Malta – International Remote Gaming hub
Capitalising on what sets Malta apart
With currently around 280 online gaming operators, licensed by the Malta Gaming Authority, and over 500 licenses issued Malta has become a popular home to around 10 per cent of the global remote gaming market.
What makes Malta so attractive for I-Gaming?
It is indeed a combination of a lot of factors that results in attracting more and more businesses in the remote gaming sector to Malta. Here we start with a series of articles on the I-Gaming sector, introducing to the most prominent advantages Malta has in this sector as well as latest trends in this industry:
1. Efficient license process at moderate cost
MGA has had another successful year with substantial growth in its portfolio of regulated companies. The licensing process for I-Gaming, if the applicant is well prepared, usually does not take longer than around 3-5 months.
After having embarked in 2014 on a wide-ranging transformation process of Malta’s jurisdictional positioning and the Authority’s strategic role within the European and global gaming sphere, MGA has been reviewing and restructuring the organisation and its internal processes to become more proactive in its approach to the industry. Malta has become kind of a role model for other countries due to its experience, diligence and transparency in regulating remote gaming.
For the period 2015 – 2017, the MGA’s strategic plan aims to ensure a high level of efficiency, integrity, consumer protection and value in all gaming products and services across all supply channels. The Authority’s vision is translated into three mutually reinforcing objectives which are:
- Quality, integrity and consumer protection
- Implementation of a responsive regulatory framework
- Proactively identifying new potential markets
In 2015, the Malta Gaming Authority relocated from its offices to SmartCity Malta. Once completed in 2021, the technology park based on the model developed in Dubai, will act as a European hub for ICT and include a complete ICT and Media City. It is also expected to add to Malta’s appeal as an iGaming jurisdiction, as it attracts more ICT companies and professionals to the island.
2. State-of-the-art regulatory framework
In fact, the Remote Gaming Regulations as well as the accompanying MGA Guidelines in combination with an efficient and low cost set-up process for new companies and favourable tax conditions, are an asset for Malta. Lately MGA has issued new Guidelines on Technical Infrastructure for Remote Gaming Licensees with respect to the use of cloud solutions, especially related to the technical infrastructure hosting gaming and control systems, used by remote gaming licensees.
3. Low Gaming Tax
When compared to other European member states, the gaming taxes in Malta are low and capped at a maximum of EUR 466.000 per year. The gaming tax depends on the class of the license:
Class 1 (casino-type games) - Fixed rate at EUR 4,660 per month for the first six months, thereafter EUR 7,000 per month
Class 1 on 4 – EUR 1,165 per month
Class 2 (sports) -0,5% on stake
Class 3 (poker) – 5 % on real income
Class 4 (software platforms)- no tax for the first 6 months of operation.
EUR 2,330 per month for the subsequent 6 months and EUR 4,660 per month thereafter for the entire duration of the license period of 5 years.
Articles providing more information on Remote Gaming developments in Malta, international trends and the framework for the industry will be continued on a regular basis.