______________________________ Cash Transfer Programming (CTP) Awareness NRC March 2016 ___________________________ _________________________________

Cash Transfer Programming (CTP) real life 1 If I give you $10 now what would you buy (List minimum three things).

CTP real life 2 If I give you $30 what would you buy today?

Cash Transfer Programming (CTP) NRC has come up with a policy (so says HQ); the organization will deduct 30% of ALL staff net salaries. This money will be used to buy you groceries/food. The policy will come into effect starting March 2016 for an indefinite period. What do you say about this policy from HQ and WHY?. Y/N

What more information would you have wanted to make a better decision about the HQ policy? ?????

HUNGER ----Hunger not a result of food unavailability but FAILURE by communities/households to access the food---- Example: Pakistan’s annual rice requirement was about 20m to 22m tonnes. In the 2010 rice season the country produced about 25 million Tonnes even though there was flooding. - Does this mean that there were no people without enough food in Pakistan? Y/N? Why?

Causes of Hunger 1. Loss of Income (money). 2. Loss of employment. 3. Increase in food prices. 4. Reduced food availability. 5. Inaccessibility of food. *

Causes of Hunger If hunger is caused by lack of purchasing power then it should be addressed through improving purchasing power.

Food Distribution - Food takes at times 4 to 5 months. - Based on surplus more than need (inappropriateness). - When supplies are available locally? - Increase vulnerabilities of market chain actors. - Reduce food prices on the market (competition). - Future for the UN in food support. - Procurement, transportation, storage (Logistics). - Do no harm

Why CTP as Response modality?  Most people today live in a cash economy, people earn wages and they sell goods and services and buy what they want/need (choice) using cash.  So why do we distribute food, NFIs, seeds/livestock in a cash economy ?

Aim/objectives (FSL CTP)  To increase the purchasing power of disaster affected people so that they can meet their minimum (BASIC) needs for food and other non-food items.  -To assist in the recovery of people’s livelihoods and helping communities to protect productive assets.  Note: CTP is not appropriate in ALL cases. Assessment first ALWAYS.

CTP Concepts - CTP is NOT cash/money distribution. - Cash programming includes - Cash Grants ** - Cash for Work ** - Cash/Commodity Vouchers ** - Market support** - Productive support (agriculture/livestock/businesses) - Note: In some cases food is the best option. -Pre-requisite: Assessments and Response Analysis. -‘Do no harm’ to players in the marketing chain.

When CTP is Appropriate 1. Communities used markets to access basics. 2. Shock results in decline in sources of food & income. 3. Sufficient food supplies and other basics locally. 4. Markets functioning and accessible 5. Cash can be delivered safely.

Advantages CTP 1. Choice 2. Dignity 3. Economic Recovery 4. Flexibility 5. Empowerment 6. Cost effectiveness (time)

Fears about Cash programming - Targeting. - Inflation. - Security: Staff/organisation. - Gender Based Violence. - Diversion of cash. - Undermine development programmes. - Government policy on cash programming?.

Experiences  Money use depends on BNF circumstances.  If small amounts most go to food and other basics.*****  Cigarettes/Qat.  The more money then more assets/shelter.  The more money the more difficult is targeting.  First weeks security not a big issue.  Communities are generally rational.  Technical works and CFW.  Post distribution Monitoring: memory lapse.  Payments +/-

Experiences Cont..  Assessments help to identify bottlenecks in the value chain.  Challenges if no guidelines/ways of working document(s).  Programme/support collaboration.  CTP is not food security modality BUT a mechanism for achieving one’s objectives.  Integrated programme: CTP (controls)!  Community challenges are community challenges*.  Destroying local community coping mechanisms

Ethiopia 2008 Somali region drought response

Myanmar Experiences, Sept 2009

Bulawayo Expenditure June 2009

NOTE Beneficiaries’ Selection is Key

Message from a Market Trader in Mozambique to some Translator ‘’Tell her (mur(z)ungu) not to bring any food aid here or no-one will buy my maize’’ -DO NO HARM-