Basic income as an innovative social protection tool

socialprotection.org

As a tool that speaks to 7 out of the 17 SDGs, basic income pilots have shown transformative effects in communities. This blog post calls for a systematic consideration of this tool in social protection schemes across humanitarian, development and peacebuilding settings.

Basic income, aka universal basic income, is a periodic cash payment unconditionally delivered to all usual legal residents in a given territory on an individual basis, without means-test or work requirements, over a prolonged period of time. It is different from traditional cash transfers, which are often targeted according to vulnerability thresholds, can be conditional, are not always regular, and can take forms other than cash. These distinctions are behind the transformative effects basic income has had in communities where it was tested.

Since the COVID-19 pandemic, basic income has gained prominence and is being discussed in parliaments across both the Global North and South. On one hand, this growing interest is driven by the efficiency of basic income in decreasing inequalities alongside the inadequacies of current social protection systems. On the other hand, it raises a rights-based question of social justice and what commitments we are making to our citizens.

As a component of an adaptive social protection system, basic income can  facilitate socio-economic recovery from pandemics, civil conflict, and natural disasters. It can also help address other long-term pressures and vulnerabilities related to informality, the future of work, and most importantly, climate change. Thanks to the flexibility of this cash grant, a basic income can contribute to moving closer to the main precepts of international aid as detailed below.

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