The Challenges of El Salvador’s Conditional Cash Transfer Programme, Red Solidaria

Abstract

In the context of the increasing prominence of conditional cash transfers (CCTs) in the development agenda of many developing countries, this Country Study provides an analytic overview of the challenges faced by El Salvador’s CCT programme, Red Solidaria, (Solidarity Network). The purpose is to generate an information base for comparative studies on the prospects and potential difficulties of implementing CCTs in country settings different from those of the pioneer programmes, such as in Brazil and Mexico. The study describes Red Solidaria´s origins and components and discusses major aspects of its design and implementation. A particular emphasis is placed on the programme’s co-responsibilities, exit rules and targeting strategy. The study also covers the topics of institutional structures, intersectoral coordination and political support for such programmes. The conclusion is that Red Solidaria is an informative example of how a small country with limited resources can successfully set up a complex CCT programme. Still, the study notes that there are pending issues and remaining challenges for the programme. These relate, in particular, to strengthening mechanisms of local participation; coordinating the CCTs with other dimensions of Red Solidaria, such as productive projects; lengthening the duration of benefits for meeting human-capital objectives; clarifying eligibility requirements and how changes in family conditions can affect such requirements; and distinguishing conditionalities from ordinary programme co-responsibilities. An issue of overriding importance is to develop a broader long-term social protection strategy for El Salvador, with which CCTs would be integrated instead of being regarded as a stand-along programme.