IDB approves $750M to widen Uruguay’s child benefits and cut application delays

The programme targets an increase in coverage among economically vulnerable children and adolescents from 82.4% to 85.6%.

The Inter-American Development Bank's Board of Executive Directors has approved $750 million in financing to expand social programmes for vulnerable households with children and adolescents in Uruguay. The project is expected to benefit more than 410,000 people aged 17 and under, improving access to financial assistance and strengthening protection during pregnancy and early childhood. It combines changes to benefit payments with simpler application procedures so eligible families can receive support more quickly.

The programme targets an increase in coverage among economically vulnerable children and adolescents from 82.4% to 85.6%. Processing times for benefit applications are expected to fall from 67 days to 30 days through modernised procedures and greater use of digital technology. These improvements will help public services identify eligible households, enrol more families and manage assistance more efficiently.

A new financial support scheme will be introduced gradually, with payments reflecting household vulnerability and the different needs associated with each stage of childhood and adolescence. Enhanced incentives for pregnant women and young children will strengthen assistance during periods when economic protection is particularly important. Benefit amounts will be linked to Uruguay's Basic Food Basket, known as the Canasta Básica Alimentaria, and adjusted periodically to preserve purchasing power.

Earlier identification will expand support during pregnancy

The project includes mechanisms to identify pregnant women eligible for social assistance promptly, helping connect them with benefits earlier. Coverage assisting for at least four months of pregnancy is expected to rise from 86.7% to 95%. This expansion forms part of the programme's broader effort to strengthen economic protection during pregnancy and the early years of a child's life.

Nationwide service access will simplify benefit applications

Uruguay will expand its Single Service Window, or Ventanilla Única, nationwide to make accessing and managing benefits easier for eligible households. The work will simplify procedures and use digital tools to reduce waiting times, supporting the planned reduction in application processing times. IDB Group Representative in Uruguay Miguel Porrúa said timely assistance at critical stages of family life demonstrates the value of these initiatives, describing support for vulnerable children as a government responsibility and an investment in Uruguay's future.

Long-term financing supports better-targeted cash transfers

The operation aligns with the IDB Group's Country Strategy for Uruguay 2026–2030, supporting the well-being of vulnerable children and young people through improved cash transfers. Its focus on broader coverage, better targeting and adequate payments connects the expansion of assistance with households' economic circumstances and changing needs. The IDB loan carries a 25-year repayment term, a five-year grace period and a three-year disbursement period.