Malta’s plummeting fertility rate has been described as “the greatest challenge of our time” by Finance Minister Clyde Caruana. The country is witnessing a significant decline in births, with the number of Maltese children born annually dropping from around 6,000 in 1985 to 3,000 today. This alarming trend has led to concerns about the long-term sustainability of Malta’s population, with some warning that the country risks “ethnic extinction” if the situation remains unaddressed.
Caruana emphasized that the issue is not just about numbers, but also about the economic implications of a declining population. He noted that families with more than two children often have higher incomes, partly due to investments in skills and education. While the government has introduced financial incentives for families, Caruana acknowledged that these measures only address part of the problem and that more needs to be done to encourage people to have larger families.
The minister criticized politicians for not prioritizing this issue, suggesting that it doesn’t win votes in the short term. However, he stressed the importance of addressing the demographic crisis, questioning where Malta’s population will be in 50 years and whether the country will reach a point of no return. Despite the challenges, Malta’s economy has shown resilience, with a debt-to-GDP ratio of 48% and steady economic growth.
