• ThePantawid Pamilyaconditionalcashtransferprogramreachedmorethan4.4 millionpoorfamiliesin2014.

• Rigorousimpactevaluationin2012and2014confirmsthatPantawid Pamilyaimprovesaccesstohealthservices,keepschildreninschool,reduceschildlabor,anddoesnotencouragedependency.

• TheListahananpovertytargetingsystemisamongthebestintheworldandensuresthatbenefitsreachthepoorest.

• ADB’sSocialProtectionSupportProjectsupportsgrantstonearly640,000poorhouseholdsinselectedareas.

• Policyandoperationalchallengesincludeadjustingthebenefitlevelstoaccountforinflation,andensuringsufficientandhighqualityeducationandhealthservices.

ADBBRIEFSNO. 38

July 2015

KEY POINTS SOCIAL PROTECTION BRIEFThe Social Protection Support Project in the Philippines

ISBN978-92-9257-026-2(Print)ISBN978-92-9257-027-9(e-ISBN)ISSN2071-7202(Print)ISSN2218-2675(e-ISSN)PublicationStockNo.ABF157497

PIONEERINg POLICY REFORmS FOR POvERTY REduCTION

Despiteacceleratingeconomicgrowthinthemid-2000s,povertyincidenceinthePhilippinesremainedstubbornlyhighandevenincreasedduringsomeperiods.Oneofthekeycausesofpovertywaschronicunderinvestmentinhumancapital,especiallyhealthandeducation.Asaresult,thePhilippineslaggedinmeetingtheMillenniumDevelopmentGoaltargetsforuniversalprimaryeducation,maternalmortality,andaccesstoreproductivehealthservices.

Pastgovernmenteffortstoaddresspovertyandimprovehumandevelopmentwerecompromisedbylowspendinginthesocialsectors(particularlyinsocialprotection),weakpovertytargetingsystems,andalackofpolicyandinstitutionalcoordination,withseveraldepartmentsundertakinguncoordinatedandsometimesineffectiveprograms.Torespondtothesechallenges,thegovernmentsetouttostrengthenitssocialprotectionsystem.

Thereformagenda,championedbytheDepartmentofSocialWelfareandDevelopment(DSWD),includedpilotingandexpandingaconditionalcashtransfer(CCT)program;improvingpovertytargeting;improvingmonitoringandevaluation;andsecuringadequateandpredictablesocialprotectionfinancingbyconsolidatingprogramsandgraduallyexpandingthebudget.TheCCTprogrambecamethecornerstoneofsocialprotectionreforms.

ThePantawid Pamilyang PilipinoProgram(BridgingProgramfortheFilipinoFamily)providescashgrantstopoorhouseholdsbasedontheirfulfillmentofhealthandeducationrelatedconditions.Fromasmallpilotwith6,000familiesin2007,theprogramgrewfirstslowlyandthenveryrapidlytocover4.46millionfamiliesasoftheendof2014,

Karin SchelzigSeniorSocialSectorSpecialistHumanandSocialDevelopmentDivisionSoutheastAsiaDepartment

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ADBBRIEFSNO.38

orabout21%ofthetotalpopulation.Ofthe63countriesthathaveaCCTprogram,Pantawidisamongthelargest.ThePantawidbudgetofPHP62.6billionin2014was0.5%ofGDP,upfrom0.1%in2010.

ThePantawidcashgrantshelppoorandvulnerablefamiliesmakeendsmeet,buttherealpovertyreductiongainsareexpectedinthefuture,whenhealthierandmoreeducatedchildrenfinishschoolandjointheworkforce.CCTsareaformofresults-basedfinancingthataimtopreventthetransmissionofpovertyfromparentstotheirchildren.Thecashhelpscoverthedirectandindirectcostsofaccessinghealthcareandschooling.Italsoreducestheincentivetotakechildrenoutofschoolsothattheycanworktosupplementthefamily’sincome.ThePhilippines’CCTprogramuniquelyrequiresparentstoattendmonthlyfamilydevelopmentsessionsasoneofthecoreconditions.Thesesessionsfocusonawiderangeoftopicsincludingresponsibleparenthood,healthandnutrition,education,activecitizenship,disasterpreparedness,andmore.

WhAT dO FAmILIES hAvE TO dO TO gET ThE gRANTS?

ThePantawid Pamilyaconditionsare:

• Pregnantwomenmusthavepre-andpost-natalcheckups,andbirthsshouldbeinahealthfacilityorattendedbyatrainedhealthprofessional

• 0-5yearoldchildrenmustreceiveregularhealthcheck-upsandvaccines

• Elementaryschoolchildrenmustreceivedewormingpillstwiceperyear

• Children3-5mustenrollinadaycareprogramorkindergartenandmaintainan85%attendancerate

• Children6to18mustenrollinelementaryorsecondaryschoolandmaintainan85%attendancerate

• Parentsmustattendmonthlyfamilydevelopmentsessions

hOW muCh dO FAmILIES RECEIvE?

HouseholdscanreceivePHP500permonthforcomplyingwiththehealthconditions(whichincludesthefamilydevelopmentsessions).Foreducation,eachchildindaycareorelementaryreceivesPHP300permonthandeachchildinhighschoolreceivesPHP500permonth.Amaximumof3childrenperhouseholdmayreceivetheeducationgrantfor10monthsoftheschoolyear.ThemaximumgrantwouldbeuptoPHP2,000permonthforafamilywith3childrenregularlyattendinghighschoolbutaveragegrantsaremuchlowerinpractice,sincefamilycompositionvariesandnotallhouseholdsmeetalltheconditionseverymonth.HouseholdsactuallyreceivedanaverageofaboutPHP8,300peryearin2013,equivalenttoabout$16permonth.

PROjECT dESIgN, COvERAgE, ANd ImPLEmENTATION

ADBapprovedthe$400millionSocialProtectionSupportProjectin2010.1Theexpectedimpactisreducedincomepovertyandnon-incomepoverty.TheexpectedoutcomeisincreasedconsumptionandincreasedutilizationofeducationandhealthservicesamongPantawidfamilies,especiallywomenandchildren.Thefouroutputssupportanefficientnationaltargetingsystemtoselectpoorhouseholds,conditionalhealthandeducationgrants,bettercapacityforCCToperations,andimprovedsystemsformonitoringandevaluation.

TheoriginaldesignaimedtosupportPantawidoperationsandtopartiallyfinancegrantstoabout582,000householdsin436municipalitiesand37citiesin53provinces.In2014thecoveragewasexpandedto517municipalitiesand53citiesin70provinces.Asoftheendof2014,ADBfinancingsupportedabout637,300poorhouseholds.Theprojectalsosupportsthenationalsocialprotectionreformagendathroughtechnicalassistance.

Guidedbyahighlevelnationaladvisorycommittee,DSWD’snationalprogrammanagementofficeand17regionalofficesareresponsibleforimplementingPantawid.About12,000fieldfacilitators(calledmunicipalandcitylinks),workwiththeparticipatinghouseholds,whichareorganizedintoparentgroupscoordinatedbyparentleaders.Localgovernmentunitshaveeachdesignatedatleastonefull-timestafftosupportPantawid.Variousmanagementinformationsystemssupportprogramimplementationincludingcommunityregistration,complianceverification,beneficiaryupdate,andgrievanceredresssystems.Theprojectincludesregularspotchecksofimplementationundertakenbyanindependentresearchinstitute,andtheCommissiononAuditconductsregularanddetailedauditsofPantawid.MultipleroundsofrigorousandnationallyrepresentativeimpactevaluationhaveinvolvedcooperationbetweenDSWDandADB,Australia,theWorldBank,thePhilippineInstituteforDevelopmentStudies,andotherimpactevaluationtechnicalworkinggroupmembers.

ARE ThE CCTS WORKINg?

Mostoftheproject’soutputindicatorshavebeenmetorexceededandtheoutcomeofincreasedconsumptionandutilizationofeducationandhealthservicesisexpectedtobeachieved.RigorousimpactevaluationfindingsincludethatPantawidimproveschildren’saccesstohealthservices,keepschildreninschool,andreduceschildlabor.2OtherimportantfindingsarethatPantawiddoesnotencouragedependency(adultscontinuetoseekwork)andthatPantawidparentsaremoreoptimisticabouttheirchildren’sfuturethannon-Pantawidparents.Self-ratedpovertyamong

1 ADB.2010.ReportandRecommendationtothePresidentontheSocialProtectionSupportProjectinthePhilippines(PHI-2662).Manila.2 Impactevaluationreportsareavailableatwww.dswd.gov.ph

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TheSocialProtectionSupportProjectinthePhilippines

familiesnearthepovertylineis7percentagepointsloweramongPantawidfamiliesthannon-Pantawidfamilies.Pantawid’stargetingaccuracytothepoorestfamiliesisconsideredamongthebestintheworld.3TheListahanandatabaseofpoorfamiliesisbeingupdatedin2015.

WhAT mORE CAN BE dONE?

• BenefitlevelshavenotchangedsinceDSWDdesignedtheprogramin2006.Thevalueofthecashgrantshaserodedsignificantlyinrealterms,andhasdeclinedasashareofpoorhouseholds’averageincome.Policydialogueisunderwayonadjustingthegrantsforinflationin2016.

• PublicperceptioncanbeinfluencedbynegativemediacoverageclaimingPantawidisa‘dole-out’thatcausesdependency,despitestrongevidencetothecontrary.Paymentsaremadeonlyoncecomplianceisverified,complianceratesareveryhigh,andpeoplearenotquittingjobsbecausetheyreceivegrants.Promotingabetterunderstandingoftheimpactevaluationevidencecancountersuchclaims.

• MorepublicoutreachcanalsohelptoclarifythattherecentslightincreaseinthenationalpovertyincidenceisnotanindicatorthattheCCTisnotworking.ThepovertyincidencemayhavebeenworsewithouttheCCTsgiventheimpactofcatastrophicnaturaldisastersandfoodpriceinflationin2013.Thereductionofpovertyandinequalityarelong-termimpactsthatcanonlybeexpectedwhenhealthierandmoreeducatedPantawidchildrengrowuptojointheworkforceandgetbetterjobs.Thegrantaloneisnotenoughtobringmanyfamiliesoverthepovertyline,thoughitdoesreducetheincomegap.

• Therearechallengesinensuringenoughschools,fullimmunizationanddeworming,andpre-andpost-natalcareanddeliveryinhealthfacilities.SomeofthesechallengesarerelatedtothesupplyofeducationandhealthservicesthatarebeyondPantawid’scontrol,whileothersmaybearesultoffamiliesnotfullyappreciatingtheimportanceofparticularconditions.ThiscallsformoreactivecoordinationwiththeDepartmentsofEducationandHealth,andforstrengtheningthefamilydevelopmentsessionstoreinforcetheimportanceofthehealthandeducationconditions.

About the Asian Development BankADB’svisionisanAsiaandPacificregionfreeofpoverty.Itsmissionis tohelpitsdevelopingmembercountriesreducepovertyandimprovethequalityoflifeoftheirpeople.Despitetheregion’smanysuccesses,itremainshometothemajorityoftheworld’spoor.ADBiscommittedtoreducingpovertythroughinclusiveeconomicgrowth,environmentallysustainablegrowth,andregionalintegration.

BasedinManila,ADBisownedby67members,including48fromtheregion.Itsmaininstrumentsforhelpingitsdevelopingmembercountriesarepolicydialogue,loans,equityinvestments,guarantees,grants,andtechnicalassistance.

ADBBriefsarebasedonpapersornotespreparedbyADBstaffandtheirresourcepersons.Theseriesisdesignedtoprovideconcise,nontechnicalaccountsofpolicyissuesoftopicalinterest,withaviewtofacilitatinginformeddebate.TheDepartmentofExternalRelationsadministersthe series.

TheviewsexpressedinthispublicationarethoseoftheauthorsanddonotnecessarilyreflecttheviewsandpoliciesofADBoritsBoardofGovernorsorthegovernmentstheyrepresent.ADBencouragesprintingorcopyinginformationexclusivelyforpersonalandnoncommercialusewithproperacknowledgmentofADB.Usersarerestrictedfromreselling,redistributing,orcreatingderivativeworksforcommercialpurposeswithouttheexpress,writtenconsentofADB.AsianDevelopmentBank6ADBAvenue,MandaluyongCity1550MetroManila,PhilippinesTel+6326324444Fax+6326362444

www.adb.org/publications/series/adb-briefs

Inthispublication,“$”referstoUSdollars.

ADBSocialProtectionBriefsaimtohighlightachievementsofADBprojectsthatsupportsocialprotectioninitiativesindevelopingmembercountries.

BriefpreparedbyADBSeniorSocialSectorSpecialist:KarinSchelzig

Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO)©2015ADB.TheCClicensedoesnotapplytonon-ADBcopyrightmaterialsinthispublication.

3 WorldBank.2015.TheStateofSocialSafetyNets2015.Washington,D.C.