Rwanda has developed an elaborate and comprehensive social protection system that is embedded in the national constitution of the Republic of Rwanda through its rights-based approach. The social protection agenda is also elaborated in the...
moreRwanda has developed an elaborate and comprehensive social protection system that is embedded in the national constitution of the Republic of Rwanda through its rights-based approach. The social protection agenda is also elaborated in the national development programmes Vision 2020 and the EDPRS (Economic Development and Poverty Reduction Strategy) 2 as a flagship. Multiple legal frameworks have been designed around the idea of tackling poverty and inequality in Rwanda. In addition, the government has adopted a new scope of financing arrangements setting and targeting local revenues as the major financing sources of social protection programmes. Aid financing is also recognized from different donors such as the World Bank. The government of Rwanda is also committed to improving the performance of its public financial management system to cut public expenditure especially those related to administrative costs.
Rwanda has several social protection schemes that include: (1) Social security programme for civil servants, (II) Vision2020 Umurenge (VUP) which is the vast social assistance programme that caters to selected poor households identified in lowest Ubudehe categories (1, 2 and 3). (III) The Genocide survivor support fund (FARG), (IV) The Rwanda demobilized and integration support fund that caters for demobilized and physically disabled soldiers and (V) Complementary support programmes that were established in an effort to support the country’s broader development objectives. These programmes include a universal primary education programme called “12 Years Basic Education”, universal health coverage which was introduced in 2005 known as “ Mutuelle De Santé, Girinka programme and Ubudehe”. These interventions aim at promoting social inclusion and political stability.
This study however focuses on the potential contributions of VUP social assistance programmes to addressing vulnerabilities among the poor. VUP components examined include: Direct Support “Cash Transfer” programmes, public works programme and financial service programmes. VUP programme was introduced in 2008 as a poverty reduction strategy and the scheme expanded in terms of sector coverage from only (30) sectors in 2008 to (330) sectors in 2015. Positive records on beneficiary enrollment rate have been recognized across the three components over a course of time.
In 2000, the Rwandan statistics office estimated that more than half of the total population of Rwanda subsisted on less than $1.25 a day. The GDP per capita income of Rwanda was reported at only (143.04) in 1994. Through comprehensive strategies put forward by the government of Rwanda, GDP per capita was increased to (417.68) by 2014.
To date, Rwanda’s poverty profile indicates that nearly one million poor people were lifted out of poverty between 2001 and 2010. In the financial year 2000/01, poverty incidence was reported at 58.9% of the total population, while 40% lived in extreme poverty. By 2010, poverty incidence was reduced to 44.9% and extreme poverty was reported dropping to 24.1%.
According to integrated household living survey data for 2013/14, it was reported that between 2010/11 and 2013/14, poverty incidence recorded a decline of 5.8%, while extreme poverty decreased by 7.8% respectively. VUP programme has been successful in impacting the lives of its beneficiaries, but the level of impact varies by different levels of vulnerabilities in the 6 VUP “Ubudehe” categories. In Rwanda’s context, it is evident that the programme has had positive results on meeting household basic needs such as food consumption and increased livestock holding among beneficiaries of the public works programme.
It was reported that 80% of VUP programme beneficiaries are enrolled in Rwanda’s universal health insurance scheme known as Mutuelle De Santé. The government has facilitated the poor to access health services through health insurance premium subsidies and thus impacted the lives of VUP beneficiaries. Social protection programmes were reported to be significant on household food security and health care utilization but not for education. VUP survey conducted in 2014 didn’t find education significant among VUP supported households. This may be explained by the fact that the government introduced a universal primary basic education and expanded the support to 9 years basic education. The programme is universal for all, however, net attendance in primary was reported high among VUP households.
Determinants of VUP performance results were reported as follows: legal and policy frameworks adopted by the government of Rwanda. The National Constitution of the Republic of Rwanda guarantees all Rwandans their economic and social support in the areas of education, health, justice and decent livelihood. The national social protection programme of 2011 defines social protection as the system of regular and predictable cash transfers to those living in poverty and those vulnerable to falling into poverty. The strategy also defines the social protection floor for the most vulnerable households and individuals comprising cash transfers and access to essential services; and increased participation of the informal sector in the contributory social security system.
Institutional reforms around the policy implementation guidelines and responsibilities of line ministries and other levels engaged in delivering social protection services has played an important role in achieving VUP success. Rwanda has increased its national budget for social protection since 2008. To date, the government has adopted sustained channels of financing social protection systems by allocating 10% of the domestic revenues for the sector. This amount covers the VUP budget and other local economic development programmes.
The budget allocated for VUP in 2008 was only 5,281 million Rwf and increased by 173% to 14,437 Rwf million in 2014. Rwanda’s social protection budget was about (1.6%) of the national budget in 2011, exclusive of education and health). Although success has been documented on VUP programmes, challenges remain. At the fore front, targeting issues, timeliness of delivering the transfer were reported. Determining graduation among the beneficiaries and criteria to determine exit has not been put to practice and compliance mechanisms are not operational to ensure oversight and accountability of programme implementers.