Temporary Basic Income (TBI)

Submitted by mmarquez on Tue, 08/11/2020 - 10:03

UNDP (23.07.2020) This paper provides estimates for a Temporary Basic Income (TBI), a minimum guaranteed income above the poverty line, for vulnerable people in 132 developing countries. A TBI amounts to between 0.27 and 0.63 per cent of their combined GDPs, depending on the policy choice: i. top-ups on existing average incomes in each country up to a vulnerability threshold; ii. lump-sum transfers that are sensitive to cross-country differences in the median standard of living; or, iii. lump-sum transfers that are uniform regardless of the country where people live. Unconditional emergency cash transfers can mitigate the worst immediate effects of the COVID-19 crisis on poor and near-poor households that do not currently have access to social assistance or insurance protection. A temporary basic income is within reach and can inform a larger conversation about how to build comprehensive social protection systems that make the poor and near-poor more resilient to economic downturns in the future.

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