Since the 1980s, Malmo has reinvented itself as a sustainable multi-cultural European city of the future, with major innovations such as the opening of Malmo University, the construction of the Oresund Bridge to Copenhagen, urban renewal, the and the construction of attractive new housing and commercial areas. The Western Harbour, an award-winning ecological housing area, was completed in 2001 for the major European housing expo Bo01. The area boasts some impressive results in terms of building energy consumption and design.

The major environmental adaptation of the city’s transportation infrastructure is currently under way, based around the construction of an underground/overground rail system linking into the transport infrastructure of both Malmo and Copenhagen. This major change in the city’s transport infrastructure marks an important turning point in communications in the city, completing the integration of Malmo-Copenhagen metropolis transportation and making an important contribution to tackling rising private car usage.

Malmo was the coordinator of CIVITAS SMILE between 2005 and 2009, which involved the cities of Norwich, Potenza, Tallinn and Suceava.

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