Project "Strengthening the social protection system in Uzbekistan"

In order to improve the mechanisms for including the poor and vulnerable groups of the population in the social assistance system and expand their participation in the labour market, the Ministry of Employment and Labour Relations, together with the Ministry of Finance, is implementing a project called “Strengthening Social Protection System” with the participation of the World Bank.

On July 19, 2019 the Republic of Uzbekistan and the International Development Association signed a financing agreement No. 6446-UZ for the allocation of a loan in the amount of 50 million USD.

The project is being implemented in accordance with the "Roadmap" for the implementation of agreements during the visit of the Vice President of the World Bank to Uzbekistan on July 18-19, 2019, as well as under the program of cooperation with IDA/ IBRD for 2020-21.

The project implementation period is 5 years (2020-2024).

The beneficiaries are able-bodied unemployed members of poor families, unemployed persons registered with employment promotion centers (EPC), and start-up entrepreneurs.

This project consists of three components:

I. Modernization of the social assistance system, which includes measures to:

a) the introduction and deployment of a unified social register, as well as the transition to a national social register;

b) support in strengthening the social assistance system by increasing the effectiveness of social benefits for low-income families;

c) support in the design, implementation and evaluation of the pilot cash benefit;

d) support to improve the control, accountability and transparency of the social benefit system.

II. Improving the effectiveness of programs aimed at revitalizing the labor market, including:

a) training activities aimed at recipients of subsidies for starting a new business, as well as recipients of preferential microcredits for unemployed persons, in order to increase the profitability and success of their business,

b) financial support for the implementation of labour market programmes aimed at promoting employment and entrepreneurship, as well as reducing unemployment by providing subsidies to employers and unemployed persons.

c) improving the labour market information system (LMIS), including integration with the national vacancy platform, building the capacity of IT departments of the MELR and modernizing ICT resources in the EPC;

d) technical assistance to the EPC in the development and implementation of a strategy to reach out to private business entities to provide services and programs to promote employment, strengthen labour inspection, reduce errors and abuse using modern IT technologies;

e) development of an individual approach methodology and effective tools for profiling service recipients, regular trainings for employees of the EPC.

III. Monitoring and project management, including:

a) measures to strengthen monitoring of interventions in the labour market, increase the capacity of the Republican Scientific Center under the Ministry of Labour in assessing the impact of existing programs, surveying the demand for qualified personnel, assessing the business processes of labour authorities, surveying the beneficiaries of the programmes;

b) arrangements for project management and monitoring of all three components.

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