Author: Mel Chamber

Bank of Valletta launched the second series of investor education sessions across its retail network. These sessions, aimed at the small investor, are intended to equip with basic financial skills for all those interested in this specific area within the financial industry, as well as to explain the basics of the world of investments. These initiatives, together with others already implemented, form part of the Bank’s objective in promoting financial literacy, acting as a catalyst in improving financial knowledge within the local community whilst also providing customers with the necessary financial information when managing their finances.

The sessions kicked off on the 4th of October 2023 at the BOV Cospicua branch. Other sessions will be organised as follows: at the BOV Zebbug branch on the 24th of October and the BOV Attard Branch on the 31st of October respectively.

Speaking about the initiative, Mark Agius who heads BOV Asset Management said, “BOV Asset Management Ltd (BOVAM) has been at the forefront to support financial literacy through investor education initiatives.  We strongly believe that BOVAM is in a unique position to provide financial education aiming to equip individuals with the required knowledge and skills to make smart financial decisions.  In fact, during the last months, we organised a series of investor education evening sessions at our BOV branches, an initiative that we are planning to extend over the coming months, to other locations across Malta and Gozo.”

Kenneth B Micallef, Head of Business Development at Bank of Valletta stated “Educating our customers about the Bank’s products and services is an important investment that we make. We strongly believe that dedicating our time and effort in meetings with customers takes us a long way. It serves the dual purpose of passing on information to customers about how they can make best use of our services whilst we take it as an opportunity to learn about our customers’ evolving needs which help us to continuously develop our service offering to keep it as relevant as possible. Such meetings also help us to strengthen our working relationships with our customers”.

A result of a multidisciplinary collaboration between the Bank’s Business Development arm, BOV Asset Management, and the teams across the Bank’s network of Branches and Investment Centres respectively, these sessions will be delivered in Maltese during which participants will also be provided with the opportunity to raise their thoughts to representatives from BOV Asset Management and staff from the Branch.

For more information, customers may contact the Bank’s Business Development unit at 2275 1122 or by email at businessdevelopment@bov.com

In the ever-evolving landscape of financial planning and security, pensions have emerged as a crucial topic of discussion for both individuals and organisations. Recognising this, MAPFRE Middlesea is proud to announce its upcoming conference in collaboration with the University of Malta, where we will delve into the “Current Pensions Landscape and Future Sustainability.” Set to take place on the 27th of October at Valletta Campus, this conference promises to be an enriching event, bringing together experts and stakeholders to address pressing issues in the realm of pensions.

The Significance of Pensions:

Pensions play a pivotal role in securing a financially stable retirement for individuals while also allowing employers to invest in their employees’ future, thereby enhancing their competitiveness in a demanding job market. With the ambitious VOPS (Voluntary Occupational Pension Scheme) initiative on the horizon, it’s crucial to explore the current state of pensions in Malta and chart a course towards future sustainability.

Conference Highlights:

MAPFRE Middlesea conference boasts an exciting agenda, featuring prominent speakers and experts who will shed light on various aspects of pensions:

1. Keynote Speakers:

• Petra Ellul Mercer & Adrian Sacco (Ministry of Social Policy)
• David Spiteri Gingell & Dr. Patrick Ring
• Bernard Attard, and Victoria Muscat (PwC)
• Eduardo Ripolles de la Pena & Gonzalo de Cadenas (MAPFRE CESGA and MAPFRE Economics)

2. Discussion Panel:

• Dr Marthese Portelli (The Malta Chamber)
• Simon Azzopardi (BOV)
• Amongst others

3. Conference Opener:

• Dr Gordon Cordina, MMSV/BOV Chairman and Prof Albert Vella, rector of the University of Malta  will  deliver the welcome speeches.

Agenda Overview

The conference will address the following key areas:

1. Current State of Pensions: An exploration of the existing pensions system in Malta
2. Outlook for Pensions: A discussion of pensions in light of local and international economic and regulatory developments.
3. ESG Challenges: An examination of the challenges faced in achieving compliance with Environmental, Social, and Governance (ESG) criteria.
4. Proposals for Sustainability: Through keynote speeches and panel discussions, the conference will put forth proposals for strengthening the sustainability and adequacy of pensions in Malta.

Target Audience:

This conference caters to a diverse audience, including:

• Employers
• Professionals from the insurance and banking sectors
• Financial services providers
• Students

CPD Accreditation:

Importantly, this conference offers an opportunity to earn 4 Core CPD (Continuing Professional Development) Hours for Life Insurance and Accounts. These CPD hours are accredited by MARM (Malta Association of Risk Management) on behalf of FERMA (Federation of European Risk Management Associations), making it a valuable event for professionals seeking to enhance their knowledge and skills.

Conclusion:

“Pensions Plans: Current Pensions Landscape and Future Sustainability” conference organised by MAPFRE Middlesea, in collaboration with the University of Malta and BOV, promises to be an informative and thought-provoking event. It serves as a platform for dialogue and learning, aiming to shape the future of pensions in Malta and ensure financial security for individuals and organisations alike. Mark your calendars for the 27th of October and join us at Valletta Campus for this exciting conference. Together, we can navigate the path towards a sustainable pension future.

The Malta Communications Authority (MCA) has launched a public consultation on proposed preventative measures to mitigate Calling Line Identification (CLI) spoofing and vishing scams. The Consultation Paper proposes a framework of interventions aimed at identifying, and subsequently blocking, potential scam calls received in Malta over international network interfaces (international links).
There is globally an upward trend in prevalence of scams based on CLI spoofing, whereby scammers rely on using spoofed, locally known numbers for voice calls (vishing) to abuse of the potential victims’ knowledge of, and trust in, such numbers.

Within this context, such scams comprise the misuse of, or unauthorised use of numbering resources and can thus result in a negative impact on the market for electronic communications services (ECS), through lower trust in numbers and corresponding services. The task of distinguishing calls with spoofed CLI from legitimate calls is challenging, thus, any proposed interventions need to be effective in mitigating scam calls using spoofed Maltese numbers, as well as having minimal impact on legitimate calls.

In this regard, the Consultation Paper proposes a framework of interventions, comprising nine Proposed Decisions, which may be summarised as follows:

1. Mandating the blocking of all incoming calls over operators’ international network interfaces where the calling party number is a Maltese number from the ‘1X’, ‘2X’ or ‘8X’ numbering ranges, with exceptions considered to safeguard legitimate use-cases.
2. Mandating the blocking of all incoming calls over operators’ international network interfaces where the calling party number is a Maltese number from the ‘3X’, ‘5X’ or ‘6X’ numbering ranges, which correspond to numbers that may not be used as CLI.
3. Proposed decisions governing operators’ handling of incoming calls originating from ‘overseas solutions’, such as over-the-top and/or cloud-based communications solutions, with outbound calling functionalities. The corresponding decisions propose an approach to govern the authorised provision of such ECS and to ensure that legitimate calls originated via such overseas solutions are not blocked.
4. Establishing transparency and creating awareness on potential negative impact of the blocking measures on the conveyance of certain calls, such as those involving some form of call forwarding and calls originated through overseas solutions provided by undertakings unauthorised locally to provide ECS.

The MCA invites all interested parties to review the Consultation Paper and provide feedback by not later than 12:00 CET on Tuesday, 31 October 2023. For more information, please visit the MCA website or contact the MCA on numbering@mca.org.mt or +356 2133 6840.

Following a request from an interested party, the MCA has granted an extension to the deadline for the submission of responses to its consultation and proposed decisions titled ‘Preventative measures to mitigate CLI spoofing and vishing scams’ (MCA/C/23-5080) until 12:00 CET on Wednesday, 15 November 2023.

Standard and Poor’s (S&P) has just assigned Bank of Valletta a BBB-/A-3′ rating, upgrading the previous rating to a stable outlook. S&P also highlighted the fact that in future evaluation, they would consider a further rating upgrade by one notch, once the Bank registers an additional loss-absorbing capacity buffer that comfortably exceeds their 4% risk-adjusted capital ratio threshold.

In their evaluation on the local economy, S&P commented on the fact that the sound economic fundamentals in Malta are easing the risks of a sharp real estate price correction for local banks. They anticipate Malta’s economy to continue growing in the coming quarters, and that slowdown in 2023 will be milder than its peers’ and its rebound more robust in 2024. S&P also expect real GDP growth of over 3% in both 2023 and 2024, versus an average below 1% in the euro area, largely due to tourism and gaming industry resiliency. High household savings of 37% will ease the impact of inflation and tighter credit conditions on real income. S&P commented on the fact that high house prices appear well supported by fundamentals, benefiting from Maltese citizens’ preference for owning homes, interest from residents of other countries, as well as government incentives.

On top of that, the regulator has put in place policy measures to reduce the risk of imbalances, including increasing risk weights for residential mortgage loans and stricter lending requirements at origination, in the form of limits on loan to value and debt service.

In such a context, Standard and Poor’s expect BOV to maintain strong capitalization and resilient asset quality metrics, in which the Bank’s risk adjusted capital (RAC) ratio will be 14.3%-14.8% over the next couple of years, supported by improving net profits and a prudent dividend policy. They also anticipate that benefits from higher interest rates and margins will likely offset the impact on profitability from rising credit losses and expenses, as inflation adds to already soaring operating costs, thanks to the Bank’s efforts to strengthen its risk management and controls. Also, S&P highlighted the fact that their projection with regards to BOV’s credit losses, despite moderately increasing, will remain manageable at about 50 basis points (bps) in 2023-2024. S&P also expect BOV to benefit from diminishing reputational risks in the banking sector, thanks to the Maltese authorities’ progress in strengthening supervisory and enforcement effectiveness which ultimately was a key factor for BOV to enter a new U.S. correspondent banking agreement with an international bank.

Commenting on Standard and Poor’s rating, Dr Gordon Cordina, BOV Chairman, stated that BOV’s upgrade is a clear indication that the Bank continues to head in the right direction to maintain its leading role within the local financial and economic sectors. “The projected outlook of the local economy offers the Bank great opportunities to enhance its market position, whilst providing added value to our customers with strong risk management and regulatory controls. The rating given to BOV by Standard and Poor’s is a clear indication that the Bank’s strategy is achieving expected results, which will ultimately further enhance BOV’s reputation as the Bank of Choice within the local community.”

Mr. Kenneth Farrugia, BOV Group Chief Executive Officer, noted that Standard and Poor’s assigned stable rating was underpinned by Bank of Valletta’s strong performance in operating revenues, resilient profitability, contained credit losses and a strong solvency position. The CEO stated that, “2022 was an extremely positive and productive year for the BOV Group, and the hard work put in by all employees has resulted in increased custom from our customers. This rating is yet another recognition of the Bank’s efforts to continue supporting the growth and development of Malta’s economy, while maintaining our commitment to responsible and sustainable banking practices. Our key focus remains centred on the optimisation of our business and operational service model, as we create and deliver value to our customers and other key stakeholders. I am confident that all our stakeholders will welcome this improved rating, given from such a major rating agency despite unprecedent circumstances which have affected both the local and international markets, such as the increase in inflation and the high interest rates.”

Customer Experience (CX) Day is an international event dedicated to recognising and celebrating the significance of customers, organisations, employees, and all those involved in making customer experiences memorable. For the second consecutive year, Bank of Valletta is proud to be joining hundreds of other institutions across the world to mark Customer Experience Day, with a series of initiatives planned from the 2nd to the 6th of October.

During the BOV CX Week, customers will be invited to share their valuable feedback with staff as well as members of the Bank’s executive management team who will be visiting branches and other customer touchpoints to personally connect with clients. This hands-on interaction allows customers to be heard, offering crucial insights into the areas where service improvements are most needed. As part of this experience, employees will also be providing guidance to customers on harnessing the full potential of digital channels including ATMs and internet or mobile banking services.

Speaking about Customer Experience Week, Simon Azzopardi, Chief Personal and Wealth Officer at Bank of Valletta said, “Excellent customer experience is at the heart of everything we do. We continue to work relentlessly to improve the service we offer across all our touchpoints. This year we have extended branch opening hours, introduced priority opening times for senior citizens, improved our ATM interface, and improved internal processes to shorten the time to delivery. We are also in the process of upgrading our branches to provide service in a more comfortable and modern environment. Excellent service is a journey, and Customer Experience Week is an important opportunity for us to gain essential knowledge that will help us along the way. This special occasion will allow us to understand better our customer’s aspirations and to tailor our services accordingly.”

Theodoros Papadopoulos, BOV’s Chief Digital Officer, emphasised the bank’s unwavering dedication to service excellence. “At Bank of Valletta, our aim is to consistently elevate the quality of our service, ensuring that every interaction resonates positively with our customers, making them feel appreciated. We actively listen and engage with our clients, especially when introducing new services, and always welcome their feedback.  Last year, over 24,000 customers participated in our Voice of the Customer Programme and this year we are taking this further by co-designing solutions and testing them with our customers. In tandem with refining our traditional services, we’re deeply invested in enhancing our digital platforms, making banking more convenient and user-friendly. Our promise to incessantly improve our offerings stands firm. Achieving unparalleled customer satisfaction requires dedication, and we’re committed to channel our energy to make every customer’s journey exceptional. Customer Experience Week offers a pivotal moment for us to reflect on and live out this ethos.”

Throughout the week, several initiatives including the airing of informative video clips, interactive webinars and educational quizzes, will also be held for all BOV employees. These engaging activities are designed to reinforce the bank’s commitment to nurture a customer-centric mindset across the organisation and to serve as a reminder that customers are at the very heart of the bank’s operations.

BMIT to invest 47.1 million euro in approximately 280 rooftop sites, as it creates a high quality and diversified technology company, with an improved long-term financial profile

Leading cloud, infrastructure, and cybersecurity provider BMIT Technologies plc (“the Company”) today announced that its shareholders have resoundingly approved the Company’s acquisition of GO plc’s passive (tower) infrastructure, used for the hosting of its cellular telecommunications equipment.

By way of this transaction BMIT will be acquiring approximately 280 sites and ‘towers’, in the process taking over the ownership and management of the rooftops on which GO have installed or will be installing, active equipment to run their mobile services to subscribers.

Once under BMIT’s ownership, BMIT will oversee maintenance and upgrades, while allowing GO continued access for their operations and provision of mobile services on their network. As part of the agreement, GO plc will be required to install and deliver to BMIT an additional 30 sites by the end of 2030.

The Company said it will be acquiring these sites / towers for a total consideration of approximately 47.1 million euro.

Ing. Christian Sammut, CEO at BMIT Technologies plc, said: “The Board of Directors and I are very happy that this transaction, called Project Sky, has received the full backing of our shareholders. Project Sky will have an immediate impact on our revenue and performance, strengthening the company while further diversifying and improving our growth profile and revenue base.

“Project Sky will also have a positive impact on our longer-term margins and help us reduce our dependency on specific sectors. By creating this new vertical, we are building on years of experience in our core infrastructure and data centre business, whilst continuing to pave the way for our transformation into a hybrid IT solutions provider. Moreover, it ensures a stable and guaranteed revenue which will help us achieve our objectives for the years to come.”

The acquisition or ‘Proposed Transaction’ was approved by 99.99% of the Company’s shareholders during an extraordinary general meeting on Monday, 25^th September 2023.

About BMIT Technologies plc 

BMIT Technologies plc is a technology company providing infrastructure, hybrid cloud solutions, and advisory, implementation, and management services. The company helps design, build, modernise and manage the systems that clients rely on for growth, security, and success. By applying their extensive expertise, experience, and excellence they enhance customer experience, provide true value, and increase efficiency. Backed by a robust and trusted organisation, best-in-class infrastructure and a talented team of experts across various technology platforms, BMIT Technologies offers an unparalleled technology experience to any business.  

This week, HSBC launched the next chapter of their global Transition Pathways programme, which looks at business sentiment and insights from the Real Estate sector, surveying 300+ real estate developers and investors in 20 markets globally.

The programme aims to provide their clients and wider sector participants with industry insights, access to research, podcasts and case studies that show how businesses are implementing change towards the transition. HSBC’s ambition is to continue to raise their profile as a global trusted partner on transition and drive engagement to enhance client conversations and commercial outcomes within the relevant sectors. This follows the earlier releases on Energy and Transport & Logistics.

Why this is relevant?

• Provides proprietary research into the sector across the full value chain
• Provides a benchmark for your clients against their peers on their transition strategies and priorities
• Highlights differences between developers and investors in the sector