Poverty and Social Exclusion: A Concern of Malta's MEP
from Dr. Frances Camilleri-Cassar, Senior Researcher, SOS Malta

Social exclusion matters to Malta because it denies some people the same rights and opportunities as are afforded to others in society. Indeed, excluded people are often denied opportunities to increase their income and escape from poverty by their own efforts. For instance, people in disadvantaged groups who may be talented and endowed with good ideas may not be able to fulfill their potential, nor can they participate equally in society. Consequently, social exclusion hurts the socially vulnerable materially by making them poor in terms of income, health or education, and it can also hurt them emotionally, by shutting them out of the life of their community. Moreover, poverty reduction policies often fail to reach the socially excluded unless they are specifically designed to do so. Consequently, even though the economy may grow and general income levels may rise, excluded people are likely to be left behind, and increase the proportion of those who remain in poverty.

Malta’s overall poverty rate is 15 per cent, however, the most vulnerable groups are children at 21 per cent, and people over 65 at 20 per cent. The wide-ranging social protection system absorbs 18.5 per cent of the GDP and the active role of NGOs and strong family and community ties in Malta are instrumental in keeping the poverty rate relatively low. Nevertheless, the demographic dynamics, recent poor economic growth and large fiscal deficits are putting a strain on the sustainability of the social protection system.

Malta acknowledges more clearly that economic and labour market reform contribute to strengthening social cohesion, and that social policies must support economic and employment growth. Reforms have been carried out or are currently under way to make systems more fiscally and socially sustainable, and more responsive to people’s evolving needs. There is a growing convergence towards active inclusion, recognizing that people’s right to play an active role in society has to be supported. Active inclusion policies increase labour supply and strengthen society’s cohesiveness. For example, Malta is integrating gender concerns more effectively, however, there is still considerable room for ensuring that policy measures are better informed by gender considerations through applying gender mainstreaming systematically. While access to adequate housing and fighting homelessness are particularly vital factors for social and labour market integration, the pension reform suggests there is a will to progress both on adequacy and sustainability.

Solidarity is a hallmark of the European Union, and is an intrinsic goal of European models of society and welfare. Participation by actors such as NGOs, social partners, and local authorities has become an important part of this process. Consolidating plans to combat poverty and social exclusion into national policies has increased political awareness of social justice and social integration. People should not be prevented from benefiting from and contributing to economic and social progress. Building a more inclusive society in Malta is vital to achieve the European Union's goals of sustained economic growth, more and better jobs, and greater social cohesion.