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Introducing indirect means testing for social assistance claimants

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In April 2009, the Ministry of Labour and Social Policy and the Center for Social and Economic Research CASE Ukraine conducted presentations on introducing indirect means testing for social assistance claimants. Presentations took place in Uman city of Cherkasy oblast, Kamianobridsky district of Luhansk city, Bashtanka town of Mykolayiv oblast, Koriukivka town of Chernihiv oblast, and Kitsman town of Chernivtsi oblast.
During the meetings, representatives of local authorities, mass-media and general public familiarized themselves with the project aimed at enhancing the social assistance system efficiency by introducing indirect means testing for social assistance claimants. The presentations provoked lively discussions.
Indirect means testing enables more accurate claimant’s income estimation, which should lead to improved social assistance targeting. Income estimation will be carried out upon characteristics of a household and its members, such as age, education, occupation of working-age household members, features of housing accommodations, claimant’s way of life, etc.
When applying for a means-tested social assistance, claimants should fill in the Form #1 "Household" and the Form #2 "Individual". The latter form should be filled in for every household member older 16 years.
Results of indirect means testing will not affect social assistance granting. However, the estimation will be used for claimants’ check-ups by social inspectors.
Starting April 2009, the indirect means testing method is piloted in Uman city of Cherkasy oblast, Kamianobridsky district of Luhansk city, Bashtanka rayon of Mykolayiv oblast, Koriukivka rayon of Chernihiv oblast, and Kitsman rayon of Chernivtsi oblast.
Indirect means testing is being introduced within the Social Assistance Reform Project carried out under support of IBRD and SIDA (Swedish International Development Cooperation Agency).

April 29, 2009