The Malta Film Commission has published a new independent economic report detailing the substantial contribution of the country’s film and motion-picture industry to national growth. Covering the period from 2018-2025, the study demonstrates that film production activity has become a key driver of economic output, employment and fiscal performance, with total GDP contribution reaching €1.208 billion.

The report, based on an input-output (I-O) model calibrated using National Accounts data and industry expenditure figures, captures the direct, indirect and induced effects of film activity across the Maltese economy. It highlights a sharp increase compared to the 2005-2017 period, during which the industry contributed €356 million to GDP. In contrast, the annual average rose from €30 million before 2018 to €173 million in the following years, marking nearly sixfold growth.

One of the central findings concerns the sector’s rising share of gross value added (GVA), which increased from 0.28% in the earlier period to 0.83% between 2018 and 2025. The report notes a peak contribution of 2.16% in 2023, reflecting a particularly strong year for production activity, while the lowest recorded level stood at 0.05% in 2013.

Employment has also expanded significantly. The number of full-time equivalent jobs linked to the industry grew from an average of around 500 annually between 2005 and 2017 to approximately 2,500 per year after 2017, representing a fivefold increase. The peak impact was recorded in 2023, when film-related activity supported up to 6,500 jobs. According to the study, this growth signals a transition from a seasonal, project-based sector to a stable and structural contributor to the labour market.

The report further underlines the wide-reaching effects of film production across other industries. The strongest gains were observed in accommodation and food services, wholesale and retail trade, and transportation and storage, alongside notable contributions to real estate, utilities, and professional and technical services. These interconnected sectors account for a significant share of the overall GVA impact, illustrating the film industry’s broader economic footprint.

From a macroeconomic perspective, the study links film activity to increases in private consumption, driven by higher household incomes, as well as growth in gross fixed capital formation through investments in infrastructure and production capacity. Export figures also rose, reflecting Malta’s deeper integration into the global production network and its attractiveness as an international filming destination.

A dedicated section examines the fiscal impact of Malta’s financial incentive scheme. The findings indicate that tax revenues generated by film activity consistently exceeded the cost of cash-rebate incentives. Between 2018 and 2025, the net fiscal benefit reached €94 million, or €12 million annually, compared to €35 million in total, or €3 million per year, in the pre-2018 period. This fourfold increase confirms the effectiveness of the current rebate system in attracting productions while maintaining a positive balance for public finances.

The report ultimately frames film-industry funding as a direct injection of foreign capital into the Maltese economy, with benefits extending well beyond production spending. It concludes that the sector’s sustained growth has reinforced its role as a catalyst for economic diversification, employment and international visibility, positioning Malta as an increasingly competitive player in the global audiovisual landscape.

You can download the full report here.