Strengthening Armenia’s Social Safety Net
Strengthening Armenia’s Social Safety Net
Armenia’s social safety net (SSN) performed well during recent economic shocks. It provided protection to the vulnerable and helped contain poverty and inequality during the COVID crisis. More recently, it also ensured emergency humanitarian support to ethnic Armenian refugees from the NK region in the wake of regional tensions. However, when assessed against standard measures of quality of social assistance programs, Armenia’s SSN has room for improvement in terms of coverage, adequacy and targeting of certain programs. Strengthening the SSN will help build automatic stabilizers, support fiscal sustainability amidst growing expenditure pressures and improve the economy’s resilience in the face of shock. The paper discusses the areas in which Armenia’s SSN needs strengthening.