By virtue of Act I of 2025, significant amendments were introduced to Merchant Shipping Act (MSA) Chapter 234 of the Laws of Malta (‘The Amendments’), reflecting Malta’s continued efforts to modernise its maritime legal framework and align itself with evolving international standards. As these amendments reach their first anniversary, this three-part series undertakes a review of the principal reforms introduced. The first part analyses the Finance Charter Instrument, the second part focuses on the Protection of Seafarers and the third part addresses the Merchant Shipping Act Amendments.

As part of our year in review of the Amendments, Part III concludes our year in review of the 2025 Merchant Shipping Act amendments, focusing on registration reforms and the move towards digital maritime administration.

Introduction

The Amendments to the Merchant Shipping Act by Act No.1 of 2025, have introduced significant reforms aimed at modernising Malta’s Maritime regulatory framework, aligning it with international standards.

Mortgage Registration

Several amendments have been introduced regarding the registration of mortgages over vessels.

• Mortgages that were originally registered in a foreign jurisdiction, are recognised in Malta and subsequently re-registered in Malta, are now expressly deemed to be Maltese mortgages for all legal purposes.
• The registration process itself has also been streamlined. Once a mortgage is submitted, the Registrar must record it in the ship registry and assign an index number for identification.
• The introduction of Article 49A establishes the possibility of registering mortgages over ‘ships under construction’, and also provides a definition of what constitutes such a ship. Mortgages registered over ships under construction operate in the same manner as those registered over completed ships.
• To further improve efficiency, the amendments provide a practical mechanism for correcting errors in mortgage documentation. Article 39B allows any party to a registered mortgage, with the consent of all other parties, to correct any error in the registered document within seven days of registration. In addition, Article 45B enables updates to the particulars of a registered mortgage. Where the mortgagor or mortgagee changes name or address, the mortgagee may request the Registrar to amend the recorded mortgage, supported by appropriate evidence. This ensures that the registry remains accurate and up to date.

Enhanced Marking Requirements

Further updates have been made to provisions governing vessel markings. These now require the inclusion of the IMO number which must be affixed in accordance with the International Convention for the Safety of Life at Sea (SOLAS). Moreover, the vessel’s draught markings are now required to be in accordance with the standards laid down in the International Load Line Convention.

Stricter Age Eligibility for Registered Vessels

To promote a younger and more environmentally sustainable fleet, the maximum permissible age for registering vessels under the Maltese flag has been reduced from 25 to 20 years. This shift supports the Registry’s long-term strategy of encouraging more efficient ships with better safety and environmental performance, thereby reducing potential liabilities and risks.

Decentralisation and Administrative Efficiency

Several references to the ‘Minister’ within the MSA have been substituted with the ‘Registrar-General’. This transfer of authority facilities faster decision-making by reducing the need for ministerial involvement in routine administrative matters. The decentralisation of certain powers eliminates unnecessary bureaucratic layers and provides quicker response to operational and compliance matters. Additionally, the language concerning the payment of registration fees has been revised for greater clarity, replacing the term ‘initial’ with ‘first’ to ensure more consistent application.

Digitalisation

Embracing digital transformation, the amendments allow for the submission of certain documents in electronic format, eliminating the need for hard-copy filings. This shift towards digitalisation aims to streamline administrative processes and aligns Malta with the global push toward paperless governance in shipping, a trend that has accelerated in the wake of the COVID-19 pandemic.

Over the course of the year, these 2025 reforms have translated into tangible improvements in how the registry operates in practice, with more streamlined procedures and stronger day-to-day administration. This practical impact has, in turn, reinforced confidence in the Maltese flag as a reliable and well-regulated register for shipowners and financiers, while supporting Malta’s competitiveness in an increasingly demanding international maritime environment.

Mamo TCV is firmly established in the maritime sector, offering integrated legal services across all aspects of shipping and yachting. The firm’s expertise spans ship finance, registration, sale and purchase, importation, corporate structuring and restructuring, port operations, taxation and VAT, as well as litigation and admiralty, and includes the registration of some of the world’s most prestigious yachts.

Explore further: ” A Year in Review: The Finance Charter Instrument ” ” A Year in Review: Enhanced Protection of Seafarers

This document does not purport to give legal, financial or tax advice. Should you require further information or legal assistance, please do not hesitate to contact Dr Nicholas Valenzia