The Planning Authority and Bank of Valletta have today formalised a new Memorandum of Understanding that strengthens collaboration and enhances efficiency in verifying planning compliance during property due diligence and credit assessment processes.

The agreement sets out a clear operational framework guiding how Compliance Certificates issued by the Planning Authority under Article 102 of the Development Planning Act (Chapter 552) will be recognised and used by Bank of Valletta.

Under this MOU, BOV may fully rely on PA issued Compliance Certificates that are not more than three months old, ensuring clarity for clients and reducing the need to provide supplementary planning documentation unless required by law. A valid Compliance Certificate confirms that the property is structurally completed and in accordance with the approved development permission and drawings, subject to any declared exemptions or concessions.

To support the smooth implementation of this framework, the Planning Authority will provide BOV with written clarifications when required, and will grant the Bank secure digital access to view Compliance Certificates and attached documents online. This measure eliminates the need for customers to produce physical copies of certificates and ensures greater consistency and transparency.

“Today’s agreement marks another important step in strengthening the planning and property ecosystem in Malta. By enhancing collaboration between the Planning Authority and Bank of Valletta, we are ensuring that processes become clearer, more efficient, and more accessible for the public. This Memorandum of Understanding reflects our commitment to improving administrative practices and delivering a more streamlined experience for anyone seeking to invest in or develop property. Ultimately, this is a practical reform that benefits families, professionals, and the wider economy,” Clint Camilleri, Minister for Gozo and Planning said.

Kenneth Farrugia, BOV Chief Executive Officer, noted that this agreement establishes a clear framework for collaboration between Bank of Valletta and the Planning Authority. “Through this MOU, our clients will benefit from a much simpler and more efficient process. Similar to other agreements we have recently signed with other institutions, this MOU forms part of a broader vision in which the Bank promotes a model of collaboration where stakeholders work together rather than in isolation, ultimately ensuring a clearer and more efficient service for the public,” said Mr Farrugia.

BOV Chief Operations Officer, Ernest Agius, highlighted the digital dimension of the MOU, explaining that the Bank will have online digital access to view Compliance Certificates and related documents through a dedicated portal provided by the Planning Authority. “This initiative is fully aligned with the Bank’s digital strategy, where digital services are central to our operations. By reducing paper use and streamlining access to information, we are not only enhancing efficiency but also reinforcing our commitment to sustainability,” Mr Agius noted.

Finally, Johann Buttigieg, Executive Chairman of the Planning Authority added that “this MOU represents a significant advancement in how planning compliance information is shared and utilised. By granting the Bank direct access to our digital systems and establishing consistent protocols, we are reducing unnecessary obstacles for clients while ensuring that planning standards are upheld. Our objective is to strengthen transparency and trust across the sector, and this collaboration with Bank of Valletta demonstrates our focus on practical, solutions driven improvements that serve both institutions and the community. We look forward to seeing other banks follow suit and embrace similar collaborative frameworks, ensuring a more coherent and efficient property process across the entire financial sector.”

The agreement signed today does not amend any statutory obligations of either party but introduces a practical structure that benefits customers, professionals, and the wider property sector.

The new MOU underscores the importance of cooperation between national institutions and the financial sector in ensuring a smoother and more reliable property process. The Planning Authority and Bank of Valletta look forward to implementing the agreement and reinforcing their shared goal of improving service quality for clients and practitioners across the industry.