IN FOCUS: 4Ps: The Implementation of Conditional Cash Transfer in the Philippines
Full text of the Executive Summary of the DSWD Monthly Report of the implementation of 4Ps as of June 2020.
“The Pantawid Pamilyang Pilipino Program (4Ps) is the pioneer conditional cash transfer program implemented in 2008 by the national government with the Department of Social Welfare and Development (DSWD) as the lead implementing agency. On April 17, 2020, 4Ps became a regular program of the national government thru the passage of Republic Act 11310 or “An Act Institutionalizing the Pantawid Pamilyang Pilipino Program”, or shortly “4Ps Act”. The law positions 4Ps as both a human capital development program and as the national poverty reduction strategy of the national government thru convergence with other pro-poor programs and services.
As of June 30, 2020, the program covers a total of 4,295,738 active household beneficiaries across 41,606 barangays in the entire country. This figure shows a 15,509 decrease from last month’s count of active households. The figure nevertheless represents 97.6% of the target 4,400,000 target households based the General Appropriations Act for fiscal year 2020.
4Ps provides cash grants to qualified household beneficiaries based on their compliance with specific conditions linked to school participation, nutrition and health services availment, and family development. However, compliance monitoring is temporarily suspended since 2020 Period 1 (February-March) in support to Proclamation No. 922, which declared a State of Public Health Emergency throughout the Philippines due to the Corona Virus Disease (Covid 19) pandemic. Thus, all monitored beneficiaries are relieved temporarily of their responsibility to comply with the conditionalities of the program.
As of June 2020, a total ₱37,009,393,100.00 have been paid to 4Ps households. Of this amount, 24.5% are education grants, 41.8% are health grants, and 33.8% are rice subsidies. Rice subsidies are additional cash transfers provided on top of the 4Ps education and health grants since year 2017 coming from the President’s State of the Nation Address in 2016.
Cash grants are delivered to 4Ps households through either cash cards or over-the-counter payments.
As of reporting period, 88.9% receive their grants through cash cards, and the remaining 11.1% are through over-the-counter (OTC) payments, most of which are from BARMM where there is an ongoing data clean up. 4Ps is continuously improving its payment modalities with a shift towards digital payments, especially during the pandemic period when close person-to-person transactions, such as OTC payouts, are discouraged.
DSWD is also presently implementing a Social Amelioration Program (SAP) that provides emergency subsidies to about 18 million low-income households affected by the progressive lockdown due to the pandemic. The subsidy ranges from 5,000 to 8,000 pesos, depending on their region of origin, based on the regional minimum wage differentials, for two months, from April to May 2020. All 4Ps households are automatically covered by the SAP. As of reporting period, DSWD successfully paid 4,241,392 4Ps households for first tranche and 1,335,711 for the second tranche.
4Ps manages three major systems: Beneficiary Updates System (BUS), Compliance Verification System (CVS), and Grievance Redress System (GRS).
BUS contains recent information on and updates to the status of household beneficiaries which serve as basis for monitoring compliance to program conditions. A total of 666,837 updates have been encoded and approved in June 2020. Most of these updates are related to household beneficiaries’ requests to update their children’s education information (84.7%) and basic information in the BUS (4.4%).
Meanwhile, CVS monitors and processes data on compliance of household beneficiaries to the conditions set by the program, which, in turn, becomes the basis for provision of cash grants. However, due to ‘force majeure’ declaration, the beneficiaries are relieved temporarily of their responsibility to comply with the conditions to enable them to receive grants to mitigate the risks and impacts of pandemic.
Lastly, GRS keeps a record of the complaints received by the program through various modes such as calls, grievance forms, social networking sites, and electronic mail. A total of 41,522 complaints have been recorded as of reporting period. Most of these complaints have already been resolved (83.66%) and are related to issues on cash card (42.9%) and on payment (32.9%). GRS also shows the total number of delisted and deactivated households. This month, 76,293 household beneficiaries have been delisted because of validation results showing that they are not qualified to receive program benefits. Another 642,918 household beneficiaries have been deactivated, and 41.7% of them are still waiting for the results of the ongoing validation.