The research examines how the Old Age Allowance programme influences people’s views and attitudes
of the state and contributes to state legitimacy in Nepal. It is based on in-depth qualitative interviews
with 38 beneficiaries of the Old Age Allowance in Rolpa district. The research reveals that an individual
can have multiple (positive and negative) perceptions of the state, which are associated with specific
experiences and programme impacts. These perceptions relate to people’s assessment of how well the
state fulfilled the main objectives it set out to achieve through the establishment of pensions. These
objectives can be considered as the main premises of the social contract in Nepal and they include the
government’s commitment to institutionalise social support for older persons, contribute to people’s
well-being, and promote social inclusion. People’s perceptions are also linked with a range of other
factors, including the effects of pensions on empowerment, family and community relations, the
process of delivering benefits and people’s experience of receiving benefits.
The research offers valuable insight into the beneficiaries’ experiences, concerns and priorities and
enables lessons to be drawn for improving the Old Age Allowance programme. Adjustments in
programme design and implementation could help enhance the contribution of the allowance to
people’s lives and livelihoods. This in turn can help foster positive perceptions of the state and
contribute to state legitimacy. These policy measures include increasing the value of the benefit,
equalising the eligibility threshold, improving the benefit delivery capacity of Village Development
Committees, facilitating convenient and cost-free access to benefits, promoting effective information
sharing and outreach, and introducing sectoral improvements for inclusive service delivery.