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Challenges of Scaling Up in Zambia

Challenges of Scaling Up in Zambia. Policy Dialogue South Africa 11 to 14 Oct 2010. Outline. Introduction Why Scale Up Decision Inst Constraints- Consolidation Opportunities for Consolidation Conclusion. Introduction. Cash transfers as an alternative to in-kind in Zambia

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Challenges of Scaling Up in Zambia

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  1. Challenges of Scaling Up in Zambia Policy Dialogue South Africa 11 to 14 Oct 2010

  2. Outline • Introduction • Why Scale Up • Decision • Inst Constraints- Consolidation • Opportunities for Consolidation • Conclusion

  3. Introduction Cash transfers as an alternative to in-kind in Zambia Social cash transfer scheme was officially launched in Kalomo district in May 2004 At present the scheme covers 5 districts Kalomo,Chipata, Kazungula, Monze & Katete With a total of 12 300 beneficiaries. We have just gone to 3 districts( Kalabo, Shangombo and Kaputa).

  4. Why Scale Up ? • Growing number of HH have no adult breadwinners. Some HH heads are aged, too sick too young. About 10 % of HH in Zambia have no labour. Extreme poverty at 51 %. High child poverty • Impressive results- nutrition and health, education, livelihoods, • These HH need regular & continuous social assistance to survive and educate their children.

  5. Decision- Reaching the Poorest • Govt wants to SP programmes that lift the poor the most. • Ministry not going ahead with universal pensions- leaves out poor/includes rich. • Favours the inclusive model targeting poor and incapacitated households. • Gone for child grants in selected districts with high Under 5 mortality and extreme poverty ( 200 <5 mortality and 87 extreme poverty)

  6. Target Poor Households

  7. Decision- Longterm Sustainability • Securing adequate and long term funding to the social protection sect is a key element. • Finding fiscal space has been thorny as govt focus is on infrastructure ― spur economic growth --- trickle down benefits to the poor. • Cash transfers are affordable but money needs to be (re) allocated • Need robust local evidence to show the economic multiplier effects in order to enhance technical will at the Ministry of Finance.

  8. Inst Constraints-Implementation Capacity Human Resources • Lack of experience and motivation, high staff turnover and limited training opportunities pose challenges • In conclusion, capacity building efforts and broader reform efforts are necessary • Equipment • Some offices do not have adequate office tools. • No vehicles

  9. Limited Country Infrastructure • Cash transfers must be delivered on time and need support infrastructure in place. • In Kalabo and Shangombo there is no bank- nearest bank is 200 Km away. • Roads cut off in rainy season- use boat. • Limited cell phone connectivity- no m-banking. • Very few shops which can handle voucher system.

  10. Inst Constraints- Policy Intrusion • Some Potential funders want to promote their own strategies over our preferences. • Some programmes not aligned to national poverty strategy. • Result in protracted negotiations and loss of funding.

  11. Inst Constraints-(Mis) Perception and Legislation • Social Protection mis understood to be a cost with negative returns. • SP is not anchored on legislation and thus is viewed as a welfare, charity. • No social contract between the state and citizens.

  12. Opportunities to Consolidation of SP Programmes • Realisation that no one SP strategy is a panacea to poverty. • Choose strategies with Max impact on the poor. • Strategies that are more visible have political buy in. • Reach point of political irreversibility allow funding to be available.

  13. Conclusion • Social protection is an essential component and pre-requisite for poverty reduction and economic development. There is need for adequate support for it to be successful and adequate • Who will care for the weak?

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