impossible or even unimaginable before EU membership,” he explains.

“These include investment funds and their management in the financial services sector; the remote gaming sector; the wider ICT and software industry; the aviation sector; as well as the production of medical devices and generic pharmaceuticals, to name but a few.” Concurring with Mr De Cesare, the Malta Chamber President also credits EU accession with opening up the island to future economic possibilities in the disruptive technology segments such as blockchain and AI saying that he has “no doubt that EU membership is one of the attractive considerations foreign (EU and non-EU) investors make when coming to Malta.”

Perit Xuereb also refers to the spate of EU funds Malta has benefitted from – “to the tune of well over €2 billion between 2004 and 2021” – which has enabled the country “to invest

in areas that are fundamental to the development of the country’s economy.” Investments made at the University of Malta and MCAST; the improvement of the energy network and the co-financing of the inter-connector between Malta and Sicily; as well as the upgrade of the road network since 2004 would all “have not been possible without the co-financing part coming from the Union,” he says.

He also notes more “intangible benefits” to membership within the bloc, such as the increased competition, which has pushed “many local investors to improve their product or service” and the ability for businesses to tap into opportunities offered by the single market, thus “expanding their

PHOTO: ALAN CARVILLE

clear understanding that Malta’s economy had outgrown its own limited internal market and that further growth was only possible if the country ventured further outside its borders.” Indeed, the local economy’s “free and unfettered access to the world’s largest market” played a key role in the decision to seek EU membership, he recalls, while “the last 15 years have shown that this access has become a major source of economic growth and job creation.”

operations within the Union.”

Moreover, the adoption of the single currency has led to the reduction of “transaction costs and exchange rate risks,” as well as further investment and certainty when it came to business planning.

Furthermore, membership, according to Perit Xuereb, has resulted in “more employment and educational opportunities, a cleaner and healthier environment, a more favourable business climate,” as well as encouraging “an enhanced identity.” It has also accorded the jurisdiction “greater clout on the international scene” and enabled decision-making power within the EU. However, there have been drawbacks, Perit Xuereb says, warning against the EU’s tendency to adopt a “one-size-fits-all approach” which “often becomes a problem for small, peripheral countries like Malta, whose reality is vastly different to that of any other member state.” He says the issue is particularly pertinent when viewed from the context of tax harmonisation and state aid.

“While tax harmonisation might be a good idea for other members, it would have a devastating effect on Malta’s economy. The same can be said about state aid. As a Chamber we have insisted in the past that, in terms of regional aid, islands should be treated by the EU in the same manner, irrespective of whether they are regions or states.”

Yet, Perit Xuereb still sees further potential arising out of Malta’s membership in the bloc, though he emphasises that the smallest

“So, is it all positive? The answer is no. It never is, but there are many more opportunities afforded to the island as a result.”

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PHOTO: ALAN CARVILLE

Notwithstanding, he believes such growth can materialise.

“We have seen a number of Maltese companies doing it very successfully. So where is the challenge? The challenge is that there are no guarantees, as we have also seen some Maltese companies that have spent the money, but which have not succeeded. But fortune favours the brave, and those brave enough to venture, after having done their homework, probably will stand to yield dividends much bigger than by just staying in Malta.”

member must continue to make its voice heard, through every channel and forum available.

“Having a voice at the table has been instrumental for the country’s unprecedented growth of the last years. This voice needs to continue be backed by strong, wellresearched and expert arguments in order to convince the rest of our European partners of Malta’s realities.”

In contrast, the President of the Malta Hotels and Restaurants Association, Tony Zahra, cautions that although Malta is a full member of the EU, and has a seat at the table, “we must remain with our feet on the ground and realise that we are the smallest member country of the bloc. Our voice is what it is.” Indeed, he warns that the current mood in the EU “is blowing towards more integration, especially where tax harmonisation is concerned,” and emphasises the need to “be able to steer this particular initiative in a way that will do the least damage to our financial model.”

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Despite this, he sees positives to Malta’s membership. “The EU is built on four basic freedoms – the freedom of movement of goods, capital, services and people. It now comprises a market of over 400 million people and boasts some 700 trade agreements with countries all around the world. As an EU member, Malta benefits from all of these agreements, and has even benefitted from the single currency.”

As a result, the greatest opportunity – as well as the greatest challenge – in his view, has been for Maltese companies to expand beyond the island’s shores and venture into other European jurisdictions. “It’s an opportunity insofar as we can do business in any of the EU countries as if we were nationals of that country, but the greatest challenge is our ability to finance such expansion and to manage this expansion. Given our small size we do have severe limitations on capital as well as personnel.”

Malta’s membership within the Union has also provided the island the “benefit of having shared security interests and shared security,” he says, since “no EU country on its own can provide security in the way that the EU can provide collective security, and this especially for a tiny country like Malta where we have a tiny number of people forming part of Malta’s security network.” Thus, the EU can act as “our guardian”, he asserts, though Malta will always have to manage its own internal security.

In terms of the wider economy, he stresses the need to remain competitive, particularly within the tourism industry since the island’s sector is competing with resorts outside the bloc, whose costs may be less. He also sees an opportunity for Malta to market itself as “as the ideal place to have a manufacturing plant,” stating that the island needs “to increase the numbers of people working in the manufacturing sector from the present circa 20,000 to about 30,000.”

Thus, in conclusion, Malta’s membership of the Union gave, and continues to give, the island greater scope, though there are demands which still need to be met. “So is it all positive? The answer is no. It never is, but there are many more opportunities afforded to the island as a result,” Mr Zahra concludes.

BUSINESSAgenda

“THE MOMENT I S TA R T E D T H I N K I N G A B O U T W H AT N E E D E D TO BE DONE FELT LIKE A NEW LEASE ON LIFE” 22 | SUMMER ISSUE

PHOTOS: ALAN CARVILLE

SOCIETY

BUSINESSAgenda SOCIETY

With an impressive political career spanning four decades, President of Malta, H.E. George Vella believes that it’s not a question of age, but rather of whether one feels up to the task. “It’s a question of feeling that you can perform your duties as expected – then it’s up to posterity to decide whether you’ve actually done your job or not.” He discusses his hopes and priorities for the Presidency with Sarah Micallef.

Having had an active role in local politics since starting his parliamentary career in 1976, H.E. George Vella, a medical doctor by profession, initially announced his retirement from active parliamentary life prior to the 2017 general election. I caught up with him following his official appointment as the tenth President of the Republic of Malta in April, and asked: had he found it difficult to cope with the slowdown and did this have anything to do with his acceptance of this new role?

“How did you know? That’s exactly what happened!” Dr Vella muses. “In the first few months, I was happy that I was free to do whatever I wanted, but, then, boredom started to set in. It started becoming tedious, and I think that is when whoever wanted to see me in this office began to see chinks in the armour,” he smiles. Admitting that this feeling contributed to his acceptance of the role, Dr Vella says, “the moment I decided and started thinking seriously about what needed to be done, it was like a new lease on life – you feel like you are where you belong.”

As the tenth President of Malta, H.E. George Vella announced several priorities in his inaugural speech last April, including fair distribution of wealth; social welfare and quality of life for all; education and environmental sustainability; as well as a commitment to strengthening

“I follow a President whose trademark was philanthropy.

One will have to try to do whatever one can to keep pace while, at the same time, trying to introduce other things.” national unity. “This unity does not come about by merely wishing for it. We have to work hard to achieve it. There, undoubtedly, remains the need and space for different and divergent opinions, but, in the same fashion, a genuine and reciprocal respect needs to prevail,” he said.

Referencing the speech, Dr Vella reiterates his wish to

achieve the targets set out, while acknowledging that there will also be other priorities. “I honestly wish that what I spoke about will be achieved, but one must also keep his feet on the ground and accept that some things will need to be put on the backburner when more urgent issues arise,” he maintains, noting also the importance of continuing the philanthropic legacy of his predecessor, President Emeritus Marie-Louise Coleiro Preca.

“I follow a President whose trademark was philanthropy. One will have to try to do whatever one can to keep pace while, at the same time, trying to introduce other things. There are other areas which need immediate and urgent attention, but it’s still early days, and I will try to put systems in place which will enable me to maintain overall control without micromanaging things myself, putting me in a position to dedicate time to my other objectives,” he asserts.

On the subject of philanthropy, I draw his attention to the Community Chest Fund, and ask for his thoughts on its management, moving forward.

Dr Vella points out a number of issues which he would like to deal with, maintaining that “there could have been more controls, more planning, and it also could have been more selective in how funds are distributed.”

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BUSINESSAgenda SOCIETY

He would have preferred a different approach with the way funds are collected and managed throughout the year. Referring to L-Istrina in particular, he explains that “most people wait for L-Istrina to come around in order to contribute, but the expenses are constant, throughout the year, creating an issue of cash flow. I would prefer a situation in which there is a regular income – so, for example, rather than €12 at the end of the year, for example, I’d rather have €1 a month.”

“We are actually rethinking how we can rationalise this, and possibly find new ways of attracting donations,” he continues, adding that he would also like to implement certain controls on how the funds are distributed. “There needs to be controls because, in every system, there can be abuse – not abuse by who is administering the process, but people do try to abuse the system. I would rather have the butter spread where it is needed rather than have it spread too thinly so that no one can taste it,” he affirms.

During his inaugural speech, Dr Vella also spoke about his role as guardian of the constitution, sharing his belief that the process for its revision should be as broad as possible, including the involvement of MPs, experts, NGOs and civil society in general.

Speaking on his role within the Constitutional Reform Committee, he says, “work has started, though it is still in its early stages. We are going to open things up for anybody who wants to contribute to the debate. This will include a website to which everyone can add their contribution, and this will be included in the list of recommendations and reports to be analysed. The message is that I don’t want the process to be confined to the political parties – the constitution belongs to everybody, so it has to be open to everybody.”

Following the collection of data, the President maintains that the committee will then formulate an idea of which parts of the

“I don’t want the [constitutional reform] process to be confined to the political parties – the constitution belongs to everybody, so it has to be open to everybody.”

constitution are mentioned most frequently, giving those areas priority. “It’s interesting albeit not an easy process, and it’s going to take some time,” he affirms, projecting a timeline of two to three years for the process to be concluded. “This does not exclude the possibility of an agreement pertaining to more urgent issues being arrived at beforehand. If there is a common stand and we agree on it, I am not excluding that it will be published before the rest of the process,” Dr Vella maintains.

Asked whether he envisions the changes to be radical, the President asserts that, while it’s difficult to tell what will come out of the process, he does not foresee extreme changes. “It’s like opening a Pandora’s Box. We don’t know what is going to be brought up or what proposals there will be. I don’t think it will be radical in the sense that we have a constitution which has been working up till now, so what I think we need is to refine it in view of past experiences.”

Linked to this, I ask whether he feels that his role as President, as stipulated in the constitution, is sufficient, or whether it should be more substantial. Stating that he wouldn’t change anything from the remit and powers of the Presidency, Dr Vella asserts, “I was always averse to power being concentrated in any one person.

I believe that acting as a moral compass is the role in the present and it is what we are accustomed to expect, but if valid arguments are brought forward campaigning for more power to be vested within the role – without going over to the other side of the pendulum – then I wouldn’t exclude them either. One thing I would like to see, and which I will insist on, is that the President should be elected by two thirds majority from Parliament and removed by two thirds majority.

Currently, a President is nominated by a simple majority and can also be removed by a simple majority.

I think the office should have a certain amount of security of tenure.”

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take Tripoli, the big question will be whether he decides to move beyond Tripoli on to Misurata and Sirte,” he says, expressing his fear that if Haftar reaches Misurata, “it will be a blood bath, and it will mean an increase in migrants attempting to escape persecution.”

Taking the opportunity to pick Dr Vella’s brain about developments beyond Malta’s shores, I draw on his years as Foreign Minister to first delve into his outlook relating to the difficult situation unfolding in Palestine and Israel. “In short, the outlook is very bleak,” he sighs, as we discuss whether the European Union can involve itself more.

“There is no consensus on the issue, so the EU can’t get involved. I am sorry to say this, but I feel that there isn’t the sympathy that there used to be in the past towards the Palestinian question. Attention is being deviated to a bigger issue, which is Iran. It’s a difficult situation, and what this will bring about is further extremism – both from the Palestinians as well as from the Israeli side,” he says.

The situation in Libya has also deteriorated in the last months.

Having personally worked on various initiatives for a resolution, Dr Vella gives his perspective on the situation, which he says, “has gotten out of hand.”

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“One can see the diverging interests of foreign countries playing themselves out on this chessboard, to the detriment of the Libyan population. Nobody is really looking after the interests of the man on the street. At the moment, Khalifa Haftar’s army is planning to go into Tripoli, simply to occupy territory, which will bring Libya back to where they started – another military man in command, absolutely not wanting to have any civilian controls on the way he runs the army. If he manages to

Over on the other side of the pond, we have Brexit. What is the President’s take on the fact that the UK will now have a new Prime Minister and Head of the Conservative Party? “I can’t really tell you much about that, because nobody knows exactly what’s happening, not even the British themselves! The fact that Britain is in this mess is a cause for concern, because it means that either democracy hasn’t worked, or that democracy has been abused.

The race for the leadership of the Tory party is going to be a hell of a game, and we’re going to see a lot of knives being drawn out.

The issue is that even when they come to choose, they will still be back where they started from – Brussels has said that this is as far as they will go. It’s very difficult to make predictions, so let’s see what happens. As of now, there is no Tory leader, no plan and no policy,” he asserts.

While certainly much remains to be seen, it is evident that, age notwithstanding, H.E. George Vella has his finger firmly on the pulse of it all, both on a local and an international level. The tenth President of Malta has big plans indeed, and it will be interesting to see how they unfold.

“One thing I would like to see, and which I will insist on, is that the President should be elected by two thirds majority from Parliament and removed by two thirds majority.”

BUSINESSAgenda EUROPEAN ELECTIONS 2019

MEET THE MEPs: A BUSINESS MANIFESTO for EUROPE With our new cohort of MEPs having taken up their positions in Europe, it’s time to consider how they will help shape the future of business at both a local and a European level. Jo Caruana meets them.

In Malta, those vying for the six hotly-contested seats debated the biggest topics facing our society at the moment, from transport and traffic, to pollution, construction and, of course, business.

In its role, the Malta Business Bureau issued its business manifesto for the European elections and new EU legislature.

Here, our six recently-elected MEPs share their thoughts on what we can expect from the years ahead, and from their work on an individual level.

MIRIAM DALLI – HEAD OF PL DELEGATION & VICE-PRESIDENT OF EP S&D GROUP “The recent electoral results delivered a clear message: Maltese and Gozitan citizens feel that the Maltese islands are making tangible progress in economic growth, social well-being and the general quality of life. Now, as newly-elected members of the EP, we must work in unison and understand the aspirations of Maltese society, our working community and our business community alike.

Competitiveness is key to Malta’s economic success. Over the past four years, I have worked to mitigate a call for a common corporate tax base, which would be detrimental to our taxation system.

I insist that, as Maltese MEPs, we work incessantly for the EP to recognise the national interest of smaller states in safeguarding our sovereignty on taxation.

We must also safeguard the single market – one of the elements that delivered the most positive results in the EU. Despite a feeling of disenchantment in this regard, we must keep working on the need for Europe to be more open, particularly when it comes to trade. With Brexit looming over the Union, we must insist that we cannot have any exceptions to the single market and must protect the free movement of goods, capital, services and labour.

As a small island nation, perhaps the most pressing need for Malta is the nurturing of our SMEs. This is where I strongly believe in innovation. The latter does not only apply to the big giants within the industrial spectrum. On the contrary, in order to revitalise trades and crafts, we must encourage them to invest in innovative practices.

The global economy is becoming all the more innovative and, as politicians, we must direct our SMEs towards placing themselves at the forefront. EU funds such

as Horizon Europe help finance research and innovative ventures, benefitting those who want to enter the market with tangible ideas, prototypes and projects.

The Socialists and Democrats in the EP worked to make this fund available to SMEs and to address those member states that are still lagging behind when it comes to investing further in research and development. I had the opportunity to promote these principles, being among the MEPs in the Committee on Industry, Research and Energy.

Moving forward, it is imperative that traditional sectors update their practices to cater for current needs. This will benefit many industries, including tourism, which is a resource that we risk taking for granted, especially in view of the ever-increasing number of visitors to our islands, season after season.

As MEPs, we must constantly encourage European policy-makers to consider the different context experienced by small states and adopt adequate measures.”

PHOTO: CHRISTIAN CREUTZ

The 2019 European elections went down in history as some of the most highly anticipated in a generation. The stakes were high: populism, euro scepticism, Brexit and green issues filled the narrative, and voters went to the polls in droves to make their voices heard.

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BUSINESSAgenda EUROPEAN ELECTIONS 2019

“A strong Malta in the heart of Europe is what I have always worked for throughout my political career and that vision was central to my work as an MEP for Malta and Gozo. I endorse the MBB’s manifesto and will continue to keep Maltese industry at the heart of every decision I take.

Having six MEPs means that we all need to work harder, longer and be cleverer to ensure that Maltese

DAVID CASA “I believe the MBB manifesto provided excellent guiding principles for the upcoming discussions of the next legislative term. One of the most pressing and difficult matters that we need to deal with concerns the proposal for tax harmonisation. I intend to continue the fight to preserve our full sovereignty on tax matters and the necessary flexibility that is essential in maintaining the competitive edge of small and peripheral countries like Malta. This has always been a priority, and one that I will continue to work on.

Of equal importance for Malta is the discussion and agreement on the next EU budget. I agree that it should be a forward-looking budget but – equally – one that maintains its focus on cohesion funds.

I am convinced that it is important to work on achieving a more social market economy, which not only helps foster economic growth, but focuses on its workforce. Human capital is considered to be one of the EU’s greatest economic assets.

level or any attempt to remove the concept of unanimity on this issue. The effect of this on Maltese industry would be huge and disproportionate.

Now, the first step is to ensure that all six MEPs are placed on different committees. It is important to repeat what happened in the last legislature. I have always – and will always – stand up for the Malta and Gozo that we all want to see: for the politics of correctness, for the prevalence of justice, for the protection of the rule of law, and for the safeguarding of our environment and our standing in the world. This has as much an impact on the business environment as on individuals.

As a small EU member state, Malta knows that a one-size-fits-all approach does not, and cannot, always work, especially when taking into consideration the country’s insularity and economies of scale.

This applies to both EU funding and issues of taxation.

And yes, reputation matters. It is crucial if we are to continue to defend our taxation system. I reiterate our concern as a nation with the moves towards tax harmonisation on a European But is enough being done to safeguard Europe’s competitiveness in this area?

Our role as politicians is to provide European citizens with tools to become – and remain – self-reliant, and to adapt to the constantlychanging labour market. We need to not only focus on the employability of young people, but also on ensuring they remain employable throughout their working life. As jobs and skills profiles become more complex, especially when it comes to ICT skills, the importance of education and life-long learning, as well as tackling the existing gender and generational gaps (especially for disadvantaged people) cannot be underestimated.

The free movement of workers, and the freedom of establishment and services, are fundamental principles of the internal market, and we are here to safeguard it with a proper legislative framework. Society and its workforce is ageing, more women are entering the workforce.

The industry is looking at diverse contractual arrangements and more flexibility. Workers are moving

Moving ahead, I want to see more uptake of EU funds from Maltese and Gozitan businesses, and to ensure that bureaucracy is reduced so that such funds become even available to firms that do not have the clout or size that other EU companies have. We need to push for a robust EU regulatory environment for Maltese businesses to grow.”

towards a greater movement between jobs and a better worklife balance. We need to continue our work in drafting legislation that adapts to this changing world of work and households. One such example is the Directive on worklife balance for parents and carers, which I negotiated during this legislation.

I believe that SMEs and microenterprises are the backbone of our EU economy and are all the more important to Malta. They must not be stifled. We need to ensure that unnecessary burdens on SMEs are removed across all EU legislation.”

PHOTO: THIERRY ROGE

ROBERTA METSOLA – HEAD OF PN DELEGATION

people’s voices reach where we need it to be. We need to continue to punch above our weight in Brussels and ensure that we get the results our people deserve.

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PHOTO: FRED MARVAUX

ALFRED SANT “The MBB’s business manifesto struck all the right chords – not least with its insistence on the need to enhance competitiveness at both the local and European levels. However, we need to better understand the sources of competitiveness in the Maltese situation and defend them intelligently.

EU membership has steered Malta towards a huge reliance on service sectors that, strictly speaking, lie outside the purview of the single market and depend on tax flexibility to flourish and remain competitive. Our competitiveness depends too on the importation of labour at the high income as well as low income ends of the wage spectrum. While widening even if temporarily, the pool of skills available in Malta, this is also serving to damp labour costs.

For the past EP mandate, as well as the new one, there is a majority of MEPs that favours taxation harmonisation and stringent single market rules in areas closely related to the provision of the financial services and iGaming sectors in which we have excelled. As a result, though tax policies are subject to unanimity rules, pressures for change could grow.

Maltese MEPs, as well as business leaders from Malta, will need to articulate dispassionately and ‘scientifically’ why tax flexibility is essential for keeping the economies of small, peripheral member states flourishing, and why this does not mean that they will thereby be opening their doors to tax dodgers, money launderers and Mafiosi.”

drove the establishment of this single market seems to have significantly decreased over the years. Disenchantment with it has led to political unwillingness and a rise in protectionist movements in some member states that are against the further integration and development of the single market.

solutions that result in immediate and tangible benefits for people and businesses.

It is therefore essential to remember and underline its positive achievements, and the ways they affect the daily lives and activities of people and businesses across borders. Beyond that, it is vital to keep dismantling existing barriers by creating new opportunities in a single market that can guarantee the economic and social well-being of both European citizens and companies.

ALEX AGIUS SALIBA “The single market is truly one of Europe’s greatest achievements, enabling goods, services, capital, and people to move freely in the world’s largest economy.

Despite being the jewel in the crown of the EU project, though, the initial enthusiasm that 32 | SUMMER ISSUE

I will be dedicating my efforts to reviving and designing a single market of opportunities and economies of scale focused on citizens’ and businesses’ needs and cross-border experiences. This time it is different! It is time for a change.

It is time to focus and deal with real problems, and on finding the right

As an MEP, I will work towards delivering initiatives that will improve the health and safety of people, protect consumers and raise their confidence in the market, while also guaranteeing safer products and services, reducing costs and enhancing performance for businesses. On top of that, we need to guarantee better implementation and enforcement when it comes to existing single market rules. We have a single market, but we must ensure that it works equally for everyone.

The future single market must stimulate sustainable economic growth and job creation, while, at the same time, consider citizens’ and businesses’ hopes, fears, expectations and aspirations.

Only by finding the right balance between both will we be able to bring a fresh, new impulse into a vibrant single market supported by all.”

BUSINESSAgenda EUROPEAN ELECTIONS 2019

JOSIANNE CUTAJAR “Celebrating our 15th year as part of the EU is the perfect moment to not only look back on what we have achieved but, more importantly, to look forward.

It is clear that the future for the Union is murky at best. Brexit – whenever it happens – will permanently change the European fabric. Whichever way that change happens, we must ensure it does not negatively affect our country.

As part of the freshman class of MEPs, I am excited and honoured to begin my work towards our country’s best interest within the EP. I congratulate the MBB for its proactive approach towards dialogue with us MEPs. The guiding principles are a clear result of structured research and in-depth knowledge of the needs of Maltese businesses.

At their core, these guiding principles aim to protect one main element: competitiveness. This is a multi-faceted issue, but I believe the main concern in this area remains taxation. Throughout my campaign, I insisted that taxation should remain strictly within the member states’ competence. Tax harmonisation remains a hotlydebated issue in Brussels, despite the detrimental effects it is likely to have on certain member states including smaller, peripheral ones such as Malta.

is also of key importance if we want to remain at the forefront when it comes to business. Digital barriers deny opportunities not only to businesses but, ultimately, to consumers.

Within the EP, I will advocate for the particular needs of states like ours, and highlight the negative effect that harmonisation would have on our businesses and fiscal policy. We need to ensure that Malta can remain an attractive location for foreign investment.

On a related note, technology could be an essential tool to facilitate a more sustainable way of doing business. Our European colleagues have already paved the way for a symbiotic relationship between business interests and sustainability goals – it is high time we do the same and keep innovating as we have always done.”

As we delve deeper into the digital area, fully embracing technology

Within the EP, we need to ensure that our single market is truly fit for the ever-changing technologies, and we need to adapt national frameworks to make sure they are not cumbersome and are not lagging behind in the digital revolution.

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BUSINESSAgenda BANKING

H S B C M A L TA : STRONGER and READY TO GROW

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BUSINESSAgenda BANKING

As HSBC Malta completes its extensive risk management transformation, which has seen it focus on achieving the highest regulatory standards on the island, the bank introduces its recently appointed executive director and head of business development Michel Cordina. Jo Caruana meets him to discuss this dynamic new role, as well as the bank’s measured growth strategy.

Banking is in Michel Cordina’s blood. With 15 years’ executive experience at HSBC, and a total of 38 years of service to the sector as a whole, there are few people better positioned to take on this kind of leadership position, at a time when the local banking world faces more challenges and opportunities than ever before.

PHOTOS: ALAN CARVILLE

“Being appointed to the HSBC Malta board of directors is an absolute privilege,” Mr Cordina says.

“I understand this bank well, and know the business community and key stakeholders inside out too.

I am thrilled to be able to make it my priority to ensure we have a stronger and safer institution, so that we can be in the best possible position to pay dividends

to our shareholders based on the measured growth that we aim to achieve.”

Measured growth, in fact, is exactly what Mr Cordina says the bank will be striving for in the months and years to come. He explains that, after a period of restructuring, it is now time for the organisation to get back into growth mode, and says it is now in a strong position to offer an enhanced service offering for all their clients.

“Thus, our purpose is to be where the growth is, and to connect our customers to opportunities.

We want to enable businesses to thrive and the local economy to prosper, and we are in a very enviable position to be able to

“We want to enable businesses to thrive and the local economy to prosper, and we are in a very enviable position to be able to do exactly that.”

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BUSINESSAgenda BANKING

have largely come to a close, with Mr Cordina explaining that he believes banks share a collective responsibility to protect the integrity of the financial system.

“Following this extensive exercise, we now need to maintain the momentum gained and ensure our fight against financial crime continues,” he says. “We are all proud of the progress HSBC has made to implement the highest global standards of compliance, which has enabled us to build a stronger and safer bank for our shareholders, customers, employees and the jurisdiction.”

With the local economy continuing to perform strongly, Mr Cordina says that HSBC Malta is now very much focused on helping customers achieve their own growth, and leverage on innovative products and services that are at the heart of that offering.

do exactly that. After all, as a renowned international bank, we can leverage our global network to provide a world-class service and product offering locally. Our aim is to achieve that while renewing our focus on the domestic market.”

Mr Cordina’s relationship with the bank also helps him underline the importance of trust, which, he says, will be at the core of everything he and his team go on to do. “We place our customers at the centre of our priorities, so our focus now will be to better engage with them, to understand their needs, and to work towards the realisation of those needs. We want this to be a win-win for all the stakeholders, and we will strive to build meaningful relationships that establish mutual trust and respect.”

HSBC’s recent focus on risk management transformation, to ensure it adheres to the highest regulatory standards and can tackle financial crime even better,

“Globally, HSBC will invest $15-17 billion in technology, by 2020, among other things, in order to push for growth and an improved customer experience. To put this in perspective, this global investment is more than Malta’s entire GDP. This investment will not only continue making our systems

“Following this extensive exercise, we now need to maintain the momentum gained and sustain our fight against financial crime.”

even more secure but it will also help us to enhance our existing products and services, including our on-boarding process and credit approval process, as well as to develop new products like Fusion and HSBCnet. Beyond that, it will also help us move further forward with our signed partnership agreements, such as with TradeMalta, the Malta Chamber of Commerce, and the Maltese Chinese Chamber of Commerce.”

All of this will also help Malta continue its move towards a cashless society, as the excessive use of cash and cheques has been a topic on HSBC’s radar for a number of years. A recent Central Bank report entitled An Analysis of Maltese Payment Habits in 2018 shows that the local economy still uses more cheques and cash than the EU average.

“So, we need to do more in this area,” he continues. “It is clear that the Maltese economy needs to change these archaic practices and experience the benefits of effecting electronic payments, as this will increase efficiency and positively impact our GDP. Our own business customers can make the move away from cheques by using our state-of-the-art HSBCnet system, which provides them with efficiency, convenience and the control of utilising the SEPA framework, while maintaining supervision over their payment and reconciliation processes,” he says.

And, as a bank that prides itself on giving its customers access to a great range of international services, Mr Cordina stresses that he and his team will also be dedicated to helping their clients go global. “Our customers benefit from the leverage of the HSBC Group name when trading internationally. Through our global reach and expertise, we help over 1.5 million business customers worldwide to unlock their potential. This unique global network – and access to HSBC at both ends of an international transaction – gives our clients added benefits and important peace of mind.”

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BUSINESSAgenda BANKING

Given Malta’s geographical location, Mr Cordina and his team are also especially focused on helping businesses tap into markets in Europe, North Africa and the Middle East, although their network can be used all over the world. “China’s Belt and Road Initiative is creating enormous business opportunities throughout Asia, Africa and Europe, which HSBC is helping businesses exploit,” he says. “Covering key trade routes, the overall objective is to increase regional trade and encourage economic cooperation. HSBC has actually been named Best Overall International Bank for the Belt and Road Initiative in 2017. This was a huge achievement for us, and I believe it shows our commitment to helping business grow and benefit from international trade.”

Switching focus to his own achievements as we round up our conversation, I ask Mr Cordina to look back on his own proudest moments – both in the banking world and outside it.

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“I have been so privileged to have been given the opportunity to lead the Commercial Banking business for the past eight years for this fantastic company.”

“I have been so privileged to have been given the opportunity to lead the Commercial Banking business for the past eight years for this fantastic company,” he says. “I also look back with pride on my involvement in bringing the HSBC Contact Centre to Swatar 10 years ago, and this still employs over 400 people today. Though I would have to say that this latest move – to Executive Director and Head of Business Development – is probably my major achievement so far.”

But Mr Cordina is also proud of his personal achievements. “As for life outside the bank, my proudest moments all relate to my family life – my wife Simone, our children Matthew and Lisa, and my recent ‘promotion’ to nannu with little Beppe a few weeks ago. Seeing a photo of him every day makes me happy and always puts me in a good mood!”

BUSINESSAgenda BUSINESS

THE iGAMING BOOM: HOW MANY OTHER SECTORS are BEING I M PAC T E D ?

With a slew of iGaming companies looking to obtain a licence to operate from Malta, the job market is not the only sector benefitting. Helena Grech meets with companies in various sectors to discuss what the local boom in iGaming has meant for their business. and/or compulsive behaviors using Artificial Intelligence techniques.

ANDREW NAUDI – TECHNOLOGY PARTNER, NOUV (ADVISORY) NOUV is a multidisciplinary firm that helps organisations identify, design, and execute their strategy by focusing on creating the change that matters by working together with its clients and partnering with industry experts to develop and realise business goals.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

The robust growth of the iGaming industry in recent years has been sustained in 2018 and 2019, with the sector’s share in economic value-added in Malta standing at over 11 per cent. The iGaming industry has thus consolidated its position as the third-largest economic sector, contributing to the generation of activity in other sectors. This growth is reflected in the expansion of our services to this industry. At NOUV we consider the iGaming sector a source of new business from companies who are looking to outsource their payroll, accounting and auditing requirements.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

At NOUV we have developed an iGaming specialist service that provides a one stop shop for iGaming companies to set up and/ or relocate their iGaming services to Malta, providing advisory, regulatory and assurance services complemented by the right mix of product offerings and specialist knowledge delivered through our associates. Furthermore, as part of our initiative to contribute towards responsible gaming (RG) measures, we have onboarded RG specialist products that will assist organisations in identifying abusive

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your business, more generally?

One of the biggest changes in the industry is, by far, the increase in compliance requirements we have been witnessing over the past years.

The nature of the business has become very demanding, to the extent that it is driving companies to outsource their back-office operations such as accounting and auditing to companies like NOUV, allowing them to concentrate more on their core business activity.

How do you expect your business to develop considering the continued interest for iGaming companies to set up in Malta?

At NOUV we will keep on delivering top-notch iGaming services for this evolving industry, by remaining a reputable service provider in the sector. We intend growing our network of associates within the industry, thus providing expert advice in a vast array of iGaming requirements, ranging from regulatory to corporate services and technology to management advisory.

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GORDON THEOBALD – FOUNDER AND CEO, ALLYS CONTACT CENTER (OUTSOURCING) AllyS is a multilingual, omnichannel customer support and compliance outsourcing business with particular focus on online support and transaction monitoring processes.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

Like most other sectors on the island, we have certainly experienced an increment in business with the growth of this sector locally. More importantly, through this growth we were able to learn and widen our expertise and realign our service-offering to address the specific needs of this industry.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

Malta is attractive to various established and start-up companies; however, the reality is that there is often more

JULIA MANDUCA – ASSOCIATE, DF ADVOCATES (LEGAL)

DF Advocates is a law firm based in Malta providing legal advice to local and international clients on a multitude of matters across various industries including the gaming and betting sector.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

As a law firm, the influx of iGaming companies in Malta has certainly 44 | SUMMER ISSUE

overlap between operations than distinction. This means that a tangible area for differentiation is customer support, process efficacy and speed to market. AllyS supports the iGaming industry through the development of innovative processes in the field of outsourced customer service, compliance and reporting.

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your business, more generally?

Without a doubt, the pressure on the iGaming sector is to readjust to new regulations which has driven significant effort to be made on this front. In line with these heightened regulatory requirements and our experience handling other support functions, we have equipped ourselves to be able to offer outsourced compliance as a part of our suite of services. While technology has proven to be one of the main growth drivers in the sector, where new technology

resulted in an increase in business whereby we have extended our services and iGaming knowledge in order to provide for the various legal needs of iGaming companies. This sectoral growth has provided for an inevitable development within our firm which has expanded our scope in order to assist both existing and prospective clientele with the provision of specialised services in relation to iGaming matters.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

The legal services we provide are critical in supporting iGaming companies in their quest to properly establish themselves in Malta. Over and above the more general legal work, our firm assists iGaming companies throughout the term of their licence so that these companies can continue to run smoothly and legally in Malta.

solutions are structured to ease the task of the ultimate decision maker, currently nothing can replace professional human judgement.

New channels and processes have the potential to help operators deal with challenges, nurture brand loyalty and be a catalyst of growth.

How do you expect your business to develop considering the continued interest for iGaming companies to set up in Malta?

We are seeing certain diminishing revenue trends due to new or sterner regulation in traditionally stronger markets. It is here that the outsourcing of certain key processes becomes a more appealing solution, especially processes that are becoming very demanding and expensive for operators to undertake exclusively in-house. AllyS will continue in its quest to be ever more relevant to this industry, as much as being a tangible contributor in shaping the industry for the future.

Such services include the drafting and reviewing of a broad range of agreements with third parties which are relative to the business operations of the company; the registration of trademarks with the aim of safeguarding the company’s brand; and also managing any other legal affairs relative to the company.

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your firm, more generally?

All previous legislation has been replaced with a single primary Act (the Gaming Act) governing all gaming services in and from Malta. The new Gaming Act does not stand alone and has been supplemented with subsidiary legislation such as directives and guidelines in a vast array of focus areas. In line with this overhaul,

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our firm has worked diligently to master such laws in order to continue to promote and establish itself within the iGaming industry in Malta as a leading local law firm.

How do you expect the firm to develop considering the continued interest for iGaming

companies to set up in Malta?

With the growth of the iGaming industry, one must not take for granted the development and adjustments required by Maltese law firms with regards to new laws and regulations in place. The way forward is for our team to keep up with all developments, be they

legal as well as technical. In this regard, we believe that investing in our team will continue to establish our expertise and development at DF Advocates in assisting both local and international clients with work that is up to date with the iGaming landscape.

FCM, a market-leading, global travel management company, promises the greatest value and the most reliable business travel services through a flexible approach to clients’ specific needs. Mr Schranz was appointed to the role in June 2016, having gained long-term experience in the hospitality and sales industry.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

With the rise of the iGaming industry in Malta, we did acknowledge this new opportunity to attract and cater for these new clients, and our investments in this regard have thus far been successful. As one can imagine, this industry loves its tech and is attracted to service providers who share this view. FCM’s vast experience, in combination with our extensive innovative technologies, such as our new FCM Connect, SEEQA and SAM tools, make us the ideal organisation to meet these standards.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

At FCM we provide more than just an airline ticket – we look towards innovative and personalised solutions that allow our clients to view and manage every aspect of 46 | SUMMER ISSUE

their travel with complete ease.

Our FCM Connect Suite is a simple click away and provides customers with all the tools and information they need, all accessible through an intuitive, easy-to-use and completely customisable dashboard. This tool allows you to manage all the travel services you need in one place without the hassle of multiple sites and sign-ins.

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your business, more generally?

Industries like iGaming have encouraged us to become more flexible in our solutions and think outside of the box in terms of our services. It has also pushed us to invest more in technology, which, in turn, has helped us flourish beyond the iGaming industry. Technologies such as our Expense Management, Reporting and Analytical tools have helped open our eyes to a whole new dimension within the travel services industry that was previously unexplored.

How do you expect your business to develop considering the continued interest for iGaming companies to set up in Malta?

Our fully customisable booking tools offer our clients a streamlined powerful way to manage and book everything from airline and FCM unique fare reservations to discounted hotel rates, car hire, rail and airport transfers. These are the best tools available on the market and we are very proud of this. We also want to make sure that our tools retain this top spot – which is no easy feat.

PHOTO: PETTER MARK MERCIECA

KARL SCHRANZ – GENERAL MANAGER, FCM TRAVEL SOLUTIONS (TRAVEL)

ANTHONY MERCIECA – COO, BRANDS INTERNATIONAL LTD AND BOCONCEPT MALTA (INTERIORS) Brands International is an established company offering complete furnishing and finishing solutions, which includes a tailored 360-degree service offering versatile solutions for today’s work-life blend in offices, commercial venues and public spaces, as well as residential projects.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

Since we cater for residential, contract and office projects, the growing iGaming sector in Malta has resulted in an increase, not only with regards to furnishing of office spaces, but also in our residential segment, due to higher quality rental requirements.

When it comes to office spaces, iGaming companies are known for investing in the latest technological innovations, as well as in efficient space management and employee welfare. Therefore, the demand for innovative solutions, such as

BUSINESSAgenda BUSINESS

acoustic panelling systems for noise reduction, areas for collaborative work or privacy booths, various types of seating for different areas, partitions and so on, has increased.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

As a company we understand that no two projects are the same and, therefore, we offer a tailored 360-degree service comprising interior consultation, product selection, professional installation and after-sales service, all based on the client’s individual project needs. Through our network of European offices, contract and

residential furniture brands, which provide detailed technical expertise, we can offer a wide and varied range of certified products with broad customisation options in functionality, modularity and reconfigurability.

influence, also at the workplace.

Nowadays, most people work in offices, where they spend most of their day. It is this contemporary work-life blend which has brought about a change in the way we view how offices should function.

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your business, more generally?

Whilst Scandinavian design has been popular in Malta for a while now, and with most iGaming companies coming from Nordic countries, we do believe that they have brought in a greater Nordic

How do you expect your business to develop considering the continued interest for iGaming companies to set up in Malta?

The drive for multi-functional spaces, that inspire creativity and well-being, propels us to continually seek ways of remaining innovative and widening our service and product selection in anticipation of the ever-evolving living and workspaces.

JOHN PAUL BARBARA – CO-FOUNDER, OFFICEFINDER.COM.MT (REAL ESTATE) OfficeFinder.com.mt is an offshoot of the QLZH Group, focusing on providing commercial real estate services. The Group offers the largest live online database for letting through Quicklets and a fresh and constantly updated portfolio for Zanzi Homes, its sales arm. The team is made up of 380 property specialists operating from 30 offices around the island.

Over the past few years many iGaming companies have set up shop in Malta. Have you seen an increase in your business as a result of this?

Certainly. These companies generally relocate to Malta due to the favourable tax system, lower commercial rent rates and lower labour costs. Some companies have decided to shift their main operations to Malta and require offices of various sizes and with different facilities. In the last few years, the iGaming industry has become one of our main clients.

Successful iGaming clients tend to grow rapidly so in many occasions they come back as repeat clients.

How do the services offered by your business assist the slew of iGaming companies setting up shop in Malta?

Relocating to a different country requires a significant effort under any circumstances. We offer our

know-how of the commercial real estate market to guide them every step of the way, ensuring that the client’s needs are met. By delivering a professional and holistic service, we ensure their transition is smooth. Together with this, we are part of a larger group that can offer company formation guidance, tax advice and residential real estate services. We become their first point of contact for anything related to their relocation, which in turn builds trust between us.

and the local lifestyle. Safeguarding the relationships Malta has with these companies is a priority for us Maltese, both privately and at a Governmental level. To remain competitive and avoid losing these companies to other jurisdictions, we must ensure that our infrastructure improves and the cost of living remains under check.

What are the biggest changes you have observed within your industry as a result of new iGaming companies in Malta, and how has this impacted your business, more generally?

I mainly see higher quality when it comes to the level of finishes for both residential and commercial properties, as well as an increase of state-of-the-art business centres.

As a result of these companies being established in Malta and their employees moving here, a lot of ancillary businesses are thriving and expanding.

How do you expect your business to develop considering the continued interest for iGaming companies to set up in Malta?

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BUSINESSAgenda FINANCE

INVESTING IN THE FUTURE In the 40 years since it was set up, investment firm Curmi & Partners has been providing investment solutions for a plethora of clients looking for integrity and genuine advice. Managing Director David Curmi talks to Vanessa Conneely about the company’s past and the key to planning ahead.

The bedrock of Malta’s economy is often said to be family-run businesses, which put their heart and soul into every decision made to propel the firm – as well as its employees and clients – forward, thus ensuring stability and continuity. And, indeed, in the 40 years since Curmi & Partners was established, the priority has been to create these solid foundations for the future.

His time abroad opened up his mind to new ideas, many of which he has implemented within the company. “Over the years, we’ve adapted our strategy according to the changing times, always trying to offer consistency rather than attempting to be all things to all people. Today, the firm feels almost like a boutique operation,” he explains.

“We were set up in 1978 by my dad, Neville, when Malta was a very different place,” Managing Director David Curmi says. “The political situation was a lot less stable than it is today, so people felt they needed to put their money into an international financial institution rather than keep it in Malta.”

Indeed, having first opened under the name Inter Finance Ltd, the firm has, over the years, cemented its reputation as a leader in the advisory sector, and, on 8th January 1992, it traded on the Malta Stock Exchange for the first time.

Part of that strategy – he believes – is to employ the best brains in the business. “When I first joined at 22, there were only five employees, but we’ve grown since then. People speak about a skills shortage in Malta, but it’s not something we tend to experience. I know I am biased about the quality of my staff, but I think we have a good reputation and people know that if they come to us, they will be challenged, and they will work with like-minded people. Our staff turnover is very low, so that’s always a good indicator you are doing something right.”

A few years later, in 1995, Mr Curmi joined the family business, after returning from the UK, where he studied and worked for 10 years.

Mr Curmi believes a huge factor in retaining staff is creating a good atmosphere at the office. “I think being happy at work is the most

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important thing. I didn’t set out to make that an objective, it just came naturally. I, myself, want to look forward to coming to work every day as it gives me the motivation to do a better job and I want to work in a place where people can be flexible. I think this attitude feeds on itself, because if you employ someone who is self-centred, they will feel uncomfortable and will leave of their own accord, since they just won’t fit in.”

While we talk in the firm’s offices at Finance House in Ta' Xbiex, the business channel Bloomberg plays on the TV in the waiting room, a sign that the team likes to keep abreast of what’s happening when it comes to the global economy, as well as locally. And, in fact, conversation soon turns to the current economic scenario on the island. “The country has done phenomenally well, and the momentum is going to carry on for a little longer. While I don’t think a recession is very likely in Malta, I can see a scenario which would take us in that direction. My fear is that we have become a society that has focused only on how much money I can earn yesterday, and I also don’t see any long-term plans coming from Government,” he says.

Rather, he notes, the local economy is currently built on two pillars: the influx of foreign workers and the property market. Yet, he sees both as posing inherent risks to the island’s financial stability.

“With regards to foreigners coming here, because of the very specific needs of sectors such as iGaming, there isn’t a big risk, but there is a risk. However, the real danger zone, I believe, is the property sector. I cannot see the current situation carry on for a lot longer. When that starts to weaken there could be causalities. And depending on how big those causalities are, there will be a knock-on effect, because everyone is investing in property,” he says.

“If you analyse the situation that countries like Spain, Portugal or Ireland found themselves in 10 years ago, you will find that there are a lot of similarities with Malta

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right now. We might think that property prices will never go down, but you just need to look at what happened in 1972 after the British left Malta. They left behind a lot of properties and the economy took a knock. Today, we also have a mobile labour force, so if the global economy slows down, companies based in Malta will just pack their bags and leave. Once that rental income, which has been supporting families as well as creating the feel-good factor, disappears, I think we will be in trouble.”

In this regard, he also decries the high cost of living currently being experienced on the island, saying that this could tip the financial balance for companies in Malta, even if they are still able to avail themselves of favourable tax incentives. “While it’s a good thing that Malta is becoming more regulated, it is also becoming more expensive, which makes it less attractive for companies to set up or base their workforce here. If that balance tilts, we will start to see a movement out. One of the key factors driving our economy right now is low interest rates. Money is very cheap. Once that goes – because, at some point, it will – people will have to ask themselves if they can still cover the loan they borrowed to buy investment properties to rent,” he explains.

Another topic on Mr Curmi’s mind is Brexit. Having lived in the UK for 10 years, he has a stronger connection than most.

“I think it’s terrible the way the UK has become the laughingstock of Europe. They can’t decide what they want and it’s going to be messy for everyone. I’m an Anglophile so I’m disappointed that the British parliament – which has been the pinnacle of democracy for so long – is steeped in in-fighting over an issue which is so strategically important and will continue to be for future generations. Members of parliament need to take responsibility for that and make a decision. If there is an exodus of companies leaving the UK, England is going to suffer. I’m disappointed,

however, that we haven’t managed to attract some of that business to Malta, because I think we are a very good option for those businesses, in that we speak English and our legal system is very similar to that of the UK,” he asserts.

So how is Mr Curmi planning to weather any potential economic storm that lies ahead for his own company? “I think we are lucky in that we are small enough to be very much in control of our own destiny. This year, we’ve been putting the finishing touches on our strategic plan for the future, which will act as a platform for us to continue showing our strengths in the marketplace for 2020 and onwards. But it’s not going to be significantly different to what we have done in the past.

We’ve decided that we want to consolidate what we have and build on that. When you grow too quickly, you get stressed and the cracks appear. While we have attracted new business this year, we haven’t gone actively out and tried to find more. Instead, we’ve used the time to implement some internal changes and upgrade our IT systems,” he states.

And, while Curmi & Partners has invested – and does believe in investing – in new technology, the Managing Director feels it should never replace human contact. “One

thing we discuss is to what level we automate ourselves. I still believe in face-to-face contact. We have taken a view whereby we automate efficiency, but not a relationship.

We want clients to be able to pick up the phone, or come by the office and visit us, or we will visit them. I can’t get my head around how humans will be able to use AI to do jobs for us in the future and generate the same amount of global wealth. Surely, society will have to completely restructure its economy for this to work. I can already see technology driving my children’s lives and it will require some big changes in the future,” he predicts.

Speaking of family, does Mr Curmi see himself handing down his business to one, or both of his children, the way his father passed it on to him? “I’m very conscious that we are a second-generation family and there is a lot of data to suggest that companies don’t survive past this. I’m trying to put structures in place that will take the company beyond the family. In fact, we haven’t had a new family member join the company for 10 years. I have the approach that if you want the best minds and they are not in your family, then they have to come from the outside.

Our responsibility is towards our clients, not towards our family. I think we are fortunate in that we operate with the mentality that if you are family you need to prove yourself, not the other way around,” he states.

And, indeed, the Managing Director is working towards ensuring “there is sufficient robustness in the business to carry on going without any family members,” he says. “What I say to my staff is ‘this is not about family ownership, it’s about what our beliefs are and, although our morals and values come from a single family, they are common across many families and individuals. And, if we are a likeminded team, then we will share the same values and principles, and that is what is critical’,” he asserts.

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the business community or a sole trader following an insured loss,” he explains. “However, insurance products are mostly adequate and meet the insurance needs of a business. Whilst an insurance policyholder needs to understand that insurance policies do not cover everything one can imagine, it is imperative that insured values or sums insured on buildings, fixtures and fittings, plant, machinery, equipment and stock must represent their rebuilding or replacement value at the time of the loss.”

PRIORITISING BUSINESS INSURANCE Recent headlines have put a spotlight on health and safety in the workplace, with fatal incidents making the front page. Here, Keith Mallia-Milanes, Assistant General Manager at insurers MAPFRE Middlesea, talks to Vanessa Conneely about the need for businesses to pool their risks and take their insurance plans seriously.

“The ‘it will never happen to me’ mentality is still a hurdle that needs to be overcome in Malta,” says Keith Mallia-Milanes, Assistant General Manager at MAPFRE Middlesea. We meet at the company’s beautiful headquarters in Floriana. The hum of office life in the background contrasts sharply with our topic of discussion, as Mr Mallia-Milanes explains how desperately Malta needs to change its attitude towards insurance.

“Malta’s ever-increasing business activity has now brought about 52 | SUMMER ISSUE

increased exposure to serious accidents including fatal ones, not to mention near-misses that should have shaken those who must have known better,” he says.

He believes that both individuals and businesses need to take their insurance plans more seriously and invest in learning about what’s best for them, in order to understand how proper protection plans can shield firms, should the worst happen. “Insurance will never solve all the possible problems of

He also notes what the policy would cover, in actuality. “If a retail outlet is closed for 12 weeks following a fire, an adequate insurance policy will pay for the cost to repair all the damage and, possibly for the loss of income, including fixed costs. However, an insurance policy will not make good for the loss of those customers who have now moved to a competitor, purchasing their needs from elsewhere.”

Mr Mallia-Milanes speaks from years of experience, and the firm, MAPFRE Middlesea, has been successfully providing insurance protection to the business community for a long period of time with its wide range of products, through its extensive distribution network.

“From property and engineering insurance to cover a variety of assets to public, products and employers’ liability policies to protect customers against their legal liabilities, the need for adequate insurance protection should be one of the top priorities of any business organisation irrespective of its size,” he underlines.

And, it is this knowledge of the field which informs Mr MalliaMilanes’ outlook on the necessity of insurance for each business. “In the same way that insurance on residential properties is indirectly driven by banks requesting insurance cover on the asset as collateral on a mortgage, the business community generally purchases insurance as a result

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of the need for bank finance on stock, machinery and property development.”

He also warns that dangers lie even if the insurance policy is not well-thought out and does not stretch to cover what is needed.

“Under-insurance is a common issue with claims and is generally a means to save on insurance costs.

However, this usually turns out to be an expensive and short-sighted saving on premium following a loss insured under a property or material damage insurance policy. In the event of inadequate insured values at the time of a loss, a policyholder will be penalised for such a shortcoming during the adjustment of the claim.

Unfortunately, this is a common feature after an insured loss and, as a result, customers should regularly ensure the inclusion of all new assets at any business location, any time during the period of insurance, and that insured values represent today’s replacement values at all times,” he explains.

Mr Mallia-Milanes also extols the benefits of liability insurance, also known as third party insurance, which protects the client “against their legal liability for third party damage or injury, whether fatal or not, happening at the place of business, whether on the premises or elsewhere,” he says, going on to explain that this cover is provided by public or general third party liability insurance policies. “With liability insurance, customers should ensure that all their business activities are described in detail to their insurer or insurance intermediary to make sure that any damage or injury arising from any of their activities would be covered by the policy. In addition, if some or most of their business takes place away from the business premises (including overseas), this should also be notified so that the insurance provided reflects this requirement.”

erected, repaired, altered, treated or tested,” and employers’ liability policies which “protect the policyholder against legal liability for injury or disease sustained by employees arising out of and in the course of their employment.”

However, there are other considerations to also keep in mind, he continues. “In addition to these insurance covers, the business community should also seriously consider purchasing business interruption insurance, machinery breakdown and electronic equipment insurance and automatic cover for business travel. MAPFRE Middlesea, Malta’s largest and leading insurance company, provides these insurance covers including employee benefit policies like private medical insurance and personal accident, which are all available through their offices, their tied insurance intermediaries and agents and insurance brokers.”

Moreover, Mr Mallia-Milanes warns business owners about another pending threat – the environment.

“The effect of climate change should not be underestimated. In recent years, Malta has experienced increased damage as a result of storms, floods and hail, with extensive impact on the insurance industry which has paid millions of euro in repairs and compensation.

Whilst this phenomenon requires more of the overall application of risk management techniques to reduce and control exposures rather than just the purchase of insurance, such events have highlighted problems of underinsurance and the lack of standards on loss prevention.”

But it’s not all doom and gloom when it comes to businesses and their insurance, Mallia-Milanes says, with figures showing that more and more people are understanding the need for a good insurance plan. “Domestic business in the Maltese non-life insurance market has experienced positive development and growth in the last few years. Premium income has increased from €158 million in 2015 to €201 million in 2018, an increase of over 27 per cent in a period of four years. Excluding motor insurance business, this market sector has also increased by 21 per cent during the same period,” he says.

“The latest available density data shows that, in Malta, a per capita average of €397.85 was spent on non-life business, compared to €377.66 in 2016, representing an increase of 5.3 per cent. However, insurance penetration, an indicator comparing insurance activity to the country’s Gross Domestic Product (GDP), decreased from 1.72 per cent in 2016 to 1.65 per cent in 2017, a drop of 4.08 per cent, and below 2.22 per cent representing the average of the European Union,” he outlines.

“This implies that whilst insurance customers (both individuals and organisations) in Malta are spending more on insurance, the overall Maltese economy is growing at a faster rate than domestic insurance activity.” He adds that insurance protection on personal and business assets and liabilities is still lagging, though he expresses optimism that companies will start to look at insurance as an integral part of their business plan.

In order to further explicate, he contrasts this with products’ liability policies which “provide similar cover but in respect of goods sold, supplied, installed, SUMMER ISSUE | 53

Getting cargo safely from A to B may seem like a relatively simple task, but, for those in the know, it is a complex challenge, fraught with possible risks.

Jo Caruana chats to Express Trailers CEO, Franco Azzopardi, about why choosing the right logistics partner is essential.

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For the most part, we don’t think about how our products get to Malta. We might know that they have come from China, the US or the UK, but we don’t really consider the immense logistical chain that took place to get an item from its original base to its new home.

“Transporting cargo comes with huge risks,” explains Express Trailers CEO, Franco Azzopardi, as he walks me through the company’s Qormi base where trailer after trailer is received, sorted and then transported onwards to its destination. “As consumers, most people don’t have to think about where their products come from and how they get here, but importers and exporters do, and they are the ones that have to trust their consignment to a particular carrier and to know the risks that come with it.”

Mr Azzopardi explains that some importers assume their goods would be protected if something were to go wrong, but often they are not. In fact, according to the United Nation’s Convention on the Contract for the International Carriage of Goods by Road (CMR) by Economic Commission for Europe that was signed in 1956, and ratified by 44 states in 2017, there is a legal financial limit to the haulier’s liability, and this could well prove to be much lower than the cost of the goods themselves – meaning importers could be out of pocket.

PHOTO: ALAN CARVILLE

BRINGING DISCIPLINE AND RISK MANAGEMENT to CARGO T R A N S P O R TAT I O N

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“Yes, you can claim aspects of the cargo itself, should something go awry, but you definitely can’t claim your profits, so it makes so much more sense to go with a carrier that has enacted a risk assessment, rather than one which has given you a cheaper price for a lesser service. If that lower price – an inversely proportionate function of your risk – means there is a bigger probability that the cargo will be lost or damaged, then you will lose the profit.”

It is this perception of risk that Mr Azzopardi explains is taken very seriously at Express Trailers.

“It also extends to our governance perspective, including how our corporate structure is engineered, the extent of training we give our people, the degree of investment and maintenance we afford, and the insurance that we take out.

We actually have a risk committee in place, specifically, as a subcommittee of our main Board.

We use it to challenge the ‘what ifs’ and to look at the ways we would handle situations should the worst happen. This, we believe, gives comfort to our customers as they know that even if our liability is limited by law if anything goes wrong, the chances of anything going wrong is reduced to a minimum.”

He gives the example of a trailer possibly holding 100 mobile phones, with each item being worth around €500 and weighing 200 grams. “As a carrier, our liability at law (in case something goes wrong and there is full loss or damage to the phones) would be just €10 per kilogram (actually 8.33SDRs – based on the supplementary foreign-exchange reserve assets defined and maintained by the International Monetary Fund). This covers legal liability in accordance with the CMR Convention. That works out to a total liability for the carrier company of €200 (€10 for 100 units weighing 0.2kg each).

“So, if the worst happens, a client is understandably devastated and thinks they can sue for the full value of €50,000, which is just

the cost and will not include the lost profits. However, unless the carrier is condemned to having acted with ‘wilful misconduct’, that shows deliberate action, not just negligence, the Court should not condemn that carrier to pay the full value of the cargo, in our example €50,000, but just the €200.”

“Now, there have been occasions when the case goes to Court and the carrier is made to pay the full amount but, if the carrier cannot be condemned of ‘wilful misconduct’, as the Convention states, then this is actually against the Convention and against the law. The Convention should definitely be upheld and importers should carefully understand the risks and make choices accordingly so as to avoid long litigations and the unknown outcome of the Court ruling.”

In line with this, Mr Azzopardi says he also encourages his clients to run their own risk assessments, while he emphasises that the logistics firm he runs does everything in its power to mitigate against any risks, including hiring professionals to ensure the proper maintenance of equipment required during transportation.

“We can assure our clients that this is something that we take very seriously, and we leave nothing to chance. We have our own in-house academy to train our people on the job, a maintenance department with 27 mechanics and tradesmen dedicated to the upkeep and smooth-running of our equipment, and a heavyweight IT system with telematics and full visibility of our equipment and cargo.”

“We don’t try to cut corners when it comes to our overseas collaborators either, for instance, when it comes to shipping lines that serve us and our clients over the ocean leg of the transportation: we could try to get more and more from them, but we understand they need to have their own margins for them to be able to invest appropriately, to operate effectively, and to do a good job. If they choose to strike Malta off their list of countries where they do business, then our

“Our risk committee challenges the ‘what ifs’ and looks at the ways we would handle situations should the worst happen.”

customers will suffer, so there has to be give and take. We are extremely careful when it comes to quality control – and not just when it comes to our own part of the chain, but further up too,” he explains.

It may sound drastic, but clearly this head-on approach to risk is working for Express Trailers, as the company is achieving more than ever before. “We believe that the way we work makes sense because, at the end of the day, sensible business people don’t want to put their livelihoods at risk. They want to make the right decisions when it comes to bringing important items to Malta, or exporting their production,” he underlines.

Moreover, Mr Azzopardi is convinced this attitude has encouraged clients to trust their service, over that of some of their competitors. “We would like to think that this disciplined approach is actually part of the reason why they choose us – because we go to great lengths to have professional people, to be compliant, in-line with the law, and fully maintained. We believe this is what makes the biggest difference when it matters most,” he concludes.

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NOUV:BRINGING AI to BUSINESS SOLUTIONS Renowned as a one-stop consultancy solution for companies in a variety of sectors, ranging from family businesses to IT firms, NOUV has now also developed a specialised set of services for the iGaming industry. Jo Caruana finds out more.

In business, there is no final destination. Success comes from the constant evolution that starts the day you open your doors, and extends throughout your corporate journey.

True to that, NOUV is an organisation that has developed substantially since it was first incorporated in 2008. Initially, the team sought to provide traditional accounting services to micro companies and small businesses – and, particularly, to the growing number of local start-ups. However, as NOUV itself grew in the years that followed, so did their initial clients grow with them, ultimately helping their clients to understand their own potential for more growth.

“At the same time, our clients’ requirements became more sophisticated and complex,” explains the company’s technology partner Andrew Naudi. “So this encouraged us to evolve and expand our range of services accordingly. Our growth and increasingly-diverse client base then encouraged us to start 56 | SUMMER ISSUE

offering the full spectrum of corporate services, including statutory auditing.”

Important milestones were achieved, including, in 2015, when NOUV became an independent member of TGS Global – an international network of professional business advisors. Today, five partners head an operation of around 30 professionals, and the company services clients across accounting, auditing and consultancy services in the fields of family business, IT and iGaming.

Despite that growth, though, NOUV has very much retained the original values that have underpinned it throughout that time: that of achieving clients’ goals, while never undermining the team’s integrity and professionalism.

“We believe that this can only be achieved by showing honesty in all that we do and by being a contributor to our clients’ success,” Mr Naudi states. “Perhaps the crucial differentiator for us is the fact that we go beyond supplying

what is traditionally expected from an accountancy firm or a corporate service provider. In fact, we seek to become an integral part of the organisation we are assisting, so we can deliver added value through more services.”

With this in mind, he stresses that the team doesn’t just perform its assigned tasks, but goes beyond by analysing the data available to provide advice to help its clients take more informed strategic decisions. “Our advisory services are based on our firm’s collective knowledge,” he continues.

“This gives our clients access to independent advice based on years of diverse individual and collective experience. Our team will assist in identifying threats, opportunities and associated risks, and will provide a professional opinion when making operational, financial and strategic decisions.

Our greatest satisfaction is derived from participating in the evolution and success of the organisations we service,” he explains.

And there is no doubt that the businesses they work with

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need to consider their current situation, whether the company in question is a family entity or not, and whether it is local or based further afield in the EU. For this, NOUV provides its Business Assessment service, which consists of a 360-degree check-up of the organisation, covering strategy, governance, finance, marketing and operations. “We make it our mission to help these businesses to change what matters and to assist them in their development,” Mr Naudi goes on to say.

“Meanwhile, at an EU level, we obviously need to consider the fact that the platform is wider.

Therefore, we have identified iGaming as the industry we should focus on when exporting our services to EU countries. To this end, we developed a new offering called the ‘iGaming specialist service’ that provides a one-stop solution for iGaming companies to set up and/or re-locate their iGaming services to Malta,” he describes.

Mr Naudi also emphasises the tailor-made approach the firm adopts. “We are aware that clients have individual requirements and we have thus assembled a team of industry experts to tailor-make our offering to each of them. This means that we can provide advisory, regulatory compliance and assurance services complemented by the right mix of product offerings.”

But they haven’t stopped there: NOUV is now also considering how AI could complement iGaming compliance by providing real time alerts on incidents that fall within compliance and regulatory requirements, whether that is AML or responsible betting.

Going forward, this means that NOUV clients will be able to (with a modest investment) connect to the company’s AI-driven engine and automatically document compliance violations, with alerts being forwarded as required. “That is a meaningful advance over manual tools and documenting, which would help immensely with the struggle to keep up with the

vast amounts of player data that are being generated constantly,” Mr Naudi says.

Asked to share a particular case study in this area, he highlights Tomobox – an Israeli start-up company based in Tel Aviv that, last year, won the Sigma18 startup pitch out of 200 candidates.

It is currently doing a 12-month residency at the Microsoft Innovation Centre to attract Maltabased iGaming operators.

“The company developed an AI driven platform that alerts iGaming operators on player behaviour, particularly in cases of compulsive or abusive player behaviour that may indicate addiction issues. As part of our consultancy work with iGaming operators and our work to pioneer iGaming compliance services, we found a tremendous gap between the know-how that consultants have and the tools they might use through their audits.

In view of this, and the huge fines that iGaming operators risk being slapped with for failing to comply with safe betting regulations, we decided to work closely with Tomobox.”

Today, in fact, NOUV is a reseller of their product SafeTrac – an innovative software product, driven

by AI, that helps compliance officers in iGaming, through the real-time flagging of potential player compulsiveness, abusive behaviour or collusion. “It is also worth noting that, now, all operators are obliged by law to have measures of this sort in place to protect their business and the sector at large,” he adds.

And NOUV’s relationship with AI shows no signs of slowing down.

The company is looking at AI in light of the potential opportunities it can bring to the country. The team believes that, beyond the fanfare surrounding this technology, AI could be a strategic tool that will bring about a huge shift in the way we approach the world we live in.

sector, which is already a pillar of our economy?” Mr Naudi questions.

“The fact that Malta is currently drawing up a national strategy for AI is also very encouraging. But, for this sector to develop more, we first need to demystify the idea of AI and reduce the fear that exists around it, so as to fully embrace the opportunities of this technology.”

To this end, NOUV aims to inform and better educate stakeholders on the opportunities surrounding AI. “Thus, here at NOUV, we have kick-started a debate about how AI could support a better and safer iGaming sector through a series of seminars, in collaboration with Microsoft and Tomobox, to look at how other jurisdictions are using the technology to foster an environment that seeks a balance between the iGaming industry’s interests and the safety of iGaming customers. While we have noticed a rise in investment when it comes to compliance and player protection, we do believe the sector could develop more through further investment in technology.”

In fact, this specialist focus on iGaming services and its onestop solution for the sector will continue to be a focus for NOUV in the months and years to come.

“We are aware that clients have individual requirements, and we have, therefore, assembled a team of industry experts so we can tailor-make our offering for each client. With that in mind, we can provide advisory, regulatory compliance and assurance services complemented by the right mix of product offerings.”

And, iGaming will remain central to the future of the firm. “So, as we evolve further and move into the future, we will remain committed to our mission to promote the importance of responsible iGaming, among other things.

Ensuring that iGaming remains free from the risks of money laundering will be our way of protecting a very important sector in our economy,” Mr Naudi concludes.

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NEWS Looking back on MBB highlights MARCH - JUNE 2019

7TH MARCH

MBB AND BOV ORGANISE A BREXIT BUSINESS SEMINAR The Financial Markets / FX Perspective business seminar on Brexit organised by the MBB and Bank of Valletta on 7th March, welcomed several business participants, with the aim of providing insights on the latest developments in the Brexit debate and how Brexit will affect their day-to-day operations.

The seminar also welcomed the participation of Christopher Dembik, Head of Macroeconomic Analysis at Saxo Bank, who remarked that whilst some economic sectors within the EU, and some EU member states, will be more exposed than others, from a macroeconomic level, Brexit is mostly a British problem with risk of contagion close to zero.

Mr Dembik’s presentation was followed by an exchange of views on the vote in the House of Commons in March and how a delay of a hard Brexit may provide a breather, but he warned that postponing without solutions in place will not address business needs. Other topics discussed were ways to manage the high volatility in the FX market; and how the fluctuations in the value of the Sterling to the Euro are affecting business, including tourism operators.

Reference was also made to the aviation agreement which was concluded at an EU level to ensure continuity of air travel between the UK and the EU.

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13TH MARCH

MBB PARTICIPATES IN THE FIRST EDITION OF MALTESE PARLIAMENT FOR ENTERPRISES MBB President Simon De Cesare and MBB CEO Joe Tanti addressed the first edition of the ‘Maltese Parliament for Enterprises’, organised by The Malta Chamber of Commerce, Enterprise and Industry in collaboration with the Office of the Speaker of the House of Representatives and EUROCHAMBRES. For the first time ever, Malta’s business leaders had the opportunity to address Parliament and voice their concerns and opinions on a number of issues affecting the economy in Malta. Participating entrepreneurs discussed themes such as skills in the modern labour market, competitiveness, sustainable development, and R&D&I. Addressing the event, then Malta Chamber President Frank V. Farrugia emphasised the importance of these four themes in order to create jobs and foster economic growth.

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Mr De Cesare said that quality tourism should prevail over quantity, with the focus shifting from overcrowded and littered beaches, and tourist areas, to more upscale niche tourism, which would reduce the pressure on the local community. On the other hand, Mr Tanti focused on start-ups and innovation, and highlighted the need to invest in our educational systems to create a young generation of dreamers, risk-takers and enablers.

Apart from entrepreneurs coming from all sectors of the economy, the session was also addressed by Prime Minister Joseph Muscat, Leader of the Opposition Adrian Delia and members of Parliament from both sides of the House.

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27-28TH MARCH

TOURISM AND CULTURAL HERITAGE SECTOR GROUP MEETS IN MAGDEBURG, GERMANY

18TH MARCH

MBB EXECUTIVE PRESENTS FOSTER PROJECT IN BRUSSELS MBB Sustainable Development Executive Gabriel Cassar attended a session of the EU Platform on Food Losses and Food Waste to present the LIFE FOSTER project on food waste reduction in the hospitality sector. This invitation was extended to the MBB

by HOTREC, the EU-level umbrella association of hotels, restaurants, pubs and cafés. The MBB forms part of HOTREC on behalf of the Malta Hotels and Restaurants Association.

In Spring, the Enterprise Europe Network Tourism and Cultural Heritage Sector Group congregated for the first official 2019 meeting held in Magdeburg, Germany. MBB Senior Executive Ana Vella, co-chaired the meeting together with Sector Group Chair Paola Tolin, Innovation Advisor at the Torino Chamber of Commerce and Deputy Chair Aija Konisevska Azadi, International Project Consultant at the North Denmark EU Office. During the meeting, the Sector Group members discussed the respective niche tourism interests of their respective home countries such as business, events, E-sports and medical tourism, with the aim of deepening collaboration on similar regional interests through prospective EU funded projects.

In this regard, a number of upcoming EU project calls and partnering opportunities for 2019 were also announced, particularly Interreg NSR and Creative Europe. The Group also formalised a preparatory work action plan for this year’s forthcoming ‘World-Bridge Tourism’ EU-China activities.

During the meeting, Mr Cassar first introduced the strategic vision of the project, focusing on the importance of the hospitality sector and the need to contribute towards its continuous development.

He then introduced the activities planned during the project’s lifetime, before opening the floor to questions from the other participants. Ms Carlotta Rovesti, project lead ENAIP NET representative, was also present during the meeting.

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12TH APRIL

MBB PUBLISHES BUSINESS MANIFESTO The MBB published a Maltese Business Manifesto for the 2019 European elections and the new EU legislature. This manifesto provides a reflection on the various policy areas of interest to business and the Maltese economy. It also puts forward a series of messages and proposals that the MBB believes should guide the work of the Maltese elected MEPs. To view the full publication visit www.mbb.org.mt

PHOTO: RAY ATTARD, OFFICIAL DAR MALTA PHOTOGRAPHER

15TH APRIL

VITA PROJECT MEETING IN BRUSSELS As part of the VITA project, MBB held the project’s April meeting in Brussels, hosted by the Permanent Representation of Malta to the EU. Whilst the first half of the meeting was dedicated to internal project matters, the second half allowed for a presentation of virtual and augmented reality content to external parties, demonstrating how VR and AR can be used to help adults catch up with digital skills. BusinessEurope, EUROCHAMBRES, HOTREC and other key stakeholders working in the field of employment and training also attended and actively participated during the event.

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24TH APRIL

SME INTERNATIONALISATION & EXPORT MANAGEMENT TRAINING In their capacity as MBB’s Enterprise Europe Network (EEN) service providers, MBB CEO Joe Tanti and EEN Project Manager, Ana Vella, successfully completed the University of Malta accredited ‘Go Global’ SME Internationalisation and Export Management training course organised by Trade Malta. Joining local practitioners, they were able to gain further knowledge on key aspects which could assist local companies to develop their business abroad when providing EEN services to local clients. Local experts, seasoned entrepreneurs and experienced panellists were invited to share their knowledge and provide useful insights on the key strategies and skills required when attempting to export a product or service.

Several presentations on topics ranging from strategic financing and risk management, value proposition and marketing strategy, managing an international enterprise, pricing practices, market intelligence, e-marketing, as well as accounting and contractual issues were delivered, all of which provided a better understanding of how businesses may overcome obstacles when tapping new markets.

Towards the end of the course, MBB successfully presented an Export Marketing Plan which was assessed by an examination panel.

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21ST – 22ND MAY

FACILITATING A NATIONAL DESIGN ACTION PLAN Two years into the project, Design for Innovation partners met in Cardiff on 21st and 22nd May for a penultimate meeting which combined a hands-on knowledge exchange workshop, with study visits and a steering committee meeting. Design4Innovation is a collaborative project of eight European partners working together to promote design as a tool for user-centred innovation. The project aims to help small and medium enterprises create more desirable products and services, be more profitable and grow faster, ultimately enhancing competitiveness of European SMEs. Locally, the project is being driven by the Valletta Design Cluster, one of the project’s key national stakeholders, on behalf of Design4Innovation project partner, the Valletta Cultural Agency.

In her capacity as MBB’s stakeholder representative, Senior Executive Ana Vella was invited to participate in the sixth Design4Innovation project partnership meeting. Ana was also joined by Malta Chamber of Commerce Communications Manager, Edward Bonello, and Visiting Professor at the University of Malta, Dr Ann Laenen, to support discussions on the development of national design action plans. The key theme for the event was ‘building capacity for design 68 | SUMMER ISSUE

in business support organisations’, but it also reflected on all good practices learnt by the partners so far.

The programme was complemented by case study presentations from Clwstwr, User-Factor, PDR and PBS, and study visits at Inc. Space and Rabble Studio.

Design for Europe is a collaborative project running between 2017 and 2021, aiming to promote design as a tool for user-centered innovation, and is funded under the Interreg Europe Programme of the European Commission.

BUSINESSAgenda NEWS

12TH JUNE

MBB HOSTS FOOD WASTE REDUCTION SEMINAR Following the announcement of the collaboration between the Malta Business Bureau and the Institute of Tourism Studies (ITS) in a press conference last February, the partners hosted a food waste reduction seminar at the ITS campus in Luqa on 12th June. The objective of this event was to introduce local hospitality businesses to LIFE FOSTER, and to introduce the significant training opportunities which this project presents.

The three-year project aims to help build national capacity on food waste reduction in the hospitality sector through the training and education of existing professionals and current trainees, as well as the engagement of businesses and policymakers in the sector.

4TH – 6TH JUNE 2019

MBB HOSTS INCOME TOURISM DELEGATION IN MALTA Following February’s meeting of the Erasmus + INCOME Tourism project partners in Bergamo, Italy, MBB, together with Malta University Consulting (MUC), hosted over 50 representatives of the INCOME Tourism project for the fourth partners’ meeting in Malta. The previous meeting had enabled the partners to finalise a way forward in terms of the piloting of a cooperative learning process that brings together higher educational institutions and businesses in the tourism industry.

Throughout its duration, the project shall offer free masterclass sessions, during which a number of food waste reduction experts will showcase practical techniques that restaurants may use in their daily operations to reduce food waste and to cut down on costs. These sessions will be conducted by ITS lecturers who have undergone specialised training by the University of Gastronomic Sciences in Pollenzo, Italy.

The seminar was organised in collaboration with the MHRA. For more information, contact MBB Sustainable Development Executive Gabriel Cassar, on gcassar@mbb.org.mt

The first two days of the delegation visit, held between 4th and 6th June, served as a platform for the whole consortium to finalise the structure of the newlydeveloped cooperative learning process that will be piloted during the next academic year (2019–2020).

On the third and final day, the hosts organised a targeted workshop with the aim of enhancing the degree of collaboration between the project partners and tourism companies from Germany, Italy, Portugal, Spain and Malta.

The visiting tourism professionals were also given the opportunity to attend two company visits at the Westin Dragonara Resort and the Eden Leisure Group respectively.

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Fashion designer Saz Mifsud started out as a painter but, today, the inventive entrepreneur and stylist leads the way with vibrant fabric works of art, also venturing into international markets. Here, the 27-yearold speaks to Vanessa Conneely about her favourite birds, social media and how she’s helping those struggling with cancer.

June is an exciting month for Saz Mifsud. The 27-year-old textile designer launches the second phase of her beautiful collection of fashion accessories this month. Like her previous launch in November, the theme is birds. “All the imagery comes from photographs I took myself,” she says. “I went to the bird park in Salina and took pictures of peacock and parrot feathers up close. I simply fell in love with their jewel tones which became the basis for my entire collection. Afterwards, I came back to my workspace and created drawings inspired by those photographs. You can see in my work the sketches that are mixed with my photography and then amalgamated into the digital design.”

Getting up close with nature has always inspired the Maltese native, who was raised in Mosta, spent her teenage years in Sliema and now lives in Birgu. Since launching her first collection in 2013, in London, where she studied at the University for Creative Arts, she has used seashells, florals and plants to get ideas and spark her imagination.

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“While I’d like to expand my brand to be more international, I don’t think it’s necessary to keep coming up with new collections every season.”

long before then. “I’ve always been interested in painting for as long as I can remember, so it was natural to me that I would do something related to art, professionally, if I had the opportunity,” she adds.

And growing up in Malta seems to only have had a positive influence on her work as a designer. “I remember my tutor in London pointing out that my colours were very Mediterranean. I also think it made me stand out when I launched my first collection there. I brought that edge into my designs with my bold colours and imagery,” she says.

It’s no surprise, then, that Saz moved back to Malta from London in 2014 to keep those creative juices flowing. But turning a passion into a living, breathing, sustainable business takes hard work and persistence – something Saz seems to have mastered. She now employs a small team of three to help her produce her beautiful silk designs and sell them. “I outsource my sewing and my team in Malta takes care of customer relations,” she continues. “First, we design the fabric, then we produce the product, so every single detail has been thought-out and designed by our fabulous team. Then we send the designs to a company abroad to be printed digitally onto natural fabrics.”

The company started small and has gone from strength to strength under the guidance of the young designer. Following success locally, she has, recently, begun to tap into new markets abroad, and is hoping to internationalise in the future . “It all started with simple silk scarves in three sizes – small, medium and larger shawls which we still produce today,” explains Saz. “But we now also have other accessories such as silk clutches and handbags, leather bags and purses, as well as silk headbands and floral print neckerchiefs.” Moving from silk to leather was another big leap for Saz. “The bags and purses are printed by a company in New York which I chose because I fell in love with them. I like to work with suppliers that I trust. There aren’t SUMMER ISSUE | 75

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Saz is also a big believer in the power of social media. “It’s the basis of all my advertising. I use Facebook and Instagram, and I find the return to be high, for the money you put into it. I can upload an image of a scarf and sell it that day. I also strongly believe in influencers. I have worked with a few, and I want to have a real relationship. I’m actually going to meet a group of influencers in New York in June, so hopefully that works out.”

But allowing her customers to have physical contact with her product, before they buy, is also important to Saz, being someone who loves the feel and texture of textiles herself.

“Not everyone shops online so I think it’s still important for people to be able to see your product in person. For that reason, I have teamed up with two stockists in Malta: Eclecticist in Attard as well as Valletta Contemporary on East Street.”

The young designer also believes in inclusivity and giving back. Saz and her team are currently running a campaign that helps women who are going through cancer. “For every 20 scarves we sell, we donate a head scarf to a woman undergoing treatment that results in hair loss,” she says.

many leather printers around, so I was lucky to find them.”

Of course, no business can survive without decent marketing. “Most of my sales are done online,” continues Saz. “Many of my clients are Malta-based but I’m trying to expand. I think selling online works well for anyone producing accessories, as clients don’t need to try them on or worry about different sizes. Everything comes ready packaged, so a lot of people buy them as gifts, which is convenient, and we also post the items, so they arrive on time with very little effort.” Having an online presence also allows Saz to use technology and algorithms to track her sales, and develop her audience online. “The information we collect allows us to see which countries might work for us. I’m still researching and working with people who can help me target specific customers, but if it works it would be a big positive.”

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“I’d like to expand my brand to be more international, and, while I design summer and winter collections, my fabrics can be worn all year round.”

So, what lies in store for the energetic go-getter? “I’d like to expand my brand to be more international, and while I design summer and winter collections, my fabrics can be worn all year round.

I believe I have very sellable items because they are comfortable and breathable, and above all, the printed silk will remain stunning for years to come as it retains its colour and lustre, while leather ages in its own beautiful way. Both become softer with wear,” she smiles.

To view the collections, visit www.sazmifsud.com For more information on how you can benefit from the Enterprise Europe Network’s business support services, kindly contact Ana Vella on avella@mbb.org.mt or visit www.enterprise-europemalta.com

BUSINESSAgenda TOURISM

WA S T E N OT , WA N T N OT

Awareness of food waste, and efforts to cut it down, are becoming increasingly widespread.

With education as the driving force behind the EU LIFE FOSTER project, Marie-Claire Grima seeks to find out why curbing food waste makes sense for the planet, as well as for business.

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“We are confident that there will be a strong participation by the Maltese business community during project activities. Seeing this strong response, we are now developing additional activities targeting Maltese enterprises and their employees.”

JOE TANTI

Global food loss and waste – food that is discarded or lost without being eaten – amounts to around one-third of all food produced, according to the United Nations Food and Agriculture Organization (FAO). Food waste and loss accounts for 8 per cent of global greenhouse gas emissions, according to the FAO, and an alarming 2018 report by the Boston Consulting Group predicts that the amount of food that is wasted each year is set to rise by a third by 2030, when 2.1 billion tonnes will either be lost or thrown away.

This is equivalent to a staggering 66 tonnes of food wasted each second.

production, whilst in developed countries, a great deal of food is wasted at the consumption stage, particularly in restaurants and other outside catering establishments. “Food service production accounts for 12 per cent of the EU’s total food waste, according to the results of the 2016 project FUSION,” say Professor Nadia Tecco and Professor Franco Fassio, from Northern Italy’s University of Gastronomic Sciences.

“If no corrective measures will be adopted in the next years, such a major environmental problem, which also has economic and social repercussions, could get even worse,” they explain.

“Food waste has always been an environmental and a social equity problem. However, with intensive agricultural practices making food readily available all year round – including out of season – it has led to a drastic decline in the nurturing relationship between society and nature’s ability to provide humankind with food,” says Dr Alexandra Mifsud, who lectures at the Centre for Environmental Education and Research (CEER) at the University of Malta. “The inequitable abundance of food in westernised societies – as the rest of the world suffers famine and malnourishment – is undoubtedly a moral problem as well as an environmental one. It is a reflection of the self-absorbed attitude and short-sightedness typically present

in modern societies. Unless there is a radical shift in these societal traits, and in food production practices, I would be inclined to say that the rise of food waste is set to continue.”

“By throwing away the equivalent of 21 kg per person each year in Europe, the hospitality industry is contributing to the depletion of an environment of limited natural resources and to the increase of the carbon impact of the food system for present and future generations,” Professor Fassio says, while Professor Tecco adds that, “apart from these material and quantitative aspects, we should also consider the immaterial, and less immediate side of waste, in relation to our value system in a world where 850 million people are still undernourished.”

Loss and wastage occur at all stages of the food supply chain or value chain. In low-income countries, most loss occurs during

If food waste continues at its current rate on a global level, Dr Mifsud says the hospitality industry will be responsible for reinforcing, SUMMER ISSUE | 79

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announced its participation in the LIFE FOSTER project in February 2019. “The MBB strongly believes that education and training are key enablers of behavioural change. That is why, together with our European partners, the MBB started exploring possible solutions to help combat food waste in Europe. This good work has culminated into the LIFE FOSTER project which is running today.”

Prof. Nadia Tecco

and possibly encouraging, the inequitable access to food, resulting in a rise in the lack of food security across the globe.

“It will pose waste management challenges and will contribute further to CO2 emissions and climate change. It will be sending a message of support for the continued use of harmful and polluting pesticides and fertilisers.

It will also make it more difficult to shift to healthier and sustainable food production.”

This is why the LIFE FOSTER project, a three-year collaboration between four partner countries – Malta, Italy, France and Spain – has been launched. The aim is to strengthen national capacity when it comes to food waste reduction in commercial settings, with education as the driving force behind the project. “Food waste is becoming an increasingly hot topic, not just due to environmental concerns, but also due to the economic implications that it presents,” says Joe Tanti, CEO of the Malta Business Bureau (MBB), which, along with the Institute of Tourism Studies (ITS),

Pierre Fenech, CEO at ITS, says that the project will complement the current drive on domestic food waste management by targeting the hospitality industry. “This project will contribute in part to immediately addressing Malta’s waste problems and forms a good basis for future work dealing with food waste. It is an imperative step for ITS to tackle food waste, both to reduce it in our own training kitchens, as well as to teach tomorrow’s hospitality workers the necessary techniques to reduce food waste as much as possible. In view of the fact that the restaurant industry contributes to 12 per cent of the total food waste in Europe, we believe that ITS, being an educational institution for the hospitality and tourism industry, should be at the forefront of such a project.”

opportunities which bring tangible benefits to its members. “Last March, a group of lecturers working at the participating Vocational Education and Training (VET) centres, including ITS, received special training in Italy on the best scientifically-proven methods to reduce food waste in restaurant kitchens. This knowledge, provided by the University of Gastronomic Sciences, will now be transferred to their students and incorporated into curricula taught at the centres.

Apart from lecturers and their students, we are also targeting established professionals working in the hospitality sector, through a number of training activities which will showcase practical methods they can use in their daily operations to cut down on food waste.”

He explains that the LIFE FOSTER project will have ambitious, but reachable, objectives. “It aims to impact 70 VET centres, 7,000 students, 500 trainers, 200 policymakers, 3,600 companies and 10,000 professionals across the four participating countries. The techniques developed through this

MBB’s Mr Tanti says the organisation has been working in the area of sustainability for several years, mostly focusing on water conservation and energy efficiency.

“There is a growing realisation, both within Malta and across Europe, that food waste reduction is not only an environmental issue, but also presents a strong business case. At the end of the day, wasted food represents wasted money.

Apart from this economic incentive, there is a growing drive from the EU level, with food waste being included as one of the EU’s priority areas for a circular economy,” he says.

Mr Tanti continues by stating that as the EU Business Advisory of the Malta Hotels and Restaurants Association (MHRA) and the Malta Chamber of Commerce, the MBB is constantly looking for new

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“This project will contribute in part to immediately addressing Malta’s waste problems and forms a good basis for future work plans dealing with food waste.”

PIERRE FENECH

other events. “The MBB very often acts as a bridge between EU priorities and Maltese businesses.

Similarly, it will be handling the policy dimension of the project, which needs to be informed by the real needs and concerns on the ground,” Mr Tanti explains. “To this end, the MBB will be meeting with local and European policy-makers, discussing what does – and what does not – work in the fight against food waste.”

project should enable food service establishments to experience a real reduction in their food waste levels, allowing them re-invest these savings into more productive business activities. The fact that the techniques are also being incorporated into VET curricula means that the LIFE FOSTER project will maintain its impact well into the future.”

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Meanwhile, ITS’s Mr Fenech says that the Institute will act as Malta’s vocational educational trainer in this project, along with ENAIP NET for Italy, AFPA for France and CECE for Spain. “With education being a key factor, ITS has identified lecturers who will attend various food waste management training sessions in Italy, and they will be instructed in methods of food waste reduction in restaurant environments. They will, in turn, train other ITS lecturers, and all these lecturers will train the students. Students will use these techniques immediately, during work placements locally and abroad, which will result in these methods being adopted by restaurants in the short term through placements, and in the long term, through employment.”

Dr Mifsud believes that the LIFE FOSTER project will definitely assist in raising awareness on the topic of

food waste. “I would like to see the project offer the local audience an insight into the global scenario on food security and take people out of their comfort zone in order to sensitise them on the inequitable distribution of food around the world.” She goes on to suggest a number of strategies which the hospitality industry could carry out in order to minimise food waste, including performing a thorough audit of where the ingredients are sourced from; changing to local and seasonal fresh produce; and assessing the onsite storage facilities to verify whether fresh produce can be frozen to be used at other times of the year, if necessary.

“Menus should be redesigned to be in line with local produce, which is seasonal, healthier and more sustainable, while working with nature should be encouraged, rather than attempting to artificially ‘recreate’ what Mother Earth provides us with. Additionally, portion sizes should be smaller, with less meat and more vegetarian and vegan items on the menu. Most hospitality providers in Malta serve portion sizes that are in excess of the average healthy portion. Finally, menus, food preparation processes and storage facilities need to be designed to cater for making use of leftovers.

This can be done and still be in line with food safety and food hygiene standards,” she says.

“Most of the factors that lead to food waste, can be easily remediated through simple changes in food purchasing, storing, preparing and consuming.

The following steps need to be carried out: recognising the leakage points; fixing and being aware of the sources of the food waste; gathering data to get a tangible value to the food that is wasted; implementing a solution plan by assessing the resources at the user’s disposal; and last but not least, monitoring the progress,” says Professor Tecco.

“Beyond creating fashion and new market trends, chefs also have the potential to help to reframe food

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system challenges and get people to rethink their eating habits, including how they waste food. We wish to see the hospitality industry be a bridge between farm and fork that informs, teaches and leads people with knowledge and offers viable alternatives,” says Professor Fassio. “In doing this, we believe that it could play a significant role in reducing food waste but also in creating a new awareness about the value of food at the restaurant, in our kitchens, classrooms and communities. The LIFE FOSTER project, with its training, educational and communication activities, can be a step in the right direction for the creation of a new generation of professionals who are able to prevent and reduce food waste because they value food and are skilled in managing it properly.”

Mr Tanti highlights that such projects would certainly be very difficult to implement without the support of the EU’s direct funding – in this case, through the EU LIFE programme. “EU funds do not only provide financial support to help implement projects, but also create a platform through which like-minded organisations from all over Europe may collaborate, share best practices, and offer genuine solutions to the challenges we face today.”

And despite the LIFE FOSTER project being still in its early days, he reports that a lot of positive feedback has already been registered from local food establishments that want to do more to cut down on food waste. “In this respect, we are

“I would like to see the project offer the local audience an insight into the global scenario on food security, and take people out of their comfort zone in order to sensitise them on the inequitable distribution of food around the world.”

DR ALEXANDRA MIFSUD, LECTURER, UNIVERSITY OF MALTA

confident that there will be strong participation by the Maltese business community during project activities. Seeing this strong response, we are now developing additional activities targeting Maltese enterprises and their employees. MBB is soon launching a separate national food waste campaign along with ITS, and with the support of Wasteserv Malta, the Malta Tourism Authority and other interested parties.”

“We are sure it won’t be an easy task at first because we will be changing normal practices.

However, from feedback we are gathering, this is sought-after, especially because the restaurant industry will benefit from such practices, specifically in reducing costs,” says Mr Fenech. “But I would like people out there to understand that reducing food waste is easy and not complicated.

When reducing food waste, in turn you will also be saving money and resources. Anyone can do it, and anyone should do it, both in the restaurant industry and also at home,” he concludes.

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centre of this majestic harbour, makes it the best stage from where to admire the surrounding, breathtaking views. Together with the recently inaugurated restoration project, completed in 2015, this has made the fort a unique venue for exclusive events in its own right,” he explains.

C E L E B R AT I N G THE LEGACY OF THE CASTLE BY THE SEA With a history dating back to 1241, Fort St Angelo was, undoubtedly, built for the ages. Martina Said catches up with Heritage Malta to find out about its fascinating past, exciting present, and its bright future.

As one of the oldest fortifications in Malta, and the oldest in the Grand Harbour, Fort St Angelo is an iconic symbol of Maltese history and fortitude. But, just as its occupants have changed over time, so has its role, and today, while it is no longer in use for military purposes, it occupies a new place in the minds and hearts of locals and visitors alike.

Going back to its roots, Matthew Balzan, Principal Curator, Fortifications at Heritage Malta, says that Fort St Angelo’s existence as a military establishment can be traced back to 1241, when it was first mentioned as the Castrum Maris (castle by the sea).

“Over the centuries, it cemented its position as a national icon of Malta and a symbol of Maltese resilience, 86 | SUMMER ISSUE

in part due to its connection with the Great Siege of 1565. It is also one of the few fortifications in Malta that developed organically, and continued to adapt to the needs of military technology until the late 19th century,” he explains.

“Indeed, the major infrastructural project which transformed the fort as we know it today was undertaken in 1690, transforming it completely from a medieval castle into a gunpowder coastal fortification.”

The fort was also the last location to be manned by a foreign military force in Malta, Matthew adds, having only reverted back to the Maltese Government on 31st March 1979, when the British Royal Navy vacated the property. Additionally, “its strategic location within the Grand Harbour, sitting right in the

Before restoration works began, Fort St Angelo was purely a heritage site which many people only ever admired from the outside, and often from a distance.

“Until its inauguration in 2015, Fort St Angelo only hosted minor events by other stakeholders on site,” says Matthew. “However, it was Heritage Malta that first offered the site as a venue spot. This move was made in order to render the fort more accessible and appreciated, not only by the public during opening hours, but also by others, especially locals, who visit during special events.”

And this move has indeed opened up a new world to visitors. As Daniel Gafà, Executive, Visitor Services and Events, explains, Fort St Angelo offers five outdoor areas and two halls. “The outdoor areas vary in size and can host a variety of events, including receptions, weddings, gala dinners, concerts and more. Outdoor options include D’Homedes Bastion, Grunenbergh’s Bastion, Ferramolino Cavalier, Parade Ground, and Officers’ Lounge and Terraces,” he says.

“The two halls are mainly used for conferences and small receptions.

The Egmont Hall is actually a restored 1920s cinema, while the Admirals’ Hall has also hosted the EU Summit meeting in 2017. Both halls are fully equipped with ICT equipment, air-conditioning and Wi-Fi.” Asked which venue among all these tends to be the most sought-after, Daniel says that, unquestionably, Grunenbergh’s Bastion takes the cake. This venue is divided into two areas – the Birgu Side and the Valletta Side – which can host up to 400 and 1,000 people respectively, making it a very popular choice for wedding receptions. “The views of the

BUSINESSAgenda HERITAGE

“Star items of this exhibition are the memoirs of 21 former service personnel, both Maltese and British, who shared their experiences whilst working and living at HMS St Angelo.”

MATTHEW BALZAN

Grand Harbour also make the area unique. As for indoor activities, both halls are popular. The Egmont Hall is much appreciated for its authentic look as a retro cinema, while the Admirals’ Hall is practical as it can even be divided into three separate areas with partitions.”

Among its many applications, Fort St Angelo is also being used as an exhibition space, currently for a Heritage Malta exhibition titled ‘Behind Closed Doors: Fort St Angelo and the Royal Navy 1906-1979’, which is open to visitors until 8th September. The Principal Curator for fortifications explains that the exhibition was inspired by the 40th anniversary of the departure of the last foreign military forces from Malta on 31st March 1979.

“Between 1906 and 1979, Fort St Angelo served as a shore establishment (or ‘stone frigate’) of the Royal Navy. Indeed, its name was changed to HMS Egmont in 1912 and HMS St Angelo in 1933.

Throughout this period, the fort had several roles, including as a depot ship of foreign sailors, a base ship for Maltese sailors, as well as a flagship and HQ of the last Commander British Forces Malta,” says Matthew. “Visitors to this exhibition can explore an array of artefacts from the period, ranging from ship crests to original Royal Navy furniture, to photographs and uniforms. However, the ‘star’ items of this exhibition are the memoirs of 21 former service personnel, both Maltese and British, who shared

their experiences whilst working and living at HMS St Angelo.

Visitors will ‘meet’ these characters in several dioramas recreating aspects of the former naval establishment.”

An exhibition such as this one, which digs into Malta’s past and the habits, customs and traditions of its inhabitants, is bound to reveal a few fascinating discoveries. One of them, which is on display, is a smoking pipe discovered in 2015.

“In 1920, during the construction of a recreation room on site, one of the local stone masons hid his pipe, complete with tobacco and matchbox, behind one of the stones. He also left a note granting the pipe to whoever finds it in the future! Another interesting donation was a whiskey bottle (still sealed), which was purchased from the NAAFI store of HMS St Angelo more than 45 years ago!”

Other than these artefacts, Matthew says that the preparation for this exhibition unearthed a wealth of previously unknown information. “To cite a few examples, HMS St Angelo was the location from where the Enigma

codes were deciphered during the Second World War. The exhibition will also unravel how the Royal Navy had, at first, intended to keep HMS Phoenicia (Fort Manoel) as the last naval base on Malta, instead of HMS St Angelo, and this was revealed in secret correspondence.”

Looking ahead, there are plenty of projects in the pipeline for the majestic Fort St Angelo. Matthew and Daniel explain that the fort is, in fact, a continuous project which never ceases to evolve.

Recently, an audio guide system, available in six languages, was installed, and a new interpretation is being prepared for various areas around the fort. This year, they add, a local re-enactment group will stage monthly events at the fort, recreating its use throughout the eras, and another project is currently underway aimed at extending the areas accessible to daily visitors considerably.

As for developments that are of particular interest to local visitors and businesses, Matthew and Daniel assert that the fort recently gained access to a passenger’s lift, which greatly facilitates access to the venue, particularly during events. “Moreover, foreign tourist marketing companies are frequently coming to the fort to shoot the site and promote it in their respective countries. From a local perspective, monthly events are being organised to attract more local visitors to Fort St Angelo. The Heritage Malta passport scheme, which entitles students from primary up to secondary school level to enter for free together with two accompanying adults, has also attracted many local families to this and other Heritage Malta sites.

The same scheme has also been extended to senior citizens,” he concludes.

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THE PERSISTENT D R I V E TO WA R D S A M A L TA L O G I S T I C S H U B Although the facts surrounding the possible Malta Logistics Hub are still unclear, Jo Caruana chats to three leading companies within this sphere to discover what the hub could mean for

Today, a couple of years on, there is no denying that the sector continues to grow and develop, even though the logistics hub itself is still in the pipeline.

“It has the potential to become a key pillar for our economy,” he had said. “In fact, Malta still has a strong tradition in terms of trade in the Mediterranean, and we believe that, with this international call for the operation of Hal Far Logistics Hub, we will continue to capitalise on this tradition.”

Speaking about its potential, Jimmy Cutajar, Managing Director for Global Freight Solutions (GFS), says that the idea of the hub is close to his heart, despite the fact it hasn’t materialised yet. “We hope that it can be implemented without further delay, thus enabling the stakeholders to capitalise on the project,” he says.

“After all, the hub’s aim is to attract local and international operators, which will create more quality jobs and improved conditions for this sector.”

Speaking at that press conference, Dr Cardona had gone on to say that, “logistics, together with education and life sciences, are sectors that need to sustain the

Nevertheless, positive about the status of the logistics industry in Malta, Joe Gerada, Managing Director of Thomas Smith Group, says that the sector is “longing to

Malta – and why it is very much needed if the sector is to develop.

It was in 2016 that, at a press conference, Malta Enterprise issued a public request for proposals to design, construct, finance, operate and maintain an International Logistics Hub. An area in Hal Far had already been identified to house the ambitious project and, in addressing the press, Minister for the Economy, Investment and Small Business, Chris Cardona, described the international call as the first concrete step in the realisation of the Government’s vision for the logistics sector.

economic growth that our country is experiencing.”

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“The hub needs to be a well-planned and professional effort by all stakeholders involved.”

MARK SPITERI

take off”. “With Government and central authorities encouraging it – and legislation supporting it – Malta’s potential as a hub looks good,” he says.

“Of course, all this needs to be seen in the context of the market size and the country’s obvious restrictions: our regional reach and the fact that Malta is an island.

There is no getting around the fact that Malta will always face a significant challenge vis-à-vis road transport. Yes, for sea and air transport, Malta is as good as any other continental-based hub, but, as an island, we will always face some difficulties, many of which boil down to cost and speed.

Having said that, our geographical position, culture, language and the entrepreneurial qualities of the Maltese have also always put us in a good position when it comes to Africa – and that’s all of Africa, not just the north.”

Agreeing with this sentiment, Mark Spiteri, Managing Director of MAL Services Ltd, highlights how our island’s incredible location makes it a natural stepping-stone between Europe and Africa – something that the hub would be ideal for capitalising on. “It has been the aspiration of both Government and logisticians alike to promote the island as a strategic hub for the transhipment of cargo between Malta and worldwide destinations,” Mr Spiteri says. “This practice, in itself, has already been initiated by the creation of the Malta Freeport, whereby containers with cargo originating from various countries are transhipped through Malta.

We now look forward to increasing business through the hub concept,

it needs to be a well-planned and professional effort by all stakeholders involved.”

And, although challenges in this area will be inevitable, Mr Cutajar stresses that, in his opinion, they would prove to be the catalyst for major improvements in the industry. “Infrastructure and customs bureaucracy remain at the top of the agenda as the main barriers to the industry, but Government has shown that it is keen to address these matters – albeit, perhaps, at a slower pace than expected.

and further including a transit hub for airfreight movements. This, in my opinion, is doable. However, this dream will only materialise if governmental and private organisations team up, as the amount of investment needed for such an operation is huge.”

Going into further detail about how the logistics sector is evolving in Malta, Mr Spiteri says that the island is also developing into a destination for the oil and gas industry in the Mediterranean region. “Among other things, a transit hub would facilitate the movement of the heavy equipment used in this industry,” he says. “Strategically, this hub will eventually weigh heavily on the island’s economy. Hence,

Moreover, the Managing Director stresses that “the regulatory environment surrounding the logistics sector also needs to be looked into. We need to modernise the concepts and processes that, in some cases, have become dated and which aren’t a true reflection of the environment we operate in today.”

And, all three business owners also agree that the hub is really needed if things are to move forward within the sector. “The hub needs to be the next milestone in the industry,” continues Mr Cutajar.

“Unless this becomes a reality, then our modus operandi will remain unchanged, and competitors may well move ahead and leave us behind. Everyone in the sector is looking forward to this project and the changes it will bring us. But, until that happens, we are stuck in the same position we have been in for the last decade.”

Similarly, Mr Spiteri says that the cargo-moving industry will remain at a status quo. “The ‘cake’ making SUMMER ISSUE | 91

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“We need to modernise the concepts and processes that, in some cases, have become dated and which aren’t a true reflection of the environment we operate in today.”

JIMMY CUTAJAR

up all cargo that needs to be moved has to be divided between all freight forwarding companies with aggressive competition and price cutting,” he says. “Hence, as a country, we need to think outside the box to develop industrial activity, such as the hub, to increase business that will benefit all those involved in the sector.”

He also stresses the need for formal education in the field. “And in addition to that, we also need to set up educational training with initial assistance from qualified foreign experts to give us the knowledge on how to handle such

“Once we do have the hub, timing, quick turnarounds and critical mass turnover will be necessary to sustain success.”

JOE GERADA

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a huge operation, professionally and efficiently. With all of that in place, we will, doubtless, be able to look towards a positive future for logistics in Malta.”

For Mr Gerada, meanwhile, it is important that the hub should integrate as many modes of transport as possible, and it should support intermodal movements.

“As always, central planning needs to create the necessary environment for private individuals to use their creativity. This will happen again with logistics. But yes, we do need the hub for things to grow and improve further.

Without it, things will stay as they are and we will be in a similar position to the one we are in now – with pockets of this sort of activity happening here and there, but not necessarily on a high level of industry. Once we do have the

hub, timing, quick turnarounds and critical mass turnover will be necessary to sustain success,” he says.

Finally, Mr Cutajar explains that, as the industry continues to build bilateral relationships with various counterparties in diverse jurisdictions, he finds it encouraging to see that – like in the old days – most business relationships are founded on the principles of trust and integrity.

“Logistics has extensive roots in Malta and plays a vital part in the business and economics chain. Malta is already a logistics hub at a macro level and, with further cooperation between all stakeholders, it can continue to be an important player in the Maltese economy,” he adds.

BUSINESSAgenda CULTURE

LOVINGLY RESTORED: THE A R T o f I N T I M AT E C O N S E R VAT I O N With Maltese churches, museums and private collections chock-full with works of art stemming from the Baroque period, and even earlier, it is no wonder that art restoration is experiencing a renaissance as collectors and owners become more conscientious. Here, Rebecca Anastasi speaks to three of the island’s foremost art restorers to reveal their passion for the work.

Behind the, sometimes, austere exteriors of Malta’s closeted palazzos, golden churches and veteran museums, treasures abound in the form of priceless works of art from some of Europe’s most renowned painters, sculptors and, even, weavers. Yet, to ensure that these relics of Malta’s art history continue to live through the ages – and to instil awe – is no mean feat, requiring thousands of hours of painstaking work by expert conservators.

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“I WAS VERY DETERMINED” PIERRE BUGEJA, PREVARTI

Pierre Bugeja, an art conservator and the founder of Prevarti, knows the slow-burn dedication needed to restore a precious piece and has dedicated his life and his career to this endeavour. “I always wanted to work with art,” he tells me, as we sit in his office above the firm’s wide-open workshop. “And, I was

PHOTOS: ALAN CARVILLE

very determined. I actually had an uncle who was a well-known restorer, but I had started out working in industrial electronics.”

Yet, a fortuitous discovery by his then-girlfriend (whom he would later marry) upended his entire life plans: Bighi Centre for Restoration had issued a call for applications for students interested in studying for a Bachelor’s in Conservation.

“I called them right away, but they said there had been a preparatory course – which I had missed – and that I would need to take an exam and an interview, based on the material given in those sessions. I asked if I could try anyway and they gave me the pack of notes. So, I took leave from my job and studied for two weeks straight.” The hard graft paid off and, despite some initial hesitation, he started the course in 2001, graduating in 2005, and specialising in paintings and polychrome sculpture.

However, following the four years of study, things were initially hard, and Pierre found himself struggling to find work, and registering

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“For us, it doesn’t make a difference if the painter is Mattia Preti, or whoever it is.

Our approach is the same.”

PIERRE BUGEJA

for unemployment benefits. He then got his first commission – “a painting, which I worked on in my flat” – and work started flowing in. In February 2006, he opened Prevarti, and moved operations to a garage in Mosta. Today, after just 13 years, the firm employs 15 restorers and Pierre has even opened a second branch – which he called Salvarti – specialising in the disinfestation of art and furniture, a subsidiary which employs eight staff members.

Over the past few years, Pierre’s outfits have been responsible for the restoration of over 5,000 paintings, as well as statues and, even, manuscripts. “We have five restorers, at the moment, working on the notarial archives, consisting of 608 documents and this will take us two years. Some books actually even take up to 4,000 hours of precise work, needing a lot of attention to detail. A good art restorer needs to be calm and prioritise the artwork. That has to come first, since every decision you take has a consequence,” he explains.

Most restoration work comes from the church or through private commissions, he continues, going on to explain that more has recently come in as a result of the Curia acquiring EU funds for such projects. “We’ve actually

had to refuse some work since it would have been too much and I need to know we can manage all the project, properly, as I feel very responsible,” he asserts.

That sense of obligation has stood Pierre, and his team, in good stead over the years, as they have been entrusted with much-loved pieces.

“We restored some of Mattia Preti’s work in the Oratory of St John’s co-Cathedral, so that was quite prestigious for us, and we are also, currently, involved with the restoration of the piano nobile at the Grandmaster’s Palace, restoring the oil on canvas paintings, and the lunettes, as well as the wall paintings which remained on site.

These have never been exposed to the public so it’s an important project. But, for us, it doesn’t make a difference if the painter is Mattia Preti, or whoever it is. Our approach is the same.” The firm has also worked on the trompe l’oeil at the Gozo Cathedral, in Rabat, which measures 8 metres in diameter and weighs over 400 kg. “It was a logistical feat, and very challenging, but we had a very good team.”

inside, which is very unusual. So, we made a small hole and looked inside with a 3mm camera and we saw a document stuck inside the statue, attached to the back of the saint” The message from the past, a letter dated 10th May 1665, came from Carlo Carnazza, a sculptor from Catania, who had asked for a mass to be offered for him by whoever found the note.

“So, on my way back to Gozo, after the discovery, I texted the parish priest and asked him to say a mass for ‘my friend Carlo Carnazza’ and it was only after the mass was over that I told him who it was. This was just one of many surprises we sometimes find,” Pierre laughs.

But which was the most memorable commission, I ask?

“We were called in to restore the wooden statue of St Isidore the Labourer, which dates back to 1680, at the Church of St Francis in Rabat, Gozo. It was all painted in black – to hide it from the French during the Occupation – but the face of the statue had not been painted over. We removed all this black paint and the gilding started to shine through. But, when we conducted our scientific tests, including a CT scan, we realised the statue had an empty chamber SUMMER ISSUE | 95

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Maria Grazia Zenzani and Valentina Lupo at the Birkirkara Collegiate Museum, which will be open in the near future

“IT’S IMPORTANT TO BE VERY HANDS-ON” VALENTINA LUPO, ATELIER DEL RESTAURO The Atelier Del Restauro, established by Valentina Lupo, Maria Grazia Zenzani and Simon Dimech, may not be a revelation to those who have sought out conservation specialists before.

The business, which was opened in 2012, has firmly established its reputation for meticulous conservation, conducted with an exacting eye and an attention to the emotive pull of the artworks.

“People get very emotionally attached to some artworks, so there’s sometimes a lot of

expectation,” Valentina confirms to me as we watch several trained conservators work in the atelier’s workshop.

This has frequently presented a challenge, she says, since “aesthetics change” and “people may be used to a particular work of art, and experience a sense of shock if it changes, even if for the better.” To mitigate any issues – especially when it comes to church commissions, in which parishioners may be intensely attached to a specific piece – Valentina, her colleagues and team, have conducted work in cantiere aperto, meaning in an open site so others can take a look at the progress.

“Everything is done through research. We take samples and we ensure there is meaning behind every action.”

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“This is what we had done when we restored the statue of Christ the Redeemer – ir-Redentur – in Senglea. It is one of the most important pieces of artwork in Malta and there was quite a lot to do, so we conducted a number of scientific tests. This took approximately one year, with nine months for the full restoration, but we also had an additional year of study and we prepared a publication on the process which

BUSINESSAgenda CULTURE

took a further 12 months.” The team felt the weight of responsibility throughout the project, which mainly stemmed from the stories surrounding the statue which brim with belief, ever since the work was credited with saving the town of Senglea from the plague in 1813.

Indeed, today, the statue still hasn’t lost its devotional significance as parishioners still visit and pray, hoping for a miraculous resolution to their woes. “The restoration was done in the church. People used to come and stay behind the door, praying. They wanted to see what was going on inside, so we opened it up to them and, later, we even organised an open day. It was very emotional and impressive. People were coming up to us, crying, telling us their stories and all about their faith in this miraculous statue,” she recalls.

A book documenting the process and, even, highlighting little known facts which were discovered over the three years of the project was published in 2017. However, this fastidiousness in approach is extended to all the pieces the atelier takes on, Maria Grazia continues, and not only the more high-profile projects. “Everything is done through research. We take samples and we ensure there is meaning behind every action. We

don’t do shortcuts and that’s why we have a good reputation with our clients, including the church, since they know the work we do and they trust us. And, in the seven years since we’ve been open, we’re very pleased we had the opportunity to work on the projects we did,” she explains.

It wasn’t always plain sailing, though – the atelier, which opened in 2012, started small, on a shoestring budget, with just

the three partners, who acquired some technical equipment from contacts in Italy. “We had some help, and we had some savings, but we slowly started to grow.

Today, we also offer anoxia services – using an absence of oxygen to remove insect infestations – and we want to continue to be very hands-on. This is very important to us. We have a lot of responsibility and these works are very valuable, so it’s something which becomes personal”, Valentina concludes.

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“ETHICAL RESTORATION IS ESSENTIAL” PAUL MUSCAT, RECOOP

The success of a restoration project depends on the unified collaboration of several members of a team, pulling the same rope to reveal the past underneath the trauma inscribed on the canvas.

“We are the doctors of the arts,” says Paul Muscat, one of the directors of art conservation cooperative, ReCoop. “It’s a delicate job. So, we need to understand exactly what ails our patient: the problems, the source of its deterioration and so on. Unfortunately, though, our patients speak to us in another language, so we have to interpret what these works of art are trying to say to us,” he smiles.

a group of new graduates – aims to provide services across all disciplines of restoration and architectural conservation. “We have people who specialise in different sectors, so we can go from restoring a building, to the smallest ceramic work or painting. In these cases, the approaches would be different, since the particular needs of the job would be different.”

Indeed, the entity’s architectural arm has been involved in the recovery of a spate of largescale, visible projects, such as the recreation of Couvre Porte in Birgu; the stabilisation of Mdina – a town “which has a clay substrate and, as a consequence, is always slipping” – and it has also participated in the restoration of the Cittadella in Gozo.

Paul, together with Roderick Abela and Connie Formosa – the other two directors of the cooperative, which was founded in 2003 by

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“We are the doctors of the arts. It’s a delicate job. So, we need to understand exactly what ails our patient.”

PAUL MUSCAT

amalgamated the two,” Paul explains, while showing me to the cooperative’s workshop on the top floor of its base of operations.

Indeed, on the fine arts front, ReCoop boasts a history of highprofile, and sensitive, commissions.

“At St John’s co-Cathedral, for example, we worked on the 1572 painting, The Flagellation of Christ

by Stefano Pieri, as well as a few of the chapels in the co-Cathedral itself. We are also proud of our work restoring the ceiling at the Mdina Cathedral, as well as some of Mattia Preti’s work housed there,” he states. Yet, the entity has also tended to pieces with a longer history. “In Malta, though we tend to focus a lot of attention on the

Baroque, we also have plenty of artworks from earlier traditions. Art didn’t start when the Knights came to Malta and we’ve also worked on some Renaissance artworks, for instance, as well as paintings in Ta’ Giezu in Rabat, dating back to 1515.”

At the moment, the cooperative is working on a slew of paintings from Mosta Dome, several by famed local artists Giuseppe Calì and Stefano Erardi. Paul describes the work done on Calì’s vibrant The Death of St Augustus, which takes up a large area of the workshop, as well as his The Virgin of Grace, while members of his team toil over some of Erardi’s works, which

he says had a number of issues.

“While Calì’s were in quite good condition when they came in, and did not exhibit too much disintegration, some of the others had suffered a number of losses: there were bits of paint and canvas which were no longer there; evidence of water filtration and insects had eaten their way through some of it. So, yes, some of these works have gone through a lot of trauma.”

Yet, whatever the condition of the works, when they are originally submitted, Paul makes it clear that the priority is to maintain a thorough, exacting, approach.

“We have refused work if we cannot work to the standard we expect. For us, ethical restoration is essential and it’s important to do each job, properly, and in a certain way,” he affirms.

And, as more art owners become invested in the past and future of their pieces, the stories behind some of the island’s paintings, sculptures, documents and textiles can be restored through the conscientious work of Malta’s conservators.

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BUSINESSAgenda BUSINESS UPDATE

KEEPING UP WITH DEMAND With Malta being promoted as the Blockchain Island, do you think there are enough members in the workforce with the know-how to supply the industry?

With Malta’s economy continuing to grow steadily year on year, the local workforce is already spread thin. We are faced with a severe shortage of labour across all industries and more so in skilled jobs such as those required by the iGaming and financial services industries. As a matter of fact, only 25 per cent of jobs within the iGaming industry are being filled by Maltese nationals.

Promoting the Blockchain Island aims to increase Malta’s popularity as a hub for the FinTech industry and its success will most certainly increase demand for specialised workers.

As the blockchain industry becomes more established in Malta, do you envision another wave of foreign nationals looking to work here?

Current statistics by Eurostat and the NSO show that Malta expects the need for 35,000 foreign workers within the next five years to sustain its current economic growth rate. The FinTech sector will most certainly add to this strain, however with an estimated three to 10 years for the industry to be integrated into our daily lives, we are still in time to implement solutions to address these challenges and close the skills gap.

One of these solutions is to provide specialised IT-oriented training opportunities targeting not only youths in Malta but anyone looking to take their first step into this emerging industry.

What is Broadwing’s approach to dealing with specialised recruitment? How does it help the client find the perfect candidate, even if they’re a needle in a haystack?

Broadwing’s philosophy has always been to offer a personal approach while adopting innovative technologies, maintaining accurate data and prioritising the human element. In order to deal with specialised recruitment of this nature, our primary focus is on getting to know our client, understanding their company culture and ideal employee. We achieve this through regular communication between our recruiters and the clients’ HR and hiring managers coupled with an on-site visit. This gives us first-hand experience of their work environment and is essential when head-hunting candidates for specialised jobs through our various sources and international partner network.

We also offer a relocation service to aid foreign nationals settle into their new lives in Malta as quickly and effortlessly as possible. Our Safe Landing Programme combines expert consultation with hands-on experience to source suitable housing arrangements, apply for work permits, open bank accounts and more.

Find out more about Broadwing by visiting www.broadwing.jobs

INTRODUCING KPMG ENTERPRISE

By David Pace, Partner, Head of Advisory and Anthony Pace, Partner, Tax You may know KPMG, but you might not know KPMG Enterprise. We’re dedicated to working with private businesses. Whether you’re an entrepreneur, family business, or a fast-growing company, we are focused on what’s important to you. A business doesn’t stand still, it’s constantly evolving. All companies have a business cycle, from a start-up to a mature company, and each stage presents its own set of opportunities and challenges. KPMG Enterprise advisors understand what it takes for you to be successful at each stage of your business, whether you are looking to grow, strengthen, or to exit your business.

SO WHAT DOES IT MEAN TO YOU? Most challenges today are not single dimensional. They manifest (and may be rooted in): people, processes and technology. Couple this with family or leadership challenges that may present themselves and you could be left feeling unclear as to what the real issue is or how to go about solving what appears to be one insurmountable challenge. KPMG Enterprise advisors will assist you by challenging the thought process, using our lens of experience and expertise, helping you organise your thoughts and get smart solutions that are truly sensitive to your realities.

With around 100 advisors qualified in different disciplines, and tax specialists who have worked alongside families whether in their boardroom or in their kitchen, we look forward to the opportunity to help you solve your next big challenge and unlock true potential.

Whether you believe your need is in: • IT, data and analytics • Strategy, leadership and coaching • Financing, IPOs and mergers and acquisitions • People, operations and customer experience • Financial management, accounting and financial reporting • Tax, VAT, payroll, incentive legislation • Succession planning • Assurance …or a combination of the above, reach out to us and open the doors to a world of solutions and opportunities. www.kpmg.com.mt

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BUSINESSAgenda BUSINESS UPDATE

BMW ADDS PLUG-IN HYBRID VARIANT WITH ALL-WHEEL DRIVE TO 2 SERIES ACTIVE TOURER MODEL pleasure you’d expect from BMW and combines an electric driving experience, high operating range with functional excellence and everyday practicality.

The BMW 2 Series Active offers both a higher system output of 224bhp and more boot capacity than its competitors.

With its plug-in hybrid drive system, it combines BMW Efficient Dynamics with comfort, driving pleasure and allwheel drive, and brings versatility and generous levels of space together in a compact vehicle. The BMW 225xe uses its combination of BMW eDrive and a 1.5-litre three-cylinder BMW TwinPower Turbo Petrol engine to offer both an electric driving experience and unrestricted mobility.

BMW is adding a plug-in hybrid variant with all-wheel drive to the BMW 2 Series Active Tourer model. The BMW 225xe – 2 Series Active Tourer variant with eDrive – delivers a combination of sporting ability, economy and everyday practicality, unique in its segment. It allows locally emission-free driving without compromising on the driving

Its combined fuel consumption of 2.1-2.0 litres* per 100 kilometres/134.5–141.2 mpg imp (CO2 emissions are just 49-46 grams* per kilometre) sets the benchmark in its class.

The BMW 225xe’s plug-in hybrid technology enables locally emission-free driving but also allows owners to cover long distances when required. It is therefore perfectly suited for use in urban areas and for family leisure activities.

Send an email to info@mml.mizzi.com.mt to book your test drive with Muscats Motors – the only BMW retailer in Malta.

FUNDING YOUR SUCCESS

Any business today must decide whether to remain just one horse in the pack or else differentiate itself from others via specialisation or differentiation. We, at DConsulta, aim towards differentiating ourselves from other accounting and advisory firms, by specialising in growth and EU funding services, thus helping our clients attain differentiation from their competitors.

Our experience in participating directly in projects, applying for funds, providing financial management, writing applications and research reports, handling dissemination activities, project management of large ESF projects and finally auditing of such projects, means that we have seen and experienced the whole value chain.

This insight is crucial for an intimate understanding of the common pitfalls that affect the success of EU funding – thus we will ensure you follow the implementation guidelines, ensure that your project has a clear incentivisation effect, know of the importance of market testing and procurement rules, and ensure to pester our clients with regard to dates, dates, dates!

Our firm is a registered service provider under the Business Enhance SME Consultancy Services Grant Scheme, offering business planning, feasibility studies, organisational, operational and process reviews. Entities applying for 104 | SUMMER ISSUE

funding through the professional assistance of DConsulta can benefit for an 80 per cent grant for the business plan or feasibility study up to a maximum grant of €4,000. A sound and sturdy plan will lead to a strong application for funding under any one of the other six schemes – start-ups, SME growth, e-commerce, diversification and innovation, internationalisation and RD&I grant schemes. Furthermore, DConsulta assists clients with setting up new start-ups and with benefiting from the varied tax incentives such as micro invest, investment aid and other benefits such as the allocation of or rent subsidies on industrial property.

Thus, if you are keen to grow your business, contact us on www.dconsulta.eu for a free quotation.

BUSINESSAgenda BUSINESS UPDATE

HERTZ MALTA: PERSONALISED PLANS FOR VEHICLE LEASING The Hertz Corporation, a subsidiary of Hertz Global Holdings Inc., is an American car rental company that operates 10,200 corporate and franchisee locations internationally. As the second-largest US car rental company by sales, locations and fleet size, Hertz operates in 150 countries, Hertz Malta being one of them.

The Hertz Corporation owns Dollar and Thrifty Automotive Group – which separates into Thrifty Car Rental and Dollar Rent-A-Car. United Garage Ltd (Hertz Malta) was established in 1926 and has been the franchisee of Hertz since 1961, making it the oldest European franchisee of this international car-hire brand, which has been the leader in its sector.

Hertz aims to be the one-stop shop for all your needs. Hertz is here to get you there! Whether you need a car rental for your business or vacation, we have a wide range of rental cars available to meet every need.

At Hertz Lease, we pride ourselves in providing customers with an array of leasing plans that fit both personal and corporate needs.

If you are a private individual, you can look into our competitive Hertz Personal Contract Hire – a solution for a period between 1 and 11 months, provided to cater for longterm rent, with flexible vehicle models reflecting your own needs.

Hertz Lease also provides business leasing solutions which come in different packages whether your business needs a vehicle for seven or 30 days, a year or even five years.

Our personalised plans cater for prolonged breakdowns or special projects, staff on contracts or seasonal peaks, and customers who are prepared to enter long-term fleet commitments.

Hertz Malta has something for everyone. Enquire today at T: 2247 5910.

Vehicle leasing is becoming increasingly popular as it takes away unnecessary headaches associated with the purchasing and ownership of an automobile, improving personal and business cashflow, and caters for specific needs.

26 YEARS OF THE CLEANER TECHNOLOGY CENTRE Set up in 1993, the Cleaner Technology Centre (CTC), aims to facilitate the emergence of joint initiatives between Government, industry and the university. The CTC was set up when the Environment Secretariat published the National (Solid) Waste Management Strategy which emphasised the importance of waste minimisation as an indispensable component of the overall strategy and the Government was specifically advised to set up a centre to assist the local industry to introduce cleaner production processes that favour waste minimisation.

The CTC is managed by a full-time director. The objectives of the Centre remain that of cooperating with the Maltese industrial sector in capacity-building and promoting industrial sustainable development. Using contacts with other centres in countries adherent to the Barcelona Convention, the CTC helps to identify the relevant counterparts within business as well as corporate organisations tackling similar environmental and sustainable issues in each country. This has opened the door to companies and especially SMEs to gain access to pollution prevention, eco-efficiency materials and capacity-

building activities. Collaboration with these centres has resulted in instances of technology transfer activities and other forms of information exchange that is of profit to the Maltese industry.

Within the local industry, the CTC is also renowned as the originator of the environmental awards. These awards were designed to recognise and promote organisations that have made a significant contribution to environmental protection. Divided into three categories, the awards seek to highlight policies, practices and processes from all sectors of the industry that are helping to achieve economic and social development while minimising their environmental impact. Over the years, several organisations have been awarded, ranging from banking institutions, food producers and beauty salons. This year, the CTC is launching the 10th edition of the award. Manufacturing and service industries that would like to have their environmental contribution awarded are welcome to apply.

Applications opened in mid-June. Prospective applicants may contact ctcmalta@gmail.com and will be sent the application form and regulations.

Winners of the awards will be assisted to apply for the European Business Awards for the Environment (EBAE) which recognise companies whose efforts are at the forefront of eco-innovation or which place environmental responsibility within the core of their business principles.

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THE LEICESTER MBA Whether one is looking to move from a technical position into management, or to build the skills and credentials required to progress towards senior leadership, career development is a major factor when one decides to embark on an MBA programme. As one of the world’s first AMBA-accredited distance learning MBAs, Leicester is always advancing business learning trends.

The Leicester MBA is a global programme, with global study centres and a diverse, international cohort with residential workshops. FHRD has been representing the University of Leicester in Malta since the year 2000, and, today, boasts hundreds of Maltese MBA alumni. The Leicester MBA is recognised as a full Masters, at Level 7 by the NCFHE and is eligible for Get Qualified funding.

The Leicester MBA is the culmination of over 25 years of distance learning experience. It provides individuals with the flexibility of fitting their studies around their professional and personal commitments. The university balances the latest online technologies with traditional face to face techniques to provide its students with an approach to study which is flexible enough to be done anywhere but sufficiently structured and interactive to allow students to play their part in the group and develop the necessary skills to become a leader. For the University of Leicester, learning is a social endeavour and distance learning should not mean a distant educational experience.

For those interested in getting more information on the Leicester MBA, call on T: 2131 3550; E: dl@fhrd.org; or visit https://le.ac.uk/courses/the-leicester-mba-dl/2019

BSL LIFESTYLES: WHO ARE WE AND WHAT DO WE DO? BSL Lifestyles was set up in 1988, primarily as a manufacturing company selling office desks and chairs, and has since grown to become one of Malta’s largest office furniture and seating companies, with over 29 years experience.

We represent many well-known international brands including Actiu, Officity, Sedus, Interstuhl, Wilkhahn, Narbutas, MDD, Alma Design, Topstar, Frammery and Gotessons, among others.

The company only offers quality products that are backed by warrantees and guarantees for up to 10 years.

BSL has one of the largest portfolios on the island, and furnishes all areas within an office environment – from the reception areas to the executive level and boardroom; from the break out lounge areas to the company cafeteria and outdoor eating areas; and from the lecture room and classrooms, to the large open plan areas. We specialise in the modern and the contemporary styles, and work very closely with all the leading architects and designers on the island.

In today’s world, ergonomics has become a very important issue, as it is a well-known fact that the stresses of one’s daily routine can take a toll on one’s health. BSL are one of the leading suppliers in correct ergonomic seating and workstations, and specialise in selling quality supportive swivel chairs that provide a proper, healthy seated position, and desks that are electronically adjustable in height, allowing the user to work in a seated or standing position.

Providing our clients with a healthier work environment is central to our sales philosophy, and we pass this onto our clients by allowing them a trial period on all our ergonomic swivel chairs and work stations.

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Another recent trend that has developed, and is highly requested within an office environment, is acoustics.

BSL has positioned itself in providing a complete range of acoustic products for new and existing offices. This could vary from simple acoustic wall and ceiling panels, to complete insulated offices. We also supply and install acoustic phone booths for up to four persons, and complete meeting room pods for up to 12 persons. These pods are becoming very popular as they do not take up a lot of space in the office, and they provide our clients with the extra meeting room, or a quiet area for their staff to work in, collaborate, or just simply concentrate on the project at hand.

The company offers the complete service to our clients from measuring the required spaces, to designing the layouts and proposing different cost structures. We are continuously guiding our clients throughout their decision process.

So come and visit us at our showroom in Labour Avenue, Naxxar, or contact us for a free consultation on your office space on T: 2138 2601; or E: chrisgatt@bsl-lifestyles.com www.bsl.lifestyles.com

BUSINESSAgenda BUSINESS UPDATE

ACUMATICA CLOUD ERP FOR ALL YOUR DISTRIBUTION MANAGEMENT NEEDS Distribution management is an overarching term that refers to numerous activities and processes such as packaging, inventory, warehousing, supply chain and logistics. Distributors of any size face many of the same global challenges, including rapidly-changing customer demands, complex inventories, and fluctuations in the supply chain. Acumatica Cloud ERP offers a distribution management solution that integrates and automates the entire cycle, from quoting to cashing. It enables businesses to simplify complex distribution processes involving multiple products and suppliers. Here are a just a handful of reasons to choose Acumatica for your distribution management needs: MINIMISE INVESTMENT COSTS Everyone in your company needs up-to-date and accurate information to make the best decisions. That’s why the Acumatica pricing structure lets you add casual users, suppliers, and customers without paying for additional licences. Therefore, the cost to you is based on the features and resources that you choose to utilise, not on the number of users who access the system.

REAL-TIME INVENTORY MANAGEMENT With the Acumatica inventory tracking feature, business owners can control system-wide inventory to efficiently manage the distribution process from beginning to end. The best part is that the inventory is accessed in real-time, so you can stay on top of everything – from viewing available stock and expiration dates to reordering

quantities across multiple warehouses.

IMPROVE CUSTOMER SATISFACTION Through Acumatica’s availability of accurate realtime information, any situation needing attention can be identified and addressed immediately, thus allowing you to provide customer support anytime, anywhere. With its fully-integrated financial management, customer management, and distribution management modules, visible across the entire company, customer satisfaction can easily be improved.

REDUCE ORDER TIMES With the Acumatica sales order management feature, you can improve the order process and eliminate delays by means of integrated workflow and automated sales order processing. Acumatica allows you to set rules to optimise the sales management of multiple warehouses from a single screen – you can split orders, verify credit limits, and easily drop shipments.

Start making the shift to Acumatica Cloud ERP today.

For more information, call on T: 2149 070; E: info@computimesoftware.com; or visit www.computimesoftware.com/acumatica-erp

YOUR PARTNER IN BUSINESS WITH BOV SME INVEST growth. BOV SME Invest facilitates access to finance for SMEs carrying out capital investment through highly reduced collateral requirements, finance costs and an interest rate that is lower than the normal benchmark. An average of 80 per cent of each individual amount will be guaranteed by the Malta Development Bank, reducing the burden on enterprises. The extendible security requested by the bank on the loan may increase or decrease according to the risk profile of the proposal. The loan amount can range between €200,001 to €750,000 and can be repaid from one to 10 years.

Small and Medium Enterprises (SMEs) are the heart of our economy and a major source of entrapreneurial skills, innovation and employment. To grow and reach their full potential, SMEs need easy and affordable access to financing. After all, managing costs is as crucial as increasing revenues.

With all this in mind, Bank of Valletta, in collaboration with the Malta Development Bank, has launched BOV SME Invest, a product specifically designed for SMEs seeking

BOV SME Invest is ideal for start-ups, SMEs venturing into new business sectors or traditional SMEs wanting to invest in, revamp or strengthen their current business model.

We will help you find a solution to your particular needs - because at Bank of Valletta we understand SMEs like nobody else!

Visit a BOV Branch or Business Centre or send an email to smefinance@bov.com for more information.

All loans are subject to normal bank lending criteria and final approval from the Bank. Terms and conditions are available from www.bov.com.

Issued by Bank of Valletta p.l.c., 58, Triq San Zakkarija, Il-Belt Valletta VLT 1130. Bank of Valletta p.l.c. is a public limited company regulated by the MFSA and is licensed to carry out the business of banking in terms of the Banking Act (Cap. 371 of the Laws of Malta).

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W H AT I S t h e F U T U R E OF EUROPE? With the EU’s new MEPs now firmly in place in Brussels, there is a lot to discuss when it comes to what the future of the EU will be. Following the recent Sibiu Summit Declaration, Jo Caruana talks to three experts to discover what that future could look like, and what the Union’s priorities should be.

It was a few weeks ago, on 9th May 2019, that EU leaders got together in Sibiu in Romania to reaffirm their belief that ‘united we are stronger in this increasingly unsettled and challenging world’.

In a declaration, those leaders said that they recognise their responsibility when it comes to making the Union stronger and its citizens’ futures brighter, while recognising the European perspective of other states on the continent. They then committed to 110 | SUMMER ISSUE

defending Europe, staying united, delivering where it matters most, looking for joint solutions, and safeguarding the future for the next generations of Europeans.

Since then, though, one of the toughest European Parliament elections ever took place, with record numbers of people going out to vote – some in favour of tougher migration laws, others in favour of stringent environmental regulation, and others still pushing the rise of populism. Either way, it

turned out to be one of the most divisive and monumental events in the EP’s history, and the effects will now start to be seen.

One of the people eagerly looking on was Pierre Goguet, President of CCI France, Vice-President of EUROCHAMBRES and co-Chair of its Future of Europe Committee.

Following the Sibiu Summit and the results of the EP election, he explains that the Future of Europe debate was, in part, a response to the UK’s 2016 referendum on EU membership, which prompted considerable reflection on the EU’s strengths and weaknesses.

“Interestingly, the complex negotiations on the UK’s withdrawal have galvanised support for the EU across many member states,” he explains.

“Perhaps this is one of the reasons why the Future of Europe discussions lost momentum and why the expected grand finale at the informal European Council summit on 9th May proved to be an anti-climax.”

BUSINESSAgenda EU POLICY

“Our challenge is to work with national governments, the new EP and the next Commission to ensure that Europe changes for the better.”

PIERRE GOGUET

He also underlines the foundations on which the bloc is built. “Our message, throughout, has been consistent: the future of the EU must be built around an effective single market. Ensuring that the four freedoms are meaningful and tangible to our entrepreneurs and citizens must be a priority, with accompanying measures to reinforce the coordination of our economies and an ambitious plan to enhance competitiveness.”

Mr Gouget also believes that, despite recent upheavals, the EU should carry on with business as usual – in some respects. “Even after crises like the financial crash, and significant developments, such as the accession of Malta and nine other countries in 2004, the process of EU integration has always been incremental,” he says.

“I believe that this will remain the case: there is no silver bullet, so in that sense, yes, the EU should carry on with business as usual,” he asserts.

However, he stresses the need to adapt. “But, at the same time, the results of the EP elections and the emergence of new forces across the political spectrum show that some change is inevitable.

EUROCHAMBRES embraces change and, indeed, our members – Europe’s small, medium and large enterprises – are important drivers of change. Our challenge is to work with national governments, the new EP and the next Commission to ensure that Europe changes for the better.”

to our citizens, businesses and economies. There were positives of membership that have been taken for granted by many – especially the younger generation who have lived their lives on a continent that had no borders to trade and who enjoy the benefits of the EU’s free movement of people, as well as the longest period of peace in two millennia.”

As Malta’s Minister of European Affairs and Equality, Helena Dalli has also watched developments unfold with interest, as she admits the outcome of the Brexit referendum was an important wake-up call for the EU. “Since then, it has not been business as usual,” she says. “On the contrary, this was painful and distracting for the Union, and there is a feeling that the time and effort invested in it could have been better spent elsewhere.”

But, she continues, the upheaval has had its positives. “Nevertheless, we are wiser because of this process in that it has helped us to better appreciate the benefits of EU membership. It has helped us realise what the Union means

Now, Dr Dalli says, lessons have been learnt. “The outcome of the recent EP elections, particularly given the highest turnout in 20 years, shows that citizens realise that European solutions are needed for European problems, even in an age of fragmented politics where the centre mainstream parties no longer dominate. The results will also help us forge alliances that will address problems like migration, climate change and social exclusion,” she says. “These are things that have a direct impact on citizens’ lives and the only way the EU can reconnect with its citizens is by taking action and proving its added value to each individual’s well-being.”

Echoing the shock felt by Brexit and the threat of populism within the EP, Simon De Cesare, President of the Malta Business Bureau, highlights how easy it is to dismantle a European project that took decades to build.

“They showed how European achievements, such as free movement, a common currency and the end of roaming charges, can be taken for granted,” he says.

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policy, particularly as forecasts indicate that the world economy is heading towards a period of slower growth. It should also continue to look at facilitating the transition of industrial production towards sustainable models with international synergies to keep up the fight against climate change.”

“Now the impact of electing more populists to the EP has – to a certain extent – been contained.

But this does not mean the battle is over. Some member states, including Italy, Hungary and, until recently, Austria, already have populist parties in their respective national governments. In other countries, such as France, far-right parties achieved enormous success in the European elections. The populist threat should be kept in check, and, for this, the EU should reorganise its business to ensure long-term political stability and economic prosperity.”

And, with the future of business also very much on the minds of those considering the future of Europe as a whole, Mr De Cesare explains that the EU priorities for Maltese businesses are to work towards further deepening the single market – effectively removing barriers for companies that are still significant in certain areas, particularly in the free movement of services and capital.

“The EU should continue to focus on an ambitious trade agenda to provide market access to businesses, especially SMEs,” he says. “It should invest strongly in economic sectors that bring added value, such as tourism, where a new strategy with a vision for 2030 is urgently required.

Competitiveness should be kept at the centre of the EU’s social

As for her priorities for the future of Europe, Dr Dalli says there are three key ones. “Firstly, the Union must be a globally-competitive player and a leader on sustainability issues,” she says. “To achieve this, it must foster digital transformation, internally removing the remaining obstacles in the single market, and investing in a workforce that is ready for the digital age. In doing so, member state specificities need to be taken into account and onesize-fits-all approaches need to be avoided. The Union also needs to create an environment that is conducive to growth and where SMEs and micro enterprises – the backbone of our economies – can prosper. Beyond that, the transition to a low carbon and carbon-neutral economy should remain a priority.

The EU must be a leader in this area.”

Secondly, Dr Dalli stresses that the Union does not operate and exist

“Citizens realise that European solutions are needed for European problems, even in an age of fragmented politics.”

HELENA DALLI

in a vacuum. On the contrary, its geopolitical environment remains volatile and presents a number of challenges that vary in nature and depend on the stability of its immediate neighbourhood both to the south and to the east of the bloc. “The Union must, therefore, continue to engage with strategic partners on a number of issues,” she says. “We must continue to promote stability, peace, prosperity and democracy.”

And, this is linked to migration, she says. “This brings me to my third point – migration deserves to be managed in a pragmatic and comprehensive manner. It is not just a matter of prevention and strengthening borders, but a matter of saving lives at sea.

Internally, we need to agree on a way forward on a balance of solidarity and responsibility. These are issues that are playing in the hands of populists and the longer we take to reach a consensus on them, the longer it will take for people to be convinced that the EU is truly effective,” she notes.

Similarly, Mr Gouget also underlines his priorities for the future of business in Europe, but stresses that the Union faces major challenges in relation to migration, demography, security, climate change and scarce natural resources.

“These are challenges on a global scale, so EU member states need to join forces in responding effectively to them,” he says. “The EU must lead a global pursuit of fair and open markets. This starts at home with progress on removing the remaining barriers between member states. A solid single market provides a firm platform from which to counteract the growing risk of protectionism elsewhere in the world.”

Finally, Mr Gouget highlights how Jean-Claude Juncker stated that the EU should be ‘big on the big things, small on the small things’ when he became Commission President back in 2014, and stresses that this must remain the mantra between 2019 and 2024, but that SUMMER ISSUE | 113

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effectively and in a coordinated manner,” he says.

And, finally, the strength of the single market is built on the solid foundations of a business climate conducive to investment.

“A business-friendly environment also needs an investment policy focused on tangible and – increasingly – intangible

it should also be better reflected in policy measures and delivery.

“The single market and the eurozone must be central to the closer coordination of national economies. This will enhance the EU’s international strength. Challenges, such as sustainability, digital and industrial transformation and skills mismatches, must be addressed

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infrastructure. This must be reinforced to provide a strong backbone for the single market.

Let’s ensure that European businesses – 99 per cent of which are SMEs – have the right tools and conditions to develop and drive the creation of growth and jobs. As our motto for the European elections said, let’s move forward together!” he concludes.

“The EU should continue to focus on an ambitious trade agenda to provide market access to businesses, especially SMEs.” SIMON DE CESARE