Malta Development Bank to launch schemes supporting sustainable development and creative sector

The Malta Development Bank (MDB) is set to launch two new initiatives in the coming weeks, one targeted at accelerating investment in sustainable projects, and another dedicated to supporting Malta’s growing creative and cultural sectors.

The announcement of the new schemes came in a statement about the bank’s 2024 annual report, where it said it is “stepping up” its strategic mission to support Malta’s economic transformation, with an intensified focus in supporting access to finance for the country’s most critical sectors.

Chairman Leo Brincat said the MDB “must align its mandate with the parameters of Vision 2050, while focusing on driving sustainable and inclusive growth by addressing persistent access to finance challenges and driving productivity across key sectors.”

He added that the bank will “look past crises response” – an area in which the MDB was especially active throughout the COVID-19 pandemic with its programmes supporting Maltese businesses.

“The future calls for a bold MDB forward-looking approach,” he said, noting that the road ahead “calls for a marked shift towards stepped up strategic investment and innovation in the face of global macroeconomic uncertainty and shifting trade dynamics.”

“The MDB,” he continued, “is uniquely positioned to unlock growth and economic potential through simplified tailored financial solutions.”

CEO Paul V. Azzopardi stated that the bank is uniquely positioned to address financing challenges faced by SMEs and students alike, without relying on taxpayer funding and while maintaining its independence from the Government.

“This self-sustaining model ensures that the Bank, with proper ethical leadership, can continue its mission for years to come, contributing to socio-economic development and empowering individuals and businesses to succeed,” he said.

Looking back on 2024, the MDB launched two major financing initiatives: the SME Guarantee Scheme, for loans up to €80 million, and the Guaranteed Co-Lending Scheme, for loans up to €100 million.

The bank reported a profit of €4.2 million in 2024, an increase over the €3.2 million achieved in 2023, “enabling the bank to fully recover its start-up costs and bringing accumulated profits to €4.4 million.”