Photo: Peru Fighting Poverty
The Inter-American Development Bank (IDB) has approved a $30 million loan to the government of Peru to support social sector reform. It is the third of three loans to foster human capital development and increase employment opportunities.
The goal of this third phase is to support government efforts to consolidate policy instruments used in its anti-poverty and social inclusion strategy. In particular, it intends to consolidate the National Program of Direct Support for the Very Poor (Juntos), which aims to interrupt the transmission of poverty from one generation to another.
The operation also supports the government’s Comprehensive Health Insurance Program, which provides health services for people not covered by Social Security; improves participants’ employability through job-training programs, such as Trabaja Perú, Jóvenes a la Obra, and the One-Stop Employment Promotion Window. In addition, it will strengthen the Household Targeting System (SISFOH).
The first two phases of the loan program were approved in 2009 for $50 million and in 2010 for $100 million. During these early phases, the government sought to raise program efficiency and extend coverage by improving operating processes, information systems, monitoring, and evaluation.