Publication:
Improving Payment Mechanisms in Cash-Based Safety Net Programs

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dc.contributor.authorSubbarao, Kalanidhi
dc.contributor.authordel Ninno, Carlo
dc.contributor.authorKjellgren, Annika
dc.contributor.authorQuintana, Rodrigo
dc.date.accessioned2014-04-07T16:07:48Z
dc.date.available2014-04-07T16:07:48Z
dc.date.issued2013-08
dc.description.abstractCash transfers have proliferated in the past decade as key policy instruments to tackle vulnerability and inequality. Payment mechanisms (PMs), the backbone of cash transfers, are the channels through which cash travels from the funding source to the hands of beneficiaries. In theory, the harmonization of payment flows in PMs with other program processes is critical to delivering the right benefit to the right people at the right time while minimizing costs. In reality, however, PMs tend to remain disconnected, rendering payments inefficient and plagued by error, fraud and corruption. In recent years, program operators, financial institutions, and technology innovators have developed strategies for streamlining payment flows. These innovations, if properly integrated into program management through a Management Information System (MIS) and supported by rigorous outreach, can not only promote efficiency and transparency but also ensure effectiveness. This paper provides a framework for integrating PMs within program management. It walks the reader through seven basic steps to process payments. It does so by articulating the flow of beneficiary information and funds from the point of beneficiary enrollment to payment reconciliation and grievance redress. It also looks at the framework through the lenses of different cash transfer interventions and the cases of Kenya, Rwanda, and Mexico. The paper concludes that to execute successful PMs it is key to: (i) integrate payments within an MIS; (ii) adopt a cost-effective mix of traditional and technology instruments suitable to the country's context in the short and long run; (iii) decentralize the control and accountability of service provision across government levels; (iv) understand the capacity and incentives of stakeholders; (v) provide manuals, training and information to key players; and (vi) enforce payment parameters and penalize their violation.en
dc.identifierhttp://documents.worldbank.org/curated/en/2013/08/18821509/improving-payment-mechanisms-cash-based-safety-net-programs
dc.identifier.doi10.1596/17618
dc.identifier.urihttps://hdl.handle.net/10986/17618
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesSocial protection and labor discussion paper;no. 1305
dc.rightsCC BY 3.0 IGO
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectACCESS TO BANKING
dc.subjectACCESS TO FINANCIAL SERVICES
dc.subjectACCESSIBILITY
dc.subjectACCOUNT BALANCE
dc.subjectACCOUNT INFORMATION
dc.subjectACCOUNT NUMBER
dc.subjectACCOUNTING
dc.subjectACCREDITATION
dc.subjectACCURATE INFORMATION
dc.subjectADMINISTRATIVE BURDEN
dc.subjectADMINISTRATIVE COST
dc.subjectADMINISTRATIVE COSTS
dc.subjectAFFORDABILITY
dc.subjectANNUAL PAYMENT
dc.subjectATM
dc.subjectAUTHORIZATION
dc.subjectAUTOMATIC TELLER
dc.subjectAUTOMATION
dc.subjectBANK ACCOUNT
dc.subjectBANK ACCOUNTS
dc.subjectBANK BRANCH
dc.subjectBANK BRANCHES
dc.subjectBANK TRANSACTIONS
dc.subjectBANKING CUSTOMERS
dc.subjectBANKING INFORMATION
dc.subjectBENEFICIARIES
dc.subjectBENEFICIARY
dc.subjectBIOMETRICS
dc.subjectBRIBE
dc.subjectBRIBES
dc.subjectBRIBING
dc.subjectCAPITAL INVESTMENT
dc.subjectCARD READERS
dc.subjectCARDHOLDER
dc.subjectCARDHOLDERS
dc.subjectCASH PAYMENT
dc.subjectCASH PAYMENTS
dc.subjectCASH TRANSACTION
dc.subjectCASH TRANSFER
dc.subjectCASH TRANSFERS
dc.subjectCASH WITHDRAWAL
dc.subjectCELL PHONE
dc.subjectCELL PHONES
dc.subjectCENTRAL BANK
dc.subjectCLAIM
dc.subjectCOLLECT PAYMENTS
dc.subjectCOMMERCIAL BANK
dc.subjectCOMMERCIAL BANKS
dc.subjectCOMMUNITY DEVELOPMENT
dc.subjectCORRUPTION
dc.subjectCOST SAVINGS
dc.subjectCOST-BENEFIT
dc.subjectCOUPONS
dc.subjectCREDIT COOPERATIVE
dc.subjectCREDIT COOPERATIVES
dc.subjectDEBIT CARD
dc.subjectDEBIT CARDS
dc.subjectDEPOSITS
dc.subjectDIRECT DEPOSIT
dc.subjectDISBURSEMENT
dc.subjectDISBURSEMENTS
dc.subjectELECTRONIC PAYMENT
dc.subjectELECTRONIC PAYMENTS
dc.subjectELIGIBILITY CRITERIA
dc.subjectENROLLMENT
dc.subjectEQUIPMENT
dc.subjectEXPENDITURE
dc.subjectEXPENDITURES
dc.subjectEXPENSE MANAGEMENT
dc.subjectFAMILIES
dc.subjectFINANCIAL ACCOUNT
dc.subjectFINANCIAL ACCOUNT INFORMATION
dc.subjectFINANCIAL ACCOUNTS
dc.subjectFINANCIAL ARRANGEMENTS
dc.subjectFINANCIAL INFRASTRUCTURE
dc.subjectFINANCIAL INSTITUTIONS
dc.subjectFINANCIAL INSTRUMENTS
dc.subjectFINANCIAL REGULATION
dc.subjectFINANCIAL REGULATIONS
dc.subjectFINANCIAL SERVICES
dc.subjectFINANCIAL TRANSACTIONS
dc.subjectFINGERPRINT
dc.subjectFLOW OF FUNDS
dc.subjectFLOW OF INFORMATION
dc.subjectFRAUD
dc.subjectFUNDING SOURCE
dc.subjectGENDER
dc.subjectGEOGRAPHIC BARRIERS
dc.subjectGOVERNMENT GRANT
dc.subjectGOVERNMENT PAYMENT
dc.subjectGOVERNMENT PAYMENTS
dc.subjectGROUP ACCOUNT
dc.subjectHARDWARE
dc.subjectHOLDING
dc.subjectHOUSEHOLDS
dc.subjectID
dc.subjectID CARD
dc.subjectID NUMBER
dc.subjectIDENTIFICATION
dc.subjectIDENTIFICATION CARD
dc.subjectIDENTIFICATION CARDS
dc.subjectIDENTIFICATION VERIFICATION
dc.subjectIDENTITY CARD
dc.subjectIDS
dc.subjectILLITERACY
dc.subjectINEQUALITY
dc.subjectINFORMATION FLOWS
dc.subjectINFORMATION SYSTEM
dc.subjectINFORMATION SYSTEMS
dc.subjectINSTALLMENTS
dc.subjectINSTITUTIONAL ARRANGEMENTS
dc.subjectINSTITUTIONAL CAPACITY
dc.subjectINSURANCE
dc.subjectINTENDED RECIPIENTS
dc.subjectINTERNAL CONTROLS
dc.subjectINTERNATIONAL BANK
dc.subjectINTERNATIONAL DEVELOPMENT
dc.subjectINVESTMENT COSTS
dc.subjectINVESTMENT FUNDS
dc.subjectISSUANCE
dc.subjectLEGAL ENVIRONMENT
dc.subjectLEGAL FRAMEWORK
dc.subjectLEVERAGE
dc.subjectLEVERAGES
dc.subjectLIQUIDITY
dc.subjectLOCAL CAPACITY
dc.subjectLOCAL GOVERNMENT
dc.subjectMAGNETIC STRIP
dc.subjectMAGNETIC STRIPE
dc.subjectMAGNETIC STRIPES
dc.subjectMANAGEMENT INFORMATION
dc.subjectMANDATE
dc.subjectMARKET LEVEL
dc.subjectMERCHANTS
dc.subjectMFI
dc.subjectMICRO FINANCE
dc.subjectMICRO FINANCE INSTITUTIONS
dc.subjectMICROFINANCE
dc.subjectMICROFINANCE INSTITUTIONS
dc.subjectMOBILE BANKS
dc.subjectMOBILE PHONE
dc.subjectMOBILE PHONES
dc.subjectMONEY ORDERS
dc.subjectNATIONAL BANKS
dc.subjectONLINE PAYMENT
dc.subjectOPERATING COSTS
dc.subjectOPPORTUNITY COST
dc.subjectOUTREACH
dc.subjectPASSWORD
dc.subjectPAYMENT APPLICATION
dc.subjectPAYMENT ARRANGEMENTS
dc.subjectPAYMENT AUTHORIZATION
dc.subjectPAYMENT FLOW
dc.subjectPAYMENT FLOWS
dc.subjectPAYMENT INFORMATION
dc.subjectPAYMENT INSTRUMENT
dc.subjectPAYMENT INSTRUMENTS
dc.subjectPAYMENT MECHANISM
dc.subjectPAYMENT MECHANISMS
dc.subjectPAYMENT METHOD
dc.subjectPAYMENT METHODS
dc.subjectPAYMENT ORDER
dc.subjectPAYMENT ORDERS
dc.subjectPAYMENT TRANSACTION
dc.subjectPENALTIES
dc.subjectPENALTY
dc.subjectPENSION
dc.subjectPENSIONS
dc.subjectPERSONAL IDENTIFICATION
dc.subjectPERSONAL IDENTIFICATION NUMBER
dc.subjectPOINT OF SALE
dc.subjectPOLICE STATION
dc.subjectPOSSESSION
dc.subjectPOST OFFICE
dc.subjectPOST OFFICES
dc.subjectPRIVATE BANK
dc.subjectPRIVATE BANKS
dc.subjectPROFITABILITY
dc.subjectPUBLIC FUNDS
dc.subjectRECEIPT
dc.subjectRECEIPT OF PAYMENT
dc.subjectRECEIPTS
dc.subjectRECEIVERS
dc.subjectREGULATORY ENVIRONMENT
dc.subjectREGULATORY FRAMEWORK
dc.subjectREMITTANCES
dc.subjectSAFETY NET
dc.subjectSAFETY NETS
dc.subjectSAVINGS
dc.subjectSAVINGS ACCOUNT
dc.subjectSAVINGS ACCOUNTS
dc.subjectSERVICE PROVIDER
dc.subjectSERVICE PROVIDERS
dc.subjectSERVICE PROVISION
dc.subjectSIGNATURE
dc.subjectSMALL PAYMENTS
dc.subjectSMART CARD
dc.subjectSMART CARD READER
dc.subjectSMART CARD TECHNOLOGY
dc.subjectSMART CARDS
dc.subjectSOCIAL DEVELOPMENT
dc.subjectSOCIAL SECURITY
dc.subjectSTAKEHOLDER
dc.subjectSTAKEHOLDERS
dc.subjectSTART-UP
dc.subjectSTART-UP COSTS
dc.subjectSTATE BANK
dc.subjectSTATE BANKS
dc.subjectSUBSCRIBER IDENTITY MODULE
dc.subjectSUBSCRIBER IDENTITY MODULES
dc.subjectTECHNICAL INFRASTRUCTURE
dc.subjectTECHNOLOGICAL INFRASTRUCTURE
dc.subjectTELECOMMUNICATION NETWORK
dc.subjectTELECOMMUNICATIONS
dc.subjectTRADITIONAL PAYMENTS
dc.subjectTRANSACTION COSTS
dc.subjectTRANSACTION INFORMATION
dc.subjectTRANSACTION PROCESSING
dc.subjectTRANSACTIONS COSTS
dc.subjectTRANSFER OF FUNDS
dc.subjectTRANSPARENCY
dc.subjectTREASURY
dc.subjectURBAN AREAS
dc.subjectVILLAGE
dc.subjectVULNERABLE CHILDREN
dc.subjectVULNERABLE GROUPS
dc.subjectWAGES
dc.subjectWIRE TRANSFER
dc.subjectWITHDRAWAL OF FUNDS
dc.titleImproving Payment Mechanisms in Cash-Based Safety Net Programsen
dspace.entity.typePublication
okr.date.disclosure2014-01-20
okr.date.doiregistration2025-05-05T11:28:43.914809Z
okr.doctypePublications & Research::Working Paper
okr.docurlhttp://documents.worldbank.org/curated/en/2013/08/18821509/improving-payment-mechanisms-cash-based-safety-net-programs
okr.globalpracticeFinance and Markets
okr.globalpracticeTransport and ICT
okr.globalpracticeTrade and Competitiveness
okr.guid629141468346144675
okr.identifier.externaldocumentum000442464_20140120145937
okr.identifier.internaldocumentum18821509
okr.identifier.report84081
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2014/01/20/000442464_20140120145937/Rendered/PDF/840810NWP0P132082110B00PUBLIC001305.pdfen
okr.topicFinance and Financial Sector Development::Access to Finance
okr.topicFinance and Financial Sector Development::E-Finance and E-Security
okr.topicPrivate Sector Development::E-Business
okr.topicFinance and Financial Sector Development::Debt Markets
okr.topicFinance and Financial Sector Development::Bankruptcy and Resolution of Financial Distress
okr.unitSocial Protection Team (HDNSP)
okr.volume1 of 1
relation.isAuthorOfPublication37f36848-5a74-5184-9f5a-927c0202caf7
relation.isAuthorOfPublication.latestForDiscovery37f36848-5a74-5184-9f5a-927c0202caf7
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