1. WELFARE BENEFIT BOARD, MINISTRY OF SAMURDHI AND MINISTRY OF FINANCE
FROM INSIGHTS TO IMPLEMENTATION
Welfare Workshop
Colombo, November, 2003
2/19/2019

2. WHAT EMERGES FROM THE WORKSHOP?
Assembling the key policy decisions to be made that will trigger next steps and action plans
Assuming January 2005 as the date for launching implies key policy decisions to be made by January 2004
2/19/2019

3. WHAT IS THE APPROPRIATE TARGETING PRINCIPLE?
Final decision on the formula is expected in a month by December 2003
Policy decision on determining the cutoff point for Samurdhi eligibility
We recommend a cutoff that covers 25% of the population (approximate poverty line)
2/19/2019

4. WHAT IS A SUITABLE PAYMENT LEVEL FOR BENEFICIARIES?
Policy decision determining the best option:
We recommend the progressive transfer which can be achieved by defining the benefits per vulnerable members of the household (elderly, disabled, permanently ill, children and homeless)
2/19/2019

5. WHAT IS AN EFFICIENT PAYMENT MODALITY?
Policy decision on determining either cash, stamps or mixture
We recommend carrying out a pilot to determine which option gives the maximum welfare gains
The pilot can also be accompanied by innovative technological solutions for delivery of payments (smart cards)
2/19/2019

6. SHOULD SAFETY NET BE ATTACHED TO SAVINGS AND INSURANCE?
Policy decision on determining the separation of Samurdhi transfers from savings, insurance and lottery programs
We recommend separation to avoid compulsory deductions from the transfer
In the client survey, 69% of current Samurdhi beneficiaries would like to remain Samurdhi members (voluntary savings, loans, insurance), even if they do not receive any transfer.
2/19/2019

7. OUTSTANDING MIS ISSUES
The MIS development is critical pre-condition for island wide implementation
Previous decisions matter in determining the optimal design of the MIS
Institutional arrangements for MIS implementation: outsource or by WBB
If WBB, then capacity building implications
2/19/2019

8. GROUP RECOMMENDATIONS
Targeting
Cutoff of 30th percentile which leads to coverage of 25-27% of population (poverty headcount around 25%)
Same form can be used to identify chronic poverty in the North and East; manuals will be adjusted to reflect some of the special circumstances
SLIS formula is acceptable
2/19/2019

9. GROUP RECOMMENDATIONS
Enrolment
Endorsement for the need for an enrolment pilot
Independence of the appeals committee; the development officer will assist the committee, but not influence the judgement
As part of the pilot, include the simplified process of registration for the national identity card (adults and elderly)
2/19/2019

10. GROUP RECOMMENDATIONS
Payments
Option 2 is preferable, only if a large group of households are missed, then consider a combination of the two.
A pilot was endorsed to test the best option between food stamps, cash or mixture
Separation between the transfer and savings, insurance and lottery was endorsed, provided adequate support is ensured for the Samurdhi movement through its banks
2/19/2019

11. IMMEDIATE ACTION PLAN ITEM DATE
Final decision on the formula and cutoff point
Nov 03 – Jan 04
Enrolment pilot (policy decision on cutoff point)
Dec 03 - Mar 04
Payment modalities pilot (pending agreement Ministry Samurdhi )
Feb 04 – May 04
MIS tender & contracting (based upon pilot results)
May 04 - Aug 04
MIS development (all decisions on payment levels, modality, delivery system and separation of transfer made)
Sep 04 - Mar 05
National campaign and training
Jan 04 – Nov 04
Island wide collection of information through application forms
Apr 04 – Dec 04
Island wide enrolment process for Samurdhi
Jan 05 – Mar 05
Gazette the operations manual and adaptations of the law as stated if needed
Oct 04 – Nov 04
Official launch ceremony
Jan 2005
2/19/2019