Program scale and cost

Administrative costs and program coverage

Comparison of programs’ administrative costs and program coverage

Comparison of programs’ administrative costs and program coverage
The preceding graph shows CT programs’ administrative costs as a percentage of total program costs and the number of households covered in the programs. The Sub-Saharan African programs with available data tend to have higher administrative costs and lower coverage when compared with transfer programs in other regions. This trend is due to the small scale of many Sub-Saharan African programs, and it highlights the potential efficiency gains that can be achieved as Sub-Saharan African programs increase in scale. Administrative costs in Sub-Saharan African CTs are also expected to decline as programs improve their basic systems and capacities and capitalize on synergies with other social protection programs.

Comparison of CT cost and GNI per capita for programs around the world

Comparison of CT cost and GNI per capita for programs around the World
The preceding graph illustrates how the costs of CT programs in Sub-Saharan African countries compare with costs of similar programs around the world in relation to countries’ per capita gross national income (GNI). These other programs include CCTs, pensions, and UCTs. In general, the costs of selected CTs in relatively wealthier countries represent a smaller percentage of their GDP than those in less wealthy countries. Of course, these measures are a function of the CT programs’ coverage, transfer size, and efficiency.