PROMOTING AN INTEGRATED SOCIAL PROTECTION FRAMEWORK FOR THE CARIBBEAN Caribbean Development Bank in conjunction with the Department for International Development, the European Commission for Barbados and the Eastern Caribbean, the United Nations Development Programme and the World Bank Presented by Juliet Melville Chief Research Economist Caribbean Development Bank
Social Protection what does it encompass? All interventions from public, private, voluntary organisation and social networks, to support communities, households, and individuals, in their efforts to prevent, manage, and overcome a defined set of risks and vulnerabilities. Usually in response to levels of vulnerability, risk and deprivation deemed unacceptable. It is welfare and relief, but more given the emphasis on liberating human potential and promoting equality of opportunity. While it incorporates safety nets, it also recognizes the importance of acting as a spring board and adopting a longer term developmental approach (investment in capacity building). It is an aspect of social policy and should be an integral part of countries development strategy 2
Social Protection Instruments Social security systems (social insurance), transfer programmes (Old age pension, necessitous grants), and other forms of social assistance, emergency response initiatives, labor and employment standards and even informal strategies to manage risk. Employment programmes, skills training and capacity building programmes, Etc. 3
Rationale for a SP Agenda The populations of the region face high levels of risks and vulnerabilities, linked to individual, structural and other factors which adversely impact them and can force them into poverty or keep them mired in poverty. Sustained vulnerability also forces households to engage in behaviour dysfunctional to their long term interest perpetuating the cycle of deprivation and poverty. Developments are in progress that will heighten vulnerability and increase the demand for SP 4
Rationale for a SP Agenda Social protection instruments exist, but in many areas these are not sufficiently strong or effective in protecting households and communities from exposure to natural, economic, and social hazards. General Issues: Gaps in the coverage of risks and vulnerabilities Appropriateness and scope of interventions Targetting of beneficiaries Overlapping programmes Quality of service and accessibility Effectiveness of instruments Administrative, planning and implementation capacity Programme design 5
Rationale for a SP Agenda Programme specific concerns Social Insurance Social Assistance Transfer/Welfare Programmes Labour Market Programmes Community based Investment Funds National Health Insurance 6
A Regional SP Agenda Why? Need to be more systematic and proactive about protecting against risks and overcoming the vulnerabilities A social protection framework is needed to: reduce the adverse impact of vulnerability on growth and development strategies protect the living standards of households and communities, and promote their capacity to invest in their future engage international donors in a partnership to ensure aid effectiveness in social protection 7
A Regional SP Agenda Why? The shared commonality in risks and vulnerabilities across the Region, and the common issues and concerns which have been identified suggest that are economies and synergies to be had from adopting a regional approach to social protection Similarity in main SP instruments deployed across countries 8
A Regional SP Agenda consisting of what? An integrated, effective, and comprehensive social protection system to act both as a safety net and a springboard Better targetting to reduce costs and increase the efficiency of delivery of services. More effective collaboration and better co-ordination amongst institutions in social protection interventions within countries and across the Region. Grounded in the use of data, research and evidence to facilitate design of programmes, monitoring and evaluation Donor partnerships in support of a regionally determined SP reform agenda (to stem the wasteful duplication of progammes, and to exploit synergies by drawing on the expertise of the different agencies and to maximise the use of donor resources) 9
Seven Social Protection Priorities Improve planning on SP issues Establish a mechanism in each country for sector-wide SP planning Link social protection plans to country poverty reduction strategy Reform social insurance Focus on achieving long-term financial sustainability, And expanding coverage to informal and poor workers Rationalize and strengthen social assistance Better targeting and delivery mechanisms; reduce overlaps and administrative costs; focus on human capital development a hand-up rather than hand-out ; prepare for crises (including instituting countercyclical social spending patterns) 10
Seven Social Protection Priorities Improve ex-ante disaster management Develop regional disaster management fund (share risk across countries) Improve building codes Review labor market policies Support competitiveness, improve safety standards, eliminate child labor, etc. Reform active labor market programs Facilitate informal risk management Reduce the cost of sending/receiving remittances Improve data collection, monitoring and evaluation 11
Required Action/ Proposed Next Steps Ministers to convene country level Cabinet meetings to share the SP agenda Regional line Ministries meeting held to discuss a regional approach in support of a sustainable national social protection strategy Promote the integration of SP reform process in social policy formulation and implementation in the OECS at both national and regional level Pilot the integrated SP and Social and Human Development process in 1 or 2 countries including: Rationalise/consolidate mechanisms for social protection; Strengthen public sector capacity; Promote efficient/effective targeting of social protection instruments; and Systematise social protection interventions through the labour market: social safety nets, pensions. 12
Required Action/ Proposed Next Steps Accelerating coordination of social statistical capability to support data analysis and evidence-based policy formulation (through Support for Poverty Assessment and Reduction in the Caribbean (SPARC)) Putting social protection on the Region s development agenda, helping to embed it within the CSME agenda and advocating for its integration into key country level processes such as poverty reduction strategy papers and the institutionalization of recent social policy frameworks Facilitate the involvement of NGOs and Community Based Organisations through the institutionalised Council on Civil Society in effect: Forward Together July 11, 2005. Ensuring that a regional approach to social protection reform is adopted under the auspices of CARICOM (A Caribbean Plan of Action for Social Protection). 13
THANK YOU 14