The tourism industry is of significant importance to the Maltese economy, coming to prominence since Malta gained its independence. Over the years it has gained further strength, shaping other economic sectors by supporting and developing their growth.
2015 was undoubtedly a year of excellence for the sector, marked by a robust, record performance in Malta and Gozo. This year, all indicators are pointing to an even better overall tourism performance.
In fact, more than 1.53 million tourists visited us in the first nine months, an impressive growth of 33 per cent over 2012, the last full year of the previous government. Bed nights between January and September have also increased to nearly 12 million, while tourist expenditure has reached €1.355 billion, a 27 per cent increase on that registered in same period four years ago.
This means that in the first three quarters of the year, the tourism sector has injected €286.7 million more in the Maltese economy. For the first time we have welcomed more than a quarter of a million tourists in a single month – August.
I would like to emphasise that such results are not achieved coincidentally. On the contrary, they are the fruit of a clear vision and careful planning, while ensuring that absolutely all stakeholders are involved in the processes.
I have four main objectives that will ensure future sustainable growth in the sector.
My first objective is simple: we want to surpass the figure of two million tourists next year. To achieve this new absolute record, we are focusing much of our efforts on further extending air connectivity. This year we inaugurated more than 15 new air services and we will achieve an increase of 20 per cent in airplane seating capacity during the winter schedule compared to last year.
Increased tourism brings new challenges that we have to effectively manage, specifically in the areas of environment and infrastructure. For this reason, and to ensure a sustainable approach to this expansionary growth, we will update the Carrying Capacity Study conducted 16 years ago. This will provide us with the necessary tools to ensure an all-encompassing and comprehensive strategy.
We want to surpass the figure of two million tourists next year
My second objective is to incentivise investment in the sector in order to further improve our overall touristic product. Apart from reducing electricity tariffs, which enabled hotels and other operators to reinvest the savings to improve their product, we are revising tourism-related legislation in a holistic manner. The aim is to reduce unnecessary and inefficient bureaucracy, strengthen the rights of consumers and improve the standards of service and product on offer.
Other initiatives include targeted measures such as increasing home-porting opportunities in the cruise line industry, safeguarding the Maltese coastal product, creating a new action plan for Comino and investing in a national digital tourism platform.
My third objective, which moves in parallel with the first two, is to ensure appropriate investment in human resources within the sector. It is clearly counterproductive to aim at increasing tourism numbers without having the appropriately skilled workforce to sustain it.
To this end, we have embarked on a series of initiatives to satisfy the current and future needs of the sector, including an investment of €56 million in new premises and state-of-the-art facilities for the Institute of Tourism Studies (ITS), on which work will start in 2017.
In the meantime, the institute has introduced new and updated courses, had its academic programme revised by specialised foreign academics, and most importantly, introduced a bachelor’s degree for our students. We are investing further in ITS academic staff by introducing special incentives to allow them to strengthen their academic base to a master’s degree or a doctorate as applicable.
The aforementioned objectives are all tightly connected to my last one, that of reducing seasonality. Apart from expanding air connectivity, we are working hard to increase tourism in the shoulder and winter months, also by attracting tourism from relatively new source markets for Malta. Our first results were quite positive: we saw an increase of 38 per cent in tourism, while tourist expenditure increased by 35 per cent, when compared to 2012.
In this respect, also thanks to the efforts by the Shanghai office, represented by the Maltese envoy for investment in Malta, I am pleased to announce that we are advertising Malta in China as a high-end destination with the important cooperation of Bank of China and Caissa International Travel Services.
To reduce seasonality, we are also promoting Malta in various niches, such as LGBTIQ tourism, wedding tourism and sports tourism, while investing more in Conventions Malta to attract more conferences and delegations to the island. Malta’s EU Council presidency will be another opportunity to put forward our tourism agenda.
The record performance, and our confidence in the future, is testament to my determination and hard work to drive Malta further along the successful path that this sector has embarked upon. My tourism vision will, therefore, ensure continued economic prosperity for these islands, but most importantly, for the welfare of workers and Maltese citizens.
Edward Zammit Lewis is Minister for Tourism.