Gozo: An active player in the EU

The year 2009 marks Malta's fifth anniversary as an EU member state. Throughout these five years, EU membership has challenged and instigated us to meet higher standards in all spheres. As a country we met the Maastricht criteria, adopted the euro, launched big-scale environmental and infrastructural projects, continued to strengthen our economy, attracted new investment and created new jobs.

But EU membership is not just about numbers. Malta is now part of a unique economic and political partnership of 27 democratic European countries aimed at offering its 500 million citizens peace, prosperity and freedom in a strong and safe economic and geo-political environment.

Over the past five years Malta benefited from the EU's Structural Fund and Cohesion Fund programmes to invest in sectors such as the environment, roads, tourism, human resources, rural development and fisheries as well as the special needs of Gozo.

Throughout the period 2007-2013, Malta will continue to enjoy a net beneficiary status. A total 73 projects and 10 aid schemes have been selected for funding and these include the restoration of historical fortifications in Malta and Gozo, the upgrading of arterial and distribution roads, investment in educational facilities, training courses for employment and adaptability of workers and childcare subsidy schemes.

Funds have also been allocated to finance actions in the rural development and fisheries sectors as well as in the area of justice and home affairs, including the security of external borders. Additional funds for specific areas bring the total allocation to a staggering €1,158 million.

What is the role of Gozo in this scenario and what part does the island have to play? The Gozo Special Needs Assessment addressed the problems arising from the island's double insularity and, as a result, the priority axis of the Single Programming Document outlined the three main objectives relating to the island region.

These objectives aim to facilitate the integration of the Maltese territory by upgrading the transport infrastructure, contribute to the upgrading of basic infrastructure in Gozo and increase the competitiveness of the tourism sub-sector, and support human resources development, particularly addressing demand and supply mismatches of the Gozitan labour market.

Gozo has already benefitted from the various EU funding programmes and schemes. Among these there is the Gozo employment aid scheme wherein 94 enterprises employed 264 workers while benefitting from incentives that amount to more than €1,400,000.

Though Gozitan local councils and non-governmental organisations have already benefitted from EU membership, the potential offered by EU programmes was never fully taken advantage of. The Malta-EU Steering and Action Committee (Meusac) is going a long way towards addressing this deficit and at present the Funding Unit within Meusac is assisting no fewer than 11 local councils in their application for funds under the Rural Development Plan. It is also assisting other local councils to apply for more funds under the Europe for Citizens Programme and the Youth in Action Programme.

This does not mean that the future is a smooth and easy ride. There are big challenges ahead. The inherent characteristics of the island, mainly its dimensions and double insularity, imply the need for specific interventions to promote development on a level playing field with the rest of the national economy.

Gozo possesses distinctive environmental and cultural assets whose sustainable exploitation could be productively utilised for the development of the national economy. This need for positive action towards the socio-economic development of Gozo is recognised in a number of recent government proposals, including the eco-Gozo initiative.

Gozo's main challenge after five years in the EU is that of keeping the island appealing both for leisure and work. Gozo cannot be viewed exclusively as a summer or long-weekend destination. The creation of more jobs and more value-added on the island is essential.

Tourism, retail and associated services need to become ever more important drivers of economic development. Within the EU, these activities have potential to enhance their productivity levels and the magnitude of jobs they provide.

Productivity levels in the financial and real estate sectors are already sufficiently high in Gozo. This potential needs to be better exploited through the creation of additional jobs. To achieve this we have to create synergies with the development of tourism and other service activities.

We need to work on the introduction of services business based on "new economy" concepts such as web-based provision. The provision of specialised health and education services also has potential in this regard. One must keep in mind, however, that, from the operational perspective, the creation of more and better jobs requires a solid basis of skills and educational attainment. Data from the 2005 census reveals gaps in educational attainment among the Gozitan population compared to that of Malta. Whereas the proportion of the working age population with no educational attainment is under 50 per cent in Malta, the ratio pertaining to Gozo is closer to 55 per cent.

The challenges are big. But so is our will to turn them into opportunities. It is an exciting time for Gozo. While we want see Gozo prosper we cannot afford to put at risk what makes it so unique. Our vision is to turn Gozo into a sustainable island. An island that offers its people innovative jobs. An island that welcomes quality tourists all year round. An island that exploits its identity, heritage and natural beauty.

The EU is a platform on which we can work to make Gozo an island that offers its residents the necessary tools to excel, the best educational facilities for its students and the best equipment for its workers.

Gozo should be an island that attracts local and foreign investment. Skilled, enthusiastic and fast-learning workers, a bilingual working force, excellent quality of life, an efficient and reliable services sector and financial security all form a very attractive package. Efficient and modern transport links would complement this package and make it whole.

Judging by the achievements and performance over the past five years, I believe we can truly look at the future with optimism. One finds it hard to believe it has only been five years. We've come a long way. But the road ahead is much longer. There are more benefits to exploit, more opportunities to grasp, innovative ideas to conceive and solutions to arrive at. We will keep looking forward with confidence, aware of how our nation always turned obstacles into challenges and challenges into opportunities.

Dr Said is Parliamentary Secretary for Public Dialogue and Information.