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July - December, 2010

Prevention, protection, promotion: better livelihoods for the 21 st century dialogue on the World bank’s 2012-2022 social protection strategy Dushanbe CONSULTATION September 21, 2010. July - December, 2010. Outline. Social Protection Strategy 2022 Why Social Protection?

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July - December, 2010

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  1. Prevention, protection, promotion: better livelihoods for the 21st century dialogue on the World bank’s 2012-2022 social protection strategyDushanbe CONSULTATION September 21, 2010 July - December, 2010

  2. Outline • Social Protection Strategy 2022 • Why Social Protection? • Social Protection Today • Looking forward – Drivers of Change • Towards a Strategy and an Operational Framework: Themes • Discussion

  3. Social Protection Strategy 2012-2022 • Objectives of the Strategy Process: • Take stock • Debate, build internal and external consensus/ownership on directions and challenges • Set priorities in a coherent sector framework • Business plans for the next 10 years • Identify analytical, operational needs • Anticipate staffing, resource needs • Establish results framework and assess progress • Preparation involves 2 tracks: Drafting, Consultation

  4. Timeline for SP Strategy • Preparation – Development of Concept Note and Informal Dialogue (now - Dec. 2010) • Consult on general directions • Phase I – Formal Consultations using Concept Note; Draft Strategy (Jan. – May 2011) • Phase II – Final Strategy; Customized Consultations (June – Dec. 2011); Board presentation • Phase III – Implementation and Dissemination (Jan. 2012 – 2022) • Widely disseminate strategy, with eye on coordination, operationalization

  5. Why Social Protection?

  6. Social protection aims to alleviate poverty, manage individual risks and promote equitable and sustainable growth through: Prevention:Providing security to the vulnerable Protection:Ensuring adequate support for the poor Promotion:Expanding opportunities for higher productivity and incomes

  7. Social Protection Policies in the Economy Derived from the Social Risk Management Framework Includes education and skills, investment climate, infrastructure as well as labor market functioning and social protection Includes weather and crop insurance, irrigation, community-level insurance as well as social protection PROMOTION PREVENTION Social Protection PROTECTION Includes land distribution, property rights, enforcement of contracts, basic education, private charity as well as social protection

  8. Social Protection Today

  9. Social Protection Today: Coverage(SP transfers received by households as % of their consumption) Source: SP Atlas, World Bank

  10. Social Protection Today: Generosity (% of population living in households with 1 or more SP program)

  11. World Bank Social Protection Lending - Expanded support during global crisis

  12. World Bank Safety Net Lending and Analytical Work

  13. Looking Forward – Drivers of Change

  14. Global Trends • Volatility – increase in magnitude and frequency of crises – economic, climatic • Globalization – higher labor mobility, dynamic capital flows, economic interdependence • Demographics – Urbanization, aging in middle income countries, youth bulge in lower income countries, more people in the developing world • Role of Government –Evolving views regarding protecting the poor – e.g., Brazil, India, China, Turkey … • Accountability – Greater demand for government transparency, results and support for rights • Innovation – technology, processes, information

  15. Towards a Strategy and an Operational Framework: Themes

  16. Theme 1: The centrality of Promotion in Social Protection • Social Protection has a role in Prevention, Protection and Promotion • Social Protection contributes to economic growth, human capital development • Social insurance programs • Lower risk, volatility especially from the adverse impacts of health shocks, unemployment, old age • Safety nets programs for the poor and vulnerable • Reduce inequality • Stimulate investment activities by the beneficiaries • Help protect and build the poor’s human capital • Labor market programs • Provide access to jobs, opportunities • Build skills, enhance productivity Social protection is critically linked with education, health, nutrition, early childhood development; and contributes to cohesion, social stability

  17. Theme 2: Building SP Systems • Social protection “systems” have to connect prevention, protection, and promotion (PPP) functions , and allow individuals and households to move easily among programs depending on need. • The operational needs for SP systems will depend on the state of the existing institutional context • A lot of potential South-South and North- South learning • The goal is to move away from fragmented and isolated programs, increasing coverage to all who need it • More integrated systems also need to be flexible – to quickly and appropriately respond to crises and shocks Well-functioning social protection programs that are not fully harmonized Functioning social protection programs providing PPP Fragile and lowest-income contexts, with poor formal PPP institutions

  18. The ABC’s – Basics of Integrated SP Systems Appropriate to Country Circumstances • Range and balance of programs customized to country circumstances. • Appropriate integration between and across assistance (safety nets) and insurance/contributory (pensions, health, unemployment) programs • Compatible with political economy • Sustainable politically, fiscally, administratively Basic Coverage • System as a whole covers the various groups in need of assistance. • Individual programs provide full coverage and meaningful benefits to population they are meant to serve. Cost-effective • System and programs use resources effectively to achieve results

  19. The ABCDEE’s – Basics and Drivers of Integrated SP Systems Appropriate to Country Circumstances • Range and balance of programs customized to country circumstances. • Appropriate integration between and across assistance (safety nets) and insurance/contributory (pensions, health, unemployment) programs • Compatible with political economy • Sustainable politically, fiscally, administratively Basic Coverage • System as a whole covers the various groups in need of assistance. • Individual programs provide full coverage and meaningful benefits to population they are meant to serve. Cost-effective • System and programs use resources effectively to achieve results Dynamic and Incentive Compatible Systems • Evolve over time, responsive to crises • Include promotion of human capital, productive employment • Clarity on the productive nature of social protection • Use technology to ‘leap frog’ to solutions • Incentive compatible, minimizing unintended behavioral changes Equitable • Horizontal equity: equal treatment for people of equal conditions • Vertical equity: less generous benefits to those less poor • Governance - Need proper institutional arrangements to ensure service delivery Evidence Based • Use monitoring and evaluation to inform management, accountability, learning

  20. Theme 3: Governance and Results • Improving outcomes depends on good governance within social protection programs and systems to support service delivery and accountability • This is matched with a focus on results, not just for accountability but also for supporting effective implementation and learning what works • Goals include: • Strengthening accountability between policy-makers, service providers and citizens • Building efficient and accountable social protection institutions • Improving monitoring and evaluation systems for accountability and results • Challenges in Social Protection include: • Social Protection clients often lack “voice” and “client power” • Social Protection has diverse providers • Social Protection institutions deliver services and cash which requires a focus on information systems, payment mechanisms, monitoring

  21. Theme 4: Implementation • The Social Risk Management framework as a basis • Focus on operational feasibility and innovations • Integrate prevention, protection and promotion • Focus on service delivery • Tailor approaches to country needs, institutional settings • Innovation, learning and results • Scalability, coordination

  22. Summing Up: Emerging “Newer” Elements of Strategy • Ensuring that the “promotion” agenda is central • Moving towards dynamic and integrated social protection systems • Differentiated approaches to different country groupings • Middle-income, lower-income and fragile contexts • A renewed emphasis on governance and results • Operational approaches and innovation • Focus on innovation for delivering services, building systems

  23. Discussion

  24. Discussion – Open Questions • Do these initial ideas resonate with you? • Is there any critical element missing here? • Are there elements that should be de-emphasized? • Is the new emphasis on promotion (in addition to protection and prevention) appropriate? • Is the new emphasis on systems appropriate? • Can you share particular examples of good practice or innovation that should inform the strategy?

  25. Please send any comments to spstrategy@worldbank.org For more information: http://www.worldbank.org/sp

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