Opm report Template version 5

5.3DFID institutional requirements

DFID engagement in PASP would require a coordinated donor strategy to promote joint problem identification and solution, increased DFID engagement in staff time allocated to the programme and, critically, confidence that the World Bank has a common understanding of PASP performance, programme constraints and how to overcome them, and that both the World Bank and INAS are open to engagement on the issues raised in the body of this report.

5.4Summary of recommendations to DFID

It is recommended that DFID’s support to INAS is spread across three phases as follows:

5.4.1Phase 0: Inputs to INAS review process (April to June 2016)

Highlight donor concerns regarding the feasibility and realism of the current plans for expansion and timetable for the introduction of new programme components (i.e. the proposed graduation/complementary services, PMT roll-out, ‘Inclusive PASP’ and new cash transfer components), with a focus on their negative impact on core social protection performance.

Introduce key research findings and ideas into the discourse.

5.4.2Phase 1: TA and advocacy

Finance additional DFID post/consultant exclusively focused on INAS support and donor coordination.

Support the implementation of basic procedures in INAS (MIS, payments and grievance redressal).

Lead research into key programme components (targeting outcomes, asset quality, alternative uses of labour, graduation/complementary services, etc.).

Develop an advocacy and engagement strategy with donors and INAS on programme design and discourse and programme rephasing.

5.4.3Phase 2: Financial support

Subject to satisfactory achievement of phase 1, DFID may choose to provide budget support to INAS in one of the following four ways:

1. 
   Support the PASP on the basis of adequate systems and changes to processes and design;
   
2. 
   Support the PSSB on the basis of adequate systems;
   
3. 
   Support both PASP and PSSB; or
   
4. 
   Not provide further support.
   

References

Ashley, S and Hill, 2014. Support to Social Protection Programme: Strategic Stocktake 2014. The IDL Group

Beegle, K, Galasso, E., Goldberg, J. (2015) Direct and Indirect Effects of Malawi’s Public Works Program on Food Security. WPS7505 Policy Research Working Paper 7505. Development Research Group, Poverty and Inequality Team.

Berhane, G. et al. (2011) ‘Evaluation of Ethiopia's Food Security Program: Documenting Progress in the Implementation of the Productive Safety Nets Programme and the Household Asset Building Programme’, Brighton: Institute of Development Studies.

Buys, P. et al. (2007). Country stakes in climate change negotiations: Two dimensions of vulnerability, Washington D.C.

Chirwa, E., McCord, A., Mvula, P., Pinder, C. (2004). Study to Inform the Selection of an Appropriate Wage Rate for Public Works Programmes in Malawi Submitted to: National Safety Nets Unit Government of Malawi.

Devereux S (2002). Can social safety nets reduce chronic poverty? Development Policy Review 20(5): 657–75

Devereux, S. and Sabates Wheeler, R. (eds.) (2015). ‘Graduating from Social Protection?’ IDS Bulletin 46.2. IDS, Brighton.

Ellis, F., (2011), ‘“We Are All Poor Here”: Economic Difference, Social Divisiveness, and Targeting Cash Transfers in Sub-Saharan Africa’, Journal of Development Studies.

Hashemi, S. M. and de Montesquiou, A. (2011). Reaching the Poorest: Lessons from the Graduation Model. CGIAR Focus Note No. 69 March 2011.

Himmelstine, C and McCord, A (2016). What is known about the impact of assets for natural resource management created through Public Works Programmes on livelihoods?  ODI. 

Hodges, A. et al. (2014). Avaliação e revisão da estratégia nacional de segurança social básica. Nota Tecnica.

Holmes, Slater and Bhuvanendra, D. (2013). Social protection and resilient food systems: The role of Integrated Livelihoods Approaches. ODI.

IFAD (2016). Rural Poverty Portal. Accessed 31 March 2016 at: http://www.ruralpovertyportal.org/country/home/tags/mozambique

INGC (2009). Synthesis report. INGC Climate Change Report: Study on the Impacts of Climate Change on Disaster Risk in Mozambique. National Institute for Disaster Management, Mozambique.

IPCC (2014). Annex II: Glossary [Agard, J. and Schipper, L. (eds.)]. In: Climate Change 2014: Impacts, Adaptation, and Vulnerability. Part A: Global and Sectoral Aspects. Contribution of Working Group II to the Fifth Assessment Report of the Intergovernmental Panel on Climate Change [Field, C.B., V.R. Barros, D.J. Dokken, K.J. Mach, M.D. Mastrandrea, T.E. Bilir, M. Chatterjee, K.L. Ebi, Y.O. Estrada, R.C. Genova, B. Girma, E.S. Kissel, A.N. Levy, S. MacCracken, P.R. Mastrandrea, and L.L. White (eds.)]. Cambridge University Press, Cambridge, United Kingdom and New York, NY, USA, pp. 1–32.

Irish Aid and IIED (2016) Como alinhar a protecção social com os objectivos de resiliência climática e intervenções que beneficiem as agregados familiares pobres e vulneráveis ​​ao clima. Irish Aid/ IIED.

Kardan, A. et al (2016). DFID Shock-Responsive Social Protection Systems research: Mozambique country report.

Kidd, S. and Wylde, E. (2011). Targeting the Poorest: An Assessment of the Proxy Means Test Methodology. Published by the Australian Agency for International Development (AUSAid).

McCord, A. (2004). Policy Expectations and Programme Reality: The Poverty Reduction and Employment Performance of Two Public Works Programmes in South Africa. Overseas Development Institute/Economics and Statistics Analysis Unit (ODI/ESAU) Working Paper No.8. London: Overseas Development Institute.

McCord, A. (2007). A Critical Evaluation of Training within the South African National Public Works Programme. In A Kraak and K Press (eds.) Human Resources Development Review 2008. Cape Town: HSRC Press: 555–575.

McCord, A. (2012). Public works and social protection in sub-Saharan Africa. Do public works work for the poor?, United Nations University Press.

McCord, A. (2013). Public Works and Resilient Food Systems. ODI.

McCord, A. (2016a). The Role of Public Works in Addressing Poverty: Lessons from recent developments in Public Works Programming, in Hulme. D. and Lawson, D. (eds.). What works for the poorest?

McCord, A. (2016b). Community Based Targeting: An overview of CBT programming and literature. ODI.

McCord, A and Slater, R. (2015). Social Protection and Graduation through Sustainable Employment, in IDS Bulletin Special Issue: Graduating from Social Protection? Editors Stephen Devereux and Rachel Sabates-Wheeler Volume 46, Issue 2, pages 134–144, March 2015.

Ludi, E., Levine, S. and McCord, A. (2016). Assessing the Livelihoods Impact of NRM PWP Assets. ODI.

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https://www.wfp.org/countries/mozambique

Annex A PASP in ENSSB II

The National Strategy for Basic Social Security (ENSSB II) 2016–2024 aims at materialising the Five-Year Government Programme 2015–2019, by implementing actions that contribute to the reduction of poverty and vulnerability. It was based on the targets set in the National Development Strategy 2015–2035, the Agenda 2063 of the African Union and the Sustainable Development Goals, adopted by the United Nations. It aims for the gradual achievement of universal coverage of target groups by 2024.

Programmes implemented by INAS should reach 3.3 million direct beneficiaries in 2024, against nearly 1 million planned for 2019 and the 438,874 achieved in 2015. In the case of the PASP, planned coverage for 2019 in rural areas is significantly higher than in urban areas with 138,132 households. This number should increase to 497,358 households by 2024 (see Table 5 below).

The key actions contemplated in the ENSSB II of the PASP are:

Increase the PASP coverage gradually;

Implement an annual review mechanism of PASP’s transfers;

Improve the selection, design and management of public works projects;

Strengthen the role of PASP in response to disasters and the effects of climate change;

Design and implement measures to promote economic empowerment of beneficiaries of the PASP; and

Reflect on the feasibility of implementing differentiated transfers for urban and rural areas, so as not to stimulate migration to cities.

Moreover, the budget planned for the PASP in rural areas is equivalent to 0.19% of GDP in 2024 in the scenario envisaged in the ENSSB II, while in urban areas it is 0.11%.

Table : ENSSB II coverage projections

		Coverage projections for 2019		Coverage projections for 2024
Programme		Number of recipients	Percentage of recipients related to the target group	Number of recipients	Percentage of recipients related to the target group	Expected percentage of GDP costs
PASP	Rural	138, 132	6.2%	497, 358	20.3%	0.19%
	Urban	31, 437	5.2%	199, 644	27.6%	0.11%
	Graduation support	118, 698	4.2%	487, 902	15.4%	0.11%
PSSB	Old age subsidy	619, 209	62.5%	1, 009, 500	90%	0.79%
	Disability grant	90, 027	48.7%	190, 073	90%	0.15%
PASD	Direct support	15, 000	NA	45, 000	NA	0.06%
Child grant	Grant for early childhood	50, 000	3.4%	1,401, 937	90%	1.10%
	Grant for children that are heads of households	18, 302	58.7%	30, 772	90%	0.04%
	Grant for alternative child support	10, 000	NA	17, 752	90%	0.01%

Annex B Recommendations for Zero Phase of Engagement

The critical issues for development partner agreement and positioning on the agenda with MGCAS during the April to June INAS activity review window, in preparation for medium-term engagement, are as follows:

Phasing and sequencing

Postpone the implementation of the ‘Inclusive PASP’ until staff resources are available – otherwise will compromise all INAS programme performance – wait until payment procedure is revised.

Postpone extension of PASP until payments are mechanised.

Phase PMT re-registration.

Basic systems

Prioritise MIS and payment systems operationalisation – precondition for further programming developments and development partner support.

Assets

Shift full responsibility for asset selection to districts.

Consider multi-year financing to districts for strategic asset selection.

Consider capital allocation in PASP – increase.

Include assets in M&E.

Wage

Link wage level to consumption objectives and inflation link – recalibrate as of 2016.

Graduation and complementary services

Problematise the feasibility of the current complementary services strategy and suggest the need for alternative approach with greater likelihood of feasibility and positive outcomes.

Slow promotion of complementary services – prior focus needs to be on basic systems.

Note concern that moving ahead with complementary services could compromise all INAS core programme delivery (using up scarce PASP resources).

Suggest a review of graduation performance in Mozambique—study of graduation and use of transfers.

Critique implicit theories of change underlying graduation – draw on work of World Bank and Fundacion Capital.

Note evidence of challenges faced by Rwanda, Ethiopia and South Africa in graduation model.

Raise awareness that the range of activities and objectives of ‘graduation’ are similar to ‘rural development’, and that INAS does not have relevant capacity or skills to perform functions of integrated rural development (e.g. skills development, access to capital, promotion of income-generating opportunities, promotion of access to markets, etc.).

Shift discourse to linking PASP beneficiaries to other service providers, with the mandate and skills for drafting concrete recommendations for rural development.

Annex C Summary Findings of Irish Aid and IIED (2016)

1^Community sharing of work is not inherently bad, being a form of “informal social protection” based on community redistribution, and related to other forms of reciprocity that in certain contexts can increase resilience and potentially contribute to autonomous adaptation. However, inasmuch as it results in the dilution of the wage benefit, it reduces the direct impact of participation at household level.

2^ Serviço Distrital de Planeamento e Infraestrutura (SDPI), Serviços Distritais das Actividades Económicas (SDAE), and Serviços Distritais de Saude e Mulher Accao Social (SDSMA).

3^ Irish Aid and IIED (2016) found that selection was conducted by the permanentes and was open to many biases – family, kinship links, political party membership etc, and that given the high demand to be selected given the limited number of jobs available, this process puts a lot of pressure on those doing the selection to deviate from selection criteria outlined in the manual.

4^ This estimate is based on estimates derived from the Chibuto programme budget and an estimated mean PSSB transfer value of MZM 255 per month (the minimum and maximum cash transfer values being 130 and 380, with the total dependent on household capitation).

May 2016