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SPEECH BY THE HON. DR. ANTOINE MIFSUD BONNICI, PARLIAMENTARY SECRETARY IN THE MINISTRY FOR SOCIAL POLICY, AT THE INTERNATIONAL SHORT-TERM COURSE IN DEMOGRAPHIC ASPECTS OF AGEING AND ITS IMPLICATIONS FOR SOCIO-ECONOMIC DEVELOPMENT, POLICIES AND PLANS

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19/11/2001

Distinguished Guests,

Ladies and Gentlemen.

Good morning. In my capacity as Parliamentary	Secretary in the Ministry for Social Policy, on behalf of the Government of Malta, I extend my welcome to you all participants to this International Short Term Programe in Demographic Aspects of Ageing and its implications for Socio-Economic Development, Policies and Plans. This 2 week course, like the other short-term training courses organised by INIA every year, should result most beneficial to all the participants, gathered here fromm 11 different countries, through the exchange of experience and cross fertilisation of ideas.
The demographic composition of the world is	undergoing transformation, which will change the face of the world in this millenium. The world is graying and this process is accelerated and intensified by the decreasing birth rate and mortality rate, and increasing longevity of life. This change is going to affect the social and economic lives of human beings to a great extent. However, the world is not ageing uniformly. The demographic transition varies from one region to another and from one country to another in the same region. Further, the impact of ageing process on the social and economic lives of people too is going to be different for different countries depending on their social fabric, cultural values and the economic structure of the society.
One of the main features of the world population in	the 20th century has been a considerable increase in the absolute and relative numbers of older people in both developed and developing countries. This phenomenon is referred to as 'population ageing'. In 1950, there were about 200 million people over 60 throughout the world. In the year 2000, there were 550 million and by 2025 there will be about 1.2 billion. 61% of the global population of people over 60 live in developing countries; they will be 70% by 2025.
The current demographic revolution is predicted to	continue well into the coming centuries. At present the 60 years + amount to one out of every 10 persons; by 2025, they will be one out of five; and by 2150, one out of three persons will be 60 years or older. The older population itself is ageing - the oldest old (the 80 years +) is the fastest growing segment of the older population. From the present 11% of the 60+ age group they will rise to 19% by 2050. Women constitute 55% of older persons and 65% of the oldest old age group.
The majority of the world's older persons live in	urban areas - 51%. By 2025 this is expected to climb to 62% of older persons although large differences exist between more and less developed regions. In developed regions, 74% of older persons are urban dwellers, while in less developed regions, which remain predominantly rural, 37% of older persons reside in urban areas. In the least developed regions, life expectancy for men is 74 and for women 76, while in the more developed regions, life expectancy stands at 78 for men and 82 for women.
In developed countries, population ageing has evolved	gradually as a result of an earlier decline in fertility and improving living standards for the majority of the population over a relatively long period of time after the industrial revolution. Technological break through in the field of medicine, including the development of new and effective drugs and vaccines, contributed to this process much later.
In developing countries, population ageing is	occurring more rapidly because of rapid fertility decline and an increasing life expectancy due to medical interventions based on the use of advanced technology and drugs. These interventions have provided effective means to treat and prevent many diseases that used to kill people prematurely. Also of importance is the fact that population ageing in the developing world is accompanied by persistent poverty.
As the tempo of ageing in developing countries is	more rapid than in developed countries, developing countries will have less time than the developed countries to adapt to the consequences of population ageing.
The emerging social and public health consequences of	ageing, especially in developing countries, need to be taken very seriously. In the majority of these countries, poverty, lack of social security schemes, continuing urbanisation and the growing participation of women in the workforce - all contribute to the erosion of traditional forms of care for older people.
Family is the institution that provides social and	economic support to the individual at different stages of life. The structure of the family has undergone changes in different societies differently at different stages of human history. Intergenerational relationships and the role of women in the family are changes that affect the care of the aged in the family.
Industrialisation and urbanization have brought	changes to family structure to a great extent. The extended family of the past has changed to a nuclear family of the present. This has affected the position of the elderly in the family as well as the family's capacity to take care of the aged.
Given the central role of the family in providing	social protection to the elderly in traditional societies, and the great social and economic cost of creating alternative support mechanisms, policy makers are placing primary emphasis on strengthening family resources and motivation for continuing their care-giving functions. Convinced that aid channelled to families contributes a more effective and human form of support than state-run welfare schemes, decision makers in many developing countries are striving to improve the financial capability and motivation to families to care for elderly relatives.
In the Vienna International Plan of Action of Ageing,	there is recommended that Governments should take appropriate action to ensure to all older persons an appropriate minimum income, and that they should develop their economies to benefit all the population. Thus they should create or develop social security schemes based on the principle of universal coverage for older people. When this is not feasible, other approaches should be tried, such as payments of benefits in kind, or direct assistance to families and local co-operative institutions. Governments should ensure that the minimum benefits will be enough to meet the essential needs of the elderly and guarantee their independence. Ways should be explosed to protect the savings of the elderly against the effects of inflation.
There are certain needs which are considered as	'indispensable' in the lives of elderly persons: i) adequate cash; ii) basic health care; iii) equality; iv) social participation and recognition; v) continuing education and training.
Basically the needs of the elderly can be considered	under three broad categories, namely: i) Financial - without an adequate income, an elderly person cannot sustain himself and hence does not have a decent opportunity to live as a human being; ii) Medical - as the elderly grow older they tend to suffer more from chronic diseases which entail expensive medical care for the elderly themselves or for the government if this is to be provided freely; iii) Social - the decline of the extended family system together with the decline in birth rates, has left many elderly without adequate family support.
In Malta, social policy has dramatically developed	from the traditionally 'problem-oriented' depersonalised approach, to the present day community oriented personalised approach covering the totality of the individual's well-being while reflecting the centrality of the human person and the human family. Current strategies provide various schemes from which the elderly benefit either in cash or in services. Pension schemes, free medical care, community programmes, home help service and residential care constitute the core of the strategy that safeguards the general well-being of our elderly.
The concept of income security for the elderly in	Malta acquired new dimensions with the setting up of a department specifically responsible for the welfare of the elderly. The role of this department may be considered as complementary to that of the Department of Social Security for whereas the latter is responsible for the assessment and issue of financial entitlements, the Department of the Elderly and Community Services, as it is now known, is entrusted with the formulation, implementation and administration of a range of support services designed to cater for the individual needs of the elderly as well as those persons having special needs. These services are heavily subsidized by the state so that beneficiaries only pay nominal fees or very low rates computed as a proportion of their income for the services that they get. Infact this department is contributing substantially towards the income securityof the elderly.
Our elderly are covered by an extensive system of	social security provision. Every Maltese citizen is entitled to either a contributory pension or a non-contributory or a means-tested pension. These together with all other social benefit and allowances are included in the Social Security Act (1987). Community services such as Home Care/Help Scheme, Telecare, Handyman Service, Meals on Wheels, Incontinence Service, Community Nursing Services and Day Care Centres are all forms of welfare services which provide income-in-kind for the elderly. In this regard it must be emphasized that with the projected large number of elderly, providing services according to need but sharing costs according to means, is not only socially desirable but also economically inevitable. At a time when the social partners are debating on the welfare gap, with emphasis being made primarily of pensions, it is essential to bear in mind the non-pension element of the social welfare package.
During these two weeks you will study the diverse	factors which complicate the problem of economic and financial aspects of ageing in the different countries. Do existing services and policies in developing countries cater adequately for the needs of an ageing population? Do state-provided pensions cover basic needs which include proper housing, adequate nutrition, suitable clothing and provision of medical care? How and to what extent are the lives of the elderly members of the family effected by the economic situation of the country and by the increase in the number of working women and smaller families? Are the special needs of the elderly women, particularly widows, with regard to their social and economic well-being, being looked after?
Dear colleagues. During this two week course you will	be exchanging views and ideas and share information between yourselves. You will be considering and debating several and diverse contributions and directives regarding the economic and financial aspects on ageing in developing countries. You will review the standard living requirements of the elderly persons; evaluate existing policies; assess the institution of long-term strategies; study the obligatory retirement age in each country; assess the utility of more training programes on various aspects of elderly life; encourage the setting up and supporting of occupational and rehabilitative programes; consider the need for successful aternative approaches to be better supported by government and NGO's; consider the introduction of appropriate pre-retirement schemes; consider and assess the 'welfare gap' within the entire economic perspective and, in particular, within the frame-work of the whole government budget. No doubt that during all your discussions you will give the utmost importance to the 'elderly person' as a dignified human being, like all other citizens with his active participation and social-integration. May I wish you all very fruitful work and success in your deliberations. I again extend my welcome and wish you a pleasant stay in our beautiful island and may you all enjoy our traditional hospitality.

Thank you.

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