Rethinking Graduation and Social

Protection: A Realistic Aspiration? Lisa Hannigan , Senior Sector Specialist Social Protection Paba Siriwardana, Social Protection Specialist

What is social protection? What is its aim?

Tackle poverty, vulnerability and promote pro-poor economic growth

But what does it mean in the context of graduation?

Protection (cash transfer)

Prevention (insurance)

Promotion (economic opportunities)

Time bound vs. Escape from poverty?

What are the common graduation programs?

Asset Transfer Programs• BRAC CFPR – Targeting the Ultra

Poor

Public Works Programs• Ethiopia’s Public Safety Net

Program

Why are they popular?

Clear exit strategy

Value for money

Return on investment

Why are they contentious?

• Loses sight of the fundamental purpose of social protection

• Time frames are too short to break the cycle of poverty

• Assumes lives and livelihoods are linear and the assets will make them resilient against future shocks.

• Assumes programs are replicable across different contexts

• Can be gender blind

What do beneficiaries think?

“Beneficiaries themselves, of course, have no concept of the point at which they might have

graduated”

- Nicholas Freeland, Consultant

What are the risks of supporting graduation programs?

• If political support is fixated on (unrealistic) graduation targets, a failure to reach them can not only cut the ‘productive’ element of the program, but also the ‘protective’ element

• Perverse incentives if thresholds are known

What does the evidence tell us about the success of graduation programs?

• Positive results – but for how long? • Indicators for measuring resilience -

adequate or too low?• Do we need more insights from

beneficiaries?• Can the program be undermined by the

state? (India’s NREGA impact on CGAP pilot)

Where to from here? How to use graduation wisely

• Poverty reduction is a long term investment, not a 3 – 5 year project

• Need a broad based comprehensive social protection strategy that addresses lifecycle risks

• Examples: Aid program investments in Indonesia and the Philippines