PM lauds 2016 tourism results, hopeful Air Malta will find ‘the right' strategic partner
Prime Minister Joseph Muscat yesterday said he was hopeful that Air Malta would find a strategic partner “in the time to come.”
Dr Muscat was speaking at an event during which the Malta Tourism Association gave a detailed breakdown of tourist arrivals and expenditure during 2016. Around 1.98 million tourists visited Malta between January and December.
Dr Muscat said the sector was booming but was also facing challenges.
“One of these challenges is finding the right strategic partner for Air Malta. We did not consider the deal with Alitalia as being the right one for us and, because we are responsible, we ended it amicably.”
The Prime Minister said nothing was being excluded as the search continued but insisted that there were priorities.
“First we must get our own house in order. Also, whatever deal model we opt for, there needs to be a strategic element.”
Dr Muscat expressed great satisfaction at the 2016 results, pointing out that arrivals had increased by almost half a million since the start of the legislature.
“That is the spirit of this administration – we set targets and we surpass them.”
The PM said this was not all happening by chance but was the result of hard work and effective collaboration between the government and stakeholders.
The government was working on creating new niche markets, including wedding tourism, film tourism and medical tourism.
“This will be the first time Malta will be marketing itself as a destination for quality medical tourism and education.
“The €120 being invested by the private sector will create this new niche market while also sustaining our own state health sector.”
Dr Muscat also spoke about the new ITS campus. Development at the Smart City site is expected to start in the coming weeks.
“This is not simply about moving place,” he said. “It is about going two or three notches up. The new campus will be a game changer for all stakeholders in the tourism industry and will make careers in tourism more attractive for young people.”
His thoughts were echoed by Tourism Minister Edward Zammit Lewis, who said the ITS would aim to become a regional centre of excellence in tourism education.
Dr Zammit Lewis said Malta had enjoyed year-on-year growth in the sector since 2010.
“We are firmly on the right track but we will keep striving to improve the quality of our product. The ITS will have a crucial role in all of this.”
The minister also pointed out that tourism arrivals were up as a result of an increase in connectivity, pointing out that no less than 17 new routes were introduced this winter alone.
He also spoke about the cruise liner industry, with Malta going from simple port of call to a homeport for several cruise liners.
MTA Chairman Gavin Gulia said the aim was to build on the 2016 results.
“1,988,000 tourists visited our shores last year - this is just 12,000 short of the target we had set for 2017. We will not stop here. The moment we say ‘we’ve arrived’ is the moment we stop and start going backwards.”
Dr Gulia said Malta had learnt how to sell itself as a tourist destination not only for summer but also during the shoulder months.
“Our main aim is to keep up this growth during this period of the year.”
MTA CEO Paul Bugeja pointed out that tourist expenditure in December alone had increased by almost €9 million.
He said some markets, like Russia and Austria, had registered decreases, and this would be looked into, but the increase in other markets more than made up for this.
The largest markets remain the UK and Italy, which registered increases of 6.5% and 11.5% respectively.
Other, smaller markets, like Poland and Greece, registered increases of more than 50%.
Total tourist numbers in 2016 reach nearly two million - NSO
Total inbound visitors for December were estimated at 96,395 an increase of 32.8 per cent when compared to the corresponding month in 2015, the NSO said.
Inbound Tourism: December 2016
A total of 80,443 inbound tourist trips were carried out for holiday purposes, while a further 8,802 were undertaken for business purposes.
Inbound tourists from EU Member States went up by 34.5 per cent to 82,518 when compared to the corresponding month in 2015.
The majority of inbound tourists were aged between 25 and 44, followed by those within the 45-64 age bracket.
Total nights spent went up by 10.3 per cent when compared to December 2015, amounting to 674,521 nights. The largest share of guest nights (55.7 per cent) was spent in collective accommodation establishments.
Tourist nights in private accommodation increased by 9.8 per cent when compared to December 2015.
Total tourist expenditure was estimated at €62.3 million, an increase of 16.0 per cent over the corresponding month in 2015.
January-December 2016
Inbound tourist trips from January to December 2016 reached nearly 2.0 million, an increase of 10.2 per cent over the same period in 2015.
Total nights spent by inbound tourists went up by 5.7 per cent, reaching almost 15.0 million nights.
Total tourism expenditure was estimated at €1.71 billion, 4.3 per cent higher than that recorded for 2015. Total expenditure per capita stood at €869, a decrease of 5.4 per cent when compared to 2015.