Azerbaijan Social Protection Development Project

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AzerbaijanSocial Protection Development Project

• Aleksandra Pošarac
• Baku, December 28, 2008

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AZ SPD is

• GOVERNMENT PROJECT SUPPORTED BY THE WORLD BANK
  (IDA)
• Total cost estimated at 54.6 million (IDA 26.7
  million and Government 27.9 million)
• To be implemented over 4.5 years by the Ministry
  of Labor and Social Protection of the Population
  (MLSPP) and State Social Protection Fund (SSPF)

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Project objective

• The project objective is to
• improve delivery of labor market and social
  protection interventions through
• strengthened institutions,
• enhanced institutional and human resources
  capacity, and
• improved targeting of social safety net programs.

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SPDP components

• Three key components
• Component One Labor market development
• Component Two Capacity building of the MLSPP
  and development of social safety net programs
• Component Three Development of the pension system

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Labor market development

• Improve functioning of labor markets trough
• Modernization of labor market institutions
• Renewal of the National Employment Services
• Programs to facilitate school to work
  transition for the young and professional
  orientation and career counseling services for
  both youth and adult population.

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What do we expect to achieve?

• Improvements in labor market regulations,
  including the Labor Code and regulation of labor
  migration
• Better occupational safety at the work place
• Labor Inspectorate will work better
• 200 occupational and 100 training standards will
  be developed and implemented
• Labor market information system will be improved
• At least 40 percent of the job seekers will be
  served by relevant and good quality services
  provided by the NES
• Young people will receive career guidance and
• Unemployed youths will have access to programs to
  ease their transition to employment.

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MLSPP Capacity Building

• Establishment of a corporate MIS in the MLSPP and
  monitoring and evaluation
• Strengthening Targeted Social Assistance
• Restructuring of the Disability Certification
  Service
• Piloting of integrated provision of social
  protection programs.

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What will be achieved?

• MLSPP will have an MIS with real time connection
  integrating all business processes in the MLSPP
  and its affiliated agencies
• ME unit within the MLSPP will be established and
  functioning
• Targeted Social Assistance programs will perform
  well, reaching 70-80 percent of the very poor
  population
• DCS will have an updated legal framework, new
  organizational and governance structure, renewed
  operational guidelines, well trained staff and
  automated business processes and
• Piloted centers for integrated provision of
  social protection interventions will be fully
  functional.

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Pension system development

• The Governments objective is to develop n
  affordable and fiscally sustainable pension
  system that will protect the elderly against
  poverty.
• This component will assist the Government in
• performing a comprehensive analysis of the
  current pension system
• formulating options for its long term development
  and modeling their fiscal and welfare
  consequences
• based on the chosen option, preparing a detailed
  strategy in the form of the White Paper on the
  Pension System Development
• developing a detailed action plan and
• implementing the strategy.

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What will be achieved?

• By the end of the project
• a strategy for the long-term development of the
  pension system with an action plan will have been
  developed
• approved, and
• its implementation will have been advanced to
  include regulatory and administrative framework,
  development of pension system institutions, human
  resources capacity building, with particular
  focus on actuarial skills, public information
  campaign, etc.

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• THANK YOU.