The evolution of governance in Malta : the paradox of ongoing quest for affluence and chronic vulnerability

Abstract

Malta’s transformation over the past fifty years since its Independence has been remarkable. In five decades, Malta has eased itself out of politico-economic dependence on its former imperial rulers while consolidating a comprehensive welfare state (Pace, 2009). Concurrently, Malta has revolutionised its economy, gradually doing away with several elements of the paternalistic ‘fortress economy’ (Malta. Office of the Prime Minister, 1974: 12) and introducing the idea of a ‘competitive state’, in which all policy is strategically oriented towards enhancing the Islands’ competitiveness. Despite the extraordinary depth of change, Malta’s socio-economic and political backbone has also displayed a significant degree of continuity. The strenuous efforts undertaken by different administrations to secure advantageous financial packages in the Agreements on Mutual Defence and Assistance in 1964 and 1972, for instance, bear strong parallels to the importance granted to the financial package negotiated by Malta in the run-up to its EU membership referendum (The Today Public Policy Institute, 2014). And Malta’s ability to exploit its geostrategic location has underpinned its success at all phases of its development.