National Audit Office

Social Protection December 2020

 A review of implementation of Sustainable Development Goal 1 – Malta’s efforts at alleviating poverty

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Press Release

This review by the National Audit Office focuses on Sustainable Development Goal1, which aims to ‘end poverty in all its forms’. The Office considered whether Government’s efforts at addressing poverty were comprehensive, effective and inclusive, and assessed the extent of progress achieved. The effects of COVID-19 on poverty did not form part of this review since this is an ongoing situation.

According to the UN, Malta has achieved the target relating to the eradication of absolute poverty, measured in terms of persons earning less than $1.90 or $3.20 daily. National efforts do not only focus on the eradication of absolute poverty but also aim to alleviate relative poverty. EU SILC data for 2018 was assessed against that of 2008and 2015.Substantial progress has been registered, evidenced in the statistics relating to at risk of poverty or social exclusion and more significantly in respect of material deprivation and severe material deprivation.In contrast, the number of persons at risk of poverty and the corresponding prevalence rateincreased in the reviewed periods.

The NAO’s assessment ofthe sufficiency of Government’s effortsis generally positive, although scope for improvement exists.The Office acknowledges the substantial investment and efforts undertaken; however, efforts are not sufficient on all fronts and gaps remain. In view of the complex and dynamic nature of poverty, and factors beyond the control of Government, efforts by Government at any one point in time can never be considered sufficient. Consistent investmentthrough targeted and diversified measures are required to address ever-expanding and diverging needs.

While Government has undertaken several measures that positively address the vulnerabilities of particular groups, sustained efforts are required to more effectively reach all vulnerable groups. The NAO’s review of official statistics on poverty provided insight into the systemic disadvantages of demographic groups. Generally, greater vulnerability was found for persons who are female, persons who are not of working age, orpersons who are unemployed or inactive. Other persons who experienced greatervulnerability were those having a chronic illness or condition, those limited in activity due to health issues, thosebelonging to single parent households with dependent children,or those living in overcrowded residencesor residing in the Southern Harbour district.The NAO also sourced feedback from stakeholders about areas of welfare that require more attention to further address the needs of vulnerable groups.

The NAO acknowledges that while services provided are generally of good standard and that the staff are professional in their approach, certain issues and shortcomings may impinge on the effectiveness of these services in alleviating poverty. Theseissues relate to service quality, accessibility, capacity constraints, excessive bureaucracy and matters relating to legislative and policy implementation.

In assessing communication, coordination and cooperation within Government in its efforts to alleviate poverty,the NAO distinguishes between the strategic and service delivery level. While the Inter-Ministerial Committee on poverty effectively performs its strategic functions, other associated policy areas also impact on progress,andtherefore,the further development of cross-ministerial coordination mechanisms would be beneficial. In terms of service provision, coordination within ministries is generally better than across ministries and entities, and the extent of collaboration is dependent on the public officials and entities involved, as well as the sector that they operate in.Consequently, scope for improvement to ensure consistent coordination across Government in service provision exists.

Government has integrated consultation as part of legislative development and policy formulation; however, the NAO notes the concerns raised by stakeholders in terms of how meaningful this consultation is and to what extent it is shaping Government’s efforts. Opportunities for amelioration exist, particularly in terms of earlier engagement in these processes. The extent of collaboration with NGOs to address gaps and needs in services provided has been strengthened over recent years, with the significant increase in funds allocated to NGOs through public social partnerships attesting to this. Notwithstanding this, the opportunity for further collaboration remains as there is always more that can be done to support and further capitalise on existing services offered by the NGOs.

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