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Essay: Boosting Families with CCTs: Brazilian Bolsa Famïlia’s Impact on Poverty Alleviation

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  • Published: 1 April 2019*
  • Last Modified: 23 July 2024
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  • Words: 1,145 (approx)
  • Number of pages: 5 (approx)

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The impact on health is comparably promising, whereby families who participated in BF had children who were 26% more likely to have the age appropriate height as compared to non-participatory families (Paes-Sousa and Santos 2009). Studies have shown that increased visits to medical centres have equated to beneficiaries being healthier and children becoming taller (Fiszbein and Schady 2009). This can also be attributable to the fact that Brazilian public expenditure as a percentage of GDP has risen from 2.9% in 1997 to 4.7% in 2013 (WorldBank Database). More qualified dentists and doctors have been allocated to the rural areas of Brazil, but the needs of the people continue to be overwhelming.

It is worth bearing in mind that other constraints could also make it arduous to enhance final outcomes in education and health. Even with increased public expenditure, delivery of health and educational services are not ideal in Brazil. Poor infrastructure, lack of viable medical supplies and low availability of qualified teachers remain a problematic reality. Complementary institutions are necessary and would provide further support to bolster the efficacy of BF. Stronger structures, skilled health personnel and teachers, and improved paradigm of services are all important components to ensure prolonged success in the programme. Above all, perfect altruism of parents is most vital if their offspring are to succeed and become wage earning members of society (Fiszbein and Schady 2009).

BF moves ahead to generate strong commitment within the developing world. Carrying forward the diminution of poverty will require greater economic growth with the concomitant benefits directed to disadvantaged groups via strong public policies and welfare institutions. Institutionalisation is key if BF is to fully eliminate poverty in Brazil. The assumption, that once economic progress occurs poverty will disappear, is a false sense of accomplishment. In reality, for poverty and inequality to be eradicated, government commitment and programme coordination must be ever-present. Brasil sem Miseria is a testimony of such commitment. The goal of this federal programme is to integrate and merge BF with other development agencies in Brazil to ensure that youths will be able to gain access to labour markets and other forms of support solidifying the gains already realised.  

Limitations of Social Assistance Programmes:

As effective as social assistance programmes have been in the developing world, arguments have been made whether or not HDCIT programmes are the most economical or viable solutions to permanently eradicating poverty and truly building human capacity. While the upsurge in school enrolment rates and general improvement in child health cannot be denied since the implementation of CCTs, Handa and Davis (2006) argue that the exclusive focus on human capital development has led to foregone occasions to enhance the overall wellbeing of the household and greater community. Some critics also argue that such programmes create a form of increased patronage without any practical exit strategy (Hall 2008). Admittedly, the improved productive capabilities of children better equip them for future labour market participation, but nothing else is done to enhance the skills of the adult members in the household. Greater emphasis needs to be placed on that fact that CCTs have the ability to empower beneficiaries to participate in political life. By being able to elect political representatives, transfer recipients can bring their inadequacies resulting from poverty to a national forum. This would generate the parliamentary support needed to continue the fight against poverty since many of those in government believe that instead of transfer programmes, public funds should be allocated to other worthwhile projects. Criticisers of these programmes assume that welfare provides an incentive to remain unemployed and to choose leisure. The cost of subsidizing these programmes and ensuring the fulfilment of conditionalities are too high for the public purse (Bichir 2010). In this light, investment in the public sector is viewed as having higher potential returns than social assistance programmes (Fiszbein and Schady 2009). Other arguments include the fact that those in most need of the CCTs may not accept financial assistance because certain living conditions make the conditionalities impossible to satisfy. All the efforts placed on targeting poor and extremely poor households become futile if possible beneficiaries are dissuaded from the programme because the requirements are too stringent. Policy makers need to consider the context in which the households operate so as to maximize the impact of the funds and guarantee access to quality health care and educational services are equally distributed among transfer recipients.

Conclusion:

Despite their shortcomings, HDCIT programmes in Latin America continue to be the most effective tool in the poverty reduction arsenal. While it is believed that income transfers will eliminate income poverty, redistributing consumption alone will not likely tackle poverty and vulnerability. Alternatively, social assistance will reduce and prevent it altogether and ought to be a multidimensional approach with effective and adaptable institutions as key components (Barrientos 2013). This all-encompassing approach toward assisting those in need will ensure that citizens are able to fully participate in society and provide the political support needed for institutional growth. Development of sound institutions rooted in welfare principles is necessary if antipoverty strategy is to make any advancement in the future (Barrientos 2013).

While great strides have been made combatting poverty in developing countries, there needs to be more research geared toward the effectiveness of HDCITs as it pertains to the concentration on only education and health. Other development areas can be explored that may have a more sizeable impact in reducing the hardship of future generations. As BF demonstrates, transfer programmes can start off small and disorganised but given technical assistance from multilateral agencies, local government support, and timely legislative reforms, the impact can be more far-reaching than ever initially envisaged. BF continues to be one of the most successful antipoverty programmes to-date. The World Bank is hopeful that with the successes of BF and other similar transfer programmes, the goal of eradicating extreme poverty by 2030 remains very much a possibility.

The main task of this paper was to demonstrate how effective HDCITs are in developing nations using BF as the sample programme. Despite the programme being in existence for over a decade, the overall results continue to be preliminary as new elements are constantly being added for improvement. Even though the findings are updated as new information comes along, the outcomes continue to be optimistic in signalling a reduction in global poverty. In order for HDCITs to have an even greater effect, they need to be accompanied by sustainable employment opportunities to ensure long-term poverty departure (Barrientos and DeJong 2006). Moreover, integration of the poor into society by way of improving their life prospects is the only way to bring about social justice and inclusion for the least advantaged. Nelson Mandela put it best when he said that overcoming poverty is not a gesture of charity; it is an act of justice. Those in the world, who can make a difference, need to do a better job at bringing about social justice for those who are unable to.

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