Publication:
The Role of Cash Transfers in Smoothing the Income Shock of COVID-19 in the Arab Republic of Egypt

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dc.contributor.authorGansey, Romeo
dc.contributor.authorGenoni, Maria Eugenia
dc.contributor.authorHelmy, Imane
dc.date.accessioned2023-05-16T13:42:59Z
dc.date.available2023-05-16T13:42:59Z
dc.date.issued2023-05-16
dc.description.abstractThe COVID-19 pandemic impacted the Arab Republic of Egypt’s economy and its people in many ways. By combining micro-simulations and imputation techniques, this paper models early impacts of the pandemic on household income and the role of cash transfers from the Government of Egypt in supporting households and workers. As expected, and consistent with other evidence, the estimates show that the pandemic shock decreased labor incomes and increased income poverty in Egypt. It was estimated that in fiscal year 2020, average household income per capita contracted by about 1.7 percent, and income poverty was about 2.2 percentage points higher, compared to a non-COVID-19 scenario for the same year, using the international poverty line of $3.65 a day (2017 purchasing power parity). Labor income losses were widespread across the country, disproportionately affecting informal workers. The results also suggest that expanded social protection cash transfers and targeted cash assistance to Egypt’s informal and tourism sectors played a substantial role in smoothing the initial labor income shock. In the absence of compensatory cash transfers, income poverty would have been 1.1 percentage points higher. The compensatory measures, in particular the cash transfer programs Takaful and Karama, preferentially protected rural households due to the programs’ targeting rules. Thus, households in urban areas were significantly more likely to become income poor, compared to those in rural settings.en
dc.identifierhttp://documents.worldbank.org/curated/en/099510005092319513/IDU03a208a5c0b3210421509d7e0dbc1ff0a1f60
dc.identifier.doi10.1596/1813-9450-10440
dc.identifier.urihttps://openknowledge.worldbank.org/handle/10986/39812
dc.languageEnglish
dc.language.isoen
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Reserch Working Papers; 10440
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttps://creativecommons.org/licenses/by/3.0/igo
dc.subjectCOVID-19 PANDEMIC IMPACT
dc.subjectMICROSIMULATION
dc.subjectINCOME POVERTY
dc.subjectLABOR INCOME
dc.subjectCASH TRANSFER
dc.subjectTARGETED CASH TRANSER TO INFORMAL WORKERS
dc.subjectTRANSFERS TO TOURISM WORKERS
dc.titleThe Role of Cash Transfers in Smoothing the Income Shock of COVID-19 in the Arab Republic of Egypten
dc.typeWorking Paper
dspace.entity.typePublication
okr.crossref.titleThe Role of Cash Transfers in Smoothing the Income Shock of COVID-19 in the Arab Republic of Egypt
okr.date.disclosure2023-05-09
okr.date.lastmodified2023-05-09T00:00:00Zen
okr.doctypePolicy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/099510005092319513/IDU03a208a5c0b3210421509d7e0dbc1ff0a1f60
okr.guid099510005092319513
okr.identifier.docmidIDU-3a208a5c-b321-4215-9d7e-dbc1ff0a1f60
okr.identifier.doi10.1596/1813-9450-10440
okr.identifier.doihttp://dx.doi.org/10.1596/1813-9450-10440
okr.identifier.externaldocumentum34059321
okr.identifier.internaldocumentum34059321
okr.identifier.reportWPS10440
okr.import.id688
okr.importedtrueen
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/099510005092319513/pdf/IDU03a208a5c0b3210421509d7e0dbc1ff0a1f60.pdfen
okr.region.administrativeMiddle East and North Africa
okr.region.countryEgypt, Arab Republic of
okr.sectorCentral Government (Central Agencies)
okr.topicPoverty Reduction::Poverty Monitoring & Analysis
okr.topicSocial Protections and Labor::Safety Nets and Transfers
okr.topicSocial Development::Poverty and Social Impact Analysis
okr.unitEFI-MNA-POV-Poverty and Equity (EMNPV)
relation.isAuthorOfPublication67ecac67-506a-57af-bdc9-ce6115e18157
relation.isAuthorOfPublication.latestForDiscovery67ecac67-506a-57af-bdc9-ce6115e18157
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