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Last updated: 05/5/2019

Programme Details

Programme objectives

The objectives of the Old Age Allowance (OAA) or Senior Citizen's Allowance programme are social security allowances in Nepal (including the old-age pension, single woman’s pension, the child grant, disability grant, and endangered ethnicity grant) aim to assist groups considered socially and/or economically vulnerable.

References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018.
Programme components
Components of the Old Age Allowance (OAA) or Senior Citizen's Allowance programme are senior citizens over the age of 70 are entitled to benefit from free health care services under the Senior Citizen Health Care Programme implemented by the Ministry of Health and Population, up to a ceiling of NPR4,000 per year.
References
[3] ILO. 2017. An analytical briefing on the social security sector in Nepal. International Labour Organization. Kathmandu: International Labour Organization and Ministry of Labour and Employment of Nepal. <https://bit.ly/2AjOIQy>. Accessed 16 May 2018.
Start date
1995
References
[1] Rana, Arun S. 2012. “Nepal: Updating and Improving the Social Protection Index”. Asian Development Bank. <https://bit.ly/2S1D2bV>. Accessed 16 May 2018.
Coverage
844,518 people receive the Senior Citizens Grant and an additional 209,754 dalit beneficiaries received allowances during the 2017/18 fiscal year
References
[7] Personal communication.
Programme expenditure
Expenditure: NPR15,262,512,000 (2016)
References
[8] Pension Watch Database, n.d. Database Notes. Pension Watch website. <http://www.pension-watch.net/country-fact-file/nepalhttps://bit.ly/1sNcdcp>. Accessed 16 May 2018. [10] Arruda, P.; Markhof, Y.; Franciscon, I.; Silva, W. and Bilo, C. 2020. Overview of non-contributory social protection programmes in South Asia from a child and equity perspective. Research Report No. 46. International Policy Centre for Inclusive Growth and UNICEF Regional Office for South Asia. <https://socialprotection.org/discover/publications/overview-non-contributory-social-protection-programmes-south-asia-child-and>. Accessed 22 February 2021.

Targeting and eligiblity

Targeting methods
Categorical Targeting
Geographical Targeting
References
[10] Arruda, P.; Markhof, Y.; Franciscon, I.; Silva, W. and Bilo, C. 2020. Overview of non-contributory social protection programmes in South Asia from a child and equity perspective. Research Report No. 46. International Policy Centre for Inclusive Growth and UNICEF Regional Office for South Asia. <https://socialprotection.org/discover/publications/overview-non-contributory-social-protection-programmes-south-asia-child-and>. Accessed 22 February 2021.
Targeted areas
Nationwide
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018.
Target groups
Elderly, Castes and Ethnic Groups
Eligibility criteria
Recipients must be at least 70 years old. Dalits and the residents of the Karnali region must be at least 60 years old to receive the benefit
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018.

Coverage and other information

Type of benefits
Cash
References
[10] Arruda, P.; Markhof, Y.; Franciscon, I.; Silva, W. and Bilo, C. 2020. Overview of non-contributory social protection programmes in South Asia from a child and equity perspective. Research Report No. 46. International Policy Centre for Inclusive Growth and UNICEF Regional Office for South Asia. <https://socialprotection.org/discover/publications/overview-non-contributory-social-protection-programmes-south-asia-child-and>. Accessed 22 February 2021.
Amount of benefits
Beneficiaries receive a pension of NPR2,000 plus NPR1,000 for health expenses
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018. [4] LWF Nepal. 2017. “A report on Participatory Food Security Policy Mapping in Nepal”. Lutheran World Federation Nepal and Right to Food National Network Nepal. <https://bit.ly/2CTzp3I>. Accessed 16 May 2018.
Payment/delivery frequency
Benefits are distributed by Village Development Committees (VDCs) and municipalities every four months
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018.
Benefit delivery mechanism
VDCs and municipalities distribute the money. The government plans to expand postal saving banks to all local levels and to use them as the delivery mechanism for the country's social security allowances. If beneficiaries cannot collect the money themselves, the benefits may be delivered to their home
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018. [5] MoF 2017. “Budget Speech of Fiscal Year 2017/18”. Government of Nepal Ministry of Finance. <https://bit.ly/2PCIjFb>. Accessed 16 May 2018. [6] ADB. 2012. Social Protection for Older Persons: Social Pensions in Asia. Edited by Sri Wening Handayani and Babken Babajanian. Mandaluyong City: Asian Development Bank. <https://bit.ly/2OAqTwu>. Accessed 16 May 2018.
Benefit recipients
If beneficiaries cannot collect the money themselves, the benefits may be delivered to their home
References
[6] ADB. 2012. Social Protection for Older Persons: Social Pensions in Asia. Edited by Sri Wening Handayani and Babken Babajanian. Mandaluyong City: Asian Development Bank. <https://bit.ly/2OAqTwu>. Accessed 16 May 2018.
Monitoring and evaluation mechanisms and frequency
Social Security Distric Coordination Committees, in coordination with District Development Committees, are in charge of monitoring the programme. A number of monitoring and evaluation measures are foreseen under the Strengthening Systems for Social Protection and Civil Registration Project, including three rounds of beneficiary surveys, as well as activities supporting citizen engagement and accountability for the country's social security allowances
References
[2] World Bank 2016. “Project Appraisal Document On A Proposed Credit In The Amount of SDR107.6 Million (US$150 Million Equivalent) To Nepal For A Strengthening Systems For Social Protection And Civil Registration Project”. Washington, D.C.: World Bank. <https://bit.ly/2NP6aA7>. Accessed 16 May 2018. [4] LWF Nepal. 2017. “A report on Participatory Food Security Policy Mapping in Nepal”. Lutheran World Federation Nepal and Right to Food National Network Nepal. <https://bit.ly/2CTzp3I>. Accessed 16 May 2018.
Legal Framework
Social Welfare Act, 2049 (1992)
References
[9] Government of Nepal. 2017. “Social Welfare Act, 2049 (1992)”. Government of Nepal. <http://www.swc.org.np/wp-content/uploads/2015/06/SWC-Act.pdf>

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