Amid mounting living pressures weighing on Egyptians due to the economic crisis, thousands of families benefiting from the “Takaful and Karama” program are facing a compounded hardship after the suspension or halt of their pension payments in recent months under the pretext of data updates and eligibility reassessment. As review procedures continue without a clear timeframe, these families—already living below the poverty line—are left confronting an uncertain fate. Waiting periods stretch for months and may exceed a full year, exacerbating their inability to cover education costs, housing, and basic utilities.
Recently, appeals and protests have intensified on social media groups dedicated to Takaful and Karama beneficiaries due to the suspension of payments for hundreds of affected individuals living below the international poverty line, estimated by the World Bank at about $3 per person per day (approximately 142 Egyptian pounds). Their monthly incomes do not exceed Egypt’s national poverty line, which stood at 857 Egyptian pounds per person per month according to data from the Central Agency for Public Mobilization and Statistics for 2019/2020. Unofficial estimates for 2024 indicate that this threshold has risen to more than 1,400 Egyptian pounds per month due to inflation.
Aida Hassan, a woman in her forties and a former beneficiary of the Takaful and Karama program, recounts that she applied for a pension in her name due to the absence of a stable household income. The family, which includes children at various educational stages, had relied on her husband, a kidney patient whose health later deteriorated. After submitting the required documents, she was enrolled in the program in 2020.
Over five years, Aida—who lives with her three children and husband in a single room within her in-laws’ old-rent apartment consisting of two rooms and a hall, without independent housing, agricultural land, or personal property, and where even household appliances belong to her husband’s mother—relied on the Takaful and Karama pension to cover her children’s education expenses. However, the value of the pension fluctuated depending on the children’s ages and educational stages, with portions deducted when each daughter reached eighteen or entered university, until payments were limited to the youngest daughter only.
The “Takaful and Karama” program is one of Egypt’s most prominent conditional cash transfer initiatives, supervised by the Ministry of Social Solidarity to provide financial assistance to the poorest families and individuals, focusing on the most vulnerable and those in extreme poverty. The program relies on educational and health conditions to promote sustainable development and currently covers about 4.7 million families.
It targets two types of support: “Takaful,” which assists poor families with children from birth up to age 26, including children of divorced women, widows, and prisoners; and “Karama,” which provides individual support to the elderly aged 65 and above, persons with disabilities, orphans, female heads of household without children, and unmarried women over 50. Women constitute approximately 75 percent of beneficiary household heads, while men represent 25 percent.
Since last December, Aida was surprised to find her pension suspended under the label of “reassessment.” Despite submitting family registry documents, school certificates, and evidence confirming the absence of stable income or social insurance for her husband, the online inquiry still indicates that her file is under reassessment. This has led to accumulated debts due to education expenses and the rise in old-rent payments to about 400 Egyptian pounds per month, excluding utilities. The family depends on irregular income earned by her ill husband through occasional simple work, in addition to limited financial assistance from relatives.
“I submitted an online complaint to the Ministry of Social Solidarity’s website on February 10, 2026, under number 2059896, attaching the required documents, but I have not received any response to date. I tried to inquire at the Social Administration office in Dar El-Salam, Cairo, but the employee told me the pension was assistance from the state that has ended, and they refused to allow me to file a grievance,” she told Zawia3.
She explains that the suspension has directly affected her ability to finance her daughters’ education—one enrolled in a public technical institute and the other in preparatory school—as she had relied primarily on the cash support to cover tutoring, rent, and utilities. She also described the impossibility of arranging marriage expenses for her eldest daughter given limited resources. She is currently unemployed and suffers from a prior foot injury that prevents her from standing for long periods. She calls on officials to reassess her case fairly and transparently, as she continues to endure difficult living conditions.
Abir Hamdy, a woman in her fifties and mother of three daughters in primary, preparatory, and secondary education, shares similar hardship. The Takaful and Karama pension had helped her cover educational costs and part of the family’s obligations, such as water, electricity, and gas bills, over five years. However, payments stopped at the beginning of 2026, worsening their living conditions. Her husband works in irregular employment, and the family rents an apartment for 1,800 Egyptian pounds per month.
Abir attempted to follow up through the Social Affairs office in Kafr Shukr, Qalyubia governorate, but officials informed her that the pension was suspended pending “reassessment,” despite her submission of all required documents, including school certificates, agricultural association papers confirming no land ownership, and public and private insurance documents, as she told Zawia3.
Her efforts to obtain support through the hotline 19680 were unsuccessful, and she was unable to file a formal online complaint on the Ministry’s website under number 11614498 due to lack of knowledge about grievance procedures. She says the suspension has affected her ability to pay for tutoring and daily household expenses, placing the family under severe financial strain, particularly with the arrival of Ramadan.
Program eligibility conditions require beneficiaries to be Egyptian nationals permanently residing in Egypt and not employed in government positions or receiving another pension exceeding the minimum threshold. The “Takaful” program requires monitoring children’s health up to age six and at least 80 percent school attendance. The “Karama” program requires proof of inability to work for persons with disabilities and periodic life verification for the elderly. Families may combine both types, with a maximum of two children under Takaful.
Beneficiaries receive monthly cash assistance averaging 900 Egyptian pounds per family, with a minimum of 700 Egyptian pounds, and a 25 percent increase effective April 2025 continuing into 2026. An additional grant of 400 Egyptian pounds is provided for Ramadan and Eid al-Fitr 2026 to approximately 5.2 million families. Payments are disbursed via smart cards through post offices, ATMs, and point-of-sale terminals.
For two years, the family of Ahmed Abbas, residing in the Raml Thani district of Alexandria, received Takaful and Karama support and regularly submitted required documentation as part of the Ministry’s follow-up procedures. However, in March 2025, payments were suddenly suspended due to reassessment, without clear information from authorities. Despite submitting multiple inquiries and an online complaint on April 23 of last year under number 1818409, attaching all required documents, payments remain suspended.
“I am part of irregular labor, and neither my wife nor I own any property or assets. We relied on the 700 Egyptian pounds pension to cover part of our 1,500 Egyptian pound rent. I have two children, one in preparatory school and the other in primary school. The suspension has directly impacted our living conditions and placed us under severe financial pressure,” he told Zawia3.
Throughout the past year, Ahmed repeatedly visited the Social Solidarity Directorate in Raml Thani, Alexandria, to inquire about the suspended pension, but was consistently told “there is no news” or “no information available.” Despite submitting required documents, all attempts to restore payments were rejected, he confirms.
The crisis facing families affected by the suspension of Takaful and Karama pensions emerges as an urgent humanitarian and social issue, reflecting challenges facing social protection programs and hindering cash support from reaching the most vulnerable. This comes as the government announces expansion of the social safety net and a 17 percent increase in support allocations compared to the previous year, within a new social protection package costing 40.3 billion Egyptian pounds until June 2026. The package includes additional cash support before Ramadan, along with other programs in health, education, and economic empowerment. The total social protection budget for fiscal year 2025–2026 amounts to 742.6 billion Egyptian pounds, including 54 billion allocated for cash support.
The newly announced package includes exceptional grants for Ramadan and Eid al-Fitr, providing 400 Egyptian pounds to ration card families and 300 Egyptian pounds to child pension beneficiaries and rural female pioneers, targeting 10 million ration card families and 5.2 million Takaful and Karama families at a total cost of 12 billion Egyptian pounds. It also includes health services for children, pregnant women, and persons with disabilities; development projects such as digital savings and marketing programs; support for small enterprises; assistance for irregular workers, children in care homes, the elderly, and persons with disabilities.
Additional support programs include the “Feeding” initiative providing daily meals to more than 500,000 individuals monthly; the “Mawadda” program preparing youth for marriage; literacy programs for Takaful beneficiaries; integrated cards and services for persons with disabilities; and development of national nurseries serving approximately 1.7 million children. Social Security Law No. 12 of 2025 was introduced to guarantee the right to support, alongside partnerships with the World Bank and UNICEF to strengthen social protection programs.
Pensions Stripped Under the Law: Children with Disabilities as Victims of Guardianship in Egypt
Suspension of Payments: A Source of Hardship for Families
Dr. Adel Amer, Director of the Egyptian Center for Political, Economic and Social Studies, explains that the suspension of Takaful and Karama pensions under the label of reassessment and data updating is linked to a periodic administrative procedure carried out by the Ministry of Social Solidarity to review beneficiaries’ data and verify the continued applicability of eligibility criteria in accordance with the law. He told Zawia3 that reassessment includes reviewing income, social status, property ownership, employment data, and insurance records through electronic linkage using the national ID number. During this phase, the system may display the status “suspended,” meaning the file is under review or awaiting documents or an administrative decision. This does not necessarily mean permanent cancellation of the pension.
He clarifies that among the main legal grounds for suspending payments are failure to update data when requested by the competent authority, the appearance of new income, a government job, another pension, a commercial registration, agricultural landholding, ownership of property or a vehicle, or a registered inheritance. These indicators are considered evidence of financial capacity exceeding the legally prescribed eligibility threshold. He notes the existence of common administrative errors in some cases, such as name similarities, incorrect national ID registration, or mistakes in linking with insurance or traffic databases, leading to administrative suspension without an objective legal basis.
“The prolonged suspension in some files is due to file pressure, staff shortages, slow review procedures, centralized audits, and technical problems within the system. These issues appear particularly in cases involving widows, female heads of household, and the elderly,” he says.
He stresses that the legal position is clear: pensions cannot be suspended for those proven eligible without a declared reason. Beneficiaries have the right to know the reason for suspension, submit a formal grievance for reconsideration, and resume payments if eligibility is confirmed. He advises affected individuals to visit the competent social unit with required documents, submit grievances through official channels, follow up using a reference number, and escalate complaints to higher authorities if there is no response.
Amer believes that reassessment may indeed lead to a reduction in beneficiary numbers if some cases are found to exceed financial thresholds due to newly recorded income or assets, which legally requires exclusion. However, he emphasizes that this does not necessarily indicate a deliberate exclusion policy, but rather the application of announced eligibility criteria, while acknowledging the possibility of administrative errors requiring prompt correction.
He notes that the Takaful and Karama pension represents targeted cash support for families below the local poverty line, particularly widows, divorced women, the elderly, and persons with disabilities without stable income. However, it is not a permanent guarantee, as it is subject to continuous updates based on changes in data, income, and family size. He warns that prolonged suspension causes real hardship for families that depend on it to meet essential needs such as rent and education, calling for swift resolution of pending files, transparency in procedures, and full protection of beneficiaries’ legal rights.
For his part, Dr. Mohamed Fawaz, head of the Civil Alliance for Human Rights and chairman of the Egyptian Amnesty Organization, criticizes the mechanism of suspending pensions under the banner of reassessment. He considers suspensions exceeding one month to be an administrative error for which the government bears responsibility. He questions the rationale behind reassessing individuals whose cases were previously field-verified and confirmed eligible, and requiring citizens to periodically submit documents proving poverty unless a substantial change has occurred in their circumstances.
“There is no declared decision limiting pension eligibility to a specific time period,” he told Zawia3, adding that excluding beneficiaries on the basis of elapsed time without legal grounds constitutes an incorrect decision. He argues that excluding some beneficiaries to admit others is illogical, as the limited pension amounts do not create wealth nor lift beneficiaries out of need.
He denounces what he describes as administrative shortcomings among some social affairs employees in their dealings with citizens, stating that retraining and rehabilitation are needed to ensure humane treatment that preserves beneficiaries’ dignity, speeds up file reviews, and prevents unnecessary delays. Any decisions related to suspension or reassessment, he argues, must be clearer and more transparent, with publicly announced criteria ensuring equality among citizens as a fundamental right linked to human rights principles.
He situates the Takaful and Karama file within a broader economic and social context. While noting that inflation rates have recently declined—an indicator he considers positive—he stresses that large segments of the population remain below the poverty line. At the same time, he acknowledges the difficulty of significantly increasing support allocations given heavy pressures on the state budget, especially with large numbers of beneficiaries in social protection and pension programs, and approximately 65 million citizens benefiting from the food subsidy system.
“The current allocations, whether in cash or in-kind support programs, remain insufficient to cover the needs of poor families amid rising living costs and the burdens of education and healthcare. What citizens receive in ration goods or cash does not cover a full month’s needs,” he says, calling for expansion of productive alternatives to ease pressure on the budget, such as small-scale projects providing sustainable income for eligible families instead of relying solely on cash transfers.
In May 2025, Minister of Social Solidarity Maya Morsy announced that the Ministry had secured financial allocations of 53.632 billion Egyptian pounds for fiscal year 2025–2026, compared to 39.445 billion Egyptian pounds for fiscal year 2024–2025, representing an increase of 14.186 billion Egyptian pounds.
At the time, the Minister stated that the increased allocations included 11 billion Egyptian pounds for cash assistance under the Takaful and Karama program, as well as a 77 million Egyptian pound increase for the child pension budget line. She indicated that approximately 87 percent of the Ministry’s total budget is directed toward covering support requirements, grants, and social benefits to protect the most vulnerable groups.
A Gap Between the Poverty Line and the Value of Support
Mohamed Ramadan, a researcher on economic justice at the Egyptian Initiative for Personal Rights, explains that there are two main types of government support. The first consists of social protection cash programs, such as Takaful and Karama and pensions. The second includes food subsidy programs, such as bread and ration card subsidies. Each serves a different purpose. Takaful and Karama, he notes, is a conditional cash transfer program tied to specific eligibility criteria and designed with an “exit plan” so that beneficiaries do not remain enrolled indefinitely. He adds that the primary objective of this type of program is not to eliminate poverty or directly reduce its rate, but rather to enable poor households to remain within the labor market and reduce their exposure to hunger and extreme deprivation, thereby allowing them to improve their circumstances over time through work and income accumulation.
He told Zawia3 that the problem does not lie in the principle of reassessment or the existence of an exit mechanism itself, but in the absence of clear and publicly announced criteria governing that exit. Despite nearly ten years since its launch, the program lacks sufficiently published data regarding its outcomes. There are no publicly declared standards clarifying when and why a beneficiary exits the program. This creates confusion and resentment among citizens, particularly when payments are suspended without explanation.
The researcher considers the lack of transparency in evaluating the program a fundamental issue. Clear data are not available regarding the impact of cash transfers on consumption levels, nor whether they have brought families closer to the poverty line or improved their living conditions. The absence of such data, he argues, renders public debate about the program’s efficiency and effectiveness incomplete.
Regarding food subsidy programs, he notes that they constitute a limited share of total public expenditure. Although allocations for bread and ration goods subsidies represent the largest support programs, they remain modest compared to other spending items such as debt interest payments. Nevertheless, he believes these programs, despite their shortcomings, retain relative efficiency in preventing segments of the population from falling below the poverty line. He criticizes discussions about replacing in-kind subsidies with cash transfers, viewing them within a broader context of passing austerity burdens onto citizens, particularly the most vulnerable. He warns that reducing food subsidies could have serious long-term social and health consequences.
He explains that policymakers in recent years have preferred expanding the number of beneficiary families rather than increasing the value of cash transfers themselves. This has resulted in a decline in the average support provided per household. He suggests that suspending payments for some beneficiaries may at times be part of managing a limited budget by removing certain families to accommodate others, in the absence of sufficient funding increases.
The economic justice researcher stresses that narrowing the gap between the actual poverty line and the value of support requires two parallel measures: increasing spending on social protection programs and improving the efficiency of databases and targeting mechanisms. This includes field verification of data and the use of technological tools to ensure support reaches those who truly qualify. While increased spending may yield a short-term positive impact even amid structural problems, the effect would be greater if accompanied by institutional reforms that enhance governance and transparency, providing an immediate response to the crisis alongside a long-term strategic solution.
In February, Minister of Finance Ahmed Kouchouk announced a permanent 25 percent increase in Takaful and Karama pensions effective next April. He explained that the social protection packages target all social groups and are divided into two phases: the first continuing until the end of the current fiscal year, and the second beginning next July.
The Minister stated that approximately 10 million families holding ration cards will benefit from additional cash support. Individuals holding a single-person card will receive 125 Egyptian pounds, while households with two persons on the same card will receive 250 Egyptian pounds.
Parliamentary Moves
In February, MP Sameer El-Bayoumi submitted a parliamentary proposal calling for an increase in the cash support provided to families benefiting from the “Takaful and Karama” program. He argued that the current 400 Egyptian pound increase is insufficient to address escalating living burdens, and that current economic conditions, rising inflation, and higher prices of essential goods require reconsideration of the amounts currently allocated.
In remarks to Zawia3, El-Bayoumi attributed the suspension of some beneficiaries’ files on the electronic system to pending investigations conducted by social affairs offices to verify eligibility. He explained that such procedures may take time, particularly if data indicate previously undisclosed additional income, such as a small business, employment of a family member abroad, or receipt of another pension. He noted that while investigations are important, they may not always be accurate, and individual errors may occur in some reports, requiring reassessment before any final decision is made to deprive a family of support.
He linked the suspension or halt of payments in certain cases to newly appearing data on the electronic system indicating ownership of assets or income sources inconsistent with eligibility criteria, such as owning a car, operating a commercial activity, obtaining a loan, or acquiring a shop license. He added that some citizens have fallen victim to exploitation by others who obtained loans, licenses, or vehicles in their names, resulting in such assets being recorded under their records and consequently triggering suspension pending verification.
“The conditions for obtaining Takaful and Karama include specific criteria, foremost among them the absence of stable income or any asset generating additional income, in addition to standards related to expenditure levels and utility consumption. Any change in a beneficiary’s circumstances that violates these criteria leads to immediate suspension pending investigation,” he said.
He clarified that the program primarily targets the most vulnerable and those without income, and that the state prioritizes families with no income sources at all, given limited available resources. He added that while international poverty standards may encompass a broad segment of citizens, applying those standards in full exceeds the capacity of the public budget. Therefore, the state directs support to the most vulnerable groups according to local criteria aligned with available resources.
El-Bayoumi stressed that the 400 Egyptian pound increase approved during Ramadan is insufficient given rising prices. He said he had called for a larger increase proportional to living burdens, especially for families with multiple members who depend primarily on this support. He emphasized the need to balance ensuring support reaches rightful beneficiaries while preventing manipulation or abuse, alongside expediting resolution of suspended files to prevent eligible families from being harmed by lengthy review procedures.
MP Ameen Masoud also submitted a formal parliamentary request seeking an increase in Takaful and Karama pensions to support the most vulnerable families. He emphasized that protecting these families’ interests is not a luxury, but a duty and a fundamental right requiring urgent state action.
Regarding complaints from some citizens about prolonged suspension of payments without resolution, he told Zawia3: “There are cases still under reassessment and no final decision has been issued yet.” He called for the swift completion of review procedures and transparent announcement of results. At the same time, he expressed reservations about suspending payments for cases found to be receiving other limited pensions, such as monthly assistance provided by the Egyptian Zakat and Charity House under the supervision of the Grand Imam of Al-Azhar, through the “Sanad” program, which supports vulnerable families, widows, divorced women, persons with disabilities, and those unable to work. These pensions range between 700 and 1,100 Egyptian pounds. He questioned the rationale for suspending support if the total family income does not exceed 1,000 Egyptian pounds per month—an amount he described as no longer sufficient to cover basic needs amid rising prices and housing costs.
The MP believes the issue requires comprehensive reconsideration, as pension values have remained fixed for years despite severe economic shifts, including the repercussions of the COVID-19 pandemic, the Russian-Ukrainian war, rising inflation rates, and currency flotation decisions that have affected market prices. Meanwhile, successive increases in living costs have not been matched by adjustments proportional to the value of support provided under the program, leaving current pensions misaligned with present living burdens.
Masoud stressed the necessity of government action to review Takaful and Karama pension values, as they directly affect the most vulnerable groups and priority families, especially in light of recent rent increases, particularly following amendments related to the old rent law. These changes have imposed additional burdens on low-income groups. He underscored the need to expand the social protection umbrella to include groups not fully covered, noting that current programs do not reach all eligible individuals and that there are cases presented to him that receive no support despite clear need.
He pledged that his formal request will include a comprehensive discussion of beneficiaries’ conditions, pension values, and cases of suspended payments during upcoming parliamentary sessions, aiming to reach solutions that protect the most vulnerable and safeguard their right to housing and a dignified life.
The crisis facing families affected by the suspension of Takaful and Karama pensions due to reassessment underscores the urgent need to strengthen transparency and efficiency in social protection programs and ensure continuity of support for eligible beneficiaries without delay or administrative complications, in line with principles of social justice.
As parliamentary debate and public initiatives continue to review cash support levels, the priority remains establishing clear reassessment mechanisms, activating official grievance channels, and focusing on institutional reform and improved databases to ensure support reaches its rightful recipients effectively and sustainably, protecting their dignity and alleviating the burdens of poverty and basic needs.
