The effectiveness of social safety nets in the fight against poverty in Zambia during the structural adjustment era

Abstract

Social Safety Nets (SSNs) were in the early 1990s a major feature of poverty alleviation and social impact mitigating mechanism from austere economic reforms implemented by the Zambian Government. Evidently, SSNs became prominent when Zambia accelerated the implementation of the Structural Adjustment Programme (SAP) in the early 1990s. At that time, the levels of poverty skyrocketed affecting 73% of the 10.5 million people of which 58 % were said to be extremely poor with the acute levels of poverty being more concentrated in rural areas which harbour about 65 % of the country’s population (CSO 1998: 20). SSNs are non-contributory transfer programmes for the poor or those vulnerable to shocks and these include income support through participation in public works programmes, cash transfers to the poor or vulnerable households, fee waivers for usage of essential health and education services, in kind transfers such as school feeding or even price subsidies for specific goods deemed essential to the poor (World Bank 2005: 1). Pritchett (2005:17) observed that SSNs can be applied across the various levels of society whether or not the shocks push households below the absolute threshold of poverty. Despite being a major feature of social mitigation it is not clear to what extent they (SSNs) can be said to an effective mechanism for poverty mitigation in Zambia. With SAP be decried by interests groups as having reduced people’s living conditions for fuelling in, higher prices for basic commodities, lower real incomes, reduced access to social services, medical care and retrenchments and lack of job opportunities for those seeking employment. The absence of fully fledged unemployment benefit system, made the victims of the adjustment process worse off. The social security schemes equally got adversely affected by high unemployment levels and growth of the informal sector because the proportion of the insured population plummeted and that inexorably leads to a fall in contributions. Other consequences of SAP besides retrenchments of blotted workforce include child labour and overburdening women as their participation in economic activities increased as part of the copping mechanisms besides their reproductive roles. Given the aforementioned complications that arise during structural reforms, this thesis seeks to examine how effective SSNs are in poverty alleviation programmes in countries like Zambia where they have been tried.