A survey conducted by Ernst & Young among foreign and local companies in Malta shows that the majority feel that Malta is an attractive location for foreign direct investment.

The results of the Malta Attractiveness Survey, published this morning, show that 86 per cent of respondents believe that Malta is attractive.

Overall, respondents in the banking, insurance and other financial sectors said they considered Malta to be more attractive for FDI than respondents in the ICT, telecoms and iGaming sectors, as well as the manufacturing and pharmaceutical sectors.

Reasons for Malta's attractiveness included the stability of the social climate, corporate taxation and stability and transparency of the political, legal and regulatory environment. Local labour skills were also rated highly.

Reasons for its unattractiveness included rising costs and the small domestic market.

Looking foreword, 58 per cent of respondents believed that Malta would continue to be an attractive location for foreign investment over the next three years.

With regard to the availability of specialised skills, 57% of respondents, especially in the pharmaceutical industy, said that the local pool was limited.

However 86% felt that the current legislative framework in their particular sectors encouraged key players to set up in Malta.

54% of respondents indicated that their company was considering an expansion of their operation in Malta. Reasons included excellent business growth oportunities, especially in the financial services sector, a stable domicile and penetration of new markets.