On financing social security in the shadow of the digital age

Ruth Castel-Branco (CASAS’ member) has published an article with Sarah Cook, Arabo K Ewinyu, and Thokozile Madonko in Global Social Policy.

Abstract: Over the last decades, there has been a growing interest in the role of social protection as an instrument of inclusive growth. Much of the scholarship on the expansion of social protection has centred on the rationale for and design of policy instruments (Devereux, 2016; Ferguson, 2015; Hanlon et al., 2010; Seekings, 2008). Far less attention has been paid to how these systems should be financed. However, as the case of South Africa illustrates, without identifying new sources of financing for social assistance in particular, policy responses will inevitably be determined by the fiscal space available rather than the other way around (Hujo and McClanahan, 2009). This is particularly concerning for low- and lower-middle-income countries, where tax to Gross Domestic Product ratios are comparatively low and welfare budgets rarely surpass 4% of GDP (ILO, 2024). Ultimately, if social protection is to play a transformative role, countries must develop strategies to finance universal and adequate social protection coverage (Adesina, 2020; Mkandawire, 2011). Drawing on recent research conducted by the Southern Centre for Inequality Studies, this forum discussion reflects on innovative financing approaches in the shadow of the digital age.

Read their full article here: https://doi.org/10.1177/14680181261421808

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