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Malta’s social reform – Helping 22.000 people out of poverty by 2015

Facts about poverty in Malta

13.000 children live in families with a yearly income of only €6,500. These figures are alarming, and the government has now taken up the cause to make it their goal to fight this poverty. The goal is to reduce the number of people living in poverty by 22,000 by the year 2015. If the poverty line is drawn at an annual income of €8,000, there are even 16,000 children living in poverty. In the year 2012, one in five children lived below the poverty line. The Labour government now wants to fight poverty with a €10 million investment programme, and support families with a low income.

Prime Minister Josef Muscat and the Social Solidarity Minister Marie Louise Coleiro Preca released a green paper which outlines key elements to combat poverty in Malta.

The Minister’s statement

“Poverty was never a perception for us. We always knew it was a reality in today’s society and that is why we committed ourselves to a comprehensive policy which empowers the individual and not simply dishing out money” said Marie Louise Coleiro Preca.

In order to develop the green paper, the ministry for social solidarity interviewed people, spoke to experts, held meetings and spoke to affected people. They want to ensure that funds will be used constructively with long-term improvements, and that they are not only a drop in the bucket.

Assessment from a personal perspective

In my opinion, the development towards a stronger social welfare system is a double-edged sword. Of course it is important that families living in poverty need support, but the programs must be set up correctly to give incentives for long-term self-sufficiency. Wrong incentives could even increase poverty if the affected people are relying too much on the state and become inactive. In any case, it is important that this should be avoided.

I think that investments in education and a working infrastructure are more sensible, as this would assure better long-term results. There are many foreign companies based in Malta who are looking for qualified employees. These companies usually pay better than local companies, and they provide better development opportunities with greater long-term benefits.

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