This paper examines the administrative efficiency of implementing the Pantawid Pamilyang Pilipino Program (4Ps) in the Philippines. 4Ps is a conditional cash transfer program designed to alleviate poverty by transferring cash to targeted poor households which must meet certain prescribed standards of behaviour, such as attending periodic medical check-ups and ensuring children attend school regularly. CCTs have been employed in numerous developing countries, with varied degrees of success.

Using data collected at a municipal level for four provinces in the Davao Region, we measured the performance of individual municipal operations offices (MOOs) implementing the programme by calculating administrative efficiency scores (between 0 and 1) and cost transfer ratios (CTR). We found that the greatest proportion of total expenditure in cash transfer programmes was direct cash transfers, which indicated an efficient use of programme funding. We obtained an average technical efficiency score of 0.905, which implied that there was significant potential to further improve the performance of delivery of 4Ps.

We have established that the estimated average annual total cost per beneficiary of $265.88 is not dissimilar to the total cost per beneficiary of other cash transfer programmes with similar design features. Although these results are not comparable due to varying institutional circumstances, it can be concluded that 4Ps was reasonably well implemented by MOOs in a cost-efficient and technically efficient manner.

 

Catubig, MC., Villano, RA, and Dollery, B. (2016) “The administrative efficiency of conditional cash transfer programmes: evidence from the pantawid pamilyang pilipino program”, Asia-Pacific Development Journal, Vol. 23(1), pp.133-158