Author: Mel Chamber
PwC Malta issues report on Malta’s ranking in the Global Real Estate Transparency Index
PwC Malta has recently issued its report focused on Malta’s ranking in the Jones Lang LaSalle (‘JLL’) Global Real Estate Transparency Index (‘GRETI’) revealing that Malta still ranked within the list of “Low Transparency” countries, lagging behind other European countries. Over the past few months, PwC Malta has been working on Malta’s second contribution to the GRETI, as part of a project in collaboration with JLL and Archi+.
In this year’s edition of the GRETI, Malta has been attributed a score of 3.54 and placed 58th among the 89 participating countries which include countries within the EU such as France, The Netherlands, Germany and Sweden and other non-EU countries such as Mauritius, Puerto Rico, Morocco and Botswana. Malta’s results in this year’s edition remain unchanged when compared to the previous edition of the GRETI and in fact Malta continued to rank within the list of “Low Transparency” countries. Malta scored well on fronts such as governance of listed vehicles, regulatory and legal aspects, as well as the transaction process, but relatively low in areas such as sustainability, technology and digitisation, and availability of data.
The GRETI is an index based on a combination of quantitative market data and survey results, which has been published by JLL since 1999 on a biennial basis. Whilst this year’s index marks the 13th edition, it is the second one that Malta has been included in. The Index scores property markets on a one to five transparency scale (ranging between 1, Highly Transparent to 5, Opaque) and acts as an essential guide for companies operating in foreign markets, as well as a unique benchmark of real estate market transparency.
PwC Malta led the compilation of survey results for Malta through consultations with key stakeholders within the public and private sector, including real estate investors, key developers, architects, lawyers, notaries, real estate agents and property managers. The Index, based on JLL’s methodology, focuses on topics such as direct property indices, availability of property data in connection with transactions, valuations, the use of real estate technology in construction and property management (amongst others), real estate tax, land use planning, professional standards of agents, green building regulations and sustainability.
PwC Malta’s Territory Senior Partner, David Valenzia, said, “It is clear that real estate investors gravitate towards more transparent markets with more robust regulatory systems and lower
reputational and financial risks. Real estate is an important investment instrument locally and the gradual improvement of real estate transparency will continue to ensure the sustainability of the industry.”
“The results of this survey continue to highlight the areas the country needs to prioritise in moving forward to increase transparency. It is only by working upon identifiable targets that Malta can improve its score and ranking in JLL’s GRETI,” he concluded.
Read PwC Malta’s report by clicking here.
Skills Rush: Unveiling the results of the Human Capital Research Project
Earlier this week, the recent findings from the Human Capital Research Project (funded by the HSBC Malta Foundation and supported by The Malta Chamber) were presented to key education stakeholders. These results, presented by AI Expert Prof. Alexiei Dingli together with Economist Prof. Rose Marie Azzopardi, delve into the complex dynamics shaping Malta’s labour market and education system.
Drawing on interviews with employers, unions, and educational institutions, it highlights key issues and opportunities for strategic improvements in workforce development, mainly through upskilling and reskilling initiatives.
In her opening remarks, Dr Marthese Portelli, The Malta Chamber CEO, emphasised that our country needs to overhaul the education system and implement automation strategies to complement our workforce. “A more strategic offering for highly skilled non-EU citizens to fill pressing qualitative skill gaps in the labour market is required, and this needs to be set with clearly defined eligibility criteria including high salary thresholds,” she noted.
BOV announces interim dividend of €0.0924 gross per share
Bank of Valletta has just announced an interim dividend of €35 million for the first half of the year 2024, equivalent to a gross dividend of €53.8m. This amounts to a dividend of €0.0924 gross per share (€0.06 net of tax).
The dividend payout announced by the Bank follows the positive financial performance reported by the BOV Group during the first six months of 2024, for which the Group reported a profit before tax of €148.2 million, representing an increase of 40.9% over the same period in 2023. The dividend is planned to be paid on 27th November 2024 to those members appearing on the Bank’s Register of Members.
BOV Chairman Dr Gordon Cordina commented on the Bank’s latest announcement. “As we had announced during our market briefing on the BOV Group’s financial performance for the first six months of 2024, an in-depth analysis regarding the possible distribution of dividends to the Bank’s shareholders was carried out, taking into consideration important risk and other regulatory criteria that focus on the strength and viability of the Bank’s future business. The dividend we are proposing today is the result of our efforts to safeguard the best interests of our shareholders and wider stakeholders, and it is with pride that I can announce a dividend that is a just reward to our shareholders for the renewed trust they keep placing in this Bank.”
Echoing the Chairman’s comments, Bank of Valletta CEO Kenneth Farrugia stated, “This announcement is proof of the Bank’s commitment to continue strengthening its position as a leading financial institution in Malta. I am pleased to note that the decisions we have been taking over the past few years, coupled with a prudent but forward-looking approach to maintaining a healthy Balance Sheet are delivering the expected results. The proposed interim dividend is the result of the various strategic initiatives being implemented by the Bank across our customers, operations, governance and our valued people where, in the process, we are embedding ESG considerations. These initiatives are in turn strengthening the Bank’s financial position, enabling the distribution of dividends to our esteemed shareholders, and at the same time ensuring that we are meeting, and possibly exceeding, the service expectations of both our personal and business customers.”
BOV CX Week – A week of commitment, inspiration and innovation
The third edition of Customer Experience Week across Bank of Valletta has drawn to a close. It was a week jam-packed with inspiring events, insightful discussions, and a renewed commitment to putting customers at the heart of everything happening across the organisation. The week was a resounding success, driven by the enthusiastic participation of the Bank’s employees.
Highlights of the Week
CX Conference: The week’s activities kicked off with the much-anticipated and first ever CX Conference on 3rd October 2024, which gathered industry leaders, innovators, and experts to share insights on enhancing customer experience. Discussions covered a wide range of topics, including personalisation, customer engagement, and the role of technology in CX. The conference served as a platform for exploring new strategies and best practices to elevate the customer journey.
Frontline Experience: Throughout the week, non-customer-facing employees took part in the Frontline Experience, shadowing frontline colleagues and interacting directly with customers. This immersive initiative fostered empathy and provided a valuable perspective on customer needs and the challenges of daily operations, reinforcing everyone’s commitment to improving customer service across all levels of the organisation.
Members of the Bank’s Executive Committee also joined the ranks at several frontline areas including branches, investment and business centres, customer resolutions team, business generation and sales, and trade finance centre. In addition, they buddied with Customer Service Centre agents, in a bid to better understand the challenges encountered by customers and opportunities present in these roles. This initiative helped strengthen leadership’s connection to the frontlines and emphasised the importance of a customer-centric culture across the Bank.
CX Quiz: Adding an element of fun and learning, the CX Quiz tested employees’ knowledge of customer experience principles and best practices. Prime Crew from the Data Intelligence Hub emerged as overall winners, followed by the Risk Takers from the Bank’s Risk Function, and the Bank’s Customer Service Centre Call Stars in third place. This year, the Bank’s CX Team also took to the streets, engaging with customers to ask about their expectations and experiences when receiving a service. These insights will help guide the Bank’s future strategies and efforts to meet and exceed customer needs.
Looking Forward
Reflecting on the Bank’s CX Week 2024, Acting Chief Customer Experience Officer Theodoros Papadopoulos explained, “Customer Experience Week is a celebration of our unwavering commitment to putting customers at the heart of everything we do. It’s an opportunity to recognise the dedication of our teams, who work tirelessly to deliver exceptional experiences and create lasting value for our customers. Together, we’re not just building a better bank—we’re building deeper, more meaningful connections with the people we serve.”
CEO Kenneth Farrugia expressed his appreciation towards the Bank’s employees, stating, “CX Week 2024 has exemplified our dedication to customer experience excellence, solidifying our ambition to remain the Bank of Choice for our customers. The enthusiasm, passion, and commitment demonstrated by our employees throughout our journey towards customer excellence, particularly this week, have strengthened our resolve to keep our customers at the core of everything we do.”
HSBC Malta Foundation funds restoration of 16 historic paintings at Jesuits’ Church, Valletta
HSBC Malta Foundation has announced a donation of €150,000 to the Jesuits’ Church Foundation, supporting the restoration of 16 historic paintings found at the Jesuits’ Church in Valletta. This significant contribution will help preserve these culturally and spiritually important works, which have been part of Malta’s heritage for centuries. The announcement was made during a visit that the Prime Minister Robert Abela had at the Jesuits’ Church in the run-up to Notte Bianca.
The project involves the disinfestation and conservation of several transept paintings, including those located in the Chapel of Saint Ignatius and the Chapel of Our Lady of Montserrat, together with their gilt decorative frames, as well as two oval paintings in the sanctuary. The restoration will be carried out in three phases, from 2024 to 2026, with each phase focusing on a selection of paintings to ensure their complete conservation.
“The HSBC Malta Foundation is honoured to support the restoration of these historic artworks, which form a vital part of Malta’s cultural and spiritual heritage,” said Geoffrey Fichte CEO at HSBC Malta. “Our appreciation of heritage and education aligns perfectly with this project, ensuring that future generations will continue to appreciate the rich history and artistry of the Jesuits’ Church. With a unique place in Maltese history, these paintings, along with their decorative frames, represent significant religious and artistic value.”
This project aims to preserve these treasures for the enjoyment and education of the Maltese public and visitors alike.
The restoration project is part of a broader commitment by HSBC Malta Foundation to support initiatives that enhance the cultural and historical heritage of Malta, promoting education, conservation, and community development.
Launching the Fourth Iteration of the Academy for Women Entrepreneurs in Malta
On October 11, the U.S. Embassy in Malta, in partnership with The Malta Chamber of Commerce, Enterprise and Industry (The Malta Chamber), proudly launched the fourth iteration of the Academy for Women Entrepreneurs (AWE) program, welcoming over 30 inspiring women who applied for the U.S. Department of State’s 2024 AWE program. U.S. Ambassador Constance J. Milstein and Mr. Chris Vassallo Cesareo, President of The Malta Chamber, presided over the launch and expressed their enthusiasm for the program and its participants.
In collaboration with The Malta Chamber, the U.S. Embassy has supported women entrepreneurs in Malta through this global initiative since 2022. The AWE program equips women with the essential knowledge, networks, and access needed to start and scale successful businesses. Participants get the opportunity to pitch business strategies developed during the program to compete for seed funding to invest in their ventures.
During remarks, Ambassador Milstein stated, “As a businesswoman, AWE is particularly important to me. Your energy and innovation are truly the driving forces behind economic growth and social progress. We hope that all of you who go through this program will not only drive innovation in Malta and deepen U.S.-Maltese economic ties but also serve as role models and mentors to girls and young women seeking inspiration, guidance, and equal opportunities.”
Mr. Vassallo Cesareo addressed the new cohort, saying, “The Malta Chamber is honored to have once again been entrusted by the U.S. Embassy and the U.S. Department of State to deliver the AWE program. This partnership reaffirms the importance and prestige of The Malta Chamber in fostering entrepreneurship and empowering women in business. It underscores the recognition of our commitment to promoting diversity, inclusivity, and the untapped potential of women entrepreneurs in Malta.”
In her comments, Rachel Bondi Attard, The Malta Chamber’s Head of Media & Communications Strategy, said, “Through this program, we aim to give you the tools, the guidance, and the confidence to navigate the world of business, no matter how daunting it may seem. This is just the beginning. Over the next months, you will be challenged, inspired, and pushed beyond your comfort zones.”
The AWE program supports the U.S. government’s National Strategy on Gender Equity and Equality, which aims to advance women’s economic empowerment globally. Implemented in nearly 100 countries, AWE has supported more than 25,000 women entrepreneurs around the world in developing their entrepreneurial ideas and growing their businesses.
BOV Republic Street branch reopens following major renovation
Following nine months of major renovation works, the Bank of Valletta Branch in Republic Street Valletta has reopened to the public. To mark the completion of this major project, an inauguration ceremony was held, presided over by the Minister for the Economy, Enterprise and Strategic Projects Hon. Silvio Schembri, the Bank’s CEO Mr Kenneth Farrugia and BOV Chairman Dr Gordon Cordina. The project forms part of the Bank’s Branch Renovation Program, which is aimed at offering an improved and enhanced customer experience throughout the Bank’s retail network.
Situated at the corner with St John Street, the branch has been synonymous with Bank of Valletta, and during the past five decades has been considered as the bank’s flagship branch. Considering the building’s location in an urban conservation area and its cultural and historical value, restoration had to respect the true character of the capital’s architecture, with particular focus on the façade’s original features, masonry and iron-cast that were retained and restored in place. Of particular interest is the Coat of Arms of the former National Bank of Malta, sculpted in stone and portraying the George Cross and the Order of St John’s eight-pointed cross, as well as Patron Saints St George and St Paul.
The newly restored building achieves high energy efficiency through intelligent use of lighting and water, as well as sound-proof materials. Several other elements from the older building have been reused, including marble, windowpanes, balconies, old vaults and safes. The building also includes a new ATM lobby, which now houses two state-of-the-art ATMs and BOV’s first Bulk Deposit Machine that offers 24-hour deposit services to the business community. The branch is fully accessible and certified by the Commission for the Rights of Persons with Disability. Working in tandem on the restoration works and the enhanced customer experience were the Bank’s Chief Operations Officer Ernest Agius and the Chief Personal and Wealth Officer Simon Azzopardi, who ensured seamless customer service while works were in progress.
During the inauguration, Minister Silvio Schembri highlighted the significance of this project for the Maltese economy, stating, “The reopening of the Bank of Valletta’s Republic Street Branch not only revitalises an iconic part of Valletta but also contributes to our broader economic goals. BOV’s investment in modernising its flagship branch reflects the bank’s ongoing commitment to supporting Malta’s economy, particularly through improved financial services and accessibility. This renovation is a strong example of how the financial sector can drive economic growth while upholding the cultural and historical value that makes our capital unique. As we continue to foster an environment for business and enterprise, projects like this reinforce the foundation of our economic success.”
The Bank’s CEO, Kenneth Farrugia expressed his satisfaction upon the completion of this major project. “It gives me great pleasure to see continued progress in our Branch Renovation Program, with our Republic Street Branch becoming the seventh retail branch to undergo refurbishment. The time was right to invest in this location, as Valletta has always been synonymous with BOV since its inception in 1974. This location has served thousands of customers over the years, and this investment continues to reinforce our efforts to put the customer at the centre of everything we do. This project also reinforces our efforts in keeping true to our ESG objectives, with the newly refurbished branch incorporating several environmentally friendly concepts, promoting sustainability and reduced emissions through the application of natural and renewable materials.”
BOV Chairman Dr Gordon Cordina spoke about the historical and cultural value of the premises in the heart of the capital city. “Property value is nowadays becoming an even more important element in an organisation’s balance sheets. With the renovation of our Valletta Branch, not only are we enhancing customer value in terms of the experience that we offer, but we are also strengthening our shareholder value by improving our asset value. It gives us great pride to be giving back to our Capital City a beautifully restored Bank of Valletta Branch, especially in this important 50th anniversary milestone.”
HSBC Malta Foundation supports Rotary Club Malta’s anti-litter campaign through summer school initiative
The HSBC Malta Foundation is proud to support Rotary Club Malta’s new anti-litter campaign, which has been enthusiastically embraced by children participating in summer schools across the islands. The initiative aligns with HSBC’s commitment to Environmental, Social, and Governance (ESG) principles, reflecting our dedication to fostering a cleaner and more sustainable environment for all.
Throughout the summer, Rotary Club Malta has been visiting Skolasajf centres, working closely with schools to educate children about the detrimental effects of littering and how they can actively participate in reducing litter on Malta’s roads. This initiative is being supported by the HSBC Malta Foundation, showcasing our commitment to making a positive environmental impact within the communities we serve.
Jelle Houtsma-Grech, President of Rotary Club Malta, stated, “We developed a unique idea to reduce litter on the roads by designing, developing, and producing a bright red, eco-friendly drawstring bag made from recycled plastic bottles.”
These innovative litter bags, sponsored by Rotary International through a District Grant and the HSBC Malta Foundation, are being distributed to the children to take home and place in their family vehicles. The children are encouraged to promote the use of these bags among their families and friends to prevent litter from being thrown out of car windows. Once filled, the bags can be emptied into appropriate recycling bins and reused, fostering a culture of responsible waste management.
Glenn Bugeja, Head of Corporate Sustainability at HSBC Malta, commented, “The HSBC Malta Foundation is supporting this campaign because we believe in the importance of preserving our environment. Cleaner streets and a litter-free countryside are vital for the well-being of our communities. We are pleased to see the enthusiastic response from both the children and various government entities and organizations.”
This initiative is part of HSBC’s broader ESG strategy, which focuses on creating positive environmental and social impacts. In line with this, the initiative also contributes directly to the United Nations Sustainable Development Goals (SDGs), particularly SDG 12: Responsible Consumption and Production, and SDG 11: Sustainable Cities and Communities.