Killing me softly… and unsustainably.

Controlling population growth must complement addressing the need for quality human resources.

This article was published in the Sunday Times of Malta on the 9th of July, 2023.

A recent speech given by the Finance Minister a few weeks ago at a Malta Institute of Accountants’ event felt like music to my ears.

Minister Clyde Caruana referred to a study by Malta’s Economic Policy Department, in which it was argued that for Malta to maintain the current growth rate of 4.2 per cent, the population must increase to 800,000 in the coming 17 years. Minister Caruana said, “We don’t just need to rethink and reform; we need to reinvent ourselves. We need structural change, not mere reform”.

Within this context, we need to keep in mind quite a few issues. Recent statistics have just shown that the birth rate in Malta stands at 1.2, the lowest rate in the EU. Some of our institutions are overstretched, demotivated and some are underpaid. The public service requires a major reform, our roads are congested with traffic, with road works everywhere and over-populated beaches. The hospital needs to be more staffed, and many businesses need more quality staff.

Our islands’ aesthetics are in a crisis and people are rightfully outraged by the senseless, ugly, pointless, and out-of-context over-development, specifically in villages. Even us Maltese have a crisis. We are more interested in picking on each other rather than acting. We lost our soul. We lost direction. We lost the plot.

Against this backdrop, how can we host another 200,000 or more souls from different backgrounds if our house is not in order?

I would feel more at ease if we had to adopt a similar economic model as that of Dubai and Doha, where even if locals happen to be a minority, these countries are highly organized, disciplined and content with their multiculturalism. Everyone lives harmoniously because strong laws, enforcement, and digitalization rule the day.

Triggering this debate was necessary and long overdue. No matter what approach, this debate needs to happen in the context of the challenges and opportunities of a Maltese society that is becoming more multicultural.

Capping the population can alleviate pressures on housing, encouraging a more balanced property market while preserving the island’s environmental resources

As Malta becomes increasingly diverse, we must foster an inclusive environment that values different identities. Embracing multiculturalism can enrich our social fabric, encourage cultural exchange, promote understanding, and dispel prejudice.

Intercultural dialogue, community engagement, and educational initiatives can help Malta build a solid foundation for a harmonious and cohesive society, which will translate to new economic growth opportunities. For this to happen, however, it will also be necessary to evaluate the potential integration of non-Maltese individuals across all strata of society.

Will we be ready to accept an increasingly multicultural society? Should we consider non-Maltese people’s active involvement in law and order? Will we accept non-Maltese to become police officers, judiciary members and politicians?

The first step is to accept that we live in a globalised society. We need to consider opening these avenues to qualified individuals from diverse backgrounds that can enhance representation, bring fresh perspectives, and strengthen the democratic process.

And if we discuss a sustainable strategy for our population, how about we question the sustainability of our tourism industry? Tourism has always been a significant contributor to our economy. Still, it is now inevitable that we need to find a much-needed balance between the economic benefits and the excessive strain on our infrastructure and resources.

We always talk of quality versus quantity, but to date, it has mostly been about quantity, and in most aspects, not just tourism.

What about our population? Are we ready for a mature debate on capping the rising population? Any debate must be in the context of a wider analysis of the demographic trends, urban planning, and land use policies required to ensure more sustainable development.

Capping population growth can alleviate pressures on housing, encouraging a more balanced property market while preserving the island’s environmental resources. But are we ready to compromise when it comes to a sector which many seem so afraid to question, let alone touch?

Controlling population growth must complement addressing the need for quality human resources, the lack of which is leading to a shrinking of the economy. Many employers continue to struggle, which is killing their hope.

Finally, we just learned how Malta’s financial services sector, with a €1.1 billion contribution, continues to be a prime pillar of Malta’s economy. Yet essential tax reforms remain pending.

Malta’s juncture is now critical and so is the need for concrete strategies! We continue to hope for a better Malta. Hopefully, that hope will not die.