The Maltese government and Tecom Investments of Dubai yesterday signed the Heads of Agreement for the construction of SmartCity@Malta in Ricasoli.

The project is expected to create 5,600 jobs over a 12- to 15-year period and it will be a base for top IT companies in the region.

It is the first Internet City project in Europe and is based on the one opened in Dubai in 2000.

The Heads of Agreement was signed by Industry, Investments and IT minister Austin Gatt and Tecom Investments chairman Ahmed Bin Byatt.

“This agreement signals the beginning of what will hopefully be a long and fruitful relationship between Tecom Investments and the government of Malta.

“This project will lead to the creation of an IT and Media Park that will be a new concept in Europe with partners who have clear capabilities in this field,” Dr Gatt told the media yesterday.

He said a formidable challenge lay ahead, but the result would be a transformed economic scenario.

Parliament, he confirmed, will be discussing the project soon, with ratification expected by the end of June. Work is expected to start soon afterwards.

Mr Byatt said: “this is the beginning of a strong partnership between the government and Tecom Investments which will hopefully result in success.”

He said Tecom focuses primarily on industries like ICT, media and technology, but it also had an interest in renewable energy technology.

The company’s flagship project, Dubai Media City, Tecom’s chairman said, is based on the concept of a knowledge village and has come a long way since its inception in 2000.

Tecom currently has agreements with 2,000 companies across the world and provides 20,000 jobs with a further 200 educational companies focused on training.

Mr Byatt said that the company would shortly introduce the world’s first Quadruple Play concept. Tecom is also highly focused on its quest to create a successful infrastructural company in Malta.

“We want to develop Malta as an ICT hub in the Mediterranean and that is why we chose to invest our first European project here. Both Dubai and Malta share our vision of excellence in IT. Malta’s educated workforce and our capability to attract global talent will create the necessary demand to make SmartCity@Malta a success,” he said.

Mr Byatt said the project had to have a sound telecommunications infrastructure adding that this was one reason for Tecom’s interest in Maltacom.

“Enthusiasm and courage are required to run a successful business but enthusiasm alone is not enough. Delivering SmartCity@Malta will not be an easy task and will require intensive work across several fronts and with various levels of society. However, we are confident that together we can make this venture a success,” Mr Byatt concluded.

Taking questions, Mr Byatt confirmed that Tecom has also made a bid for a 25 per cent stake in Tunisia Telecom. He said that this fitted in with the group’s strategy to establish a strong ICT presence in the Mediterranean region.

Replying to a question from The Malta Independent, Mr Byatt confirmed that SmartCity would initially attract service-based companies, but it would then also attract production companies in the sector if the necessary requirements were satisfied.

He said the number of IT graduates in Malta would be enough for present requirements, but if the demand could not be met, then expertise would have to be imported from abroad.

The same goes for the eventual construction of the city where Maltese firms would be given first refusal, but if the need arose, foreign workers would have to be brought in.

Mr Byatt said that Tecom would be having talks with the University of Malta and with industry to outline its requirements so that new graduates and their qualifications would complement their needs.

Solidarjetá Haddiema Partit Nazzjonalista said in a statement yesterday that a PN government always worked hard to create the necessary infrastructure and human resources to enable the creation of the SmartCity project. SHPN said the SmartCity@Malta project would create 5,600 jobs with an investment of Lm110 million and was proof that a PN government was the best option for Malta.