Malta’s startup ecosystem shines with $4.2 billion in economic impact in 2025

Malta’s startup scene is gaining global recognition, with the 2025 Global Startup Ecosystem Report (GSER) placing the country firmly on the innovation map.

Compiled by Startup Genome in collaboration with the Global Entrepreneurship Network, the GSER analyses more than 350 startup ecosystems worldwide using data from over five million companies.

The report revealed that Malta’s startup ecosystem generated $4.2 billion in economic value in 2025, a significant jump of 39 per cent over the previous year. This “Ecosystem Value” reflects the combined impact of startup valuations and successful exits over the last 30 months, marking Malta as one of the few ecosystems to grow despite a 14 per cent global decline.

Competitive investment landscape

One of the standout findings in the report is Malta’s third-place ranking in the MENA region for “Bang for Buck” – a measure of how much capital startups raise relative to the equity they give up. This indicates that startups in Malta are managing to attract capital on favourable terms, enhancing their potential for long-term growth.

Strategic sectors and support structures

Malta’s startup activity is concentrated in high-value sectors such as fintech, life sciences, and digital technologies. These industries benefit from supportive frameworks, including tailored regulation, infrastructure like the Malta Life Sciences Park, and targeted government funding.

One example is the Government’s investment in a digital identity wallet initiative, which was highlighted in the report as part of a broader national strategy to foster innovation. Additionally, Malta’s appeal to global investors is further boosted by its EU membership, strategic location, and a $10.7 million government-backed venture capital fund launched to attract early-stage companies and international founders.

Building momentum through large exits

The sharp rise in Ecosystem Value was driven by a number of startup exits exceeding $50 million, injecting the ecosystem with much-needed capital, expertise, and credibility. These success stories are expected to help seed the next wave of founders and investors, reinforcing a virtuous cycle of growth.

A sign of maturity

Minister for the Economy, Enterprise and Strategic Projects Silvio Schembri welcomed the recognition, stating: “The inclusion of Malta in this year’s report reflects the growing maturity and resilience of our startup ecosystem. We remain focused on fostering innovation, supporting enterprise, and encouraging long-term value creation across strategic sectors.”

Global insights for local impact

Now in its 13th edition, the Global Startup Ecosystem Report is widely considered one of the most authoritative publications in the innovation sector. It offers rankings of the Top 40 global and Top 100 emerging ecosystems, as well as detailed regional comparisons and insights.

Driven by a global consortium spanning over 65 countries, the GSER is a trusted resource for policymakers, ecosystem builders, and founders, helping to shape data-backed strategies for innovation-led economic development.

View the full report here.