Social Safety Nets in Selected Asian Countries

Abstract

It is debatable whether social safety nets knitted in the developed countries can work in the developing countries, especially in a time when social change is so rapid. Asian countries have been battered by two economic crises of 1997 and 2008/2009, and the poor and vulnerable in the region were hit hard. Thus, it is opportune to look into how social safety nets set up by each Asian country to protect them work, and important to discuss the direction of mid-to long-term policies for social safety nets in a way that minimizes negative repercussions that could result in the implementation of the policies. Based on the findings of the study, the following policy recommendations are suggested for the improvement of social safety nets in the region: First, enhancing social safety nets in the developing countries requires both the development of social insurance programs as well as short-term or temporary social assistance programs. Second, there can’t be a single social safety net that works in all countries. Thus, it should reflect the social norms, historical or institutional traditions, levels of economic development, national priorities, and capacity of local areas in the light of the preference of people. Third, social assistance programs are an effective tool in mitigating the impact of the global economic crisis in the short term, however, in order to provide continuous cushion from the outside impact and to alleviate poverty, other forms of long-term social security services such as education and medical and nutritional services should be provided. Fourth, to prevent the leakage of budget and efficiently implement social safety net programs, it is essential to obtain trustworthy information on who the vulnerable are and whether those selected to be the beneficiaries are the right ones. Fifth, Asian countries need to enhance social security by expanding social insurance programs and raising their management efficiency. Lastly, it is important to provide technical support to multilateral or bilateral social aid agencies in the development, targeting and monitoring of social security programs and the analysis and collection of data for their evaluation.