Malta welcomed more than four million tourists in 2025, a record that pushed total visitor expenditure to nearly €3.9 billion. Yet behind those figures lies an uncomfortable question for residents: is the island receiving value for the strain placed on its roads, water supply, and housing market?
The Malta Tourism Authority reported an 18.6% increase in total expenditure compared to the previous year, with the average spend per visitor rising from €924 to €971. But the Malta Chamber of Commerce, Enterprise and Industry noted that when adjusted for inflation, real spending per tourist fell from €919.09 in 2015 to €771.01 in 2025. Visitors are also staying for shorter periods, which means the increase in nightly spending masks a decline in total outlay per trip.
What residents feel on the ground
A poll conducted in early 2026 found that 45% of residents considered tourist arrivals "excessive", with sentiment hardening to 59% in busy northern districts like St Paul's Bay and Mellieħa, and 57% in Gozo.
The strain is visible across daily life. Waste collection systems struggle with bins overflowing in St Julian's, Paceville, Sliema, Buġibba, Qawra, Valletta, and Pietà. Tourists generate nearly double the amount of waste per person compared to residents, while Malta's recycling rate of 13% significantly lags behind the EU average of 49%.
Water presents another pressure point. As Europe's most water-stressed jurisdiction, Malta faces aquifer depletion that outpaces natural recharge. Tourism significantly exacerbates consumption, particularly in hotels, and seasonal surges in electricity demand have contributed to blackouts during heatwaves.
Traffic congestion has worsened in residential and urban areas, with public transport frequently operating at over-capacity. The rapid conversion of residential properties into short-term rentals has pushed up housing costs and eroded community cohesion in places like Swieqi and parts of St Paul's Bay.
Economist Professor Lino Briguglio warned that "Malta has exceeded its carrying capacity in terms of tourism arrivals, and the problems associated with large numbers of tourists are exacerbated by disorganised infrastructure and weak traffic management."
The government's strategy
The Ministry for Foreign Affairs and Tourism, guided by the Malta Tourism Strategy 2021–2030 and Malta Vision 2050, is pursuing what it calls a lower-impact, higher-value model. Carlo Micallef, CEO of the Malta Tourism Authority, said "the overarching objective is to achieve a balanced and resilient market portfolio strengthening diversification between European and long-haul markets to safeguard sustainable growth and long-term stability."
Key measures include:
• Expanding desalination capacity to 47 million m³ by 2028
• A €2.5 million glass-sorting plant and a €20 million bulky-waste facility
• Pilot projects in Valletta and Swieqi starting summer 2026 to provide additional support for tourism-related challenges
• New regulations for hotels and short-term rentals following public consultation
• Direct flights to New York commencing June 2026 to attract higher-value markets
Malta has also achieved the lowest share of overnight stays in July and August among EU countries at 21.9%, indicating success in spreading visitors throughout the year.
What other Mediterranean destinations are doing
Greece and Croatia have implemented more explicit controls. Dubrovnik capped cruise ships at two per day and introduced a tourist tax of €2.65 per night during high season. Croatia passed legislation to restrict short-term rentals in high-demand areas and expanded a digital nomad visa programme.
Greece imposed tourist taxes of up to €15 per night for luxury hotels and a €20 landing fee on cruise passengers visiting Mykonos and Santorini. Santorini introduced a daily cap of 8,000 cruise passengers, reducing peak-day volumes by about 27%.
Malta has not officially acknowledged overtourism. Micallef argued that the visitor influx is spread throughout the year. But the government's target of 4.5 million annual arrivals by 2035 appears likely to be met much sooner.
The cost of inaction
Alan Arrigo of the Malta Chamber encapsulated the core tension: "A central part of that vision is the principle that tourism cannot be separated from residents' quality of life. If it's not working for residents, it's not working for tourists... Tourists come to experience local culture and character, not a hollowed-out destination stripped of its authenticity."
Former foreign minister Evarist Bartolo attributed "disturbances, harassment, and unfair use of housing that was intended for residents" to low-quality tourism. Reports linked rising garbage on Comino to a rodent outbreak.
The Malta Chamber of SMEs found in a 2026 survey that "overpopulation" and "safeguarding quality of life" were surging national concerns for businesses themselves, alongside employee shortages and unfair competition.
For residents, the question posed by the tourism boom remains unresolved: what good are record revenues if the island's infrastructure and daily life buckle under the weight?
