HO-L1193 Program to Support Social Protection Reforms

Updated on November 6th, 2018:

(F) Program to Support Social Protection Reforms (HO-L1193)

The general objective of the PBP is to promote the accumulation of human capital through the institutionalization of the Social Protection Policy in Honduras. The specific objectives are: (i) Stabilize the General Framework for Macroeconomic Policies; (ii) strengthen the regulations governing the Solidarity Fund for Poverty Reduction (three percentage points of VAT collection), ensuring that a percentage of it is destined to pay conditional cash transfers known as PBVM; (iii) Support institutional changes so to facilitate the use of information for the management of the social protection policy, avoiding the associated transaction costs (signature of agreements, letters of request, precision in the type of information requested, etc.); (iv) To give sustainability to the Educational Center Administration System (SACE), it is necessary that the system has an annual budget allocated for its operation without relying on external financing; (v) Give sustainability to the flexible mechanisms of the third cycle of basic, given that currently their financing is not guaranteed and affects the fulfilment of PBVM co-responsibilities; and (vi) Strengthen and institutionalize the management of the information at the Ministry of Health (SESAL) to facilitate the monitoring in the achievement of goals of the SESAL and the sharing of such information with other public agencies for the operation of other social protection programs. Status: Approved by the Board on 26 September 2018. Estimated total cost: US$ 49.7 million. Loan amount: US$ 49.7 million.. Executing agency: To be determined.

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(N) Program to Support Social Protection Reforms (HO-L1193)

The general objective of the PBP is to promote the accumulation of human capital through the institutionalization of the Social Protection Policy in Honduras. The specific objectives are: (i) Stabilize the General Framework for Macroeconomic Policies; (ii) strengthen the regulations governing the Solidarity Fund for Poverty Reduction (three percentage points of VAT collection), ensuring that a percentage of it is destined to pay conditional cash transfers known as PBVM; (iii) Support institutional changes so to facilitate the use of information for the management of the social protection policy, avoiding the associated transaction costs (signature of agreements, letters of request, precision in the type of information requested, etc.); (iv) To give sustainability to the Educational Center Administration System (SACE), it is necessary that the system has an annual budget allocated for its operation without relying on external financing; (v) Give sustainability to the flexible mechanisms of the third cycle of basic, given that currently their financing is not guaranteed and affects the fulfilment of PBVM co-responsibilities; and (vi) Strengthen and institutionalize the management of the information at the Ministry of Health (SESAL) to facilitate the monitoring in the achievement of goals of the SESAL and the sharing of such information with other public agencies for the operation of other social protection programs. Status: In preparation stage. Estimated total cost: US$ 29.8 million. Loan amount: US$ 29.8 million. Executing agency: To be determined.