Economic and Political Inclusion in Human Development Conditional Income Transfer Programmes in Latin America

Abstract

Most countries in Latin America have implemented human development conditional income transfer programmes to address intergenerational persistence of poverty. Typically, these programmes provide income transfers to households in poverty, conditional on children attending school and on household members attending health clinics. Evaluations have established that programmes reach their explicit short- and medium-term objectives, especially as regards nutrition, children's schooling and improved health care utilisation. It is too early to say whether they will be successful in reducing the intergenerational persistence of poverty. Crucially, this will depend on whether they contribute to the economic and political inclusion of groups in poverty. This article reviews the available literature and finds that participation in human development conditional income transfer programmes leads to improvements in productive capacity, but that favourable labour market conditions will be needed to guarantee economic inclusion. Improved political participation associated with programme participation raises the prospects for greater political inclusion.