Social protection as social risk management : conceptual underpinnings for the social protection sector strategy paper

This report serves as a conceptual background piece for the development of the Social Strategy Paper (SSP). To develop the conceptual underpinnings, the objectives and instruments of strategy papers (SP) are viewed under the rubric of Social Risk Management (SRM). SRM consists of public measures intended to assist individuals, households, and communities in managing income risks in order to reduce vulnerability, improve consumption smoothing, and enhance equity while contributing to economic development in a participatory manner. To support the approach and its logic, the structure of this note is as follows: Chapter 2 sets the stage and presents global trends, definitions, and outlooks. Chapter 3 presents key issues of SRM, from the reasons for World Bank concern to a typology of strategies and instruments, and ends with the role of the main actors. Chapter 4 focuses on the boundaries of SP/SRM and on three key policy issues to balance equity, efficiency, and political sustainability. Chapter 5 ends with preliminary list of ways in which the new framework may affect our view of SP and the development of better instruments.