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Social protection in Asia and the Pacific

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1 Social protection in Asia and the Pacific
Gabriele Koehler Development economist Visiting Fellow, Vulnerability and Poverty Reduction Team, IDS Sussex EC Social Protection Training Course Asia and Pacific Region Bangkok June 2012 Session 1 Day 2

2 Overview of session: Introduction: the “quiet revolution” – snapshot from the global South The Asian-Pacific big picture Social protection schemes and instruments: interactive discussion Summarising & outlook – quick quiz on “good” social protection

3 I. The “quiet revolution”
Social protection gaining massive support in multilateral fora, in regional agreements, in countries, and in North-South and South-South development cooperation Numerous, and many large schemes in place across the globe Regional specifics Asia with some of the largest and most innovative schemes globally

4 Asignación Universal por Hijo para Protección Social in Argentina
Social protection reforms in middle- and low-income countries across the globe Asignación Universal por Hijo para Protección Social in Argentina Bolsa Familia (and the new Brasil Sem Miséria) programme) in Brazil Productive Safety Nets in Ethiopia Mahatma Gandhi National Rural Employment Guarantee in India Di bao reforms in China Progresa and Oportunidades in Mexico. Source RESILIENCE, EQUITY, AND OPPORTUNITY. The World Bank’s Social Protection and Labor Strategy 2012– Washington April page I; III.

5 SOURCE: DFID 2011. Cash Transfers Evidence Paper. Policy Division 2011
SOURCE: DFID Cash Transfers Evidence Paper. Policy Division page 11.

6 Regional typologies of SP
Latin America addressing hunger and poverty, “human development oriented”, conditional cash transfers Africa poverty and asset building, predominantly unconditional transfers South Asia hunger, poverty, social exclusion, mixture of conditional and unconditional, employment schemes as a frequent format East Asia and Pacific addressing risk, mixed conditional and unconditional cash transfers, CCTs in Indonesia or Philippines; pensions in East Asia; universal health systems in China, Philippines, Thailand Central Asia - emphasis on cash transfers to address transition poverty

7 Conditional Cash Transfers in Latin America
Argentina Programa Familias Bolivia Beca Futuro Brazil Bolsa Familia, Bolsa Escola Chile Chile Solidario Colombia Familias en Accion Program Costa Rica Programa Superemonos Ecuador Bono de Desarrollo Humano El Salvador Red Solidaria Honduras Programa de Asignacion Familiar Mexico Progresa, Oportunidades Nicaragua Red de Proteccion Social Source IDS Centre for Social Protection Many countries in Latin America running large conditional cash transfer programmes Conditionalities – aiming to produce behavioural change and achieve direct and indirect outcomes. E.g, health and education non-income effects Bolsa familia: 2003 reached 3.6 million families with a budget of US$1.1 billion 2007 reaching 100% of its target of 11.1 million families (about 45 million people or a quarter of the country’s population) with a budget of over US$4.1 bn 2008: government’s expenditures with the programme were estimated at US$6 bn The programme raised participants’ income by 21% but by itself not enough to lift families out of poverty 19% reduction in poverty severity (the degree to which poor families fall below the poverty line) and a 21% fall in the Gini (income inequality) index between 1995 and 2004. increasing food and nutrition security in the country: 76% of the transfers spent on food, and families in the Bolsa Família programme have been able to improve their diets Bolsa Família accounts for less than 3% of direct government transfers, and only 0.5% to 0.8% of the country’s GDP Sources: IDS Social Protection Centre; Rocha, Cecilia. (2009) “Developments in National Policies for Food and Nutrition Security in Brazil,” in: Development Policy Review Vol: 27 (1): 51-66 .

8 Unconditional Cash Transfers in
sub-Saharan Africa Source IDS Centre for Social Protection Example: South Africa Old Age Pension a social pension, reaches around 2 million beneficiaries with a monthly benefit or around USD 70 to beneficiaries. Eligibility: South African citizens and permanent residents, males from age 63 years (age threshold coming down) and women from age 60 years Must comply with the means test Until the introduction of the Child Support Grant, the social pension constituted the most important source of support for poor households. It is tax financed and currently absorbs around 1.4 per cent of GDP. Source (South African Social Security Agency) and p. 5, 6 South Africa Child Grant Purpose: To assist families with child care and education expenses Has become crucial in light of pervasive poverty and because of vulnerabiltiy as a result of the HIV/AIDS pandemic Eligibility: applicant and child must reside in South Africa; applicant must be the primary care giver of the child/ children concerned; the child/children under 15 years; means tested  Limit of six non biological children; Source: (South African Social Security Agency )

9 Social protection: South Asia
Food-related measures Social Assistance Public works Affirma-tive action Human rights National Rural Employment Guarantee (IND) Employment Generation Programme for the Poorest (BGD) Karnali Programme; Employment Guarantee Act (NPL) Employment generation for rural unskilled workers (PAK) Right to food/National Food Security Act (IND) Mid-day meal (IND) Right to education (all) Right to health services (all) Right to work (IND) Right to information (IND, BGD, NPL) Cooked school meals (IND) Subsidized PDS (IND, NPL, BGD) Subsidized grain prices Universal old age pension (NPL) Benazir Income Support Program (PAK) Child benefit (NPL) Unorganized sector health insurance (IND) Secondary school stipend for girls (BGD) Education for all (NPL) Child grants for girls (IND) Rural development and community based interventions (IND) Another way of organising SP: Source of figure: updated from Bonnerjee and Köhler The challenge of food and nutrition insecurity and policy innovations from the South. Rethinking Development in an Age of Scarcity and Uncertainty. EADI/DSA Conference. https://www.conftool.com/gc2011/index.php?page=browseSessions&form_room=28&presentations=show&print=yes

10 II. An Asian-Pacific snapshot – challenges & selected country examples

11 Unequal progress in sub-regions
Source: Asia-Pacific Regional MDG report 2011/12 (ESCAP/ADB/UNDP) from Storey and Anderson presentation 12 June

12 The Asia-Pacific share of the world’s deprived
Source Storey and Anderson presentation 12 June Source: Asia-Pacific Regional MDG report 2011/12 (ESCAP/ADB/UNDP)

13

14 Social protection coverage
Source: Social protection in Asia Research group Social protection in Asia: research findings and policy lessons . Programme synthesis report. Page 6.http://www.socialprotectionasia.org/Conf-prgram-pdf/SPA_SynthReport_web.pdf

15 Cambodia Source: Ngy Chanphal 2010, Cambodia’s Social Protection Strategy for the Poorand Vulnerable in: Sri Wening Handayani, 2010.Enhancing Social Protection in Asia and the Pacific. The Proceedings of the Regional Workshop. Asian Development Bank. Manila.. pp.291 ff., here page 297 NOTE: The NSPS sets the framework for sustainable and comprehensive social protection for all citizens over the long term. However, for the near future, this strategy focuses on social protection for the poor and vulnerable, and therefore gives priority to the development of effective and affordable social safety nets targeted at the poor and vulnerable, with complementary social welfare services for special vulnerable groups. supporting, through social transfers and services, the poorest and most disadvantaged groups that cannot help themselves; (2)  reducing the impact of risks that could lead to negative coping strategies and further impoverishment; and (3)  supporting the poor to move out of poverty by building human capital and expanding their opportunities.

16 China Minimum Living Subsidy Scheme (DiBao) since 1997
Description The scheme pays the difference between the monthly income of poor households and an income minimum Objectives To assist poor households in urban China to provide five guarantees for the elderly in the areas of housing, food, clothing, medical care, and burial expenses transfers to childless and elderly people. Monthly transfers 102 Yuan for poor urban households 37 Yuan for poor rural households Target population and coverage The “3 NOs”, no ability to work, no source of income, and no supporting from family members. In 2007 : 22.7 million poor urban households 34.5 million poor rural households 2020 target: 1.3 billion citizens. Social Assistance in Developing Countries DatabaseVersion 5.0 July 2010Armando Barrientos, Miguel Niño-Zarazúa and Mathilde Maitrot Brooks World Poverty Institute The University of Manchester

17 India National Rural Employment Guarantee Scheme
The Indian government passed the (Mahatma Gandhi) National Rural Employment Guarantee Act (MGNREGA) in The MGNREGA guarantees, as a legal right, up to 100 days of employment on a public works site for one member per household, with reservations for women workers. In , according to the Ministry of Rural Development, 45 million households were provided employment and 2.2 trillion person days of employment were generated (Annual Report 2008/9). It is thus the largest employment scheme globally and critical for food security. The wages are at the daily minimum wage rate of each state, and there are some provisions for on-site, rudimentary child crèches if more than five children need care while their mother works. Rosters of the people employed and their wages received are published to ensure transparency and accountability. The transformative potential for these schemes lies in their rights appeal, the effective provision of alternative livelihoods during lean seasons, the competitive upside pressure exerted on agricultural wages during the high season, the social empowerment potential and the creation of indispensable rural and community infrastructure. The MGNREGA model has been replicated in some form in at least three other South Asian countries - Bangladesh, Pakistan and Nepal. .Source: Aniruddha Bonnerjee and Gabriele Köhler, The challenge of food and nutrition insecurity and policy innovations from the South. Paper prepared for EADI/DSA Conference, York, UK, September 2011. Expenditures: --Rs billion ($1.76 billion) in --Rs billion ($ 3.17 billion) in --Rs. 250 billion ($ 5 billion) in --Rs. 300 billion ($ 6 billion) allocated in The expenditure is around 0.5% of GDP; 3.3% of budget exp.; 10% of plan exp. Source: National Rural Employment Guarantee Act (NREGA): Indian Experience Prof. S.Mahendra Dev. Chairman, Commission for Agricultural Costs and Prices (CACP), Government of India found at:

18 Indonesia Objective: JAMKESMAS scheme: Access to health care to the poor and near poor (76.4 million people) Universal health insurance coverage by 2014 Components: Subsidized rice to targeted households (“rice for the poor” ) Scholarships for students from poor families JAMSOSTEK: pilot for informal economy workers Instruments: Unconditional Cash Transfers (2005 and 2008) Conditional cash transfer program (Program Keluarga Harapan) and Community Empowerment programme (PNPM). Source: based on inforamtion in the ILO GESS database

19 Kazakhstan Targeted Social Assistance (TSA) scheme (2002)
Objective: All families to receive the subsistence minimum, fixed by each region Audience: Families with children, the unemployed, care providers for children and the working poor Format monthly cash transfer Early assessment: certain problems defining eligibilities serving its fundamental purpose of providing basic assistance for the poor satisfactory number of family units were graduating from the scheme Notes: If the total income of a family unit falls below the regional poverty line, the family is entitled to receive TSA. The fact that a significant proportion of the recipients are working shows that such transfers can also serve as a wage subsidy Source: UN ESCAP The Promise of Protection Social Protection and development in Asia and the Pacific. pages 42-43

20 Pakistan Benazir Income Support Programme (BISP) (2008)
Largest direct cash grant scheme in Pakistan’s history 3.5 million economically distressed persons affected by poverty and inflation Cash transfers of $13 per month, disbursed every two months Women as transfer recipient in each household Poverty score card methodology (2010) National Database Registration Authority (NADRA) Partnership with private sector commercial banks From $154 million = 0.4 per cent of total government spending (2007/8) to $474 million = 1.3 per cent (2009/2010) Source: Haris Gazdar Collective for Social Science Research Karachi, Pakistan, and Faiza Effendi UNDP Regional Bureau for Asia and the Pacific (RBAP), Bangkok.E-discussion on social protection in Asia and the Pacific. [ap-igd] e-Discussion Part 1: Key Features of Successful Social Protection Schemes September 2011

21 Solomon Islands Rapid Employment Project 2010
Audience: the urban poor especially youth, in the capital Objectives: generate income life-skill development training: life skills workshops dealing with domestic violence, money management and health awareness longer term employment prospects enhanced infrastructure and services, esp in informal settlements Planned outcome: estimated 500,000 labour days of work over the five years of the project road repair, maintenance, construction and garbage collection Source: UN ESCAP The Promise of Protection Social Protection and development in Asia and the Pacific. Page 67

22 UN Development Group Asia-Pacific 2011. Social Protection Issues Brief
UN Development Group Asia-Pacific Social Protection Issues Brief. Prepared by UNDP Thematic Group on Social Protection. Annex.

23 UN Development Group Asia-Pacific 2011. Social Protection Issues Brief
UN Development Group Asia-Pacific Social Protection Issues Brief. Prepared by UNDP Thematic Group on Social Protection. Annex.

24 UN Development Group Asia-Pacific 2011. Social Protection Issues Brief
UN Development Group Asia-Pacific Social Protection Issues Brief. Prepared by UNDP Thematic Group on Social Protection. Annex.

25 UN Development Group Asia-Pacific 2011. Social Protection Issues Brief
UN Development Group Asia-Pacific Social Protection Issues Brief. Prepared by UNDP Thematic Group on Social Protection. Annex.

26 ADB Social protection index
Social protection expenditure— The total number of beneficiaries of social protection programs— “coverage” The number of poor beneficiaries of social protection programs— “distribution” Social protection expenditure going to the poor— “impact” Average for Asia: 0.36 Bob Baulch, Axel Weber, Joe Wood . Social Protection Index for Committed Poverty Reduction. Volume 2: Asia . Asian Development Bank

27 III. Social protection schemes and instruments: interactive group discussion

28 Some guiding questions:
What is the challenge? What is the vision? What type of intervention is in place? How does it work? What is the coverage? What is the cost? What are obstacles to this intervention? How could it be moved towards universalising or systematising social protection? What is missing?

29 Social protection by challenge
Situation Intervention Country examples Emergency and Crisis Situations Human Development Constraints – poverty, access to social services Seasonal Unemployment and Food Insecurity Health Shocks Vulnerable Groups Source: based on: Ngy Chanphal 2010, Cambodia’s Social Protection Strategy for the Poorand Vulnerable in: Sri Wening Handayani, 2010.Enhancing Social Protection in Asia and the Pacific. The Proceedings of the Regional Workshop. Asian Development Bank. Manila.. pp.291 ff., here page 302 ff

30 Social protection by types
Income oriented cash transfers (family benefits, social pensions, etc.); food insecurity-oriented (food and cash; school meals); human development oriented (education, health grants, health insurance); social inclusion oriented (scholarships, girl child grants); Employment and asset-oriented (public works programmes, microcredit); emergency related (food for work, food subsidies); refugee/displaced person-conflict related

31 Social protection by type
To kick off the discussion, revert to one of the possible classification systems, as a help to organise the discussion of the Asian and Pacific examples. Source: Armando Barrientos, Miguel Niño-Zarazúa and Mathilde Maitrot Social Assistance in Developing Countries Database Version 5.0 July 2010 Brooks World Poverty Institute The University of Manchester

32 Planned SP provisions (strategy) Implemen-tation issues
Country level: a phased approach Step 2 –Assessment of social protection SPF objectives Existing SP provision Planned SP provisions (strategy) Gaps Recommendations Design gaps Implemen-tation issues Health Children Working age Elderly The Social Protection Situation Design gaps and implementation issues (to complete the SPF) Social Protection Floor template: guarantees and objectives Priority policy options to be decided through national dialogue

33 Country discussion Bangladesh Cambodia China India Indonesia Lao PDR
Inter-vention Challenge add-ressed Objective Indica tors of progress/success Cover age/cost/index Obstacles Shortcomings Role for EC Del Bangladesh Cambodia China India Indonesia Lao PDR Nepal Philippines Sri Lanka Tajikistan Thailand Vietnam

34 GROUP WORK: SOCIAL PROTECTION COUNTRY PROGRAMMES
Present 1-2 country´s programme within the group Distill main characteristics for both Prepare 5-minute summary for plenary

35 Country discussion Social pension Old age poverty
Interven tion Challenge addressed Objective Indicators of progress/success Coverage/cost/index Obstacle Short-comings Role for EC Del Social pension Old age poverty Coverage of all >70 Take up rate yr 2 … 0.5% GDP Min of Child Welfare Bias to well-off Bangla-desh Cambodia China India Indonesia Lao PDR Nepal Philippines Sri Lanka Tajikistan Thailand Vietnam

36 Pathways to “Four SPF guarantees”
Bangladesh: Strategy… China: minimum living standard guarantee program; new rural corporative medical care (NRCMC); health insurance for urban uninsured residents (HIUR); rural old-age pension Tajikistan :… India: RSBY, NREGA Cambodia: NSPS with clear reference to the SPF … including HEFs, CBHIs, Food distribution, PWPs,… Thailand: UC scheme, minimum pension scheme (500 THB) Lao: extension of SHP for all Indo several components – make people more employable Philippines: universal health reform Sri Lanka: … Nepal: broad range Indonesia: Jamkesmas, Jampersal, PKH, Rice for the poor, PNPM Vietnam: 10 years Social security strategy

37 IV. Summarising & outlook

38 Pathways to social protection
Bangladesh: Strategy… China: minimum living standard guarantee program; new rural corporative medical care (NRCMC); health insurance for urban uninsured residents (HIUR); rural old-age pension Tajikistan :… India: RSBY, NREGA Cambodia: NSPS with clear reference to the SPF … including HEFs, CBHIs, Food distribution, PWPs,… Thailand: UC scheme, minimum pension scheme (500 THB) Lao: extension of SHP for all Indo several components – make people more employable Philippines: universal health reform Sri Lanka: … Nepal: broad range Indonesia: Jamkesmas, Jampersal, PKH, Rice for the poor, PNPM Vietnam: 10 years Social security strategy

39 Country discussion Bangladesh
Inter-vention Challenges add-ressed Objective Indica tors of progress/success Cover age/cost/index Obstacles Shortcomings Role for EC Del Bangladesh Rural empoyment/income generation. Scale up 32% BPL; Employment; gender Cash for work env . Assets accumulated p family Women have sustain income 2.5%ofGDP ownership Y China Reform of SP system 5 social insurances & social assistance Rural/urban. Urbanisation ;ageing; Social stab; social justice Universal soc sec system. Univ coverage. Mult levels. sustain Expand rural pension 100% Urban pension increase vuln groups; combining pension funds/systems/modes. Investment of fund. Legal framework.97% med insurance 100 billRMB soc ass. …RMB investment in schemes 1.7 trill RMB Central/prov/local govt Lack of policy framework; dispariites rur/urban – regions – occupations. Low benefits/reimbursement ; Med ins. Multiple counting; Govt only. Supply lim. Managing funds India NREGA Rural pop / maj of poor: unemployment; mig; low wage; prod Push rural growth; local empl; Min wage; guaranteed leg instrument IS; Wage rate increase 100 days work/persondays; IS improved; Social audit Lack of awareness/demand/ local level cap. Fiscal budget/50% implementation N Indonesia Nat prog for comm empowerment Rural & urban disadbatged. IS Accelrate pov allevaiton liveilhood & participaiton Nationwide villages: large pop 72 mill poor 50000 Local mentors needed. Instit cap. Disparities large/marg comm’s/gender Reduce pov 8/10% Access to services Increase part of poor. Local Cap bldg Faciliation. Attrition of good staff. Work overload. Cultural. Coord difficult..MIS sustainability. Reg disparities Nepal Many schemes Pov. Conflict Env SE Lowest HDI Gap between commitment/impl National Coverage 3.5% GDP varies Approach needs to vary Pc.benefits low Weak gov. Suppy side weak. Confusion o entitlement: Prod assets missing Tajikistan Poor qual of services;low pension/unemploymenty Pc income 1000$ Vulnerabitlies n.a. Tangible results Part of Sov Union collapse.rethink role of state Poor targeting/improving Resources lacking y Thailand Vietnam Cash transfers to poor families w school children From pov red for spec groups to universal. Large programme. Compensate for user fees Social cohesion Qual of servic es. Health insurance 60% cov. Formal insured; not informal Coevrage & distribution of benefits; edu outcomes. Graduaiton Social insurance for informal sector Houesehold based cap Poverty line issue. Fiscal space. Sustain. dependency Non conditional Country discussion

40 QUICK QUIZ WHAT IS “GOOD” SOCIAL PROTECTION?

41 QUICK QUIZ WHAT IS “GOOD SOCIAL PROTECTION”?
Rights based - Universal right/universal coverage Citizenship- or residents-based Accompanied by supply side measures Accompanied by decent work policy & action Addresses crises, chronic poverty, vulnerabilities Well-targeted and publicised entitlements for socially excluded groups Special effort to reach disadvantaged households/communities Systemic – uniting fragmented systems Sustainable, predictable, meaningful benefit levels Affordable and long-term sustainable Tax financed Empowerment: space to civil society and public action Manageable Advanced IT Monitoring & evaluation systems

42 Reading & resource list
Armando Barrientos, Miguel Niño-Zarazúa and Mathilde Maitrot Social Assistance in Developing Countries Database. Brooks World Poverty Institute. University of Manchester . Version 5.0 July Sri Wening Handayani, 2010.Enhancing Social Protection in Asia and the Pacific. The Proceedings of the Regional Workshop. Asian Development Bank. Manila.. Gabriele Koehler, „Transformative Social Protection: Reflections on Policy Experiences in Four South Asian Countries‟, IDS Bulletin Gabriele Koehler, Marta Calì, Mariana Stirbu Social protection in South Asia. A review. UNICEF Regional Office South Asia. ILO. Global Extension of Social Security. GESS data base.

43 Reading & resource list
Social protection in Asia Research group Social protection in Asia: research findings and policy lessons . Programme synthesis reporthttp://www.socialprotectionasia.org/Conf-prgram-pdf/SPA_SynthReport_web.pdf UN Development Group Asia-Pacific Social Protection Issues Brief. Prepared by UNDP Thematic Group on Social Protection. Annex. UNDP 2011 Ensuring Inclusion: e-Discussion on Social Protection . Asia-Pacific Inclusive Growth and Development. Summary of e-Discussion. UNDP Asia and Pacific Regional Centre BANGKOK. UN ESCAP The Promise of Protection Social Protection and development in Asia and the Pacific. World Bank RESILIENCE, EQUITY, AND OPPORTUNITY. The World Bank’s Social Protection and Labor Strategy 2012– Washington April


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