I came across this rendition in the NACLA article Nicaragua: A view from the left, which I recommend!
note: after I posted this my colleague Eric Schwartz wrote to say, "I think the other entries you had before are closer. A re-working with "charity" seems like the best bet to me.
But clientelism doesn't seem right. Asistencialismo can be part of clientelismo, but not necessarily. It could just be broader State policy to meet immediate demands and demobilize people in the process, without necessarily feeding into a patronage system."
I still think my handout-ism option is clunky, but maybe charityism would be understood?