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Mexico's Economy

Progresa: Paying Families to Send Children to School

How Mexico's 1997 Progresa programme paid poor mothers cash if children attended school and health check-ups, how its randomised evaluation proved its effects, and how it spread worldwide.

In 1997, Mexico launched Progresa (later Oportunidades and Prospera).

How it worked

  • Cash transfers to poor mothers.
  • Conditions: children attend school; families attend health check-ups.
  • Larger grants for girls in secondary school, where dropout was higher.

Randomised evaluation

  • Villages were randomly assigned to start the programme earlier or later.
  • This allowed rigorous measurement of impacts.
  • Studies found higher school enrolment, better child health and nutrition.

Why evaluation mattered

The evidence helped the programme survive changes of government, since its results were clear.

Global spread

Conditional cash transfers spread to Brazil (Bolsa Família), Colombia, the Philippines and many other countries.

End

In 2019, Mexico’s government replaced Prospera with unconditional scholarships, ending the long-running programme.

India comparison

India uses schemes like Kanyashree (West Bengal) and cash transfers linked to girls’ education, influenced by similar ideas.

The school condition

A mother in rural Chiapas receives monthly cash as long as her daughter attends secondary school, helping keep her in class instead of working.

Thinking cash transfers can't be rigorously evaluated

Progresa's randomised design proved its effects.

Key takeaways
  • Progresa (1997) gave conditional cash transfers to poor mothers.
  • Conditions required school and health visits.
  • Randomised evaluation proved benefits.
  • The model spread worldwide; Mexico ended it in 2019.
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