This study estimates the rates of return (RoR) of non-contributory social transfer programmes in
Cambodia using household data and going beyond standard cost efficiency analyses by developing
a dynamic micro simulation. It shows that social protection promotes equitable economic growth by
enhancing human development and fostering economic performance at the micro level. A positive
RoR is achieved after 12 periods and can reach between 12 per cent and 15 per cent after 20
periods. This study shows that micro simulation models can be extended in order to analyse the
economic returns on social protection.