CASH TRANSFERS AND EDUCATION 91
and evaluation (a better measure, because the cash is fungible). Expenditures on education increased by a small amount during the evaluation period: from 3.9 to 5.5 percent of overall expenditures (Zambia, MCDSS/GTZ 2006, 49). Education spending varied widely across locations, however: in two of the three blocks, almost no one reported spending on education, whereas in the third block, entirely rural, the percentage of households spending some amount on education rose from 15.2 to 29.7 percent, which may reflect the required contribution from parents to the schools in rural areas (Zambia, MCDSS/GTZ 2006, 37, 49). In the pre-pilot cash transfer program in Kenya, 67 percent of households
reported spending some of the grant on school fees. Breaking down the use of the grant across expenditure categories, 19 percent of the grant was spent on school expenses (Acacia Consultants 2007). Caretakers’ claims that they spent some of the grant on school expenses were backed up by children, “who more often than not, proudly showed off new school uniforms. Many of the children who had been out-of-school said that they were now attending classes again” (CRIN 2005, 4). OAPs also appear to be affecting children’s education via spending allo-
cations. In Lesotho, 50 percent of pensioners spend some of their pension on education and associated costs (Croome 2006). In Namibia, 15.5 percent of the pension income diverted to grandchildren is spent on education-related expenses, including school funds (for building upkeep), uniforms, hostel fees, books, and exam fees (Devereux 2001, 43, 49). In the north, due to higher income levels and the higher value placed on education, the percentage of pension income going to education is 28.6 percent. There is no evidence of gender discrimination in pension income benefits (Devereux 2001, 48). Moller and Ferreira (2003) report that in South Africa, only 3 percent of the OAP was spent on educational expenses. However, a report by HelpAge International (2002, cited by Schubert et al. 2007) finds that between 30 and 40 percent (for men and women, respectively) of South African older people’s expendi- tures were on school expenses. Although one study measures pension spend- ing and the other overall expenditures, the discrepancy appears large and the reason is not clear. A less positive assessment of the impact of UCTs on schooling is found in
the simulations undertaken for 15 African countries by Kakwani, Soares, and Son (2005). The first study is an ex ante assessment of the impact of a cash transfer on national poverty and school attendance. It examines the determi- nants of school attendance based on households’ demand for education to determine the impact of the different transfer scenarios on school atten- dance. The analysis indicates that a transfer worth 0.5 percent of GDP does not bring about significant increases in school attendance rates. Even if the transfer is targeted only to the poor, the boost in attendance is negligible
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