Comparing formal and informal social protection: A case study exploring the usefulness of informal social protection in Pakistan

Abstract

In most global south countries, various informal institutions provide welfare to a large segment of the neglected, poor and vulnerable populations through informal social protection. Despite being a major source of welfare in the global south, the usefulness of informal social protection at the household level remains an under-researched area. In this exploratory study, we have determined the usefulness of informal social protection provided through religious institutions, such as madrassas and compared it with formal social protection at the household level utilising the case study of a lower-income country such as Pakistan. A mixed methodology of data collection comprising a survey and semi-structured interviews in 14 different cities of Pakistan of the poor and eligible households for receiving formal social protection was conducted for the research. The results suggest the coverage of informal social protection provided by madrassas is greater than formal social protection. The poor and vulnerable population value and considers it more useful than formal social protection. We conclude that integrating informal and formal social protection would help improve the effectiveness of social policies in developing and less developed countries.