By the end of March 2021, the Malta Development Bank was facilitating over €440 million in working capital loans under the COVID-19 Guarantee Scheme.

The COVID-19 pandemic continues to drastically affect most aspects of our daily life, and these unsettling changes that initially were thought to last only a few months have prevailed for over a year and without a demarcated end.  Large important sectors of the Maltese economy were effectively brought to a standstill by the health and travel restrictions, bringing years of high levels of growth to an abrupt halt. In the face of such unprecedented circumstances, no level of preparedness can ever be deemed sufficient. However, this experience confirmed the true importance of fiscal soundness recorded prior to the pandemic, putting Malta in a resilient position to withstand shocks. Complementing the fiscal manoeuvring space, it was also important to have the institutional capacity to deliver the required support measures effectively while protecting the interest of public finances. In this regard, the establishment of the Malta Development Bank (MDB) was indeed propitious. Having set up the necessary foundations and gained experience in implementing financial instruments, which were originally intended to support SMEs, while promoting social inclusion, climate protection and...

Read more: Supporting the Maltese economy