On the 8 June, the Prime Minister, the Minister for Finance and Financial Services and the Minister for the Economy, Investment and Small Businesses announced a package of measures intended to regenerate the economy following the COVID-19 pandemic and this by implementing measures targeted to reduce operational costs of businesses, measures to incentivise domestic consumption and measures to support investment.
Extension of COVID-19 wage supplement
During a press conference held on Thursday 30 April 2020 by the Minister of the Economy, Investment and Small Businesses Silvio Schembri, it was announced that the COVID-19 wage supplement scheme originally issued to cover wage costs incurred by COVID-19 impacted businesses during March and April, will be extended to also cover May and June.
Further to the Government measures announced on Wednesday 18 March, this evening the Prime Minister announced additional measures to support businesses and safeguard jobs. These additional measures are estimated to amount to €70m per month.
All measures announced by the Government will apply retrospectively as from 9 March 2020. The amount of support being granted depends on the extent to which business in the respective sector has been hit. The main categories of business that are considered to have been more critically hit are set out below.
Furthermore, Malta Enterprise should be launching an online portal to help businesses to identify, according to their applicable NACE code and VAT registration number, the measures for which they qualify.
In addition to the measures announced earlier this week, this evening the Prime Minister, the Minister for Finance and Financial Services and the Minister for the Economy, Investment and Small Businesses announced a number of measures aimed at supporting the business community against the negative effects of the COVID-19 pandemic.
The measures announced have a value of around €1.8bn, which represents around 12.9% of Malta’s Gross Domestic Product (GDP) in 2019.
The Maltese Government has announced a number of measures in a bid to encourage retention of employees and alleviate imminent cash flow and liquidity concerns that are expected to be faced by certain local businesses in the light of the COVID-19 outbreak. These initiatives are mainly targeted at those businesses that are suffering a significant downturn in their turnover as a result of the economic constraints arising from the Coronavirus pandemic and, as a result face substantial cash flow difficulties.
More measures may be announced in future as the need arises.