# **<u>Contents</u>**

|**1.**<br>**Introduction**.......................................................................................................................................... 3|
|---|
|**2.**<br>**Social Protection and the Changing Development Landscape: Poverty, Inequality and**<br>**Vulnerability**................................................................................................................................................. 4|
|**3.**<br>**Social Protection and Poverty Reduction Around the World**............................................................. 9|
|**4.**<br>**Social Protection Targets for Poverty Reduction**.............................................................................. 19|
|**5.**<br>**Conclusion**.......................................................................................................................................... 22|
|**References**.................................................................................................................................................. 25|
|**Annex 1: Measuring the Effect of Social Protection on Poverty**.............................................................. 28|
|**Annex 2: List of Countries for which ASPIRE Indicators are Available (Most Recent Survey)**................ 29|
|**Annex 3: Coverage by Social Protection, % of Population and % of Poorest Quintile**............................ 31|
|**Annex 4: Impact of Social Protection on Poverty and Inequality Indices (% Reduction)**........................ 33|
|**Annex 5: Decomposition of Poverty Gap Reduction by Social Protection Programs**.............................. 35|
|**Annex 6: Poverty Gap Changes with Differing Efficiency Scenarios, Low Income Countries (LIC)**.......... 38|
|**Annex 6 (cont.): Poverty Gap Changes with Differing Budget Efficiency Scenarios, Lower Middle**<br>**Income Countries (LMIC)**............................................................................................................................ 39|
|**Annex 6 (cont.): Poverty Gap Changes with Differing Budget Efficiency Scenarios, Upper Middle**<br>**Income Countries (UMIC)**........................................................................................................................... 40|
|**Annex 6 (cont.): Poverty Gap Changes with Differing Budget Efficiency Scenarios, High Income**|
|**Countries (HIC)**........................................................................................................................................... 41|
|**Annex 7: Official**L**ist of**C**urrent MDG**Goals, Targets and I**ndicators**<sup>**2**</sup>**.........................................................42**|

# **<u>Table of Figures</u>**

|Figure 1: Percent covered by Main Types Social Protection Programs by Regions .................................... 10|
|---|
|Figure 2: Poverty Headcount Reduction By Social Protection, By Region And Income Level (At|
|$1.25/Day/Person) ...................................................................................................................................... 13|
|Figure 3: Graph Of Poverty (Post-Transfer) And Poverty Headcount Reduction By Social Protection ...... 13|
|Figure 4: Graph OF Poverty Gap Reduction By Social Protection (% Of Pre-Transfer Poverty Gap Filled, At|
|$1.25/Day)) ................................................................................................................................................. 14|

> 2 The Millennium Development Goals and targets come from the Millennium Declaration, signed by 189 countries, including 147 heads of State and Government, in September 2000 (http://www.un.org/millennium/declaration/ares552e.htm) and from further agreement by member states at the 2005 World Summit (Resolution adopted by the General Assembly - A/RES/60/1, http://www.un.org/Docs/journal/asp/ws.asp?m=A/RES/60/1). The goals and targets are interrelated and should be seen as a whole. They represent a partnership between the developed countries and the developing countries “to create an environment – at the national and global levels alike – which is conducive to development and the elimination of poverty”. Source: http://mdgs.un.org/unsd/mdg/host.aspx?Content=indicators/officiallist.htm

2