The Payment System Used by Auxilio Emergencial : Introduction of the Digital Social Account, and the Banking of More than 100 Million People in 9 Months
The auxilio emergencial (AE) was the main social policy in response to the Coronavirus disease 2019 (COVID-19) crisis in Brazil, and one of the most vigorous in the world, both in terms of its generosity, speed, and coverage, as well as because of...
| Main Authors: | , , , , |
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| Format: | Report |
| Language: | English |
| Published: |
World Bank, Brasilia
2022
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/undefined/099220001172241336/P17483605a26c50ed08d8308704d9b317a1 http://hdl.handle.net/10986/36837 |
| Summary: | The auxilio emergencial (AE) was the
main social policy in response to the Coronavirus disease
2019 (COVID-19) crisis in Brazil, and one of the most
vigorous in the world, both in terms of its generosity,
speed, and coverage, as well as because of the program’s
auspicious design. The AE payment system combined Caixa’s
historical experience, responsible for operating the payment
of social transfers such as Bolsa Familia, with innovative
solutions. These allowed the use of a 100 percent digital
means of payment and with an incentive to save, which
contributed to the largest collection of savings in the
Brazilian historical series. AE utilized three entry
channels: (a) automatic selection of Programa Bolsa Família
(PBF) beneficiaries who will be eligible to receive more
significant benefits through the AE program; (b) the
automatic selection of people registered in the largest
administrative registry of Brazilian social programs but who
were not beneficiaries of the PBF; (c) passive selection
based on requests submitted through the app developed by
CAIXA for this purpose, which led to the creation of a new
temporary registry (the ExtraCad). The AE was created to be
a temporary program, with an expected duration of only three
months. However, the benefit was reissued in 3 versions
(each with its legal diploma) which share the same
operational structure, although they maintain significant
differences in their rules and procedures. |
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