The World Bank’s Board of Directors has approved a new project to strengthen social protection and expand economic opportunities in the municipality of São Paulo, Brazil’s largest city. The initiative aims to increase access to social assistance services for vulnerable populations, modernize the city’s social protection infrastructure, and improve the systems that support residents living in situations of risk and social exclusion. It also seeks to connect vulnerable groups, particularly young people, with better education, skills development, and employment opportunities.
The project includes a US$131.8 million loan from the World Bank, complemented by US$100 million in funding from the Municipality of São Paulo, bringing the total investment to US$231.8 million. Through combined investments in service delivery, digital modernization, and improved infrastructure, the initiative aims to enhance the quality, coverage, and responsiveness of the city’s social assistance network while promoting resilience, social inclusion, and greater participation in the economy.
The program is expected to directly benefit around 500,000 people who are currently enrolled in services provided by the Municipal Secretariat for Assistance and Social Development. In addition to expanding services, the project will track improvements in citizen satisfaction and increase the use of digital systems for managing social assistance programs, making services more efficient and accessible.
A key focus of the initiative is supporting at-risk populations, including individuals experiencing homelessness and youth facing social and economic vulnerabilities. The project will promote the reintegration of unhoused individuals through access to housing vouchers and specialized support services. It will also provide targeted programs for young people, including digital skills training and behavioral health support, helping them develop the competencies needed for better employment opportunities. In addition, the initiative will introduce an adaptive social protection approach to help vulnerable families better cope with climate-related shocks.
The project will also modernize the delivery systems that support social protection and health services across the city. This includes upgrading information technology systems to allow electronic records and improved case management, renovating and expanding infrastructure within the Unified Social Assistance System and the Unified Health System, and strengthening services for people with disabilities. By investing in both people and institutional systems, the project aims to make São Paulo’s social protection network more inclusive, efficient, and capable of supporting long-term social and economic opportunities for vulnerable residents.
