The Role of the Justice System in Debt Enforcement and Insolvency

This paper examines how Malta’s justice system impacts the efficiency of debt enforcement and insolvency proceedings, with implications for credit allocation and business and investment environment. Drawing on cross-country benchmarking, institutional diagnostics, and recent reforms, it identifies structural bottlenecks—particularly case backlogs, procedural inefficiencies and capacity constraints—that hinder timely resolution of judicial proceedings and credit enforcement. The analysis outlines priorities for strengthening enforcement, enhancing insolvency frameworks, improving court procedures and judicial system modernization via the use of technology.