Budget 2014 focused on maintaining economic stability and ensuring that everybody benefited from growth. In the chapter on Economic growth through diversification, the cultural and creative industries were highlighted as potential contributors to achieve and sustain macro-economic stability so that local and foreign investors can keep generating enterprise, wealth, and employment.
Specific reference was made to the creative economy strategy. The strategy prioritises four pillars: education and professional development; route to market; internationalisation; and governance. The aim of the strategy is consistent with the vision of Malta’s new cultural policy in transforming the cultural and creative sector into the most dynamic facet of Malta’s socio-economic life in the 21 century, with the first national milestone being the hosting of the European Capital of Culture in 2018.
Cultural development has also been linked to the diversification of Malta’s tourism product with specific reference to domestic and winter-time tourism.
In the National Budget for 2014 Government committed to a total investment of EUR 31 824 000 in the cultural and creative sectors – an additional commitment of EUR 4 million, or +14.4%, over the 2013 budget.
Table 8: Direct state cultural expenditure and transfers (central level): by sector, 2014
(Figures provided below are Estimates for the year 2014, as approved on November 2013)
| Field/Domain/Sub-domain | TOTAL | of which: direct expenditure** |
of which: transfers** (in 1000) | ||
|---|---|---|---|---|---|
| in 1000 | in % | (of govt. or its agencies) | to other levels of govt. | to NGOs, companies, individuals | |
| I. Cultural Heritage | |||||
| Historical Monuments and Museums | 10 740 | 34 | 10 624 | 116 | |
| Archives | 530 | 2 | 530 | ||
| Libraries | 1 700 | 5 | 1 700 | ||
| Intangible Heritage / Folk Culture | 125 | 0 | 125 | ||
| II. Visual Arts | |||||
| Fine Arts / Plastic Arts | 430 | 1 | 430 | ||
| Photography | |||||
| Architecture*** | |||||
| Design / Applied Arts | |||||
| III. Performing Arts | |||||
| Music | 1 875 | 6 | 1 875 | ||
| Theatre, Music Theatre, Dance | 6 134 | 19 | 5 534 | 600 | |
| Multidisciplinary (including Visual Arts) | |||||
| IV. Books and Press | |||||
| Books | 271 | 1 | 138 | 133 | |
| Press | |||||
| V. Audiovisual and Multimedia | |||||
| Cinema | 2 329 | 7 | 310 | 2 019 | |
| Television | 3 823 | 12 | 3 823 | 0 | |
| Sound recordings | – | ||||
| Radio | – | ||||
| Multimedia | 100 | 0 | 100 | ||
| VI. Interdisciplinary | |||||
| Interdisciplinary funds and programmes | 2 426 | 8 | 2 091 | 335 | |
| Cultural Relations Abroad | 75 | 0 | 75 | ||
| Administration**** | 954 | 3 | 954 | ||
| Cultural Education**** | 312 | 1 | 312 | ||
| VII. Not covered by domain I-VI | |||||
| TOTAL | 31 824 | 100 | 28 084 | 3 740 | |
Source: Creative Economy Working Group.
Cultural expenditure for each year from 2005 to 2011 is re-grouped in the table below into Cultural Heritage, Art, Media and Interdisciplinary. The table below shows the share of these segments of the total cultural public expenditure has been changing. Although expenditure in cultural heritage retains the highest share, other expenditure in Art and Media has been gaining. Cross-cutting sectoral initiatives also started in 2010 and more than doubled in 2011.
Table 9: State cultural expenditure: by sector, in thousand EUR, 2005-2014
| 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 < | 2013 | 2014 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Cultural Heritage | 9 061 | 8 250 | 4 904 | 6 524 | 7 569 | 9 027 | 11 178 | 10 565 | 10 946 | 12 415 |
| Art | 2 956 | 3 156 | 2 658 | 4 871 | 4 032 | 5 174 | 5 617 | 6 229 | 6 316 | 8 429 |
| Media | 6 172 | 5 886 | 4 949 | 5 969 | 10 926 | 8 124 | 8 196 | 7 994 | 8 298 | 8 173 |
| Interdisciplinary | 0 | 0 | 0 | 0 | 0 | 460 | 1 160 | 1 258 | 1 467 | 2 807 |
| Total | 18 190 | 17 293 | 12 510 | 17 364 | 22 527 | 22 785 | 26 151 | 26 046 | 27 026 | 31 824 |
Source: Creative Economy Working Group/ Culture Directorate.
Highlights from the 2015 Budget for the cultural and creative sector are:
- Overall 25% increase in funding for public culture and creative sector agencies and initiatives when compared to the 2014 budget;
- total government investment in the sector for 2015 will be EUR 43 million, an increase of 52% (EUR 13.7 million) over the level of total government investment for 2012. From this total, EUR 25.6 million (60%) falls under the Ministry responsible for Culture, while the rest (EUR 17.4 million) falls under a number of other ministries;
- total cumulative government investment in the sector since 2013 has now reached EUR 102 million;
- all recurrent expenditure areas in culture and creativity (arts, heritage, media and interdisciplinary initiatives) will experience increases over the 2014 budget, cumulatively amounting to 28% (EUR 6.3 million). The total recurrent expenditure in these four areas is EUR 32.3 million, an increase of 75% (EUR 13.8 million) over the same category of expenditure in 2012;
- total capital expenditure by government in 2015 for all areas of culture and creativity will be EUR 10.8 million. This is an increase of 17% over culture-related capital investment by government in 2014 and of 42% (EUR 3.2 million) over the same category of expenditure in 2012. This amount does not include the European funds component in European co-funded capital projects, which in 2015 will amount to an additional EUR 7 million, making the total capital investment in culture reach almost EUR 18 million;
- a total of over EUR 6.2 million is being allocated for new initiatives, including the establishment of a Music Academy for the Malta Philharmonic Orchestra, the establishment of a new cultural programme at the Mediterranean Conference Centre, the establishment of a new cultural export fund, a new co-production facility for public cultural organisations to develop projects in collaboration with the Valletta 2018 Foundation, several projects in the field of restoration and urban regeneration, and other investments in music, design, fashion, and the carnival;
- in the arts sector, we are seeing across-the-board enhancements to the existing government financing of public cultural entities. Additional funds are being provided in 2015 to the Malta Philharmonic Orchestra (+ EUR 80 000), the Manoel Theatre Management Committee (+ EUR 39 000), the Malta Dance Company (+ EUR 94 000), St. James Centre for Creativity (+ EUR 36 000), the Arts Council Malta (+ EUR 150 000), the Valletta 2018 Foundation (+ EUR 496 000) and Pjazza Teatru Rjal (+ EUR 1 507 000);
- in addition to this, a number of existing arts programmes and initiatives are also being strengthened, with additional funds being provided for the Malta Arts Fund (+ EUR 20 000), Żigużajg Children and Young People Arts Festival (+ EUR 30 000), and programming support for arts and culture on broadcast media to complement the current allocation for the public service obligation in broadcasting (+ EUR 300 000); and
- in the heritage sector, government is confirming its commitment to a number of national projects that shall strengthen the valorisation and appreciation of national identity, while ensuring its accessibility across all segments of society as well as to visitors coming from overseas. Additional allocations are being provided to Heritage Malta (+ EUR 1 032 000) to enhance its capacity and continue with its work on improvements in museums and historical sites, including restoration works at Fort St. Angelo. Investment in the restoration of forts and fortifications is also on the increase (+ EUR 620 000).
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