The Malta Communications Authority (MCA) has been a key part of Malta’s modernisation over the last 20 years, overseeing the development of the country’s communications infrastructure that has allowed key industries like financial services and iGaming to set up shop locally.

On Monday, three representatives from the Authority sat down with business writer Jo Caruana to talk about its role in developing and implementing regulatory instruments that help foster technological inclusion and support the growing digital economy.

Joseph Seychell, Senior Manager, Information Management and Technologies, began by explaining the changing nature of the MCA’s role over the years, which has most recently seen it go beyond the regulation of digital systems to take on greater oversight on the actual services being delivered online.

“There are now high impact events and huge business transactions being conducted all the time online,” says Mr Seychell, “which leads to significant security concerns that weren’t in the spotlight in previous years.”

“So,” he continued, “regulation is becoming stricter to ensure that what is illegal offline is also illegal online. You do not want to stifle people’s rights – it’s about introducing a sense of responsibility.”

Robert Mifsud, who is part of the Senior Management Team in the Authority’s External Relations function, highlighted Malta’s progress in becoming a digital island, noting that it is the only country in Europe to have gigabit and 5g connectivity nationwide.

“These are targets that the EU has set for 2025, and Malta has already reached them,” said Mr Mifsud.

“This technology allows other digital sectors to grow and flourish, and it is an enabler for greater investments in other sectors,” he said, pointing to areas like FinTech and iGaming as sectors that rely heavily on communication technologies.

More generally, eCommerce is a growing phenomenon which has been given a push by the COVID-19 pandemic, with assistance also available to those shops that did not yet have an online presence.

Bernard Agius, Manager, eCommerce Policy and Initiatives, says that eCommerce is such an established fact of life that many take part in it without even realising.

“Ordering food through an app, booking flights tickets on an airline’s website, finding accommodation online – these are all examples of eCommerce that most people have use at some point or another,” he said. “It’s pervasive.”

In fact, 58 per cent of Maltese said they used eCommerce in 2019, a percentage that certainly increased due to the COVID-19 pandemic. This is over double the 26 per cent found in 2007.

But Mr Agius makes it clear that “simply going online is no longer good enough”.

“Being online means you need to continually update and refresh yourself to remain relevant to the consumer.”

Asked whether some businesses are still holding back from embracing eCommerce, Mr Agius that despite the barriers to entry into the online marketplace getting lower over the years, and despite high consumer demand, some businesses feel that they have been doing well enough without an online shop so far.

“The main thing I want to see improve,” he continues, “is awareness and exploitation of the opportunities out there. Businesses tend to pick a partner and stick with them, in a structure that is not necessarily efficient or effective.”

As to how the MCA intends to help businesses develop their eCommerce potential, Mr Agius says it will continue monitoring and gathering data, which is crucial for those looking to enter the Maltese online market, and further build the eCommerce forum, a consultation body with operators and stakeholders.

It will also beef up its capacity building efforts, both through its flagship eBiznify scheme and by publishing a guide on eCommerce regulations, to simplify things and make the step online a more comfortable one.

Turning then to the 20th anniversary conference the MCA organised last week, Mr Mifsud explains that a lot of work goes on after EU legislation is enacted, with the implementation in each Member State needing to be monitored, sometimes for years.

Referencing the words of praise received from the European Commission during the conference, Mr Mifsud explained that the MCA’s strong participation in international fora was a conscious decision.

“We noticed that policymaking is often shaped by these agencies, so we wanted to be active players in the formulation of new rules.”

In fact, the MCA is on a level with Germany and France’s communications authorities in its leadership of these important structures, with no less than 10 per cent of its staff having leading or co-chairing roles.

As the digital agenda increasingly becoming a priority for Malta's decisionmakers, the MCA is poised to continue leading Malta's technological revolution.