Writers: Marina Andrade, Beatriz Burattini, Luca Pellerano, Fábio Veras Soares

The Arab Region faces dual challenges: high labour informality (51%) and low social protection coverage (30–36%), exacerbating vulnerabilities. This policy brief, based on the “Facilitating transition Between Social Assistance and Social Insurance: Conceptual Framework and Review of Global Good Practices for Countries in the Arab Region” report, explores policy mechanisms to integrate social assistance and insurance systems, addressing disincentives that hinder transitions to formality. Aligned with ILO Recommendations 202 and 204, it emphasizes policy coherence to avoid abrupt welfare exits or prohibitive contribution thresholds. Global practices reveal pathways to harmonize benefit design, financing, and administration, enhancing system sustainability while incentivizing formal employment. Key insights stress balancing accessibility, affordability, and incentives to expand coverage and stabilize incomes.
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