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123 Cambodia Population i 14,562,008 Age structure 0-14 years (%) 34.1 15-64 years (%) 62.5 65 years and over (%) 3.4 Infant mortality rate (per 1,000 live births) both sexes ii 69 Life expectancy at birth (years) female 62.8 Life expectancy at birth (years) male 59.2 Maternal mortality ratio (per 100,000 live births) iii 540 Public social protection expenditure (% of total public expenditure) iv 32 Informal economy (%) v 72.8 GDP per capita Current USD vi 711 PPP (current international $) vii 1,951 Constant local currency viii 1,968,651 Unemployment rate (%) ix 1.68 Human development index (HDI rank x 137 HDI poverty indicators – Human poverty index rank 87

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Page 1: Cambodia - social-protection.org

123

Cambodia

Populationi 14,562,008

Age structure• 0-14 years (%) 34.1• 15-64 years (%) 62.5• 65 years and over (%) 3.4

Infant mortality rate (per 1,000 live births) both sexesii 69

Life expectancy at birth (years) female 62.8

Life expectancy at birth (years) male 59.2

Maternal mortality ratio (per 100,000 live births)iii 540

Public social protection expenditure (% of total public expenditure)iv 32

Informal economy (%)v 72.8

GDP per capita• Current USDvi 711• PPP (current international $)vii 1,951• Constant local currencyviii 1,968,651

Unemployment rate (%)ix 1.68

Human development index (HDI rankx 137

HDI poverty indicators – Human poverty index rank 87

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 125

Information on the AuthorVathana Sann, Deputy Secretary-General, Chief of Secretariat General of Social ProtectionCoordination Unit, Council for Agricultural and Rural Development.

The National Social Protection Strategy for the Poor and Vulnerable: Process of Development

Summary

• Rationale behind the strategy: to accelerate progress towards the Cambodian MillenniumDevelopment Goals so as to reduce poverty and inequality, and to achieve socio-economicsecurity for the population and bring coherence to policy formulation and implementation;

• The Strategy prioritizes the development of effective and sustainable social safety netsfor the poor and vulnerable and establishes the framework for sustainable and compre-hensive social protection for all Cambodians over the long run (including contributoryand non-contributory schemes);

• The Council for Agricultural and Rural Development (CARD) is the governmental bodymandated to coordinate and develop the social protection framework.

Five objectives and key interventions (based on the vulnerability and gap analysisand consultation process in 2009 and 2010):

1. The poor and vulnerable receive support to meet their basic needs, including food, sanitation, water and shelter in times of emergency and crisis.

2. Poor and vulnerable children and mothers benefit from social safety nets to alleviatepoverty and enhance the development of human capital by improving nutrition as well as maternal and child health, promoting education and eliminating child labour,especially its worst forms.

3. The working-age poor and vulnerable benefit from work opportunities to secure income,food and livelihoods while contributing to the creation of sustainable physical and socialinfrastructure assets.

4. The poor and vulnerable have effective access to affordable, quality health care and finan-cial protection in case of sickness or illness.

5. Special vulnerable groups, including orphans, the elderly, single women with children,people living with disabilities, and people living with HIV and tuberculosis, receiveincome, in-kind and psycho-social support, and adequate social care.

Instruments for social protection:

• Cash and in-kind transfers and fee exemptions;

• Public works programmes;

• Social welfare services.

6Cambodia

Vathana Sann

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I N T RODUC T I ON

Having emerged from three decades ofinstability, Cambodia has had an impres-sive record of sustained growth andpoverty reduction. Yet Cambodians stillface many serious forms of vulnerability,notably regarding weather-dependentagriculture, idiosyncratic shocks, and un-and under-employment. The coverage ofexisting social protection programmes forthe poor and vulnerable is very limited,and the presence of important sources ofvulnerability (such as malnutrition, healthshocks and poor quality of education)that remain inadequately addressed leadpoor households into further destitution.

To promote equitable growth in thenear-to-medium term, an effective andaffordable social protection systemshould be developed that supports thepoor and vulnerable in coping with majorsources of vulnerability while at the sametime promoting human development. Inthe near future, priority should thereforebe given to the development of effectiveand affordable social protection pro-grammes for the poor and vulnerable thatachieve these goals.

An effective social protection systemalso promotes equitable growth and thegovernment’s ability to reform. To theextent that it encourages prudent risk-taking and enhances opportunities for thepoor, social protection can be beneficialfor economic growth. Social protectioncan also help governments to embark onreforms that have long-term benefits ineconomic efficiency but high short-termsocial and political costs by providing

effective compensation to those nega-tively affected by the reform.

CONT E X T

In the last three decades, Cambodia haschanged its political regime more frequent-ly than any neighbouring countries.Cambodian society – especially its socialinfrastructure – also has experienced majorchanges and challenges. The Governmentmanaged to stabilize the famine situationprevailing in 1979 and made slow butsteady gains in reconstructing schoolingand basic health care. The population wasorganized into “solidarity groups”. This col-lectivization ensured equal access to thescarce male labour and draft animals avail-able in 1979-1980, but as the economyrecovered, it came to be seen as a hindranceto growth. Spontaneous de-collectiviza-tion, formalized through liberalization andland distribution in 1989, improved outputand was welcomed by most although vul-nerable groups lost important forms ofsocial security (Frings, 1993).

Great achievement in terms of infra-structure and human rehabilitation anddevelopment is tremendously significant.Cambodia had been embarking on a tran-sition from war to peace, especially fromone ruling party to multi-party politics,and from an isolated and planned econo-my to a free-market economy integratedinto international trade. Since the ParisPeace Agreements in 1991, free and fairelections have been conducted. Since1993, Cambodia has been transformedfrom a post-conflict society into a normaldeveloping country.

126 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 127

Table 1 Cambodian population index and projections.

Demographic Indicator 1970 1980 1990 2000 2008* 2010 2020 2030

Midyear population (*1,000) 7,396 6,888 9,345 12,396 13,395 14,753 17,601 20,183

Growth rate (%) -0.7 2.5 3.6 1.8 1.8 1.6 1.1

Total fertility rate (births/woman) 6.5 7.4 6 3.7 3 2.7 2.4

Crude birth rate/1,000 population) 43 58 47 27 26 23 18

Life expectancy at birth (years) 38 37 52 59 63 66 69

Infant mortality rate/1,000 births 199 228 144 82 53 38 27

Under-5 mortality rate/1,000 births 274 327 185 104 67 47 33

Crude death rate/1,000 population 24 28 15 9 8 7 7

* Data from 2008 general census.

Source: National Institute of Statistics.

POV E R T Y PRO F I L E O F

CAMBOD I A

The last decade in Cambodia has beencharacterized by high rates of sustainedeconomic growth, averaging 7 per centgrowth in gross domestic product (GDP)per year between 1997 and 2007. Overthe same period, per capita income dou-bled from US$285 to US$593 per year(GDP in 2008 was $711). Such growthhas raised living standards and reducedpoverty, which fell from an estimated 45to 50 per cent of the population in 1994 to35 per cent in 2004 and 30 per cent in2007. Rising incomes and improved publicservices have contributed to improvinghuman development indicators. Rapidgrowth and poverty reduction wereaccompanied by structural transforma-tions: integration into the regional andglobal economy, a gradual shift of employ-ment from agriculture to manufacturing,

and migration from rural to urban areas.

The last decade in Cambodia hasbeen characterized by high rates of sus-tained economic growth, averaging 7 percent growth in gross domestic product(GDP) per year between 1997 and 2007.Over the same period, per capita incomedoubled from US$285 to US$593 peryear (GDP in 2008 was $711). Suchgrowth has raised living standards andreduced poverty, which fell from an esti-mated 45 to 50 per cent in 1994 to 35 percent in 2004 and 30 per cent in 2007.Rising incomes and improved publicservices have contributed to improvinghuman development indicators. Rapidgrowth and poverty reduction wereaccompanied by structural transforma-tions: integration into the regional andglobal economy, a gradual shift ofemployment from agriculture to manu-facturing, and migration from rural tourban areas.

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Poverty incidence largely remains arural phenomenon. Despite impressivepoverty reduction, one of three individu-als continues to live below the povertyline. While poverty rates decreased inboth urban and rural areas, inequality andthe urban-rural divide increased between

1993-1994 and 2007. Less than 1 percent of the population in Phnom Penhwas deemed to be poor in 2007, com-pared to more than 20 per cent in otherurban areas and almost 35 per cent inrural areas, where approximately 80 percent of the population lives. While

128 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Table 2 Profile of the poor.

Owned agricultural land is secured by a title (%) 15.6 21.6 24.5 25.3 28.6

Distance to nearest all-weather road (km) 5.2 3.7 3.3 3.1 1.9

Distance to permanent market (km) 10.8 9.6 8.1 7.1 4.2

Households with water pump (%) 3 8 9 12 13

Plots with access to irrigation in dry season (%) 6 10 12 13 12

Dependency burden (elderly and children per 100 economically active adults) 96.9 84.5 76.6 64.9 54.3

Literacy, adults, age 15 and older (%) 29.3 38.3 43.2 51.1 60.8

Education (average school grades completed by adults) 2.8 3.5 3.9 4.6 6.3

Quintile

PoorestNext

Poorest MiddleNext

Richest Richest

Source: Cambodia Socio-Economic Survey (CSES) 2004.

Stage

Table 3 Poverty and inequality trends.

Phnom Penh 9.9 11.4 4.6 0.83 0.37 0.34

Other urban 10.2 - 24.7 21.8 0.44 0.47

Rural 79.8 - 39.2 34.7 0.34 0.36

Cambodia 100 47 34.7 30.1 0.40 0.43

Poverty Headcount (%)

Gini Coefficient

1993/1994 2004 2007 2004 2007

Source: Knowles (2008) for the 2004 and 2007 data and World Bank Cambodia Poverty Assessment (2006) for1993/1994 data. Owing to limited coverage of the 1993/1994 survey, poverty data for Cambodia in 1993/1994 havebeen extrapolated.

% Population

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inequality in Phnom Penh has decreased,it has increased in other urban and ruralareas, leading to an overall increase ininequality from a Gini coefficient of 0.39to 0.43 in only three years (2004-2007)(table 3). A large proportion of the popu-lation also remains nearly poor and vulnerable to shocks that can push it intopoverty.

An increasing number of rural house-holds have also become landless sinceland redistribution in the 1980s. A 2004Oxfam study estimated that 20 per centof rural households were affected bylandlessness, with the number of thoseaffected rising by 2 per cent per year.Another 25 per cent of households haveless than 0.5 hectares, an insufficientamount of land to sustain them. The pooralso lack or have few basic assets –

including draft animals or adequate hous-ing – that ensure a flow of income andcan act as collateral to obtain credit. Lackof assets also means that the poor havefew instruments to cope with consump-tion or income shocks.

The non-diversification of householdeconomies exacerbates the vulnerabilityof rural Cambodians. Most rural house-holds rely heavily on subsistence agricul-ture for their livelihood, with rice cultiva-tion accounting for 90 per cent of totalcultivated area and 80 per cent of agricul-tural labour input. Cambodia’s uniquehydrological regime and very low levelsof coverage by water-control infrastruc-ture mean that agricultural production(and thus household food security) isheavily dependent on the weather andcan fluctuate significantly from year to

Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 129

Table 4 Poverty levels of selected population groups.

Group % Population % Poor Poverty Gap

Elderly (65 years old or above) 4.3 25.9 5.5

Employed 53.3 28.3 6.6

Members of female-headed households 18.2 27.9 7.2

Members of male-headed households 81.8 31.2 7.5

Members of employed-headed households 91.1 31.0 7.5

People with disabilities 1.3 28.6 7.2

Ethnic minorities 2.2 36.1 10.0

Infants (below 1 year old) 4.0 38.9 10.0

Children (ages 0-14) 33.5 37.4 9.4

Cambodia 100 30.5 7.4

Source: Cambodia Socio-Economic Survey (CSES) 2007..

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130 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Table 5 Summary of the coverage of main risks.

Age Main group Vulnerabilities Progress to Date Gaps and Challenges

Early childhood(0-4 years)

• Stunted childdevelopment.

• Some maternal and childnutrition programmes arein place;

• Breastfeeding practicesare improving.

• Supply of services remains

limited and of poor quality;

• Coverage is not universal.

Primary school age (5-14 years)

• High dropout rate;

• Poor quality ofeducation;

• Child labour.

• Some maternal and child nutrition pro-grammes are in place;

• Breastfeeding practicesare improving.

• Supply of services remains limited and of poor quality;

• Coverage is not universal.

Youth (15-24 years)

• Low productivity;

• Low human capital/skills;

• Underemployment.

• Scholarships are improving attendance;

• Some programmes inplace to improve qualityof education and of vocational training.

• Quality of education remains poor;

• Low attendance;

• Coverage is not universal;

• Almost nonexistent second-chance programmes to improveproductivity of unskilled workers.

Elderly and disabled

• Low income;

• Underemployment.

• Pensions for civil servants;

• Some donor assistance tothe disabled.

• No pensions for the poor exceptfor civil servants;

• Very limited assistance to the disabled.

Adults(25-64 years)

• Low productivity;

• Low humancapital/skills;

• Underemployment.

• Public works programmesare providing some assistance during leanseason or crises.

• Limited coverage;

• Funding and assistance remainvolatile, defying their safety-net role.

All groups • Health shocks.

• Crises and naturaldisasters.

• Health equity funds arefinancing health care forthe poor.

• Public works have shownto be an effective and rap-idly expandable safety-netinstrument during crisesand natural disasters.

• Quality of health care remains poor;

• Coverage and access are not universal.

• Limited coverage of existing public works programmes;

• Coverage is not universal anddepends on funding

year. In the first half of this decade,unusual floods and droughts severelyaffected large parts of the countryside,resulting in three years with negative

rates of agricultural growth. Rice yieldsremain among the lowest in the regionowing to limited and poor use ofimproved seed, fertilizer, tillage and

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water management. Because productiveoff-farm opportunities are limited, ruralhouseholds lack alternatives that wouldenable them to maintain stable incomesor cope in times of poor harvest.

TRADITIONAL AND INFORMAL

SOCIAL SAFETY NETS

The dramatic socio-economic andpolitical changes of the past two decadeshave had a significant impact on thesocial fabric of Cambodia. The structureof Cambodian society has changed andits culture has been dislocated. None aremore vulnerable to these upheavals thanchildren and women. Families, which pro-vide the first safety net for the survival,protection and healthy development of

children, have been fragmented andweakened by death and separation.Communities or villages, once composedof extended family networks establishedfor generations, have been shattered andreformed by forced population move-ments, displacement and repatriation.

Cambodia’s traditional social safetynet existed in the form of sharing, mutualassistance and, within the pagoda,extended families and neighbour net-works through charity and communityself-help activities. The monks and thepagoda played an important role in offer-ing meals and temporary shelter to poorand vulnerable people in need within thecommunity. The elderly or very poor aresometimes able to access services at thepagoda, in Muslim communities or in

Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 131

Table 6 Major sources of vulnerability along the life cycle.

Group Main Sources of Vulnerability

Pregnant mothers High maternal mortality rates.

Infants and children High malnutrition rates;

Poor quality of education/High dropout rates;

Child labour and sexual exploitation.

Youth Poor quality of education/High dropout rates;

Low productivity.

Working-age population Low productivity;

Disability.

Elderly Inability to work.

Entire life cycle Health shocks;

Natural disasters;

Food insecurity;

Economic and (food) price crises.

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Christian churches, but the availability ofsuch services is limited to a few. Throughextended family structures, most vulnera-ble and poorer members of relatives oftenreceived in-kind assistance. Traditionalmutual help and support in the form offood and interest-free loans in times ofneed still exist within kinship systems,extended families and informal networksof occupational groups.

Moreover, other forms of safety netsin the modern history of Cambodia canbe observed where wealthy families,high-ranking officials, business peopleand communities extended their ownprivate means to assist and offer help tothose who needed the most. Informalarrangements based on kinship andcommunity practices and gifts fromwealthy urban groups to poorer ruralcommunities provide households withsome protection against risk. Forms ofhumanitarian support in recent timesinclude emergency assistance from theCambodian Red Cross and political par-ties to households affected by disastersand gifts in cash or in kind from politicalparties. This assistance is needs-based,and poor and vulnerable workers whohave met this assessment have receivedit. However, such assistance, availableonly as emergency support, is unreliableas a source of security and may comewith political strings and/or is insuffi-cient to ensure full recovery from crises.Moreover, such assistance is much rarertoday (it was more common before theelection of July 2008).

BACKGROUND O F SOC I A L

PROT E C T I ON I N CAMBOD I A

EX IST ING INST I TUT IONAL AND

LEGAL FRAMEWORK FOR SOC IAL

PROTECT ION

After the war, Cambodia was movingfrom a phase of war towards peace, froma culture of continued conflict to a cul-ture of compromise, dialogue and recon-ciliation. In response to the challenges,the strategy for the National Programmefor Rehabilitation and Development ofCambodia (NPRDC) was developed,adopted and implemented. The broadaims of the Government of Cambodiawere set out in the NPRDC in February1994 and elaborated in ImplementingNPRDC in February 1995: “Striving toAchieve a Sustainable Growth with Equityand Justice”. The extensive experience ofCambodia in providing social protectionintervention to the people from the mostdifficult time (1979) to rehabilitation(1991) and national development (post-1993) is one of the success stories of thecountry.

In the document, war was declaredon poverty, and the development of therural areas is seen as critical to raising theliving standards for the majority (80 percent) of the Cambodian population.Since 1993, rural development hasplayed, and will continue to play, animportant and active role in implement-ing and achieving the goals and targetsset forth in the Government’s various pol-icy documents, such as the NationalProgramme for Rehabilitation and

132 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

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Development of Cambodia (NPRDC),the Socio-economic Development Plan(SEDP I-II) and the National PovertyReduction Strategy (NPRS). Work in therural-development sector has contributedtowards the reduction of poverty in ruralareas through decentralized and partici-patory approaches to the improvement ofrural accessibility and to creating oppor-tunities for rurally based people in theirown development. The vision of“Returning to the Villages” was and con-tinues to be the theme for rural-develop-ment activities that seek to alleviatepoverty through the implementation ofprojects and programmes that willimprove accessibility to socio-economicservices in rural areas and that willstrengthen and empower the local grass-roots organizations at the village level.The goal is to achieve sustainable devel-opment and self-reliance.

In response to the needs in rural areas,external assistance was provided throughloans and grants to rural-developmentprojects and programmes. The AsianDevelopment Bank, the Department forInternational Development (DFID), theEuropean Union, the German Agency forTechnical Cooperation (GTZ), the JapanInternational Cooperation Agency (JICA),Kreditanstalt für Wiederaufbau, theSwedish International DevelopmentCooperation Agency (SIDA), the WorldBank and United Nations entities (i.e., theInternational Labour Organization (ILO),the United Nations DevelopmentProgramme (UNDP), the Office of theUnited Nations High Commissioner forRefugees (UNHCR), the United NationsChildren’s Fund (UNICEF), the WorldFood Programme (WFP) and the WorldHealth Organization (WHO)) and otherdevelopment partners have providedfinancial and technical assistance to

Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 133

Box 1. Legal framework of social protection stated in the Constitution.

Article 36: Every Khmer citizen shall have the right to obtain social security and other social

benefits as determined by law.

Article 46: The State and society shall provide opportunities to women, especially to those living in

rural areas without adequate social support, so they can get employment, medical care,

and send their children to school, and to have decent living conditions.

Article 73: The State shall give full consideration to children and mothers. The State shall establish

nurseries, and help support women and children who have inadequate support.

Article 74: The State shall assist the disabled and the families of combatants who sacrificed their

lives for the nation.

Article 75: The State shall establish a social security system for workers and employees.

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improve rural accessibility and increaseopportunities for rural people. Ruraldevelopment activities included butwere not limited to the following: reha-bilitation of the rural infrastructure suchas roads, markets, water supply and

sanitation; expansion of rural creditservices and income-generating activi-ties; and strengthening of the institu-tional and human-resource capacity atthe national, provincial and local levels.

134 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Box 2. Organic laws codifying some aspects of social protection in Cambodia.

Organic laws that have codified some aspects of social protection in Cambodia are as follows:

• Labour Law (October 1998);

• Insurance Law (June 2000);

• Law on Social Security Schemes for Persons Defined by the Provisions of the Labour Law

(September 2002);

• National Action Plan to Combat Violence against Women has been developed in accordance

with the Law on the Prevention of Domestic Violence and the Protection of Victims (2005);

• Law on Suppression of Human Trafficking and Sexual Exploitation (2007), consistent with the

United Nations Palermo Protocol; and

• Law on the Protection and the Promotion of the Rights of People with Disabilities (2009).

Table 7 Cambodia’s Strategic Framework for Social Protection.

Dimension(s) of Social Protection Current SectoralInstitution and Social Safety Nets Policy/Strategy

National government institutions mandated todeliver social services to thepopulation and to protectspecific vulnerable groupsagainst risks

Ministry of Labour andVocational Training

• National Social Safety Fund for private-sector employees;

• Vocational training;

• Child labour elimination programme.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 135

Table 7 Cambodia’s Strategic Framework for Social Protection (cont’d.).

Dimension(s) of Social Protection Current SectoralInstitution and Social Safety Nets Policy/Strategy

Ministry of Social Affairs,Veterans and YouthRehabilitation

• National Social Security Fund for civil servants;

• Services for veterans;

• Services for the homeless and desti-tute, victims of trafficking, children andyouths, people living with disabilities;

• Emergency relief to those affected bynatural disasters.

Work Platform 2009-2013.

Ministry of Women’s Affairs

National governmentinstitutions that implementspecific safety-net interventions

Ministry of Health • Health equity funds;

• Community-based health insurancefor the poor and vulnerable.

Health Strategic Plan 2008-2015;Strategic Framework for HealthFinancing 2008-2015;Master Plan for Social HealthInsurance 2003-2005.

Ministry of Education, Youthand Sport

• Scholarship for the poor programme. Education Sector Strategic Plan2006-2010.

National government institutions with complementary activities

Ministry of Agriculture,Forestry and Fisheries

• Food production, livelihoods. Strategy for Agriculture andWater 2006-2010.

Ministry of Public Works andTransport

• Implementation of national policy concerning all public works construction.

Ministry of Rural Development • Rural infrastructure works.

Ministry of Water Resourcesand Meteorology

• Rural infrastructure works.

Ministry of Planning • Identification of Poor HouseholdsProgramme.

Ministry of Planning StrategicPlan 2006-2010.

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Safety-net interventions are scatteredacross several ministries (see tables 7 and9). Individual ministries and even non-governmental organizations (NGOs) havetheir own mandate and policy frameworkregarding social protection. In developinga National Social Protection Strategy forthe Poor and Vulnerable (NSPS), the chal-lenges of separated policy frameworksexisting in different stakeholders must betaken into consideration. The Ministry ofLabour and Vocational Training, theMinistry of Social Affairs, Veterans andYouth Rehabilitation, and the Ministry ofWomen’s Affairs are all mandated to man-age State social services for the wider pop-ulation and help to protect specific vulner-able groups against risks. In collaborationwith the World Food Programme (WFP),the Ministry of Rural Development andthe Ministry of Water Resources andMeteorology are also implementing a

food-for-work programme that distributes3,500 tons of rice per year to approxi-mately 20,000 households.

The Ministry of Social Affairs,Veterans and Youth Rehabilitation and theMinistry of Labour and VocationalTraining are the two main governmentproviders of social protection schemes.The former provides assistance to retiredcivil servants, veterans and their depend-ents while the latter oversees social protec-tion schemes for private-sector workers.

In 2005, the Government (throughthe Ministry of Social Affairs, Veteransand Youth Rehabilitation) made paymentsto civil servants, military, police, disabledpeople and deceased and/or patriot-deadmilitary and their dependents that totalledUS$16.4 million and benefitted 120,000persons (table 8). It is interesting to notethat dependents such as the children and

136 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Table 8 Types of pension schemes and beneficiaries.

Type of Pensioner Estimated Total Number Amount of Benefitsof Beneficiaries (in millions of US$)

Retired civil servant* 19,489 4.024

Retired military** 5,151 1.140

Disabled military ( retired)*** 31,121 7.010

Disabled civil servant ( retired)**** 5,151 1.125

Dependent of dead patriot military***** 54,895 2.400

Dependent of dead civil servant 4,000 0.606

Total 119,807 16.305

* Also provides allowance to 13,364 spouses and 13,820 children.** Also provides allowance to 4,417 spouses and 12,132 children.*** Also provides allowance to 28,607 spouses and 91,328 children.**** Also provides allowance to 102,007 parents and 103,788 children.***** Also provides allowance to 4,000 children.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 137

Table 9 Social safety nets and social protection framework in various ministries.

Risks andShocks

ProgrammeType Programme

LeadMinistry

1. Situations of emer-gency andcrisis

Food distribution

Budget support

Commune transfersfor emergencyassistance

Emergency Food Assistance Project (free distribution of rice)

Disaster response and preparedness; general food distribution(Ketsana)

Package of emergency relief to vulnerable and victims ofemergency (including victims of land mines)

Smallholder Agriculture and Social Protection DevelopmentPolicy Operation

Emergency assistance – cash and in-kind assistance to com-munes to support achievement of Cambodian MillenniumDevelopment Goals

MEF

NCDM

MoSVY

MEF

MoI

Poor maternaland child healthand nutrition

Nutrition programmes

Social security

Child survival: components on improving maternal health andnewborn care, promotion of key health and nutrition practices

Maternal and Child Health and Nutrition Programme

Other interventions

Maternity benefits for all workers EXCEPT domestic workers,civil servants, armed forces and police; 90 days of maternityleave; pay at half salary covered by employer (Labour LawArticle 183)

MoH

MoLVT

2. Human development constraints

Poor access to quality education

Scholarships in cash

Fast Track Initiative (FTI) (grades 4-6); Cambodia EducationSector Support Project ( CESSP) (grades 7-9); Japan Fund forPoverty Reduction (JFPR) (grades 7-9); Basic Education andTeacher Training (BETT) Project (grades 7-9); EnhancingEducation Quality Project (EEQP) (grades 10-12); DormitoryProject (grades 10-11); various projects (grades 7-9)

Emergency Food Assistance Project (grades 5-6 and 8-9)

MoEYS

MEF

Child labour,especially itsworst forms

Direct interventionand livelihoodimprovement

Project of Support to the National Plan of Action on theElimination of the Worst Forms of Child Labour (NPA-WFCL)2008-2012

MoLVT

Poor access toquality training

Second-chanceeducation programme

Technical and Vocational Education and Training (TVET) pilotskills bridging programme

TVET post-harvest processing

TVET voucher skills training programme (non-formal)

MoLVT

3. Seasonalunemploy-ment andlivelihoodopportunities

Public works programmes(PWPs)

School feeding

Take-home rations

Food for work

Food for work (Emergency Food Assistance Project)

Cash for work (Emergency Food Assistance Project)

School feeding

Emergency Food Assistance Project

Take-home rations

MRD

MEF

MEF

MoEYS

MEF

MoEYS

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138 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Table 9 Social safety nets and social protection framework in various ministries (cont’d.).

Risks andShocks

ProgrammeType

Programme LeadMinistry

4. Healthshocks

Insurance

Fee waiver

Health equity funds(HEFs)

Community-basedhealth insurance(CBHI)

National Social Security Fund (NSSF) health insurance (planned for 2011)

NSSF employment injury coverage

Health insurance for retired civil servants (planned)

Exemptions at rural facilities for poor patients

HEFs in 50 operational districts (ODs)

13 CBHI schemes

MoLVT

MoSVY

MoH

5. Special vulnerablegroups

Social welfare for elderly

Pensions

Social welfare forfamilies living withdisabilities

Social welfare andpolicy developmentfor children andorphans

Social welfare forfamilies living withHIV/AIDS

For tuberculosispatients

Elderly persons' association support and services

Invalidity pensions for parents or guardians of deceased soldiers, spouses of people living with disabilities, retirees and people who have lost their ability to work

Physical rehabilitation centres/community-based rehabilitationservices for people with disabilities

Orphans: allowance, alternative care, residential care; child victims of trafficking, sexual exploitation and abuse; children inconflict with the law and drug-addicted children

Child protection: helps to develop laws, policies and standardsand raise awareness to protect children at particular risk

Social services and care to children and families of victims andpeople affected by HIV/AIDS; children in conflict with the law;drug-addicted children

HIV/AIDS workplace programme for garment factory workers

Food Assistance to People Living with HIV and AIDS

Food Assistance to Tuberculosis Patients

MoSVY

MoLVT

MoH,

MoSVY

6. Other Pensions Civil servants and veterans retirement pensions

NSSF employer-based pension schemes (planned)

MoSVY

MoLVT

MEF Ministry of Economics and FinanceMoEYS Ministry of Education, Youth and SportMoH Ministry of HealthMoI Ministry of InteriorMoLVT Ministry of Labour and Vocational TrainingMRD Ministry of Rural DevelopmentMoSVY Ministry of Social Affairs, Veterans and Youth RehabilitationNCDM National Committee for Disaster Management NPA-WFCL National Plan of Action on the Elimination of the Worst Forms of Child Labour

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the spouse and/or parents of deceased civilservants and deceased military receivepensions.

The National Social Security Fund forCivil Servants (NSSF-C), established in2008, replaces direct payments of socialsecurity benefits to civil servants through acontribution-based system that provides anumber of benefits: pensions, disability,maternity, work injury, funerals and sur-vivors’ pensions. It covers 180,000 civilservants and their families. The NationalSocial Security Fund for Private-sectorEmployees (NSSF), established in 2008, isset to provide, by 2012, the following toall private-sector employees of firms withmore than eight employees: (a) employ-ment injury coverage (employment injuryinsurance was launched in November2008 and, in December 2009, was alreadycovering 350,000 workers from roughly900 enterprises), (b) health insurance and(c) pension coverage.

NGOs play a significant role in assist-ing households in distress. In 2007, NGOschannelled roughly 26 per cent of totalofficial development assistance (ODA) inCambodia (Council for the Developmentof Cambodia (CDC) ODA database), withUS$65 million spent on social protectionalone in 2007. Within the health sector,much assistance goes towards primaryhealth care and access to hospitals andclinics. In education, it focuses on basiceducation for the poor and vocationaltraining. NGOs are also very active in pro-viding community and social welfare serv-ices through orphanages and general assis-tance to vulnerable children and youth.

GAPS AND CHALLENGES IN THE

PROVISION OF SOCIAL PROTECTION

The Government has also identified thefollowing institutional and implementationconstraints with regard to the effective andefficient provision of social protection:

• Safety-net implementation oftenreflects immediate priorities (suchas the need to respond to food and financial crises) rather than ashared longer-term vision for safety-net development.

• Programmes are often implementedin parallel with the national government structure, failing tobuild capacity of local governmentto gradually take over safety-netmanagement, therefore generatinga vicious cycle of low local capacityand sustained parallel implementa-tion of programmes.

• Limited coordination among socialprotection interventions has result-ed in uneven coverage, duplicationof efforts, and lack of sustainabilityand overall impact.

• Geographic coverage of existingprogrammes, even the largestones, is far from universal.Moreover, programmes do notnecessarily prioritize poor areas.

• Targeting has not yet been mainstreamed into safety-netimplementation, and many safety-net programmes still rely on adhoc targeting procedures whoseaccuracy has not been investigated,adding to transaction costs andinefficiencies.

Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 139

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Table 10 Gaps and challenges in existing interventions.

Main Risks and ShocksMost Vulnerable

GroupsProgress to Date

in ResponseGaps and Challenges

in Response

1. Situations of emergencyand crisis

Economiccrises

Climate, environmental,natural disasters

• All poor and near-poor.

• All poor and near-poor;

• People living inflood- and drought-prone areas.

• Public works haveshown to be aneffective and rapid-ly expandable safe-ty-net instrument during crises andnatural disasters.

• Limited coverage and coordination of existing publicworks programmes.

2. Humandevelopmentconstraints

Poor maternaland childhealth andnutrition

• Girls and womenof reproductiveage;

• Pregnant women;

• Early childhood (0-5 years).

• Some maternal and child nutritionprogrammes are in place;

• Breastfeeding prac-tices are improving.

• Supply of maternal and childnutrition services remains limitedand of poor quality;

• Coverage of these services is not universal;

• Other demand-side factors (eating, feeding and care prac-tices) are not being adequatelyaddressed.

• Few programmes or institutions areactually collecting critical monitoringinformation beyond inputs, outputsand the mere list of beneficiaries,which makes it difficult to assess theeffectiveness of ongoing programmesand improve them on an ongoingbasis. Even fewer are using monitor-ing data to improve their procedureson a continuous basis. Moreover,there are few rigorous and thoroughevaluations of existing safety-netinterventions, making it difficult toassess how well they perform byinternational standards and wherethere are areas for improvement.

• Feedback and complaint resolutionsystems – a central pillar for guar-anteeing good governance, trans-parency and effectiveness of safety-net interventions – tend to remainunderdeveloped. Very few pro-grammes have evaluated the effec-tiveness of their feedback systems.

• As an underlying challenge, thebudget for safety-net implementa-tion remains low, with the majori-ty of funding provided by devel-opment partners and earmarkedfor interventions that are oftenimplemented in parallel with thenational government system.

Poor access to quality education

• School age (6-14 years).

• Scholarships andschool feeding programmes areimproving attendance.

• Quality of education remains poor;

• Coverage of education services is variable;

• Coverage of scholarships andschool feeding programmes doesnot reach all poor areas.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 141

Table 10 Gaps and challenges in existing interventions (cont’d.).

Main Risks and ShocksMost Vulnerable

GroupsProgress to Date

in ResponseGaps and Challenges

in Response

3. Seasonalunemploy-ment andlivelihoodsopportunities

Under- andpoor nutrition

• All poor and near-poor;

• Pregnant women;

• Early childhood (0-5 years);

• Families withgreater agedependency ratio;

• Landless and land poor.

• Some targeted fooddistribution;

• School feeding;

• Public works pro-grammes are provid-ing some assistanceduring lean seasonor crises.

• Limited coverage and coordi-nation of existing public worksprogrammes;

• Funding and assistance remainvolatile.

4. Healthshocks

Ill-health,injury, illness,death, pandemics

• All poor and near-poor;

• Pregnant women;

• Early childhood (0-5 years);

• Elderly;

• People living witha disability.

• Health equity funds(HEFs) are financinghealth care for thepoor in some areas.

• Quality of health care remainspoor;

• Coverage/access of HEFs is not universal.

5. Special vulnerablegroups

Inability towork, margin-alization

• Elderly;

• People living witha disability;

• People living withchronic illness;

• Ethnic minorities;

• Orphans;

• Child labourers;

• Victims of violence,exploitation andabuse;

• Veterans;

• Families ofmigrants.

• Pensions for civil servants, NationalSocial Security Fundfor private-sectoremployees;

• Some donor assistance to the disabled;

• Some assistance toethnic minorities.

• No pensions for the poor;

• Very limited assistance to people with disabilities;

• Limited assistance to other special vulnerable groups.

Poor access toquality sec-ond-chanceprogrammes

• Youth (15-24years).

• Establishment ofvocational trainingcurricula;

• Some programmesin place for second-chance education.

• Quality of vocational trainingremains poor;

• Supply of second-chance programme is minimal;

• Poor link between trainingoffered and employers’ needs;

• No certification/accreditationsystem in place for private sector.

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142 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

PROGR E S S ON SOC I A L

SA F E T Y -N E T DEV E LOPMENT

SCOP ING AND MAPP ING EXERC I SE

ON EX IST ING SAFET Y-NET

PROGRAMMES

The Government of Cambodia agreedthat the first step is to undertake a map-ping exercise to determine the nature ofthe existing provision of safety nets andto identify policy, institutional and capac-ity gaps for developing a more systemat-ic and integrated safety-net system. Tostart this process, responsibility for thismapping and scoping exercise is assignedto the Technical Working Group on FoodSecurity and Nutrition (TWG-FSN) (box3), chaired by the Council for Agriculturaland Rural Development. To succeed, thisanalysis and subsequent safety-net devel-

opment will require the intensive engage-ment of social-sector ministries.

The starting point for a work pro-gramme for the Technical WorkingGroup on Food Security and Nutrition isto prepare the concept note on theassessment of the country’s overall situa-tion of social protection. Developmentpartners will support the development ofthe social safety-net strategy (SSNS) bycontributing to the draft and providingtechnical assistance where possible. TheGovernment, in collaboration withdevelopment partners – specifically,through the Interim Working Group onSocial Safety Nets of the TechnicalWorking Group on Food Security andNutrition – will lead efforts towards asocial safety-net strategy. WFP, co-facili-tator of the Technical Working Groupand the largest SSNS development part-

Box 3. The initial role of the Council for Agricultural and Rural Development (CARD) in the mapping

and scoping exercise of existing social safety nets.

The Technical Working Group on Food Security and Nutrition, working with relevant govern-

ment institutions and development partners, committed to carrying out the mandate given by

the Government as follows:

. mapping and scoping by end of May 2009, with World Bank support, building very much on what

is already in the draft concept note and pulling together all the available information in a core

paper for the July National Forum;

. concurrent work on a draft of policy options to be presented at the July Social Safety Net National

Forum, which will be supported by the World bank in collaboration with WFP and other develop-

ment partners of the Interim Working Group on Social Safety Nets;

. policy option paper to be finalized by September 2009; CARD/Technical Working Group on Food

Security and Nutrition to lead, with the support from development partners; and

. Social safety net strategy by December 2009; CARD to lead, development partners to support.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 143

ner, will facilitate coordination withother development partners. On theGovernment side, the Council forAgricultural and Rural Development willcoordinate among the many governmentagencies with social-policy programmesand an interest in the issue. The overallNational Social Protection Strategy is thesuccessful outcome of a long collabora-tion process between the Governmentand the development partners and otherstakeholder involved, where the initiativecomes from the willingness of theGovernment.

TECHN ICAL CONSULTAT ION ON

SOC IAL PROTECT ION STRATEGY

AND OPT IONS

In preparing the National Social ProtectionStrategy for the Poor and Vulnerable, theCouncil for Agricultural and RuralDevelopment (CARD) in 2009 and 2010convened meetings and held technicalconsultations with a broad set of nationalstakeholders, giving government repre-sentatives (national and subnational),development partners, civil society repre-sentatives and other development practi-tioners the opportunity to explore theoptions and priorities in depth (table 11).

Table 11 Summary of the consultation process on the National Social Protection Strategy for the Poor and Vulnerable.

Timeline Activity/event Outcomes

3-4 Dec. 2008

Cambodia DevelopmentCooperation Forum

National government commitment to develop and imple-ment an integrated national strategy for social safety nets.

Jan.-Jun.2009

Interim Working Group onSocial Safety Nets (underthe Technical WorkingGroup on Food Securityand Nutrition

Shared knowledge and consensus-building on the key concepts and broad direction for policy development andinventory of ongoing social protection interventions.

6-7 Jul. 2009

National Forum on FoodSecurity and Nutritionunder the theme of SocialSafety Nets in Cambodia

During the two-day forum, 400 participants (government,development partners and civil society) held discussions,with Prime Minister Hun Sen providing the closing address.

19-22 Oct. 2009

Technical Consultation onCash Transfers, with afocus on addressing childand maternal malnutrition

Participants from government, development partners andcivil society consulted during a workshop in Phnom Penh.A group of participants also visited health and educationalservices and held discussions with commune councils andthe provincial office in Kampong Speu. The consultationculminated in a brainstorming session by key stakeholdersto produce the “Note on Cash Transfers“.

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144 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Table 11 Summary of the consultation process on the National Social Protection Strategy for the Poor and Vulnerable (cont’d).

Timeline Activity/event Outcomes

12-14 Jan. 2010

Technical Consultation onPublic Works

80+ participants (government, development partners, civil society) consulted during a workshop in Phnom Penh.The core group (about 30 participants) also visited sites of cash-for-work and food-for-work projects (AsianDevelopment Bank- and WFP-supported interventions) inKampong Chhnang, including a consultation with repre-sentatives of a commune council and beneficiaries of theprojects. The consultation culminated in a Next StepsMeeting by CARD and a core group of development part-ners and the production of the “Note on Public Works”.

3-4 Feb.2010

Technical Consultation onthe Role of a NationalSocial Protection Strategyin Augmenting HumanCapital through PromotingEducation, Reducing ChildLabour and Eliminating ItsWorst Forms

100+ participants (government, development partners, civilsociety) consulted during a two-day workshop in PhnomPenh. The consultation built consensus on integrating education and child labour issues into the National SocialProtection Strategy (NSPS), particularly in instruments suchas cash transfers, as well as the need to explore greateraccess to safety-net schemes to prevent child labour andwithdraw vulnerable children from it, especially its worstforms. The “Note on Child Labour and Education” was prepared by a core group of development partners as acontribution to the NSPS.

Mar.-Apr.2010

Consultations on draftNational Social ProtectionStrategy (NSPS)

An executive drafting team was set up to prepare and consolidate inputs into the draft NSPS. Several consecutivedrafts of the NSPS were shared and discussed in theextended format of the Interim Working Group on SocialSafety Nets. Several rounds of consultations on the contentof the NSPS and the proposed objectives took place toadvance the shaping a coherent strategy.

This transparent and rigorous consulta-tion process has ensured that the analyti-cal and policy inputs have gone throughseveral rounds of discussion and are theresult of a combined effort by all stake-holders. Coordination and the role ofCARD as a focal point of dialogue amongstakeholders that have different policiesand agendas for achieving the strategyconstitute a big success story in Cambodia.

THE DEV E LO PMEN T O F

SOC I A L PROT E C T I ON

FOR TH E POOR AND

VULN E R A B L E

Another success story in Cambodia is theachievement of developing a strategy fornational social protection for the poor andvulnerable. The development of this strat-

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 145

egy is mainly based on the triangulation ofthree specific environments (fig. 1). Thelegal direction is the result of Cambodia’shigh-level legal framework, where socialprotection is a priority of the national gov-ernment, as expressed in the Constitution,in the Rectangular Strategy for Growth,Employment, Equity and Efficiency -Phase II, in the National StrategicDevelopment Plan Update 2009-2013 and

in various national laws (see box 2). Alsoimportant are international conventions to which Cambodia is a signatory.Identification of the gaps in the existingsocial protection programmes, meanwhile,provided a strong learning experience onwhich to draw in developing the strategy.Numerous social protection programmesand interventions have been implementedsuccessfully across a range of sectors.

Figure 1Triangulation of environments to develop the NationalSocial ProtectionStrategy for the Poorand Vulnerable.

The main rationale behind a NationalSocial Protection Strategy for the Poorand Vulnerable (NSPS) is the need toaccelerate progress towards meeting theCambodian Millennium DevelopmentGoals. Achievement of these Goals hasbeen further delayed by the recent food,fuel and financial crises, which have hada negative impact on the poor andwidened social disparities. Social protec-tion, a crosscutting policy area, canaddress the challenges involved in reduc-

ing poverty, inequality and disparities.The strategic intent of the NSPS is toachieve socio-economic security for thepopulation – as outlined in theRectangular Strategy - Phase II, theNational Strategic Development PlanUpdate 2009-2013, and sectoral policiesand plans – and to bring coherence acrosspolicy formulation and implementation.Another consideration is the fact thatchronic poverty resulted from threedecades of civil wars and the recent eco-

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146 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

nomic crises, driving people into a situa-tion of transience and being nearly poor.

SCOPE

The national government promotes invest-ment in social protection as both a contri-bution to long-term poverty-reductiongoals and a short-term emergency-/shock-response measure to address the consequences of crises. The poverty andvulnerability of many Cambodians havebeen exacerbated since 2007 by food-priceinflation and the global financial and eco-nomic crisis. The latter has affected thefastest-growing sectors of the economy(especially garments, construction andtourism) and has resulted in deteriorationin employment, incomes, remittances andaccess to essential population services.Social protection is an investment inpoverty reduction, human developmentand inclusive growth that contributes tothe achievement of the poverty target,which the economic crisis has furtherwidened. The National Social ProtectionStrategy for the Poor and Vulnerable(NSPS) is thus expected to play a criticalrole in reducing poverty and inequality.

Following the policy directions out-lined in the Rectangular Strategy forGrowth, Employment, Equity andEfficiency - Phase II, the national govern-ment is advancing social protection forthe formal sector while prioritizingexpanding interventions aimed especiallyat reducing poverty, vulnerability, andrisks for the poor and vulnerable.

In the medium term, the NSPS focus-es on social protection for the poor andvulnerable, who are defined as:

• people living below the nationalpoverty line; and

• people who cannot cope withshocks and/or have a high level ofexposure to shocks (of these, peo-ple living under or near the pover-ty line tend to be the most vulner-able) as well as infants and chil-dren, girls and women of repro-ductive age, food-insecure house-holds, ethnic minorities, the elder-ly, people living with chronic ill-nesses, people living with HIV,and people living with a disability(vulnerable groups in the NSPS).

The NSPS prioritizes the develop-ment of effective and sustainable socialsafety nets targeted to the poor and vul-nerable, with complementary social wel-fare services for special vulnerablegroups, such as people living with HIVand orphans made vulnerable or affectedby HIV.1 The contributory interventionof community-based health insurance isalso included since it is targeted at thenearly poor who are vulnerable to fallinginto poverty as a result of health shocks(see table 4). Figure 2 illustrates the scopeof the NSPS.

At the same time, the NSPS sets theframework for sustainable and compre-hensive social protection for allCambodians over the long term. This

1The HIV Law (Article 26) also enshrines the right of people living with HIV to primary health-care services, free of charge,in the public-health-sector network.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 147

Social ProtectionLabour Market Policy

Social Insurance(Contributory)

Other Insurance

Community- based Health

Insurance

Public Works Programmes(food or cash

for work)

Cash or In-kind Transfers(conditional or

non-conditional)

Social Protection for the Poor and Vulnerable

Subsidies (to faciliate access for

health care,education,

housing public utilities)

Complementary Social Welfare

ServicesSocial Safety Nets

(Non-contributory)

Figure 2 Scope of the NSPS, focusing on the poor and vulnerable.

includes both contributory and non-con-tributory schemes. Figure 3 illustrates therelationship between coverage of basicnon-contributory social protection for alland contributory social insurance forthose with higher incomes, in particularformal-sector workers. The figure can beviewed as a stepwise social protectionfloor where basic social protection islargely based on the Social Safety Net

provision (as the focus of the NationalStrategic Development Plan), and theparallel contributory system (NationalSocial Security Fund (NSSF), forinstance) is expanded. Based on futureeconomic and social development, morepeople will be covered over time underan insurance scheme that is based on asocial protection mechanism.

Figure 3Gradual progressiontowards compre-hensive socialprotection as perthe long-termvision of theNational SocialProtectionStrategy for thePoor andVulnerable(NSPS).

Social Insurance (contributory)• Unemployment insurance• Pension• Health insurance(National Social Security Fund, Social Health Protection)

• Community-based health insurance(Social Health Protection)

Social Safety Nets (non-contributory):• Public works programmes (cash for work or food for work)• Cash or in-kind transfers (conditional or non-conditional)• Subsidies (to facilitate access to health, education, housing, public utilities)

Complementary social welfare services

Social Protection for thePoor and Vulnerable

Civil servants

Formal-sector

workers

Nearly poor

Poor

2. Expanded socialprotection

1. Basic social protection

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The development of comprehensivesocial protection implies ensuring that therelevant components (non-contributoryand contributory) are developed in paral-lel with a sustainable system wherebythose who can afford social protection willaccess it based on their formal contribu-tions and those who cannot will rely onthe State for support until they developsuch capacity over time. In between, par-tially subsidized social protection schemesmay be developed for informal-economyworkers and their families, who have a lim-ited capacity to contribute. There are link-ages and complementarities between thetwo major components of a comprehen-sive system of social protection.2

V I S I ON , GOA L AND

OB J E C T I V E S

The National Social Protection Strategyfor the Poor and Vulnerable (NSPS) envi-sions that all Cambodians, especially thepoor and vulnerable, will benefit fromimproved social safety nets and social secu-rity as an integral part of a sustainable,affordable and effective national social pro-tection system. The main goal of the NSPSis that poor and vulnerable Cambodianswill be increasingly protected againstchronic poverty and hunger, shocks, desti-tution and social exclusion and benefitfrom investments in their human capital.

From the perspective of achievingthis goal, continuing social protectionprogramming on a business-as-usual basisis inadequate. The current dominance ofemergency relief and public works repre-sents too limited a toolbox. In the driveto introduce such national social protec-tion programmes, the broader objectivesand the range of the instruments of socialprotection are focused as a response tovulnerability, not just to poverty. In figure4, the vulnerable or targeted populationgroups are matched to a wide range ofinterventions/instruments in response tovulnerabilities.

Under this goal, the NSPS has thefollowing objectives (see also table 12):

• The poor and vulnerable receivesupport to meet their basic needs,including food, sanitation, waterand shelter, in times of emergencyand crisis.

• Poor and vulnerable children andmothers benefit from social safetynets to reduce poverty and foodinsecurity and enhance the development of human capital byimproving nutrition and maternaland child health, promoting education and eliminating childlabour, especially its worst forms.

• The working-age poor and vulnera-ble benefit from work opportunitiesto secure income, food and liveli-

2Including complementary coverage of benefits and services for population groups of different ability, and complementaryfinancing mechanisms towards fiscal sustainability, whereby the contributory system (to a large extent) funds the develop-ment of the non-contributory system through its cross-subsidizing function and direct contribution to public revenues as wellas through stronger societal support to the system, including through taxation. The ultimate aim of the dual gradual systemis to ensure universal coverage to protect the population against risks, shocks and chronic situations and vulnerabilities.

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Populations insituations of x x xemergency

Children,women, x x x xmothers

Working-agepoor and x xvulnerable

All groups x

Special vulnerable x x xgroups*

Food &Nutrition

Water,Sanitation & Shelter

Access toAffordable, Quality

Health Care

Education,Fight againstChild Labour

Income Security(Public WorksProgrammes)

Social Care

* Including orphans, the elderly, single women with children, people living with disabilities, people living with HIV/AIDSand tuberculosis.

Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 149

Figure 4 Matching targeted groups to instruments/interventions to address vulnerabilities.

hoods while contributing to thecreation of sustainable assets ofphysical and social infrastructure.

• The poor and vulnerable have effec-tive access to affordable, qualityhealth care and financial protectionin case of sickness or illness.

• Special vulnerable groups, includ-ing orphans, the elderly, singlewomen with children, people liv-ing with disabilities, people livingwith HIV and patients with tuber-culosis and other chronic illnesses,receive income, in-kind and psycho-social support and adequate social care.

The achievement of these objectivesrequires a mix of programmes that cover

both chronic and transient poverty aswell as hunger and help to promotehuman capital. Addressing major sourcesof vulnerability will take priority whilesimultaneously building the foundationsof an effective safety-net system that canbe developed further. Given these priori-ties, the following are the preferredinstruments for short- and medium-termimplementation:

• cash and in-kind transfers and feeexemptions (as already beingapplied in health and education,with new cash-transfer programmesto address high malnutrition andthe worst forms of child labour);

• public works programmes(improved labour-intensive

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Table 12 Objectives of the National Social Protection Strategy for the Poor and Vulnerable (NSPS).

Priority Area and Related Cambodian

Millennium DevelopmentGoal(s) (CMDG) Objective

Medium-term Options forProgrammatic Instruments

Addressing the basicneeds of the poor andvulnerable in situationsof emergency and crisis (CMDG 1, 9)

1. The poor and vulnerable receivesupport, including food, sanita-tion, water and shelter, to meettheir basic needs in times ofemergency and crisis.

• Targeted food distribution;

• Distribution of farm inputs;

• Other emergency support operations.

Reducing the povertyand vulnerability ofchildren and mothersand enhancing theirhuman development(CMDG 1, 2, 3, 4, 5)

2. Poor and vulnerable children andmothers benefit from social safetynets to reduce poverty and foodinsecurity and enhance the development of human capital byimproving nutrition, maternal andchild health, promoting educationand eliminating child labour, especially its worst forms.

• Cash, vouchers, food or other in-kindtransfers for children and womentowards one integrated programme(e.g., cash transfers focusing on mater-nal and child nutrition; cash transferspromoting education and reducingchild labour; transfer of fortified foodsto pregnant women, lactating mothersand children);

• School feeding, take-home rations;

• Outreach services and second-chanceprogrammes for out-of-school youthand supporting social welfare services.

Addressing seasonalun- and under-employment and providing livelihoodopportunities for thepoor and vulnerable(CMDG 1)

3. The working-age poor and vulnerable benefit from workopportunities to secure income,food and livelihoods while contributing to the creation ofsustainable assets of physical andsocial infrastructure.

• National labour-intensive public worksprogrammes;

• Food-for-work and cash-for-workschemes.

Promoting affordablehealth care for thepoor and vulnerable(CMDG 4, 5, 6)

4. The poor and vulnerable haveeffective access to affordable, quality health care and financialprotection in case of sickness orillness.

• Expansion of health equity funds (for the poor) and community-basedhealth insurance (for the nearly poor)as envisioned in the Master Plan onSocial Health Protection (pendingCouncil of Ministers approval).

Improving social protection for specialvulnerable groups(CMDG 1, 6, 9)

5. Special vulnerable groups, includ-ing orphans, the elderly, singlewomen with children, people liv-ing with HIV, patients with tuber-culosis and other chronic illnesses,receive income, in-kind and psy-cho-social support and adequatesocial care.

• Social welfare services for special vulnerable groups;

• Social transfer and social pensions for the elderly and people with chronicillnesses and/or disabilities.

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Cambodia The National Social Protection Strategy for the Poor and Vulnerable: Process of Development 151

approaches along with revampedexisting cash and food-for-workinitiatives, integrating issues ofeducation and child labour); and

• social welfare services for specialvulnerable groups.

The National Social Protection

Strategy for the Poor and Vulnerable out-lines short- and medium-term responsemeasures to address the consequences ofshocks confronting Cambodian citizensand provides a long-term framework for acomprehensive social protection systemto contribute to the sustainable reductionof poverty over time.

Table 13 Options for the near future.

Main Risksand Shocks

Progress to Datein Response

Gaps and Challenges in Response

Options for the Near Future

Situations ofemergencyand crisis

• Public works haveshown to be aneffective and rapidlyexpandable safety-net instrument dur-ing crises and naturaldisasters.

• Limited coverage andcoordination of existingpublic works pro-grammes.

• Harmonize public-worksapproaches and guarantee stablefinancing;

• Establish unit in national govern-ment to be in charge of publicworks for rural development andemergency situations.

Seasonalunemploy-ment andlivelihoodopportunities

• Some targeted fooddistribution;

• School feeding;

• Public works pro-grammes are provid-ing some assistanceduring lean seasonor crises.

• Limited coverage andcoordination of existingpublic works pro-grammes;

• Funding and assistanceremain volatile.

• Harmonize public-works approach-es and guarantee stable financing;

• Establish unit in national govern-ment to be in charge of publicworks for rural development andemergency situations.

Health shocks • Health equity fundsare financing healthcare for the poor insome areas.

• Quality of health careremains poor;

• Coverage of/access tohealth equity funds is notuniversal.

• Improve and expand social healthprotection for the poor and vulnerable (health equity fundsand community-based healthinsurance).

Human developmentconstraints

• Some maternal and child nutritionprogrammes are in place;

• Breastfeeding prac-tices are improving.

• Supply of maternal andchild nutrition servicesremains limited and ofpoor quality;

• Coverage of these services is not universal.

• Other demand-side factors (eating, feedingand care practices) arenot being adequatelyaddressed.

• Improve and expand nutrition services;

• Develop cash-transfer programmetargeting poor families with children;

• Design cash-transfer programmes in health and education so that theycan eventually be harmonized/coordinated/merged.

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Table 13 Options for the near future (cont’d.).

Main Risksand Shocks

Progress to Datein Response

Gaps and Challenges in Response

Options for the Near Future

Special vulnerablegroups

• Pensions for civil servants, NationalSocial Security Fundfor private-sectoremployees;

• Some donor assis-tance to the disabled.

• No pensions for the poor ;

• Very limited assistance tothe disabled;

• Limited assistance toother special vulnerablegroups.

• Identify and pilot social protectionprogrammes for the disabled andelderly poor and other special vulnerable groups;

• Extend targeted cash-transfer pro-gramme to the elderly and disabled.

• Scholarships andschool feeding programmes areimproving atten-dance.

• Quality of educationremains poor;

• Coverage of educationservices is variable;

• Coverage of scholarshipsand school feeding programmes does notreach all poor areas.

• Improve quality and access to education;

• Expand programmes addressingdemand side (in particular, scholarships) both in terms of coverage and covering all years of basic education;

• Improve coordination of educationand child labour programmes.

• Establishment ofvocational trainingcurricula;

• Some programmesare in place for second-chance education.

• Quality of vocationaltraining remains poor;

• Supply of second-chanceprogramme is minimal;

• Poor link between training offered andemployers’ needs;

• No certification/accreditation system inplace for private sector.

• Boost second-chance programmes;

• Improve quality of vocational training programmes by linkingtraining to employers’ needs;

• Develop certification/accreditationsystem to regulate quality of training provided.

Human developmentconstraints(cont’d.)

For the long term, the NationalSocial Protection Strategy for the Poorand Vulnerable (NSPS) sets the frame-work for sustainable and comprehensivesocial protection for all Cambodians. Theaim is to achieve universal coverage forrisks and vulnerabilities with a basic pack-age of transfers and services commensu-rate with the economic development ofthe country in accordance with the SocialProtection Floor Initiative. This compris-

es both contributory social securitymechanisms for the formal sector andimproved social safety nets for the infor-mal sector.

IMPLEMENTAT ION

Implementation is the responsibility ofline ministries and decentralized govern-ment institutions. The active involve-ment of decentralized structures of gov-

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ernment (provincial, district and com-mune councils) is essential to successfulimplementation. Some of the key inter-ventions outlined earlier are alreadyongoing. The National Social ProtectionStrategy for the Poor and Vulnerable thuscomplements the efforts of line ministriesin achieving sector targets by using exist-ing sector-embedded social protectionmeasures. To increase impact, coverageof these measures needs to be expandedor their implementation streamlined andharmonized.

Other interventions, new toCambodia, will be piloted, evaluated andexpanded based on effectiveness and sus-tainability. These new programmes willaddress existing social protection gaps forthe poor and vulnerable by relievingchronic poverty, promoting equity andinvesting in human capital.

COORD INAT ION

The National Social Protection Strategyfor the Poor and Vulnerable (NSPS) addsvalue by providing a framework to supportministries and subnational institutions indelivering interventions that are sustain-able, effective and efficient. Most pro-grammes in the NSPS are by nature inter-sectoral and require coordination acrossministries and government agencies toavoid thematic and geographical overlaps,to harmonize implementation proceduresand to coordinate the effective and effi-

cient use of available funds from thenational budget and development partners. Coordination also entails activedialogue with supportive developmentpartners and civil society organizations.

According to the National StrategicDevelopment Plan Update 2009-2013,the Council for Agricultural and RuralDevelopment (CARD)3 is mandated toensure that effective inter-ministerialcoordination mechanisms are in placeinvolving Government ministries andagencies responsible for delivering socialsafety-net programmes to the poor andvulnerable. At the third CambodiaDevelopment Cooperation Forum, CARDis to establish the Provisional SocialProtection Unit. The primary tasks are toevaluate the workload scope of coordi-nating the implementation of social pro-tection interventions at the national andsubnational levels and to develop the costof the social protection programme.Coordination of the development, imple-mentation and monitoring of an effectiveand affordable NSPS includes policyoversight, monitoring and evaluation,knowledge and information manage-ment, and capacity-building.

This will entail the following actions:

1. Establish an appropriate structureand mechanisms to coordinate thedevelopment and implementationof the National Social ProtectionStrategy for the Poor and

3CARD is a permanent structure of the Government for coordinating the activities of agricultural and rural development, withthe specific task of developing of a social protection strategy. CARD comprises representatives of about 27 Ministers orSecretaries of State. The process is mainly mandate-based whereby CARD is establishing itself as coordinator but not as animplementer of any programme (which is different from the situation in some other countries where this kind of council triedto implement the social protection programme on its own).

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154 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

Vulnerable (NSPS), ensuring poli-cy oversight, partnership and dia-logue, monitoring and evaluation,and information and knowledgemanagement.

2. Establish a monitoring and evalua-tion framework for the NSPS inorder to ensure effective, cost-effi-cient and transparent implementa-tion and provide evidence-basedfeedback for the further develop-ment of programmes and interven-tions of the NSPS.

3.Develop an annual progress reporton the NSPS through a technicalconsultation process.

4. Strengthen social protection infor-mation and knowledge manage-ment to ensure the up-to-date col-lection, generation and dissemina-tion of information among stake-holders.

5. Develop capacity to ensure under-standing and build skills for effec-tive implementation of the NSPS atnational and decentralized levels.

Close monitoring and evaluation ofinterventions and programmes and of thestrategy as a whole, together with effec-tive knowledge management, will be cru-cial for ongoing strategic development.

F I NANC I NG A SOC I A L

PROT E C T I ON S T R AT EG Y

The consolidated costing of the overallstrategy is to be developed between June

and December of 2010. Two design sce-narios are proposed: the costing of coor-dination, and the costing of piloting theshort- and medium-term priorities. Thecosting exercise will be part of a broadersocial-budgeting exercise, including asocial protection expenditure review anda modelling of future social expendituresand revenues that takes into accountassumptions on the extension of coverage(number of persons to be covered, con-tingencies and levels of coverage, etc.) byexisting and planned schemes. This exer-cise would be very useful to assess theviability and financial sustainability of thedifferent schemes planned and shouldlead to a discussion on the fiscal space forsocial protection (and the necessary long-term commitment of the Government,development partners and other fundingsources). In addition, it will help to refinethe design of the planned schemes andprovide evidence in the choice of themost appropriate/feasible scenario.

It is hard to determine the level ofspending on social protection by thenational government given the currentbudget structure. Government expendi-ture on these items totalled US$181 mil-lion across all government agencies in2008, showing a 55 per cent increase from2007. Nevertheless, given the level ofaggregation in the budget, it is impossibleto determine how much of this goes tosocial protection activities and how muchto other types of social intervention. Mostof the explicit social protection spendingcurrently targets public employees andworkers in the formal sector.

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Table 14 Estimated cost of a cash-transfer programme.

Item Value

Total population, 2007 13,395,682

Share of population living in rural areas, 2007 (%) 79.80

Population living in rural areas, 2007 10,689,754

Extreme poverty rate in rural areas, 2007 (%) 20.78

Number of extremely poor people, 2007 2,221,331

Composition of household: children under 5 yrs. of age in lowest quintile (%) 11.5

Total number of extremely poor children under 5 yrs. of age 255,453

Number of extremely poor pregnant mothers 43,302

Total number of beneficiaries 298,755

Size of benefit per child/mother ($) 15

Yearly frequency 4

Total yearly transfer per child ($) 60

Total cost of benefits only - per year ($) 17,925,293

Administration costs (%) 10

Total cost of programme ($) 19,717,823

Gross domestic product, 2008 ($) 9,573,000,000

Total cost of programme as percentage of GDP 0.21

Source: Cash-transfer programme to support the poor while addressing maternal and child malnutrition: A discussion note, March 2010.

CHA L L ENG E S

Social protection programmes inCambodia may face several challengesrelating to implementation, institutionaland financing issues. From an implemen-tation point of view, the challenge is themove from fragmented project-basedinterventions to the more integrated andsystematic programme beyond 2013.While the current safety net interven-tions exclude some important vulnerablegroups, the newly developed National

Social Protection Strategy for the Poorand Vulnerable (NSPS) is to include thebroader objectives and range of instru-ments of social protection and is focusedas a response to vulnerability.

Given the many sources of vulnera-bility faced by the country’s poor, safetynets ought to be a key component of thedevelopment of social protection. Cambodiahas implemented many major donor-supported projects and programmes toreintegrate, rehabilitate and improvefood security; to effectively respond to

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156 VOLUME 18: SUCCESSFUL SOCIAL PROTECTION FLOOR EXPERIENCES

emergency situations; and to improve thelivelihood of poor Cambodians. Still, thecountry has not yet made significant useof some types of safety net programmesthat have proved successful in othercountries – for instance, the conditionalcash transfers (programmes that providehouseholds with cash payments so longas they make use of public services).Institutionally, the experience of a socialsafety net is not new to Cambodia, butthe term and understanding might beconceptually different. Over the last 18months, participatory dialogue amongline ministries and government institu-tions with development partners hasbeen very crucial and this process mustbe sustained in the long term. Last butnot least, owing to the budget constraint,financing of the social protection pro-gramme must be seen as an investmentrather than as an expenditure.

B I B L I O G R A P H Y

Frings, V. (1993). The Failure ofAgricultural Collectivization in thePeople’s Republic of Kampuchea (1979-1989), Working Paper No. 80, Centre forSoutheast Asian Studies, MonashUniversity.

Knowles, J. (2008). Poverty Estimates forCambodia, 2007. Phnom Penh, Report tothe EAS Country Unit of the WorldBank.

Ministry of Planning (2010). CambodianMillennium Development Goals Report.Phnom Penh, Cambodia.

World Bank (2009). Poverty Profile andTrend in Cambodia 2007. World Bank,June 2009.

____i World Bank, World Development Indicators 2008.

ii WHO, Global Health Observatory, 2008.

iii WHO, UNICEF, UNFPA and World Bank,Global Health Observatory, 2005.

iv World Bank, World Development Indicators 2008 andGlobal Development Finance 2008.

v National statistics, 2009.

vi World Bank, World Development Indicators 2008 andGlobal Development Finance 2008.

vii Ibid.

viii Ibid.

ix National Statistics, 2008.

x UNDP, Human Development Report 2009.