Abstract:
This paper uses Vietnam as a case study in rapidly assessing the strengths and weaknesses of an existing system of transfers and safety nets. Data are taken to be weak; in particular, rigorous ex-post evaluations of the components of the existing social security system are not available in time to inform policy choices. So the aim is instead to provide a broad qualitative assessment, also pointing to key issues on which knowledge needs to improve. The paper provides a critical overview of the existing public poverty and safety net programs in Vietnam that aim to help and protect those outside the formal employment sectors, notably those in the rural economy and urban informal sector. It begins with a brief examination of the principal sources of vulnerability for Vietnamese households and what is known about household coping strategies. This is followed by a description of the various transfers and safety nets that are currently available to address low incomes and vulnerability for individuals outside the formal employment system and hence not covered by the government's social security benefits. Naturally, much of the focus is on rural households and individuals.
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