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In a detailed examination of the costs ofMalta’s social security system and welfare state, the report has drawn stark attention to the unaffordability and unsustainability of current plans. It concludes that there is an urgent need for a national debate addressing Malta’s social security system and that such a reform should be directed , first, at reduction of unnecessary dependence on social security, secondly, at effectiveness in the way of personalised tailor-made services and, thirdly, at greater inter-action with the public, NGOs and the private sector. The report shows that, given its questionable financial sustainability and affordability,Malta’s social security system stands to benefit from a wide-ranging reform. Concerns over its effectiveness in addressing social ills also abound. The report aims to contribute an in-depth assessment of the current circumstances and seeks to stimulate a constructive debate with a view to highlighting areas for improvement. The report also suggests a possible philosophy to guide the formulation of relevant public policies in this field.