Tourism is a significant contributor to Malta’s economy, providing direct and indirect employment, economic growth, and export earnings. The sector accounts for more than 25% of total employment, and its contribution to Malta’s GDP in 2018 was 12.8%, making tourism one of the top five contributors to the economy. The total tourism expenditure in Malta was over two billion euros in 2022, and the country is highly dependent on international tourism. The Mediterranean region is the world’s most popular holiday region, attracting over 120 million visitors from northern Europe each year, and their spending is in excess of EUR 100 billion. However, the Maltese economy is especially susceptible to changes in expenditure by tourists, and the country’s economic vulnerability to climate change is expected to range from just under moderate to high.
The Maltese tourism sector has faced significant challenges due to the COVID-19 pandemic, with the country experiencing an unprecedented dip in performance. The Maltese tourism sector also faces a number of challenges, including the need to integrate quality at all levels of the value chain, rebuilding the airline route network, and encouraging collaboration across diverse digital tourism efforts by consolidating and promoting sustainable tourism routes. The recovery of the tourism sector needs to take into consideration these challenges, along with the new demands of the post-COVID-19 reality and the accelerated effects of climate change. This will require a shift away from the previous economic model, implying more sustainable approaches for development.
The Maltese government has been working on sustainable pathways for the tourism industry, promoting high-tech solutions and ESPON research evidence to empower sustainable tourism routes in Malta. The government has also been encouraging sustainable practices, such as integrating quality at all levels of the value chain, rebuilding the airline route network, and encouraging collaboration across diverse digital tourism efforts by consolidating and promoting sustainable tourism routes. The government recognizes the importance of sustainable tourism and is committed to promoting sustainable development in the tourism sector. In conclusion, tourism is a significant contributor to Malta’s economy, and the government is working on sustainable pathways for the tourism industry to promote sustainable development and address the challenges faced by the sector.