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CASH-for-CHANGE




                  CASH and VOUCHER TRANSFERS
                               in
                   FOOD ASSISTANCE PROGRAMS
Background

                  • Delivering “Hunger Solutions” and reduce food insecurity.
CASH-for-CHANGE




                  • Cash and voucher transfers for social protection, to increase resilience
                    but also to meet relief needs.

                  • Ability to shift among cash, food and vouchers allows WFP to tailor
                    the response maintaining it relevant over the intervention’s lifetime.

                  • Broader toolbox has the potential to increase the intervention’s
                    effectiveness.
oPt: e-vouchers
                           WFP & Ministry Social Affairs
                  1. Protect the livelihoods and enhance
                  dietary diversity of urban food
CASH-for-CHANGE




                  insecure households;




                                                           2. Enable beneficiaries to purchase
                                                           local products (cheese, eggs, etc.)
                                                           directly from grocery shops;

                  3. Invest in local communities, stimulate economic activity and
                  employment at the micro level.
oPt: e-vouchers
                                     Project Outcomes

                  Significant and sustained improvement of
CASH-for-CHANGE




                  household dietary diversity compared to
                  baseline data and to households receiving in-
                  kind food assistance.
                  40% of participating shops showed more than
                  60% increase in sales due to the vouchers
                  and to the spill-over effects on the shops’
                  businesses.
                  Employment increased from an average of 0.9 to 2.4 employees per shop,
                  which, corresponds on average to 35 people hired as a result of the voucher
                  project.
                  Beneficiaries perceived the voucher programme as improving their choice,
                  flexibility and dignity.
Burkina Faso: vouchers
                                WFP & Ministry Social Affairs
                  1. Protect the livelihoods of the poorest
                  affected by substantial purchasing
CASH-for-CHANGE




                  power erosion and income loss.




                                                              2. Enable beneficiaries to purchase
                                                              local products (cereals, pulses, soap,
                                                              etc.) directly from grocery shops
                                                              largely affected by the reduced
                                                              purchasing power.
Burkina Faso: vouchers
                                      Project Outcomes

                  Poverty persisted but WFP
CASH-for-CHANGE




                  assistance mitigated the
                  impoverishment trend among
                  the beneficiaries.

                  Prevalence of severe food
                  insecurity dropped from 80 to
                  65 percent among assisted
                  households.

                  For the majority of beneficiaries
                  increased food intake (quantity
                  and quality).
Kenya: Conditional Cash

                   Objective: Resilience
CASH-for-CHANGE
Kenya: Conditional Cash


                  Access to market
CASH-for-CHANGE




                               MWANGANGI, Widowed Mother
                               of 3 : “With the cash I receive, I
                               can buy vegetables, rice and even
                               milk for my children.”
Kenya: Conditional Cash

                  Household expenditure: > 50 percent of the food-receiving households showed
                  expenditures of less than 50 percent on food. Cash-receiving households showed the
CASH-for-CHANGE




                  opposite extreme, where more than 75 percent of their expenditure is for food.



                                                             School fees 16%




                                     Food 76%                    Farm inputs 2%


                                                                 Medical 2%


                                                              IGA 2%


                                                           Other 2%
Kenya: Conditional Cash
CASH-for-CHANGE




                  …through village banking
Kenya: Conditional Cash
CASH-for-CHANGE




                  Financial literacy
Kenya: Conditional Cash


                      MWANIKI, MOTHER OF 6
CASH-for-CHANGE




                  “…I intend to make some savings
                  and buy a goat so my children can
                             have milk.”
Opportunities & Challenges

                  •   Stimulate local markets
CASH-for-CHANGE




                  •   Beneficiaries become decision-makers
                  •   Cost-efficiency improved
                  •   Support government-led social protection programs
                  •   Create new opportunities for handover
                  •   Require enhanced capacity, new systems and procedures
                  •   Critical role of private sector and service providers
                  •   C&V based operations remain underfunded hampering results

                  Sustained and regular funding are critical to
                  building resilience and creating multiplier effects
World Food Programme
Via C.G. Viola, 68/70 - 00148 Rome, Italy

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Cash and Voucher transfers in food assistance Programs

  • 1. CASH-for-CHANGE CASH and VOUCHER TRANSFERS in FOOD ASSISTANCE PROGRAMS
  • 2. Background • Delivering “Hunger Solutions” and reduce food insecurity. CASH-for-CHANGE • Cash and voucher transfers for social protection, to increase resilience but also to meet relief needs. • Ability to shift among cash, food and vouchers allows WFP to tailor the response maintaining it relevant over the intervention’s lifetime. • Broader toolbox has the potential to increase the intervention’s effectiveness.
  • 3. oPt: e-vouchers WFP & Ministry Social Affairs 1. Protect the livelihoods and enhance dietary diversity of urban food CASH-for-CHANGE insecure households; 2. Enable beneficiaries to purchase local products (cheese, eggs, etc.) directly from grocery shops; 3. Invest in local communities, stimulate economic activity and employment at the micro level.
  • 4. oPt: e-vouchers Project Outcomes Significant and sustained improvement of CASH-for-CHANGE household dietary diversity compared to baseline data and to households receiving in- kind food assistance. 40% of participating shops showed more than 60% increase in sales due to the vouchers and to the spill-over effects on the shops’ businesses. Employment increased from an average of 0.9 to 2.4 employees per shop, which, corresponds on average to 35 people hired as a result of the voucher project. Beneficiaries perceived the voucher programme as improving their choice, flexibility and dignity.
  • 5. Burkina Faso: vouchers WFP & Ministry Social Affairs 1. Protect the livelihoods of the poorest affected by substantial purchasing CASH-for-CHANGE power erosion and income loss. 2. Enable beneficiaries to purchase local products (cereals, pulses, soap, etc.) directly from grocery shops largely affected by the reduced purchasing power.
  • 6. Burkina Faso: vouchers Project Outcomes Poverty persisted but WFP CASH-for-CHANGE assistance mitigated the impoverishment trend among the beneficiaries. Prevalence of severe food insecurity dropped from 80 to 65 percent among assisted households. For the majority of beneficiaries increased food intake (quantity and quality).
  • 7. Kenya: Conditional Cash Objective: Resilience CASH-for-CHANGE
  • 8. Kenya: Conditional Cash Access to market CASH-for-CHANGE MWANGANGI, Widowed Mother of 3 : “With the cash I receive, I can buy vegetables, rice and even milk for my children.”
  • 9. Kenya: Conditional Cash Household expenditure: > 50 percent of the food-receiving households showed expenditures of less than 50 percent on food. Cash-receiving households showed the CASH-for-CHANGE opposite extreme, where more than 75 percent of their expenditure is for food. School fees 16% Food 76% Farm inputs 2% Medical 2% IGA 2% Other 2%
  • 10. Kenya: Conditional Cash CASH-for-CHANGE …through village banking
  • 12. Kenya: Conditional Cash MWANIKI, MOTHER OF 6 CASH-for-CHANGE “…I intend to make some savings and buy a goat so my children can have milk.”
  • 13. Opportunities & Challenges • Stimulate local markets CASH-for-CHANGE • Beneficiaries become decision-makers • Cost-efficiency improved • Support government-led social protection programs • Create new opportunities for handover • Require enhanced capacity, new systems and procedures • Critical role of private sector and service providers • C&V based operations remain underfunded hampering results Sustained and regular funding are critical to building resilience and creating multiplier effects
  • 14. World Food Programme Via C.G. Viola, 68/70 - 00148 Rome, Italy