A University trust fund has been created as a first step for the University to have its own funds, which it can use for research purposes.

The government has donated €500,000 for the fund and the University is inviting private donations, which will be tax deductible.

The instruments creating the fund were signed by Prime Minister Lawrence Gonzi and University Rector Juanito Camilleri during a ceremony at the Auberge de Castille this morning.

Prof Camilleri explained that the University, despite being more than 400 years old, had no assets or reserves of its own. The University only generated 15% of its income, mostly from fees paid by foreign students. The remaining funds were contributed by the government.

The trust fund would be another means how the University could generate its own money and accumulate reserves.

He said that individuals or companies could donate money for specific projects or the university in general. Donations may include property.

Dr Gonzi said there was an urgent need for the country to give more importance to research and to encourage graduates to remain in Malta, contributing to the economy and the community.

The purpose of the university was not only to prepare graduates, but also to carry out research that benefited society, Dr Gonzi said.