The socio-economic impacts of cruise passengers on the Valletta Waterfront and Valletta retail outlets

Abstract

In the past few years the cruise industry in Europe has significantly increased and it has become one of the pillars of the tourism industry. Many destinations in the Mediterranean area are competing among themselves in order to attract the cruise liners to their port. Many European countries have and are heavily investing to improve their port facilities in order to be able to attract and cater for the needs of small and large cruise liners. This can also be seen in Malta. The authorities in the past years have invested in the regeneration of the Valletta Waterfront in the Grand Harbour. This regeneration created cruise ship berthing facilities and employment in the area with the opening of various establishments along the Valletta waterfront. This study is about the socio-economic impact of the cruise industry on the Valletta Waterfront and in Valletta. This research has been carried out by collecting qualitative data through interviews with shop owners at the Valletta waterfront and in Valletta and also through interviews with the Mayor of Valletta Local Council and a Floriana Local Council Member. The researcher also visited the two areas studied on different days, i.e. on a day when a cruise liner was in port and on another day when there were no cruise liners in the port. Once the methodology has been conducted the researcher then analysed the data that was gathered. After researching and analysing the results, the researcher concluded that the figure of the cruise passengers in Malta is following the world's pattern and is increasing year after year. The importance of this industry has been confirmed by the interviewees in the areas studied, who have invested heavily in this sector and also others who have gone through the process of major and minor changes In view of the importance of the tourism industry for the Maltese economy, the cruise industry must be considered as a supporting industry rather than that of taking a primary role. Although the cruise industry leaves both positive and negative socio-economic impacts on the areas, the negative impacts can be considered as minimal when compared to the benefits gained by all the stakeholders in these areas and in Malta.