CONCLUSIONS 171
errors. Targeting has improved since these requirements were relaxed in practice. The fact that the level of coverage is so high in South Africa means that there are far fewer exclusions that have to be negotiated at the com- munity level. In Kenya, Malawi, and Zambia, regional and local committees supervise community-based targeting systems, applying a set of common criteria and processes. Although not without their flaws, these community-based pro- cesses are reported to generally work smoothly and provide a basis for con- sensus rather than conflict; this is important when just a small portion of the population will receive assistance. These processes appear to have performed reasonably well with respect to identifying AIDS-affected households to receive benefits. However, concerns remain that they are missing some of the very poor and that they may not be sufficiently effective and cost-efficient. They involve a substantial amount of transaction costs and capacity building to implement, which is a challenge as programs scale up to a national level. Nonetheless, given the variation in household conditions and the complex configurations of deprivation and dependency, a generic targeting formula using standard poverty proxy indicators applied uniformly would probably produce errors. Complexity is better managed at a local level, with communi- ties better positioned to judge circumstances and give such attention to detail—as long as the committees are strong and impartial and checks and balances are functioning. A study comparing different targeting methods in Zambia (Watkins 2008) concludes that categorical targeting is less expensive than a proxy means test but that additional criteria are needed to identify the poor. The study found that in two out of three districts, community-based methods (compared with poverty deciles) were effective in identifying the poorest households, whereas in one they were not. The poorly performing district had less easily identifiable ultra poor and more clustering around the mean. The study authors therefore recommended that methods be selected based on local conditions, moving from geographic targeting to community- based targeting to proxy means tests as the prevalence and severity of pov- erty decrease. Several additional conclusions emerge from recent experience with tar-
geting. First, the right balance must be found between using an equitable, uniform process of applying the criteria and a qualitative assessment that catches errors of application or what the other criteria miss. Second, pro- grams should consider giving the transfer primarily to women or the desig- nated primary caregivers of children, as in the Latin American and South African models; this contributes to improvements in women’s status and that of children. It would also ensure that women in polygamous households are not disadvantaged. Third, special design features, or other forms of assis-
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