June 23, 2025

Current Context: The recently released World Bank report emphasizes significant gaps in global social protection coverage.

Key Highlights

  • Global Gaps: 1.6 billion people lack any form of social protection.
  • LMICs (Low- and Middle-Income Countries): Nearly 2 billion people inadequately covered.
  • LICs (Low-Income Countries): 80% have no access to social protection.
  • LMICs: Over 30% of the population inadequately covered.
  • Sub-Saharan Africa: Over 70% without any protection.
  • UMICs (Upper-Middle-Income Countries): Only 11% excluded, but due to population size, large numbers still uncovered.
  • Progress (2010–2022): Coverage in LICs & LMICs improved from 41% to 51%, mainly via cash transfers.
  • Remaining Gap: 75% of people in LICs still lack coverage.
  • Future Projections: At the current pace, full coverage of the extreme poor may take until 2043.
  • Climate Impact: Climate change could push an additional 130 million people into extreme poverty.
  • Risk to SDGs: Delay threatens achievement of Sustainable Development Goals by 2030.

Financing Gaps:

  • Global average spending:3% of GDP.
  • LICs spend only8% of GDP on social protection.
  • Policy Suggestion: Reallocate fossil fuel and agriculture subsidies to fund social protection.
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