Establishing a company in the Malta

Malta is one of Europe’s most southern countries, comprised of an archipelago of small islands situated in the center of the Mediterranean Sea, south of Sicily and easy of Tunisia. Only its three largest islands are inhabited – Malta, Gozo and Comino. Its location in the center of the Mediterranean and right amidst its most important naval routes has made this state an important strategic point for many different armies throughout history. This is an enormous advantage and still an important economic factor for trade, tourism and official membership in the EU, making this country a place of great opportunities.

The population is 90% ethnically Maltese, and its largest minority is British, a token of its previous days under British colonial rule. The official languages are Maltese and English, and the script is Latin, so that establishing a company there is relatively easy and requires no translation of documents. Malta is a democratic republic, its population is 450,000 and overall area is 316 km2. The capital and largest city is Birkirkara.

Three things you did not know about Malta:

• Israel and Malta maintain diplomatic relations. The assassination of Islamic Jihad terror organization founder Fathi Shaqaqi was executed in Malta in 1995, attributed to Israel and the Mossad.
• In the past, laws regarding personal freedoms were mandated by Catholic laws, including the ban on divorce. In 2011 the state’s citizens participated in a public poll and demanded easing laws regarding marriage and divorce. Today people can marry in a civil ceremony or a Catholic one, and also divorce accordingly. Abortions in the state are still illegal.
• In 2012 a tradition was started – the Malta's Historic and Classic Car Grand Prix. Both contest and the festival are held in October of each year and provide a real motor-loving event for car buffs, car collectors and tourists from around the world.

Malta’s economy

Local currency is the euro and the state is a full member of the EU. Its GDP is 11.2 billion USD and per capita income is 27,000 USD. Its economy is based on a relatively developed financial and banking sector, but it also has extensive limestone quarries. Tourism also constitutes a major revenue source, providing jobs for locals. There is also great reliance of this tiny state on foreign trade, evidenced in the many ocean liners close to its shores. Corporate tax rates for Maltese companies is 35%, but offshore companies can expect several reductions.

There are specific restrictions on foreign companies registering in Malta, but financial/economic companies, such as those dealing with insurance or investment management, must receive authorization of registration from the Maltese government.

Additional information about establishing offshore companies Malta: