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POVERTY POLICY WEEK

RECAP OF DAY 2 SCALING UP BEST PRACTICES AND MAXIMIZING POTENTIAL

OPPORTUNITIES FOR PRO-POOR AND INCLUSIVE GROWTH

by Prof. A.V.Y. Mbelle, Facilitator

Dar es Salaam, November 25-27; 2013

INTRODUCTION

ORGANIZATION OF PRESENTATION

I: Background and context

II: Organization of Day 2 Activities

III: Key messages from Day 2

IV: Way forward

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I: BACKGROUND AND CONTEXT

The main context of this forum is to set the stage for review of MKUKUTA II (towards MKUKUTA III – note Second FYDP) –

Revokes debate on role of MKUKUTA (poverty reduction) vs role of FYDP (growth focus)

There are theoretical and empirical justification for their co-existence.

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Genesis: PPW work was launched in 2002 with the main objective of offering an interactive platform to stakeholders on policy issues.

It is one of the key activities of Poverty Monitoring System

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II: ORGANIZATION OF DAY 2 ACTIVITIES

Three activities marked the first day of PPW 2013

Recap of Day 1

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Presentations:

i. Pro-poor Budget Allocations and Interventions (by Commissioner for Budget, URT)

ii.Social Protection: Potential Opportunities to Accelerate Initiatives to Improve Livelihood

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ii…

Commentaries

i. Representative from DPs on both papers

ii.Representative from NSAs on both papers

Presentation by Panelists

On paper 1

i. Economic Empowerment to Reduce Poverty

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ii Financial services Experience of TIB SELF project VICOBA

iii Land and Human Settlement

iv Insurance

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On paper 2

i Social Protection for Vulnerable groups: best practices from research

ii SSRA

iii NHIF, CHF, TIKA

Plenary session/general discussions

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III KEY MESSAGES FROM DAY 1

THEME 1: PRO-POOR BUDGETIssue of definition and identification of targeting

activitiesInterventions in many sectors with elaborate funding Inclusiveness in pro-poor budgeting – Guidelines for

O&D from village levelIssue of equity;Issue of access to financial services

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Housing as pro-poor intervention e.g. creation of jobs;

Insurance for cropsExistence of finances for onward lending

to small scale farmersEmpowerment of groups (machines, cash,

etc)

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iii..

THEME II: SOCIAL PROTECTION1. Issue of definition

2. Issue of targeting

3.Many supporting Policies

4.Existence of unregistered caring centers

5. Identification of beneficiaries: through LGAs

6.Two main schemes possible for scaling up (both coordinated by Government):

a)National community-based care for Most Vulnerable Children

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b) TASAF – conditional cash transfer (grant); is mainstreamed in government plans in terms of standards and norms; involves all key Ministries/sectors; TASAF III emphasizes institutional arrangements

Other schemes/services targeting vulnerable groups:

i. The elderly and people with disabilities

ii. Vulnerable families (multiple schemes such as families with triplets….)

iii. MVC (wide typology and various forms of support e.g. education support; food;

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New NCPA: multiple partners in implementation

– household economic strengthening

Challenges: many (low budgetary allocation; social welfare work force; dependence on donors

Recommendations More and timeliness in delivery of resources (financial,

human…) Scale up to Universal pension for elderly Create separate Social welfare department in LGAs Sustainability Ownership

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Other issues raisedo Low coverage of official SP e.g. only 8% of

workforceo Existence of informal SPo Weak coordination among institutions dealing

with SP o Typology: three – Universal, contributory and

supplementaryo Six funds

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New initiatives establishment of SSA has enabled legislations; ICT use in contribution; institution of penalties for delaying benefits; covering both formal and informal sectors - inclusiveness

Challenges – inadequate benefits ; limited coverage; computation formula (differing benefits, etc)

SP schemes are key to poverty reduction16

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Intensity of interventions (multiple and duration) and exit strategy; and monitoring

Linkages among actors Information asymmetry hampering SP objectives Capacity building for the poor (credit issues, feasibility of

projects etc..) There are best practices that can be scaled up (e.g. in

health insurance fund – soft loans; coverage) Leakages Prudence needed in investing contributors’ funds

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Knowledge of implementers (on modality and use of funds; supply side – coverage and quality; curative as well as preventive; package)

Operationalization of Policy (e.g. new dimensions)

Administration of exemptionsApplication of the principle of universalitySustainability issues – higher government

investment needed; long term horizon

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Cash and non cash interventionsImportance of Communities taking a lead

role in management of funds and involvement in planning

Importance of M&EKey role of coordination of actorsCall for NSP Framework/Policy to be

passed and operationalized

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IV: WAY FORWARD

Day 2 set the stage for day 3 – emerging opportunities for poverty reduction

Two presentations:

a.Big Results Now initiative

b.The contribution of Science, Technology, Innovations and Entrepreneurship to growth and poverty reduction

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Practical demonstrations

a)SIDO

b)VETA

c)TPSFPlenary sessionsIT IS THE EXPECTATION OF THE ORGANIZERS THAT

ATTENDANCE WILL MATCH, AND PARTICIPATION WILL BE AS ACTIVE AS DURING DAY 1

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