Social Safety Net Programs and Inequality: A Focus on the Poorest Quintile in Nigeria

Abstract: This paper conducted a quantitative assessment of the effect of social safety net programs on inequality at the same time controlling for an array of elements that may as well influence social safety net programs and inequality in Nigeria generally for the years 2010 to 2015. The paramount analytical technique engaged in the present study is ordinary least squares (OLS). In this paper, the coverage of the poorest quintile is seen as a valuation of the scale of social protection. Notwithstanding, the outcome discloses that with reference to the poorest quintile (% of population), the coverage of social safety net programs did not reduce the inequality (Gini coefficient) in Nigeria during the period this study covered. For a significant reduction in inequality (Gini coefficient), it is suggested that the government should expand the coverage of the poorest quintile as well as improve the unit value of transfers.

Keywords: poorest quintile, social safety net programs, inequality, poverty, Nigeria