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Payment Schemes in Conditional Cash Transfer Programs: The Case of 4Ps in the Davao Region, Philippines

Author

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  • Ma Cecilia Catubig

    (UNE Business School, University of New England, Armidale, New South Wales 2351, Australia)

  • Renato Villano

    (UNE Business School, University of New England, Armidale, New South Wales 2351, Australia)

  • Brian Dollery

    (UNE Business School, University of New England, Armidale, New South Wales 2351, Australia
    Faculty of Economics, Yokohama National University, 79-1 Tokiwadai Hodogaya-ku, Yokohama 240-8501, Japan)

Abstract

This paper evaluates current payment schemes employed by the Pantawid Pamilyang Pilipino Program (4Ps) in the Philippines using six assessment criteria: transaction cost, security/risks, speed and timeliness, acceptability, resilience and flexibility. Employing data collected at the regional level, we establish four main findings: (1) all 4Ps payment conduits present trade-offs; (2) a payment approach that uses mainstream financial infrastructure is beneficial if cost, speed and simplicity of the payment system are critical; (3) competition for 4Ps contracts for Payment Service Providers (PSPs) has improved the quality of payment services and minimized costs; and (4) the efficiency of the program is greatly influenced by the commitment of the PSP to deliver the cash benefits to the recipients in a timely manner rather than by maximizing conduit branches.

Suggested Citation

  • Ma Cecilia Catubig & Renato Villano & Brian Dollery, 2015. "Payment Schemes in Conditional Cash Transfer Programs: The Case of 4Ps in the Davao Region, Philippines," Administrative Sciences, MDPI, vol. 5(4), pages 1-20, November.
    • Handle: RePEc:gam:jadmsc:v:5:y:2015:i:4:p:240-259:d:58287
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    References listed on IDEAS

    as
    1. Fernandez, Luisa & Olfindo, Rosechin, 2011. "Overview of the Philippines'conditional cash transfer program : the Pantawid Pamilyang Pilipino Program (Pantawid Pamilya)," Social Protection Discussion Papers and Notes 69422, The World Bank.
    2. Paul Carrillo & Juan Ponce Jarrin, 2007. "Efficient Delivery of Cash Transfers to the Poor: Improving the Design of a Conditional Cash Transfer Program in Equador," Working Papers 2008-08, The George Washington University, Institute for International Economic Policy.
    3. John Farrington & Rachel Slater, 2006. "Introduction: Cash Transfers: Panacea for Poverty Reduction or Money Down the Drain?," Development Policy Review, Overseas Development Institute, vol. 24(5), pages 499-511, September.
    4. Fernandez, Luisa & Olfindo, Rosechin, 2011. "Overview of the Philippines'Conditional Cash Transfer Program : the Pantawid Pamilyang Pilipino Program (Pantawid Pamilya)," Social Protection Discussion Papers and Notes 62879, The World Bank.
    5. Jenny Aker, Rachid Boumnijel, Amanda McClelland, and Niall Tierney, 2011. "Zap It to Me: The Short-Term Impacts of a Mobile Cash Transfer Program - Working Paper 268," Working Papers 268, Center for Global Development.
    6. Armando Barrientos & Jocelyn DeJong, 2006. "Reducing Child Poverty with Cash Transfers: A Sure Thing?," Development Policy Review, Overseas Development Institute, vol. 24(5), pages 537-552, September.
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    Cited by:

    1. Marc Jon S Flores & Christine Alaine B Espinoza & Harold C Enrico & Rosemarie R Casimiro, 2019. "Pantawid Pamilyang Pilipino Program (4Ps): Its Effect on the Academic Performance of Student-Beneficiaries in Calaba National High School in the Philippines," Journal of Public Administration and Governance, Macrothink Institute, vol. 9(2), pages 193-208, December.

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