Ron Galea Cavallazzi and Lisa Abela have contributed the Malta Chapter in the publication by Lexology Panoramic: State Aid 2026. The Chapter highlights that Malta’s state aid policy is mainly governed by EU regulations, with a generally supportive approach to state aid.
In 2024, Malta’s state aid expenditure as a proportion of Gross Domestic Product (GDP) stood at 0.7%, with 19% of the total state aid expenditure allocated to regional development, reflecting the commitment to promoting economic cohesion beyond urban areas.
The State Aid Monitoring Board (SAMB), established under Malta’s Business Promotion Act (Chapter 325), is the main authority overseeing state aid and the national contact point for the EU institutions, particularly the European Commission. With no single central body for granting state aid, various ministries, departments, agencies and local councils administer their own schemes. This decentralised system allows compliance with EU rules while addressing national priorities.
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