Factsheet for measure
MT-2022-27/3033
–
Updated
– measures in Malta
Schemes to enhance digitalisation amongst enterprises
Background information
Two schemes were launched by government in order to boost the digital transformation of organisations. These were termed the SME Digitalisation Grant Scheme and the Digital Intensification Scheme. The former focuses on small and medium enterprises, while the latter focuses on larger and more ambitious projects.
The schemes, which are funded by the European Union's Recovery and Resilience Plan, aim to aid organisations with the digital transformation. They address organisations that lack digital tools and others that wish to improve their current digital offerings.
Content of measure
The SME Digitalisation Grant Scheme is open to micro, small, and medium-sized organisatons. This scheme offers grants of up to €50,000 for investments in any digital intervention. The measure provides organisations an aid rate of 50% for organisations based in Malta, and 60% for those in Gozo.
The Digital Intensification Scheme targets larger projects. While it is open to all organisations and sectors, funds are prioritised for those in the manufacturing and tourism sectors. Provided grants are up to €200,000 and the level of aid can range between 10% and 30% depending on the organisation's size and location. In Gozo, the rate of aid is 5% higher.
The total budget for these schemes is €15 million.
Updates
The following updates to this measure have been made after it came into effect.
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01 January 2023
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Updated documentation for the SME Digitalisation Grant scheme notes that the allocated budget is set at €5 million and that digitalisation investments should be concluded within 24 months from the Grant Agreement. The deadline for applications were also extended to 29 December 2023. The eligible expenses were also specified, these include the development of e-commerce websites, as well as the purchase of various digital solutions, including buying off-the-shelf software, custom software, hardware, cloud computing and cyber security systems. Training related to the purchased products can also be claimed.
The Digital Intensification Grant was also extended up until 29 December 2023.
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Use of measure
Malta's Digital Decade Strategic Roadmap 2023 – 2030 (2024), notes that by June 2023, 52 enterprises engaged in the SME Digitalisation Grant Scheme. In terms of the Digital Intensification Grant Scheme, the same report states that the uptake of this scheme was minimal, "potentially due to demographics of our business ecosystem and the nature of the scheme itself in contrast to other available schemes."
Target groups
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Workers
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Businesses
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Citizens
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Does not apply to workers
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Applies to all businesses
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Does not apply to citizens
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Actors and funding
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Actors
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Funding
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National government
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European Funds
National Recovery and Resilience Facility
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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Consulted
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Consulted
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Form
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Unknown
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Unknown
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Social partners' role in the
implementation, monitoring and assessment phase:
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No involvement
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Main level of involvement: Unknown
Involvement
During a conference organised to announce the launch of these measures, the Junior Minister for European Funds Chris Bonett stated that the measures were designed following consultation with social partners in order to "hear their views to draft the best schemes possible for businesses." Further information on this was unavailable.
Views and reactions
No views regarding these measures appear to have been published. Malta's main employer associations, including the Malta Employers Association (MEA), the Malta Chamber, and the Malta Chamber of SMEs, have all previously expressed their beliefs that accelerating Malta's digital transformation was a priority. A 2021 survey by the Malta Chamber of SMEs noted that the majority of member organisations intended to build resilience following the COVID-19 pandemic, with 53% of respondents aiming to make the business more digital.
Sources
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29 July 2021: Newsbook - €15 million schemes for digitalisation projects for businesses launched
(newsbook.com.mt)
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24 November 2021: Malta Chamber SMEs - SMEs embracing Sustainability and Digitalisation
(www.smechamber.mt)
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01 January 2023: SME Digitalisation Grant Scheme Guidance Notes
(fondi.eu)
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08 August 2024: Government of Malta - Digital Decade Strategic Roadmap 2023 – 2030
(economy.gov.mt)
