CAPACITY DEVELOPMENT WORKSHOP ON MEASURING SOCIAL PROTECTION BPS-Statistics Indonesia Jakarta , Indonesia 14-16 May , 2013

Institutionalizing the Measurement of Social Protection- The experience of Bangladesh

Md. Shahabuddin Sarker
Deputy Director Bangladesh Bureau of Statistics
Disclaimer: The views expressed in this paper/presentation are the views of the author and do not necessarily reflect the views or policies of the Asian Development Bank (ADB), or its Board of Governors, or the governments they represent. ADB does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequence of their use. Terminology used may not necessarily be consistent with ADB official terms.

Presentation Outline
Introduction

Country Scenario of Social Protection Household Income & Expenditure Survey (HIES) and Social Protection Challenges Recommendations

What is Social Protection?

According to UN, Social Protection is concerned with preventing, managing, and overcoming situations that adversely affect peoples well being consists of policies and programs designed to reduce poverty and vulnerability by promoting efficient labour markets, diminishing people's exposure to risks, and enhancing their capacity to manage economic and social risks, such as unemployment, exclusion, sickness, disability and old age. In other way, Social Protection can be regarded as a a kind of insurance policy against poverty a tool for delivering social justice a means of promoting inclusive development an expression of solidarity and cohesion between have & have-nots, between government & citizen and even between nations

Types of social protection

Generally three types; 1. Labor market interventions: designed to promote employment, the efficient operation of labor markets and the protection of workers. 2. Social Insurance: mitigates risks associated with unemployment, ill health, disability, work-related injury and old age, such as health insurance or unemployment insurance. 3. Social Assistance: when resources, either cash or in-kind, are transferred to vulnerable individuals or households with no other means of adequate support, including single mothers, the homeless, or the physically or mentally challenged ADBs Five components of Social Protection ; Labour market programmes Social insurance programmes Social assistance and welfare Micro and area based schemes Child protection

Conceptual framework
Population outside the coverage of Social protection

Population under the coverage of social protection and type of service received
Data source: Administrative/ service statistics from different ministries, HIES , Labour Force Survey (LFS) , MICS and PMS

Population Register (pilot) for targeting poor & efficient monitoring

States liability & Policy implementation

Constitutional Provision

Old age allowance Allowance for the widow divorced & destitute women Allowance for the financially insolvent disabled Maternity allowance for the poor lactating mothers General relief activities Food security programOMS, VGD, VGF, TR, FFW Pensions for retired govt. employees & their families Block allocation for disaster management

As Fundamental Principles of State Policy

Social Protection is Constitutionally ensured in Bangladesh described asIt shall be a fundamental responsibility of the state to attain, through planned economic growth, a constant increase of productive forces and a steady improvement in the material and cultural standard of living of the people, with a view to securing to its citizensa) The provision of the basic necessities of life, including food, clothing, shelter, education and medical care; b) The right to work, that is the right to guaranteed employment at a reasonable wage having regard to the quantity and quality of work; c) The right to reasonable rest, recreation and leisure; and d) The right to social security that is to say to public assistance in

cases of undeserved want arising from unemployment illness of disablement or suffered by widows or orphans or in old age or in other such cases.

Programmes (Beneficiaries) A Cash incentive

No. 18

FY 2011 (Mill. ) 7.57

FY 2012 (Mill. ) 7.59

FY 2013 (Mill. ) 7.59

A.1

Cash transfer (allowance)

A.1.1 Social protection A.1.2 Social empowerment

18
14 04

7.57
4.94 2.63 47.82 16.47

7.59
4.96 2.63 38.86 11.55

7.59
4.96 2.63 38.53 10.07

B C

Food security (S. protection) 07 Credit programmes 20

C.1
C.2

Microcredit
C.1.1 Social empowerment Miscellaneous fund C.2.1 Social empowerment

04
04 16 16 52 52 21 76 97

6.30
6.30 10.17 10.17 18.90 18.90 52.76 38.00 90.76

7.96
7.96 3.59 3.59 22.55 22.55 43.82 36.73 80.55

7.53
7.53 2.54 2.54 26.06 26.06 43.49 38.76 82.25

Development programmes Social empowerment Total- Social protection Total- Social empowerment Total Beneficiaries

Programmes (Expenditure) A Cash incentive

No. 18

FY 2011 (Miii. Tk.) 64150

FY 2012 (Mill. Tk.) 72130

FY 2013 (Mill. Tk.) 66950

A.1

Cash transfer (allowance)

A.1.1 Social protection A.1.2 Social empowerment

18
14 04

64150
63450 700 72320 36400

72130
71400 730 67580 37960

66950
66210 740 70280 37880

B C

Food security (S. protection) 07 Credit programmes 20

C.1
C.2

Microcredit
C.1.1 Social empowerment Miscellaneous fund C.2.1 Social empowerment

04
04 16 16 52 52 21 76 97

3400
3400 33000 33000 36060 36060 135770 73160 208930

3440
3440 34520 34520 42070 42070 138980 80760 219740

3910
3910 33970 33970 52260 52260 136490 90880 227370

Development programmes Social empowerment Total- Social protection Total- Social empowerment Total Expenditure

Social Protection Indicators

2012-13 Number of beneficiaries Expenditure in social protection (Million US $) Expenditure/Social protec. Beneficiaries (US$) Expenditure per SSNP beneficiaries (US $) Social protection as % of annual budget Social protection as % of GDP Beneficiaries as % of total population Beneficiaries as % of population under poverty 43.49 (82.25 ) 1706 (2842) 39 35 7.12 (11.86) 1.31 (2.19 p) 28.3 (53.5) na 2011-12 43.82 ( 80.55) 1757 (2778) 40 34 8.62 (13.63) 1.51 (2.39) 28.9 (53.1) na 2010-11 52.76 (90.76 ) 1908 (2936) 36 32 10.59 (16.29) 1.70 (2.62) 35.2 (60.6) 89.4 (51.9)

Note- SSNP means Social Safety Nets Programme, Parenthesis gives figure in respect to total SSNP that includes both Social Protection and Social empowerment, p indicates provisional

Sources of data
Administrative/ Service Statistics:
Ministry of Social welfare Ministry of Finance Ministry of Planning Ministry of Women & children affairs Ministry of food and disaster management Ministry of Education Ministry of health & family welfare Ministry of agriculture Ministry of Land

Census and Surveys:

Household income & Expenditure survey (HIES) Labour Force Survey MICS Poverty Monitoring Survey (PMS)

Household Income & Expenditure Survey (HIES)- a main source of poverty indicators
Practiced over hundred years as statistical tool In 1857, Ernst Engel first collected data on 153 Belgian family budgets in respect of taste and prices of commodities they used that encouraged him to formulate a theory that, expenditure on food follows a decreasing function of income. After independence in 1971, Household Expenditure Survey (HES)was first conducted in 1973-74 and result was published in two volumes. HES data for round 2 and 3 held in 1974-75 & 1975-76 was not published. Data for round 4 to 6 held in 1976-77, 1977-78 and 1978-79 was published in the statistical year book of 1980, 1982 & 1983-84 respectively. Since round 1 to 7 i.e. from 1973-74 up to 1981-82 data were collected using recall method. A combination of recall and diary method was followed in the subsequent surveys during HES round 9 to 12. In HES round 13 that held in 2000, emphasis was given for collecting data on income in addition to expenditure and consumption. In round 14 and 15 i.e. HIES-2005 & HIES-2010, separate module on Social Safety Nets Programmes (SSNP) has been used for the first time.
History of HIES:

A 24.57 percent of total household received benefits from at least one type of SSNP
Percentage of HHs that received benefit from SSNP
HIES-2010 30.12 24.57 HIES-2005

13.02

15.64
9.42 5.45

National

Rural

Urban

Top 8 services received by the HHs among the HHS covered by SSNP-HIES 2010
Sl. No. Type of programmes Percentage

01 02 03 04

Stipend for primary students Agriculture rehabilitation Old age allowance Gratuitous Relief

19.14 16.32 15.85 14.12

05
06 07 08 09

General Relief Activities

Stipend for Secondary and higher sec. female student Allowance for the widow, deserted and destitute Vulnerable Group Feeding Others Total

7.37
7.09 6.94 3.43 9.74 100.00

Incidence of poverty by CBN using upper poverty line

Year Head Count Poverty gap ratio 31.5 6.5 Squared Poverty gap Gini Coefficient 0.458

2010

2.0

2005

40.0

9.0

2.9

0.467

2000

48.9

12.8

4.6

0.451

Incidence of poverty by ownership of land-HIES 2010

using upper poverty line 50 45 40 35 30 25 20 15 10 5 0 45.1 Using below poverty line

35.4

33.3 25.3 14.4

10.8

No land Less than 0 0.05-0.49 0.50-1.49 1.50-2.49 2.50-7.49 .05

7.50>

Incidence of poverty by marital & literacy status-HIES 2010

Using upper poverty line
60 Widow ed/Div orced 38% Marrie d 36% 50 40 30 20 Unmar ried 26% HIES-2010 HIES-2005

10
0 No Class Class Class edu I-IV V-IX SSC+

Challenges
Difficulties in coordination for diversified programmes from various ministries/ Divisions. Rapid economic growth and social change has created new social protection challenges while old ones remain New challenges are driven by rapid urbanization and breakdown of family system Enrollment rates in metro areas for the poorest quintiles are worse than rural areas- this represents new challenges in urban areas Proper targeting of the beneficiaries: Country is in the process of evolving a mechanism for proper targeting of beneficiaries of SSNP through statistical method

Recommendations
Focus would also be given to urban programmes For regular cash/kind allowances, man-month instead of number of beneficiaries should be used to address the real impact SSNP should be developed to longtime income generating activities for graduating the poor from the poverty cycle. To include social protection activities in private sector a complete guideline should be made Human rights protection should be taken into consideration in SPI measurement Development Partners can think for formulating a satellite nature of account to address SP properly Capacity building programme on measuring social protection should be continued and strengthen.

THANKS and Welcome to

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