EU outlines strategy to strengthen social protection policies

Counselors help Sri Lankan refugees deal with gender violence. The European Commission has released a communique that explains how EU development aid can strengthen social protection policies and systems. Photo by: Arjun Claire / EC / ECHO / CC BY-SA

The European Commission has released a communique that explains how EU development aid can strengthen social protection policies and systems — its first on the topic. The communication includes proposals such as supporting nationally owned policies, engaging civil society and the private sector, and addressing the underlying causes of vulnerability, especially among women.

These proposals emerged after a broad public consultation process involving more than 250 stakeholders and 17 member states, and will be discussed by EU development ministers and the European Parliament in coming months.

The consultation and communication are in line with partnerships created at last year’s Fourth High-Level Forum on Aid Effectiveness in Busan, South Korea, which recognized inequality as a development challengeIn Busan, development actors other than traditional donors, such as civil society and the private sector, were endorsed as an integral part of a more inclusive development agenda. The Busan Partnership for Effective Development Cooperation also called for partner governments to contribute more money toward their own development instead of relying on foreign aid to reduce poverty.

The goal of EU development cooperation in supporting social protection is to reduce poverty that both results from and causes marginalization and exclusion. The European Union wants to improve social inclusion as an essential underpinning of poverty reduction and sustainable, inclusive growth.

“By increasing equity — e.g.through social transfers and increased access to basic social services — and providing protection against risk, social protection can support poverty reduction and inclusive growth, as well as supporting social cohesion and stability,” the communique said.

Developing countries, which tend to have a low income tax base and highly segmented social insurance systems that benefit just a small minority, spend on average a quarter of what developed economies do on social protection.

The term social protection encompasses policies and actions that enhance the capacity of the poor and vulnerable to avoid or escape poverty, and those that provide social security through income and access to essential services like health and education.

The communication pointed to the following actions that EU development partners could cooperate on with the goal of operationalizing the vision of social protection:

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