Icon Our WorkSocial Protection: An Effective and Sustainable Investment in Developing Countries

A KfW paper details some of the impacts of tax-financed social protection schemes in developing countries and the significant positive benefits that they bring. These range from building human capital to restoring a sense of dignity and self worth to the most vulnerable and excluded members of society. It emphasises, however, that social protection should not be seen as a ‘silver bullet’, since schemes must be well designed if returns on investment are to be maximised. And social protection should be regarded as one essential component of broader national investment in social policy.