# Corruption in Malta

Political corruption :
Forms and concepts :
Bribery
Censorship
Political repression
Political violence
Cronyism
Economics of corruption
Election interference
Electoral fraud
Elite capture
Influence peddling
Insider trading
Iron triangle
Judicial
Kleptocracy
In local government
Mafia state
Nepotism
Politically exposed person
Pyrrhic defeat theory
Revolving door
Slush fund
Simony
State capture
State-corporate crime
Throffer :
Anti-corruption :
International Anti-Corruption Court
Group of States Against Corruption
International Anti-Corruption Academy
International Anti-Corruption Day
United Nations Convention against Corruption :
Corruption by country :
vte :
Corruption in Malta is a persistent and systemic problem which affects various sectors of the government and public services. It does not only undermine public trust in government institutions but also adversely affects economic development and the rule of law. Corruption in the Maltese islands has significantly increased since the Malta Labour Party returned to power in 2013. In fact, Malta's record of clean governance has decreased since 2013, and the country is now considered among one of the worst EU member states in tackling corruption according to Transparency International. The same association reported that Malta dropped to its lowest ever ranking of 65th place in a report published on February 2025.

## Corruption scandals

An example of high-profile corruption case in Malta involved Steward Healthcare, an American healthcare company. It was awarded a €400 million contract to renovate and manage three state-owned hospitals into world-class healthcare providers within eight years. Allegations of fraud and corruption emerged and this involved high-ranking government officials such as the former prime minister Joseph Muscat. It was found through leaked emails that Steward Healthcare transferred millions of euros to Accutor, a Swiss firm that paid consultancy fees to Muscat. Although there is no direct evidence yet linking the payments as bribes to Muscat, Steward Healthcare's payments were passed off as consultancy payments to consultants such as the former prime minister. A criminal report later revealed that the company created a political support fund that diverted money from the hospital contract to Muscat and two other senior Maltese officials via Accutor and related firms. Steward Healthcare is also accused of conducting surveillance and disinformation operations against its critics.
Another corruption scandal that demonstrates the institutionalization of corruption in Malta involved the drug trafficking case of the Nigerian nationals Kofi Otule and Austine Uche in 2016. Allegations of judicial corruption stem from perceptions of inconsistencies in the evidence presented as well as questions of fairness and integrity on the part of involved authorities within the judicial system. In Otule and Uche's case, the court's decision to employ unreliable witness affected the length of the litigation process and also undermined the case brought against the defendants.
There is also the case of Christian Borg's acquittal for illegally hiring foreign workers. The case itself is insignificant compared to other infractions as Borg has been accused of using his car business to launder money from drug trafficking and criminal activities. None of these accusations have been refuted nor investigated.
The criticism of the Maltese judicial system rests on its inefficiencies, particularly with regard to the length of time needed to resolve cases. Money laundering cases take the longest to close in the trial courts. In 2018, for instance, courts took about six years to litigate these cases and several of these still remain unresolved. A 2020 Council of Europe report supported this as it highlighted that criminal cases in Malta take two to eight times longer than the EU average. It is noted that court delays lessen the chances that the dispute will be justly decided and that corrupt actors evade consequences by delaying their case.

### Cycle of corruption

Another corruption issue in Malta concerns the “revolving door” practice where individuals move from public office to private sector roles. The resulting intertwining of political and business interests perpetuates a cycle of corruption. Muscat's consultancy for companies like Steward Healthcare is an example. After he resigned due to the political fallout of the assassination of journalist Daphne Caruana Galizia, he transitioned into private consulting role and reportedly earned over €480,000 a year. In the revolving door phenomenon, public officials use insider knowledge and connections for personal gain.

## Impact

Corruption has eroded public confidence in Malta's governmental institutions and the rule of law. Transparency International’s 2024 Corruption Perceptions Index posted a significant decline in Malta’s ranking since its high score of 60 in 2015 on a scale from 0 ("highly corrupt") to 100 ("very clean"). The country scored 51 in 2023. In 2024 it dipped further to a score of 46. The score is now equivalent with countries considered “flawed democracies”, which post an average score of 48 in the Index. For comparison with regional scores, the highest score among Western European and European Union countries was 90, the average score was 65 and the lowest score was 42. For comparison with worldwide scores, the best score was 90 (ranked 1), the average score was 43, and the worst score was 11 (ranked 180).
Inefficiencies in the governmental processes also lead to economic losses. This is evident in the state's procurement processes, which are commonly marred by irregularities and conflicts of interest. These hamper Malta's economic development.
There are anti-corruption measures in place that aim to curb corruption. However, there is a lack of a comprehensive legal framework that identifies and penalizes corruption. For example, to address the revolving door phenomenon, Malta instituted a policy in 2020 that bars certain public employees from engaging in profit-making activities for up to two years after leaving government service. However, this policy does not cover elected officials and Cabinet ministers, allowing them to exploit their previous roles in the government for personal gain.