The way forward for social safety nets in Burkina Faso: Overview The way forward for social safety nets in Burkina Faso Overview Frieda Vandeninden, Rebekka Grun, and Amina Semlali Social Protection and Jobs Africa Region World Bank © 2019 International Bank for Reconstruction and Development/ The World Bank 1818 H Street, NW Washington, DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org The findings, interpretations, and conclusions expressed here do not necessarily reflect the views of the Executive Directors of The World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this publication is copyrighted. 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Creative Commons CREATIVE license: https://creativecommons.org/licenses/by-nc-nd/2.0/legalcode introduction and purpose 2 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW The government of Burkina Faso has a strong interest in strengthening its social safety nets provision to better support the country’s poorest and most vulnerable households. It has demonstrated this commitment through past investments in social pro- tection. Against a backdrop of limited public finances and budgetary constraints, it is critical to ensure that the resources allocated for social protection—and in particular for social safety nets— are cost-effective. This report responds to a request by the Burkinabe Ministry of Finance to As a nation, Burkina Faso „„ Enhance knowledge about the current state of social safety nets and assess their has seen great progress effectiveness in meeting the needs of the poor; in recent years in terms „„ Inform a debate on feasible reform and policy options to make social safety nets in of structural reform, Burkina Faso more effective and of greater impact and able to contribute to a con- solidation of expenditure. sound economic policies, This overview lists the key findings and main recommendations from the full publication The steady investment, and Way Forward for Social Safety in Burkina Faso. the establishment of a stable macroeconomic environment. Main challenges demanding renewed social safety nets Poverty, risk, and vulnerabilities The country’s sustained economic growth has not benefited the majority of Burkinabes. An annual gross domestic product (GDP) growth rate exceeding 6 percent, on average, from the early 2000s to 2014 did not translate into comparable per capita gains, which only increased 2.6 percent from 2006 to 2013. A high demographic growth rate is an obstacle BOX 1  Why does the world need adaptive for future poverty reduction. With 5.4 children per social protection? woman, Burkina Faso has one of the highest fertility T rates in the world, offsetting GDP growth and hampering he concept of adaptive social protection has emerged in rapid reductions in poverty. The population is projected recent years; it emphasizes better enabling social protection to to increase from an estimated 19.2 million in 2017 to 29 address the impacts of all kinds of shocks on households—includ- million in 2030. ing natural disasters and climate change, economic and financial crises, conflict and displacement, among others. A nascent area, Although the poverty headcount ratio has adaptive social protection has begun to crystallize around two inter- declined, the absolute number of poor has related approaches: (1) building the resilience of those households increased. Further, most of the population lives near most vulnerable to shocks, and (2) increasing the responsiveness of the poverty line, making them more vulnerable in case of social protection programs to adapt to and meet changed needs on adverse events. As of 2014, 40.1 percent of Burkinabes the ground after shocks have materialized. Preparedness measures were poor and lived on less than $1.90 a day. Using for safety nets can be advanced even further through additional the international poverty line standard of $3.10 a day, investments to make programs more flexible and capable of Burkina Faso’s poverty rate increases to 75 percent. expanding to reach additional households. Burkina Faso increasingly faces adverse nat- SOURCE: World Bank 2018b. ural conditions and is highly vulnerable to 3 introduction and purpose exogenous shocks and regional insecurities. This high level of exposure to shock exacerbates the vulnerability of the poor in particular; it also increases the risk of the nonpoor falling into transitional poverty. Households hit by shock are often forced to adopt negative coping strategies, such as selling assets, which can lead to chronic poverty. Only 2.4 percent of all households affected by shock receive support from either the government or nongovernmen- tal organizations, although several food programs have been implemented to mitigate the impact of shocks. Ninety percent of the poor live in rural areas. Exposure to, and the impact of, shocks is greater in rural areas (figure 1). Reasons for this include the fact that such FIGURE 1  Population exposure to shock and poverty areas tend not to be reached by services; and the popu- rates lation is dependent on climate-sensitive agriculture. The increased vulnerability of the rural population in turn exac- Percentage of population erbates poverty. 80 Urban Rural All Disparities in access to public facilities remain 60 high in rural areas. Examples are provided in figure 2. 40 Poverty along the life-cycle 20 Looking at poverty headcounts by age groups 0 and risks along the life cycle offers important Exposure to ≥ 1 Poverty rate Transient poverty insights on where public interventions should shock per year rate focus. Risks are not homogeneously distributed and SOURCE: Authors’ calculations based on EMC 2014. FIGURE 2  Urban and rural population access to public facilities Percentage of population 100 Urban Rural 80 60 40 20 0 Secondary Roads Sanitation Public Primary school Food market Drinking water school center transport SOURCE: Authors’ calculations based on EMC 2014. NOTE: Access means within a 30-minute walk. 4 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW are typically higher in earlier stages of life, with important long-term—and sometimes irrevers- ible—consequences in later stages of life (figure 3). FIGURE 3  Key risks, the life cycle, and social protection in Burkina Faso RISKS NEEDS „„ Malnutrition: The percentage of underweight children „„ A comprehensive early childhood reached 19.2 in 2016 development strategy „„ Mortality: Under age 5 mortality rates remain very high „„ Structural programs to improve nutri- at 88.6 per 1,000 in 2016 tion, addressing supply and demand „„ Early childhood development: Policies are largely barriers lacking, and only 2% of children participate in early childhood education programs—one of the lowest rates EXPOSURE TO SHOCKS in the world „„ School dropout rates: 50% of primary school–age „„ Inclusive programs to promote education children and 57% of lower secondary age—which and address supply-side constraints increases to 69% and 77% for the poorest quintile „„ The provision of alternative education „„ Few teachers: There are 55 students on average per programs, such as training and intern- primary school class ships and “second chance education” „„ Literacy: 61% of youth are illiterate „„ High subsistence agriculture: 92% live off of farm- „„ Secure jobs in agricultural areas by ing and not from selling produce promoting mobility from one sector to „„ Unstable jobs: Work duration is only 6.5 months a year the other and encourage reconversion (5.8 for agriculture) through income-generating activities „„ Income precariousness: 35% of agricultural workers „„ Adaptive social safety nets that have a second job; 78% of agricultural workers face at address shocks from agricultural products least one natural hazard „„ Improve literacy and new qualification through training and subsidized work „„ Lack of stable income and pension: Only 2.8% have „„ Targeted social pensions pensions, and none in the bottom quintile have pensions „„ Improved access to health facilities „„ Lack of access to health care and illiteracy: 90% are illiterate and only 50% consult a health provider in case of health issues „„ Potentially weak family support current state of social safety nets: key findings 6 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW Social protection expenditure trends Overall, social protection expenditure has FIGURE 4  Social protection expenditures by category: increased at a steady pace over the past 2015 decade. However, spending trends have varied by cat- egory of social protection (figure 4). Billion CFAF 4.5 4.0 Expenditures for energy subsidies have experi- 3.5 enced a downward trend. Electricity subsidies, for 3.0 example, weighed down the national budget during the 2.5 2.0 last decade; in 2016, the government took major steps 1.5 to address this. 1.0 0.5 0 Expenditures for social safety nets increased Social General Social Labor mkt Total social safety nets subsidies insurance programs over the 2005–15 decade. These expenditures protection accounted for 0.3 percent of GDP in 2005 and rose to 2.3 percent in 2015, indicating an increasing appetite for SOURCES: Estimates based on CNPS 2015, 2016; SE-CNSA 2015, 2016. finding new methods of protecting the poor (figure 5). On average, Burkina Faso outspends other Sub-Saharan countries on social safety nets relative to GDP. FIGURE 5  Social safety net expenditure total and as a percentage of GDP, 2000–15 % GDP Million CFAF Composition of 2.5 160 140 social safety net expenditures 2.0 120 1.5 100 80 1.0 Burkina Faso’s social safety net programs are 60 fragmented. The country offers are more than 100 40 0.5 small social safety net programs, 80 of which account for 20 less than 1 percent of total social safety net expenditure. 0 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 The Ministry of Social Action has the largest share of programs (45), but the smallest share of total expendi- SOURCES: World Bank 2012 for 2005–10; estimates for 2014–15 are based on CNPS 2015 and 2016, and SE-CNSA 2015 and 2016. ture (3.4 percent). The Ministry of Economy and Finance NOTE: No social safety net estimates were produced for 2011–13 given the scar- has the largest expenditure share (28 percent) and the city of data. The first CNPS annual report was produced in 2013, but the effort smallest program share (five). to track program expenditures was only at its beginning, and data were incom- plete and not comparable with previous estimates. Social safety net expenditures mainly go toward in-kind programs. Only 36 percent of expenditures are provided in cash (table 1). 7 current state of social safety nets: key findings TABLE 1  Social safety net spending on main programs: 2015 Program type Program name % of total SSN spending In kind School feeding/take home School canteens 13.2 Cash Public works, workfare, and direct job creation Cash for work (improve production) 11.1 In kind Other food/in kind/transfer Sponsorship program 7.3 In kind Nutritional (therapeutic, supplementary, and PLHIV) Malnutrition—prevention 7.0 In kind Nutritional (therapeutic, supplementary, and PLHIV) Malnutrition—severe 6.1 In kind Food distribution Targeted food subsidies 5.4 Cash Scholarship benefits School support (high school) 5.4 In kind Nutritional (therapeutic, supplementary and PLHIV) Malnutrition—moderate 4.8 Cash Scholarship benefits Scholarships (high school) 4.6 In kind Other food/in kind/transfer Subsidies of fertilizers 4.0 In kind Nutritional (therapeutic, supplementary, and PLHIV) HIV care program 3.5 In kind Other food/in kind/transfer Support to informal workers 2.9 In kind Other food/in kind/transfer Distribution of food for cattle 2.6 In kind Other food/in kind/transfer Support for rain production 2.5 In kind Emergency support (including refugees/returning migrants) Food distribution to household victims of shocks 2.5 and natural catastrophes In kind School supplies School supplies 2.3 16 programs 85.3 NOTE: PLHIV = people living with HIV; SSN = social safety net. Social safety net coverage Social safety net coverage is not in line with poverty: only 2.6 percent of the entire population benefits from safety net programs. For example, the fourth richest quintile (Q4) benefits more from all safety nets than does the absolute poorest quintile (Q1); scholarships benefit next to no poor (figure 6). FIGURE 6  Social safety net coverage by program and quintile Percent 4 Total Q1 Q2 Q3 Q4 Q5 3 2 1 0 All social Scholarships Government support Other transfers Support from Food distribution assistance (in case of shocks) NGOs SOURCE: Authors’ calculations based on EMC 2014. NOTE: NGO = nongovernmental organization. 8 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW FIGURE 7  Social safety net coverage by age group and Social safety net coverage is not in line with poverty headcount ratio vulnerability across the life cycle. Children are the poorest and most vulnerable members of the popula- Percent tion, yet only six of Burkina Faso’s main programs focus Social safety net coverage Poverty rate 45 on the 0–5 age group. Furthermore, only 2 percent of the country’s children benefit from crucial early childhood 30 development programs; this rate of coverage is the sec- ond lowest in the world after Afghanistan (figure 7). 15 Social safety net coverage is not aligned with poverty across the country’s regions. This is illus- 0 age 0–5 age 6–17 age 18–34 age 35–59 age 60+ trated in figure 8. SOURCE: Authors’ calculations based on EMC 2014. FIGURE 8  Social safety net coverage and poverty headcount ratio, by region a. Social safety net coverage b. Poverty headcount ratio 4°E 2°E 0° 2°E 4°E 2°E 0° 2°E IBRD 44748 | JANUARY 2019 IBRD 44745 | JANUARY 2019 This map was produced by the Cartography Unit of the World This map was produced by the Cartography Unit of the World MALI Bank group. The boundaries, colors, denominations and any MALI Bank group. The boundaries, colors, denominations and any other information shown on this map do not imply, on the part of other information shown on this map do not imply, on the part of the World Bank group, any judgment on the legal status of any the World Bank group, any judgment on the legal status of any territory, or any endorsement or acceptance of such boundaries. territory, or any endorsement or acceptance of such boundaries. SAHEL SAHEL 14°N NIgER 14°N 14°N NIgER 14°N NORTH CENTRAL NORTH NORD CENTRAL NORTH BOUCIE DU BOUCIE DU MOUHOUN PLATEAU MOUHOUN CENTRAL PLATEAU EAST CENTRAL CENTRAL CENTRAL EAST 12°N  12°N 12°N  12°N CENTRAL WEST CENTRAL WEST CENTRAL CENTRAL EAST SOUTH CENTRAL EAST CENTRAL HAUTS-BASSINS SOUTH HAUTS-BASSINS BENIN BENIN SOUTH TOgO TOgO SOUTH CASCADES WEST 0° 2°E CASCADES 0° 2°E WEST 10°N  gHANA BURKINA FASO 10°N  gHANA BURKINA FASO SOCIAL SAFETY NET COVERAgE POVERTY HEADCOUNT RATIO 0 20 40 60 80 100 Kilometers 0 20 40 60 80 100 Kilometers CÔTE D'IVOIRE 0 20 40 60 80 Miles CÔTE D'IVOIRE 20 0.28 6.62 0 40 60 80 Miles 9.68 70.3 4°E 2°E 4°E 2°E SOURCE: Authors’ calculations based on EMC 2014. Targeting Targeting is not well aligned with poverty. Programs mainly target beneficiaries on a geographical basis. Data show that the largest concentration of beneficiaries of cash transfers (34.7 percent) is in the Central region, with only 8 percent from the North region, 6 percent from the East, and 3 percent from Boucle du Mouhoun—which are the three poorest regions. Expenditures on “other transfers” are mainly directed toward the richest quin- tile (62 percent), with one-quarter accrued by the second poorest quintile. There is a distinct pattern in the distribution of beneficiaries: even though many beneficiaries are in the second poorest quintile, their transfers are small; while the large transfers are mainly col- lected by a few rich households (figure 9). 9 current state of social safety nets: key findings FIGURE 9  Social safety net targeting, by share of benefits and beneficiaries a. Distribution of benefits b. Distribution of beneficiaries 100 100 Q5 80 Q4 80 Q3 60 Q2 60 Q1 40 40 20 20 0 0 Scholarships Other Scholarships Government Other Support from Food transfers support (in case of transfers NGOs distribution shocks) SOURCE: Authors’ calculations based on EMC 2014. NOTE: NGO = nongovernmental organization. Sustainability There are financing sustainability concerns with regard to Burkina Faso’s social safety nets. Only 50 percent of safety net programs are entirely financed by the govern- ment, which may undermine continued program predictability. With better targeting Low execution rates are also a cause for concern. Sustainability is further challenged by expenditure delays, resulting in low execution rates (59 percent of the allocated social Burkina Faso could safety net budget, excluding education and health programs). These expenditure delays raise technically eradicate questions about governance. poverty. It would be financially feasible to Subsidies close the poverty gap with By redirecting energy subsidy expenditures (from the rich) toward social safety improved targeting. The nets (to the poor), poverty and inequality would be improved. One of the fundamen- size of the actual poverty tal problems with energy and fuel subsidies is that they are disproportionately concentrated in the hands of the richer segments of the population. But there is an increasing awareness that gap equals 2.26 percent of there are less expensive yet more effective methods of protecting the poor. GDP, which is close to actual The elimination of energy subsidies would not affect the poor, as the poorest spending on safety nets. barely consume any energy products (figure 10). Given the notable budget allocated to the sector (1.05 percent of GDP in 2015), savings from phasing out subsidies could enable a substantial increase in the social safety net budget. Simulations conducted for this review show that removing the gas subsidy alone would enable savings equivalent to 2.31 percent of GDP without affecting the poverty rate and the poverty gap. 10 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW FIGURE 10  Share of household income spent on energy consumption, by decile a. Gas b. Electricity c. Fuel Percent Percent Percent 80 80 80 60 60 60 40 40 40 20 20 20 0 0 0 1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10 Decile (poorest to richest) Decile (poorest to richest) Decile (poorest to richest) SOURCES: Authors’ calculations based on EMC 2014; MICA-MEF 2014a, 2014b, and 2014c. Institutional arrangements Institutional arrangements and interministerial coordination mechanisms are the prerequisite for an effective social protection system to avoid overlap and duplication and to ensure a more coherent approach. A single beneficiary registry minimizes inclusion and exclusion errors, while facilitating transparency and providing governments and partners with a cen- The government’s tral mechanism to identify potential program beneficiaries. The initiation of a appetite for improving the much-needed such registry in Burkina Faso to identify, accurately target, and keep track of beneficiaries began in 2015 with the launch of the World Bank–supported unconditional cash effectiveness of social transfer program Burkin-Naong-Sa Ya. safety nets is large, and it Notable efforts have been made to create a conducive institutional environment, is reflected in the growing such as the creation of new coordinating institutions since 2013 for improved cross-sectoral investments and sharp cooperation; and the weaving together of the many sectoral strategies into a single National Social Protection Strategy. increase in social safety net spending in the past decade. Despite these efforts, Burkina Faso’s social protection system and approach remains highly fragmented and weak. Most programs continue to operate in silos, with little communication between sectors and few attempts to explore synergies. Moreover, despite the adoption of the National Social Protection Strategy, numerous additional strate- gies have been endorsed. the way forward: recommendations 12 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW Recommendation 1: Strengthen the governance of the social safety net system Despite progress in reducing poverty and vulnerability in the past decade, Burkina Faso’s daunting human capital challenges and poverty levels call for a systematic build-up of the social protection system and of social safety nets in particular. The system’s institutional gov- ernance needs to be strengthened. In this context, the following actions should be prioritized. Action 1.1: Create a framework for multisectoral coordination „„ Identify ministerial comparative advantages and clearly establish key actors’ respon- sibilities. „„ Review the institutional set-up under the stewardship of the central government. „„ Use one overarching national social protection strategy. „„ Improve information and data collection systems and develop ministerial reporting mechanisms. „„ The National Council for Social Protection should assign internal groups with time- bound and specific output and outcome goals to ensure prioritization. Action 1.2: Monitor and evaluate program effectiveness and impact—and address accordingly „„ Establish a robust system of monitoring and evaluation to facilitate informed decision making. „„ Evaluate the impact of the various small safety net programs. Action 1.3: Strengthen public expenditure management „„ Strengthen budget formulation and improve management, execution, and auditing. Action 1.4: Include citizens in oversight of execution and delivery „„ Increase the transparency of public spending to ensure the benefits of public spend- ing reach the poor. Recommendation 2: Improve program targeting of the poor and vulnerable and move away from regressive spending More resources need to be allocated to programs that target the poorest and most vulnerable. To this end, either (1) some funding should be shifted from programs benefiting the richest pop- ulations to programs targeting the poor, or (2) the overall program budget should be increased. Because Burkina Faso’s revenue sources are unlikely to create further substantial fiscal space, it is more realistic to reallocate expenditures from less efficient programs before considering a budget increase. The following actions should be prioritized. 13 the way forward: recommendations Action 2.1: Disseminate the use of a proven targeting system „„ Use an integrated approach for the assessment of socioeconomic needs and condi- tions when possible to effectively reach the poorest. „„ Align targeting methods with government objectives. „„ Ensure interventions are aligned with areas that suffer from high poverty rates and low coverage. Action 2.2: Shift spending from universal subsidy programs toward programs targeting the poor „„ Continue with already initiated energy subsidy reform initiatives—that is, reduce spending allocated to broad-based consumer subsidy programs. „„ Protect the poorest consumers by expanding well-targeted social safety nets. „„ Design specific measures to mitigate the potentially adverse impact of reform on the poor while gradually phasing out subsidies. „„ Communicate and engage with diverse stakeholders to avoid misperceptions and information asymmetry. Recommendation 3: Improve the coordination of social programs by building a social registry As the social safety net system in Burkina Faso involves many sectors and comprises a large set of programs, further investments in a social registry containing socioeconomic information on the intended population would provide a common gateway for multiple programs. Further, it would improve coordination across sectors, agencies, and programs while reducing pro- gram duplication and overlap. The following actions should be prioritized. Action 3.1: Adopt a harmonized questionnaire „„ Identify opportunities for integration of intake and registration processes. Integration across different programs is an efficient way to reduce costs. „„ Develop a common harmonized intake and registration questionnaire that captures all variables used by the different programs. This could help to rapidly expand the national social registry. Action 3.2: Build a social registry as a common gateway for multiple social pro- grams „„ Further develop Burkina Faso’s nascent social registry, as it would improve the effec- tiveness of the overall social safety net system. „„ Use the social registry as a tool for coordination on the assessment of needs and conditions to determine potential beneficiary eligibility for multiple programs. 14 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW Recommendation 4: Use social protection expenditure to build human capital where it matters most, such as for early childhood development and literacy Early childhood development is not now addressed by Burkina Faso’s social protection system. At the same time, the country’s human capital needs in terms of nutrition, early stim- ulation, and learning are staggering. Literacy—both during the critical school ages as well as in adulthood—ranks far behind regional comparators. Literacy is a basic ingredient for suc- cess in the formal labor market and for effective citizen participation in society. The following actions should be prioritized. Action 4.1: Link social assistance programs to human capital building along the life cycle „„ Enable parental investment in children’s human capital through cash and in-kind transfers and accompanying measures such as training on appropriate health behav- ior and early education of children (“soft condition”). „„ Through conditional cash transfers, parents can be requested to demonstrate spe- cific behaviors in order to receive the transfer, such as school attendance. These so-called “hard conditions” are often more effective, although both soft and hard condition approaches are valuable. „„ Scale up flexible service infrastructure. For example, all public works/Labor-Intensive Youth Public Works Program (THIMO) activities should be supplemented with mobile child care as in the Youth Employment and Skills Development Project; this easy-to- scale structure is supported by the Ministry of National Education and Literacy and the Ministry of Youth, Training and Vocational Integration. Action 4.2: Promote basic skills training for adults and youth. The essential basic literacy program of Burkina Faso’s National Fund for Literacy and Nonformal Education (FONAENF) requires at least 400 hours of training. In leading up to such substantial invest- ments, smaller steps could be taken: „„ Identify and make use of every occasion to train social protection beneficiaries in basic skills. For example, beneficiaries of public works/THIMO programs could enroll in some literacy training alongside public works. „„ Various modalities of delivering basic skills should be tested and subjected to rigor- ous impact evaluation. 15 the way forward: recommendations Recommendation 5: Improve the capacity of social safety net programs to respond to shocks (before, during, and after) through adaptive social protection Given the degree to which Burkina Faso is subject to adverse natural events and the lack of or irregularity of rainfall with corresponding food insecurity issues, it is crucial for the country’s safety net system to include flexible elements that can be scaled up quickly. This requires improving the existing early warning system for food insecurity and other issues. The follow- ing actions should be given priority. Action 5.1: Develop and test shock-responsive benefits. Shock-responsive benefits need to be rolled out rapidly in shock-affected areas and meet the needs of vulnerable benefi- ciaries within a few weeks of crises. „„ Develop a solid early warning system to identify the geographical area that is affected. „„ Develop an efficient targeting system that can quickly identify the most vulnerable/ poorest households within the affected area (a standard proxy means test process would take too long). Action 5.2: Strengthen the early warning system. Strengthen the existing Burkinabe early warning system to identify likely food-insecure provinces. „„ Shorter-term harvest forecasts are needed so as to be able to predict triggers in suf- ficient time (10 months before the end of the next rainy season). „„ Hydro-meteorological data should be defined for a smaller geographic grid and be combined with population data to predict impact. „„ Seamless cooperation between regional and national authorities is critical in using and diffusing data for maximum benefit. Concluding remarks With a few focused, courageous policy decisions, several issues related to the Burkinabe social protection system can be converted into opportunities. „„ Fiscal space is currently lost through governance issues such as missing coordi- nation, resulting in an overlap of programs and insufficient budget execution. That space can be regained. „„ Fiscal space is similarly lost through spending on regressive programs such as sub- sidies and scholarships rather than efficiently targeting social expenditures to the poor. This fiscal space can also be regained. 16 THE WAY FORWARD FOR SOCIAL SAFETY NETS IN BURKINA FASO: OVERVIEW „„ By regaining the fiscal space as described in the above recommendations, the gov- ernment could cover the country’s poor with an effective, efficient safety net—and more. This end is achievable simply by realigning and better targeting existing safety net expenditures. Reallocating regressive subsidies and scholarships would open fiscal space beyond that. Existing social expenditures can achieve greater impact by linking payments to the utilization of human capital building services such as education and health. Besides offering long-term strategies to alleviate poverty and build human capital, social safety nets can channel a short-term response to shocks against food security. Burkina Faso possesses the requisite building blocks to provide shock-response safety nets. With some improvements, these can be used to help the country face acute climate-induced hardships on a regular basis, providing a transition from humanitarian assistance to national systems. 17 references CNPS (National Council for Social Protection). 2015. “Rapport bilan 2014 de mise en œuvre de la politique nationale de protection sociale.” CNPS, Ouagadougou. —. 2016. “Rapport bilan 2015 de mise en œuvre de la politique nationale de protection sociale.” CNPS, Ouagadougou. 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