The conditional cash transfer program on paper is a laudable initiative that aims to break the poverty cycle through regular health and educational grants to millions of the country’s households. If implemented properly, the program would produce more educated young people and a healthier population, and eventually contribute to economic growth.
The Asian Development Bank early this week approved another $400-million loan to the Philippines to finance the expansion of the conditional cash transfer program to include more high school students. The ADB considers the program critical to reducing the high rate of poverty incidence in the Philippines, saying an “impact evaluation shows that the CCTs are keeping vulnerable young people at school, opening the door to a better future.”
ADB’s evaluation report or its source, however, should be verified by another reputable agency, perhaps by the Commission on Audit, because of allegations that the program is being used as a political instrument to win votes.
By ADB’s own account, the number of CCT partner beneficiaries has increased from 340,000 since the program’s inception in 2008 to more than 4.4 million at the end of 2015, making it the fourth largest in the world after similar programs in India, Brazil and Mexico.
“The program has expanded rapidly since it began in 2008 and has evolved over time based on lessons and experience,” says the bank.
The CCT program, known locally as Pantawid Pamilyang Pilipino, provides grants to poor families if they send their children to school, visit health centers and attend family development sessions. It is designed to serve as an investment in human development that pays off when healthier and better educated young people grow up to get better jobs and break out of the poverty trap.
But the program is far from being a success, judging by the still-high poverty incidence rate, as reflected in the ugly sight of street children begging for money in many parts of the country and the number of homeless people and informal settlers. Perhaps this administration or the incoming one should form a review body to effectively monitor the CCT program and depoliticize it starting from the barangay level.
