Finance Minister Clyde Caruana announced a series of infrastructure and social development projects for Gozo. The proposals focus on road and transport upgrades, new education and health initiatives, and the development of public and cultural spaces across the island.
Road improvements, transport studies and the Gozo rural airfield project
The government will continue investing in Gozo's transport network, with ongoing efforts to reduce congestion in Rabat and improve road connectivity across the island. Recently completed works include the underpass beneath the Ċittadella and a new link between Triq Fortunato Mizzi and Triq Marsalforn.
During 2026, the main road connecting Rabat to Marsalforn will enter its final reconstruction phase as part of a three-year programme covering one hundred new residential roads in Gozo. Finance Minsiter Clyde Caruana also stated that additional upgrades will take place in Nadur and Qala, including works on Triq San Anard in Rabat and part of Triq ir-Rabat,Nadur.
The finance minister added that a study will be commissioned to analyse traffic flow in central Rabat to reduce congestion and improve public transport. New pedestrian pavements will also be constructed to connect the Park and Ride facility in Ta' Xħajma, Xewkija, with the centre of Rabat, forming part of a safer pedestrian network for residents and visitors.
A task force will also be established to assess how the Mgarr Harbour can be better utilised to support Gozo's economy. In addition, Minsiter Caruana confirmed that the Planning Auhtority has approved the Gozo Rural Airfield Project within the limits of Xewkija. The project includes extending the existing runway on land already designated for development, with environmental mitigation measures in place.
€7 Million for School Modernisation and New €280 Student Allowance
Education and inclusion are central to this year's Gozo proposals. Minister Caruana said that over €7 million will be invested in upgrading Gozo's primary schools, with modernisation works already underway at the Ta' Kerċem Primary School and new works expected to begin next year at the Żebbuġ Primary School.
He also announced the introduction of a new one-off allowance of €280 per month for Gozitan students, benefiting over 800 individuals. This represents an increase of around 70 per cent compared to current support levels and aims to simplify the application process while strengthening financial assistance for students pursuing studies outside Gozo.
The finance minister explained that €5.7 million from the Sustainable Urban Development Fund will be directed toward social inclusion and community well-being initiatives. Among these is the Blossom Initiative, which will focus on early interventions in mental health and the well-being of children and young people.
Gozo Hospital will see continued investment to expand and modernise its services. The extension of the Outpatients Department will aim to improve efficiency and reduce waiting times. Other planned projects include a new helipad, the expansion of the operating theatre complex, a new Renal Unit, upgrades to the Coronary Care and High Dependency Units, and the development of a new pharmacy and Hyperbaric Unit. These are part of the wider Gozo HealthCare Campus Masterplan.
€20 Million Victoria Park Project and New Cultural Museums
Minister Caruana said that environmental and cultural investment will also play a key role in Gozo's development over the next year. Work will continue on the
€20 million Victoria Park Project in Rabat, funded through the Sustainable Urban Development Fund. The project involves the regeneration of the car park opposite the bus terminus, transforming it into an urban park that will become the largest open space for families in a town area.
He confirmed that the Leli Farrugia Stadium will continue to serve as a football facility, while a car park will be constructed underneath it. The Siege Square Project, for which the Planning Authority has approved the outline development permit, will include a multi-storey car park accommodating around 340 cars and a recreational garden for public use.
The government will also carry out restoration and beautification works in several public gardens around the island, including the Worker's Garden in Xewkija, the Ċensu Xiberras Garden in Ta' Kerċem, and the Magistrate's Garden in Salvu Attard, Qala. Additionally, a site will be identified for a new athletic track to further strengthen Gozo's sports infrastructure.
As part of the government's commitment to preserving Gozo's cultural heritage, Minister Caruana announced that two new museums will open next year: the Gozo Museum in Rabat, which will serve as a central hub for the island's historical and cultural identity, and the Viticulture Museum in Qala, promoting Gozo's agricultural and winemaking traditions.