INEC members

'SmartCity@Malta' is projected to be the largest ever ICT private sector project and foreign direct investment as well as the largest ever new source of knowledge-based jobs to be secured by Malta.

With an investment outlay equivalent to US $300 million, the project will transform an industrial estate (known as Ricasoli) into a state-of-the-art ICT and Media business community, based on the successful models of DubaiInternetCity and DubaiMediaCity.  SmartCity Malta is the first project of Dubai headquartered SmartCity, the joint venture company promoted by Dubai Holding members TECOM Investments and SAMA Dubai.

SmartCity Malta will result in a self-sustaining township comprising office space, residential and lifestyle elements.  When completed the Ricasoli area will feature an ICT and MediaBusinessPark, tourism accommodation, entertainment areas, shops and a freely accessible recreational area.  This will transform the industrial area into a new attraction featuring attractive architecture and landscaping features as the world-class project will be developed in accordance with best global standards of quality and technology.     

Global ICT players will be targeted by the SmartCity promoters, as the best business facilities will be offered as an integral part of the tenancy.  The top-notch facilities in SmartCity Malta will highly compliment the existing country features which are attracting foreign investment to Malta.  The economic and political stability, the multilingual skills, the resiliency of the labour market to produce the skills needed in a timely fashion, together with the pleasant climate and the European style of living have already secured the country’s comparative advantage over other countries in the Mediterranean and Eastern Europe area.  SmartCity Malta will create a clustered environment where all the elements of the ICT value chain will operate within close proximity, enhancing synergies between business partners and offering excellent opportunities for networking.      

Over an eight year period, SmartCity Malta will create 5,600 jobs with the possibility of increasing to more than 7,000, around 65% of which will be new jobs in Malta's knowledge-industry, in addition several hundred jobs will be created in the economy through the multiplier effect. SmartCity Malta will bring about new employment opportunities in the areas of administration, hospitality, retail, maintenance, security and logistics among others.  

The developers of SmartCity Malta are ready to hold the ‘Foundation Stone’ Ceremony during the GLF.  The prestigious ceremony will surely draw a crowd of international potential investors who are already eyeing the project as the potential venue for their European and North African business ventures. 

Background

Tecom Investments is a leading full service telecommunications network operator and service provider and are the originators, developers and operators of the 'Dubai Internet City' which groups together over 700 tenant ICT companies: the world's largest managed entity for ICT providers. Tecom are also the originators, developers and operators of 'Dubai Media City' (grouping together over 900 tenant companies) and the 'Knowledge Village' which houses over 260 educational institutions in a single campus. Collectively, these zones employ over 15,000 employees.

The Government has entered into discussions with Tecom Investments as part of its concerted and concentrated efforts to create large-scale employment in the country coupled with significant new sources of foreign direct investments with the concomitant economic spin-offs. This program has been synergised over the past three years with the national effort to place Malta on the global ICT map as a leader in the region. The Government has also aimed to exploit this opportunity to partner with a leading ICT player to regenerate infrastructure as well as support the creation of jobs in the south of Malta as part of the drive to transform the south into a services-based hub in the region.

The new 'SmartCity@Malta' will include a new full-fledged ICT and MediaSmartCity on the models developed by the same organisation in Dubai. This project will also be accompanied by new state-of-the-art use of the environment of the site with the development of a hotel and other activities to help attract knowledge-based operations to the site. This is expected to create a cluster environment to service tenants in the site in a cost-effective and efficient manner.

The Government believes that the fact that the new 'SmartCity@Malta' will be a first for the entire European Union, it will be the ideal European outpost for global ICT/Media companies wishing to establish a presence in Europe.

The new 'SmartCity@Malta' will establish the south of Malta as the core service hub of the island, enhancing its environment and creating jobs in the region reducing the dependency on the manufacturing industries. A significant component of the site will be developed as open space enhancing the environmental quality of the ICT and media business park, lodging, tourism and commercial areas of the site.

In the framework discussions, the Government of Malta has agreed to invest the land into the project whilst Tecom is expected to undertake an investment of approximately US$300 million over the coming 8 years. The first deliverables from this project are expected by 2008. Government will be retaining an equity in the project and will be benefiting from the investments carried out in the public spaces.

Tecom Investments is also undertaking to participate in initiatives to assist the further development of ICT education in Malta. It will also work with the Local Councils of Kalkara and Xgħajra to ensure that the residents of the towns neighbouring the 'SmartCity@Malta' will be among the first to benefit from this development. Specific projects with persons with disabilities and to help inmates of drug-rehabilitation programmes have also been agreed to.

The Government is satisfied that this investment will have benefits beyond those immediately obvious in terms of job-creation and foreign direct investment. This project is bound to bring about a substantial boost to Malta's construction, hospitality, maritime, services and retail activities. This development will also earn Malta a sharper image of partnership with private investment particularly, but not exclusively, in the knowledge sector.

To ensure that the country maximises from the benefits of this new project the Ministry for Investment, Industry and Information Technology will be conducting a widespread consultation process with all stakeholders including Local Councils over the coming months.

Indeed all elements of the Maltese economy, as well as the environment of the country, stand to benefit greatly from the realisation of the new 'SmartCity@Malta'. This will be even more especially true if all stake-holders co-ordinate their interests and needs to make the best from this new development.

Minister Gatt explained that the next step in this project is for the Heads of Agreement to be concluded, following which a final stage of discussions leading to a final agreement will be immediately engaged into, with a view of concluding the agreement and commence works during 2006.

SmartCity@Malta Timeline

22/01/2007

Successful conclusion to talks on SmartCity@Malta. Cabinet approves agreement framework.

http://www.miti.gov.mt/site/page.aspx?pageid=2557

05/03/2007

SmartCity master plan finalised and presented in Parliament.

http://www.miti.gov.mt/site/page.aspx?pageid=2620

08/03/2007

KPMG issues advisory document: ‘Socio-economic impact assessment of the SmartCity (Malta) project’.

http://www.miti.gov.mt/docs/KPMG%20SCM%20impact%20assessment.pdf

20/03/2007 

Unanimous approval after discussion in Parliament.

http://www.maltamedia.com/artman2/publish/govt_politics/article_1108.shtml

21/03/2007

TECOM, Sama Dubai to jointly create SmartCity clusters worldwide.

http://www.miti.gov.mt/site/page.aspx?pageid=2640

23/04/2007

Deed and final investment agreement signed.

http://www.miti.gov.mt/site/page.aspx?pageid=2674 

PDF Presentation

http://miti.gov.mt/docs/Smart%20City%20Presentation%20042007.pdf

10/09/2007

Unveiling of SmartCity model in Dubai.