The COVID-19 pandemic exposed major gaps in the accessibility, coverage and scalability of existing social protection systems across the region. Confronted with an unprecedented crisis, many ASEAN+3 economies were compelled to expand social protection measures rapidly—by introducing temporary ad hoc schemes and scaling up existing programs.

These swift and wide-reaching expansions placed considerable strain on the existing systems that were often ill-prepared to meet the sudden surge in demand. In particular, underdeveloped public financial management (PFM) frameworks, limited institutional capacity and resources and weak coordination systems significantly hindered governments’ ability to sustainably develop the social protection systems capable of delivering timely and effective support to those most in need. This experience highlights the critical importance of strengthening governance and fiscal management as the foundation for building resilient and scalable social protection systems.

This joint research report, led by the ASEAN+3 Macroeconomic Research Office (AMRO) in collaboration with country experts and supported by China’s Ministry of Finance Technical Assistance Funds, examines the fiscal management frameworks related to social protection systems in the ASEAN-5 economies, China, Japan and Korea.