Table 1: Comparison of Ethiopia's Regions Region Background Food Security Other Issues Afar Northeast part of the country, sugum rain March-April, karma rain 1.7 million people, 90% are pastoralists, 10% agro pastoralists Grow sorghum Low levels of market integration Food insecure population increase from about 100,000 in 2011 to about 400,000 in 2017, 26% of the region’s population requires food assistance Majority of region’s woredas considered Priority 1 in June 2017 Region susceptible to droughts and flash floods Increase in cases of GBV (including physical and sexual violence, child marriage, child separation) 350,000 don’t have access to safe PSNP and relief food supply have reduced demand of cereals in markets 16,675 internally displaced b/c drought, flood, inter-community conflict and strong winds Amhara Northern part of country, belg rain March-May, kiremt June-September 20.7 million people, 100% agrarian (mixed cropping and livestock) Off-farm income generating activities: pottery, black smith, petty trade, casual labour employment 2013: strong market integration for maize 2016 - low supply of food commodities in central markets (from local production or other areas), takes over a week to replenish stock Increase in food secure from about 400,000 in 20100 to almost a million in 2017, but is down from over 2 million in 2016. 4.6% of region’s population requires food assistance in 2017. Minority of woredas are priority 1 hot stops Susceptible to pests, crop diseases, hailstorms floods, and droughts PSNP and relief food helped stabilise supply and market prices in most woredas AWD outbreak, also facing public health threats of measles, typhoid fever and scabies 77,297 people have no or limited access to safe water Increase in sexual and domestic violence, child marriage, migration of women Trader constraints: lack of capital, poor road infrastructure, high transport cost, shortage of stock, lack credit, high interest rate, lack means of transport, high tax payment, monopolies, discrimination Gumuz North-western part of the country, meher rain June-September 1 million people, 100% agriculture Food insecure population slight decline from 2011 (about 30,000) to 2017 (about 20,000), but spike in Susceptible to strong winds and hailstorms Low of major cereals AWD public health threat
2016 to almost 80,000 – 2% of population require food assistance No woredas are priority 1 hot Gambella Western part of the country, belg rain March-May, meher rain June-September 0.4 million people, 100% mixed agriculture Grows maize, vegetables Low levels of market integration in 2013 2017 13% decline price of wheat from 2016 Decrease in food insecure population – about 52,000 in 2011, about 36,000 thousand in 2017 (9% of population requires food assistance) Priority 1 hotspot woredas are minority Susceptible to flash flooding, attacks/raids of livestock IDP population 10,930 in 2016 – attacks/raids from South Sudan, conflict between local tribes Increases in prices of maize and sorghum Harari Eastern Ethiopia, kiremt rains 0.23 million people Grow sorghum, maize 2017 price maize 18% higher than 2016 14,500 require food assistance (6% of population) No woredas are priority 1 hot Susceptible to pests/crop disease Price of staple cereals have increased Public health threat of AWD Dire Dawa Eastern Ethiopia, kiremt rains 0.23 million people Strong market integration maize and wheat 2013 2017 one year price increase for maize 14%, price wheat decreased 8% over 2016 35,224 require food assistance (8% of the population) Recent increase of cases of physical violence Oromia Center/south/western parts of the country, ganna/belg rain Aupril-mid June, kiremt rain July-October, and hagaya rain October-November 34.5 million people, 85% agrarian, 15% pastoralist Strong market integration and wheat 2013 Increase food insecure population 500,000 in 2011 to over 3.5 million in 2017 - 10.6% of region’s population requires food assistance About half of woredas considered priority 1 Susceptible to drought, flood, crop/animal disease, fall armyworm AWD, malaria, scabies and meningitis public health threats 44,446 HH displaced 1.3 million people depend on non-safe drinking water sources
2016: people have to travel long distances (5-25 km) access grain markets, traders have enough stock to meet demand, replenish in 2-3 days (local supply or from wolega). No trader monopolies. Main staples are sorghum and Challenges for traders: low demand, shortage of supply, too much food assistance which reduces demand, high tax payment, unions can control market SNNP Southwest part of the country, belg rain kiremt June-September 18.7 million people, cropping 88%, pastoralists 8%, agro pastoralists 4% Other income source: small business, petty trading, casual labour, most important are coffee, maize and livestock Strong market integration for 2013 2017: large increase price of maize over last year (40%) 2016 – markets function, decrease in supply b/c of drought, price basic foods have increased, take 5-7 days replenish stocks or 1 day depending on district – local famers and suppliers in other areas Food insecure population increase from about 100,000 in 2011 to 1.3 million in 2017 – 6.9% of the region’s population requires food assistance Less than half of woredas categorised as priority 1 Susceptible to fall armyworm, drought Public health threat of measles, malaria Over 1.1 million people lack easy and safe access to clean water Market challenges: lack of capital, limited access to credit, high interest rate on credit, high transportation cost, high tax, limited supply. Somali South-eastern part of the country, gu rain April-June, deyr rain 5.5 million people, pastoralists 60%, agro-pastoralists 30%, sedentary 10% Northern regions connected to global markets, less functional livestock markets in central and southern of the region 2013 Food insecure population increased from about 1 million in 2011 to 1.7 million in 2017 – 31% of region’s population requires food assistance Almost all of the region’s woredas are considered priority 1 hotspots AWD, measles public health threat Susceptible to drought, conflict, heavy winds IDP over 570,000 Increase domestic violence, child separation, child marriage, hazardous child labour
2017 price of maize decreased 13% from 2016 b/c of food assistance and tax free import of food items Tigray Northern part of country, rain belg January-May, azmera rain April-end of May, tsedia rain June-September 5.1 million people, agriculture 100% Strong market integration for 2013 Food insecure population around 300,000 in 2011 and 2017, but in 2016 to 1.2 million, in 2017 7.1% of region’s population requires food assistance Minority of woredas are priority 1 hot Prices pf cereals, pulses and livestock have increased AWD, malaria and scabies public health threats Over 83,000 don’t have access to safe drinking water Child labour, child marriage, child trafficking Sources: HRD 2017, HRD mid-term review 2017, WFP 2013 market assessment, WFP April 2017 Maize and Sorghum Price Trends
Cash grant restricted and conditional - Organisation can influence recipient expenditures to promote programme objectives - May encourage a specific practice (through attending a training, awareness session, etc.) - Require team members to verify that the restriction has been respected. - Take away time from other activities (livelihood, child care, etc.). - May exclude those who are not able to meet the condition CfW/cash for training/ cash for work programme where the use of the grant is then limited to some specific expenses. Cash For Work - Contribute to the rehabilitation and restoration of basic social, economic and productive community infrastructure - Platform for skills development and social inclusion/ cohesion - Potentially self targeted - Disruption of labour market - May foster unsustainable public work falling into disrepair - Take away time from other activities - Could increase the burden on women who already manage the household workload. - May exclude those without capacity to work - Potential health and safety for beneficiaries CfW is just a form of conditional cash grant that can be either restricted or not. When planning for CfW scheme always plan for a portion to be non conditional for those not able to work. CfW can also be suitable for livelihood emergency activity Voucher unconditional - Recipients do not directly handle cash - Quality of goods and prices can be monitored by organisation - Organisation can easily influence recipient choice and promote certain practices - recipient choice - Recipients may have priorities not covered by the voucher - Require more planning and preparation - Traders not involved in the programme may be disadvantaged - Traders may manipulate prices Security concerns about cash flow Lack of financial provider in the area To ensure adequate quantity and quality of products are bought by beneficiaries Voucher conditional Ibid - May encourage a specific practice Ibid - Take away time from other activities - May exclude those who are not able to meet the condition Ibid Source: CARE Guidance note on Cash Based Interventions The continued appropriateness of the chosen modality should be reviewed during the course of the programme’s implementation.
Table 6: Mapping of FSPs in Ethiopia Region Name Type of FSP Type of delivery mechanism offered Service cost Condition of service Experience with CWG members Addis Ababa Commercial Bank of Ethiopia Bank Credit and Saving Institution MFI Amhara Amhara Credit and Saving Institute (ACSI) MFI FH Oromia Cooperative Bank of Oromia Bank Oromia Credit and Saving (OCSSCO) MFI SNNP Omo Microfinance Institute MFI Vision Fund MFI Mercy Corps Somali Somali Microfinance Institution (SMFI) MFI Tigray Dedebit Credit and Savings Institution MFI SCTPP Multiple Bel Cash -HelloCash Tech. Provider Charge to send money and withdrawal, deposit and payment are free. Cost per transaction depends on the amount, SIM 15 birr, free to open an account. PSNP, WFP, Mercy Corps M-Birr Tech. Provider Cost ranges from 3 birr 45 ct to 1000 for withdrawal CRS, Mercy Corps, PSNP Kifiya Tech. Provider FH. Some other NGOs consider it too expensive. Wave Money Tech. Provider
Payment Product Details: Corporate – 130 4 Transaction Tracking Capabilities Details on how transactions are pre-verified before payment and the information provided to organisation staff once payments are made. Sample transaction statement. 25 5 Registration and Know Your Customer Requirements (Corporate Account) List of requirements for organisation to activate an account with the service. 15 6 Full description of disbursement (Payment Process) Process flow chart of a funds disbursement including screen shots. 25 7 Account balance and transaction volume limitations (Corporate Account) Details on transaction limits, including limits on the value of payments organisation can send to a single recipient in one day and limits on the volume of transactions organisation staff can send in one day. 15 8 User Authorization Ability to assign different user authorities within the system (i.e. maker, checker, processor) 20 9 Brochure, Catalogue and Booklet Attach brochures, catalogues and booklets that illustrate the service’s functions. N/A 10 Interoperability Platform interoperability with other payment platforms 15
11 Data Storage Ability to store recipient data on the payment platform to avoid uploading names every time a payment is made. 15 Payment Product Details: End User (payee) – 70 12 Receipt of Funds Notification of transaction to recipients (i.e. SMS message) 25 13 Registration and Know Your Customer Requirements (end user account) List requirements for recipients to activate an account with the service provider. Describe ability to process payments to unregister or holders. 25 14 Account balance and transaction volume limitations (End User Account) Details on minimum/maximum amount of the end user can have in the account, as well as the amount of transactions that can be received in one day. 20 Distribution – 180 15 Coverage Area and Distribution network Map of global service geographic coverage List all organisation staff country offices where you have access points or partnership to use another SP access points. Highlight coverage per country. 90 16 Cash in/Cash out Liquidity Controls Details on liquidity management at the cash in/cash out access points (agents) 90 Customer Service/Training: Corporate (payer) – 50 17 Training for staff Details on the training provided to 5
Percentage of cash transfer/voucher distributed in correct timeline, to correct recipient, correct amount, and/or safely Recipient household’s ability to access cash/voucher Community satisfaction towards the targeting system; Community satisfaction towards the selection process of CfW programme Beneficiary satisfaction towards the chosen modality compared to in-kind aid; Beneficiary satisfaction towards the payment and distribution process; Beneficiary perception on their safety during the CTP Percentage of targeted households that receive the cash grant or voucher monetary value of cash/voucher beneficiary receives Beneficiaries who do not use the full amount of the transfer Beneficiary understanding of programme, targeting criteria, distribution process, and CFM Incidents of adults carers taking from children in their care; number of children whose cash has been stolen The specific requirements per type of transfer and delivery mechanism are summarised in tables below. It presents factors that can influence the speed, cost, and thus efficiency of CTP, which can also be monitored over the course of the programme. Figure 15: process monitoring and issues Source: CaLP’s Monitoring4CTP Onsite monitoring Onsite monitoring is an important step during the distribution process, whether it's a distribution of physical (cash, cards), accessing cash from an ATM, bank or post office etc., or accessing cash through technology, i.e. mobile phones. The purpose is to check that the beneficiaries receive what they are supposed to, that they can access the cash or vouchers safely, and that there are no issues nor delays. The most common data collection tools for this type of monitoring are observation using checklists and short surveys with beneficiaries at distribution points. Post monitoring distribution Post monitoring distribution is conducted within a reasonable amount of time after the cash or vouchers have been distributed so that beneficiaries still have relatively accurate recall of the process. The
4 Rahel Asfaw DRMC Director - Disaster Response and Rehabilitation Directorate 5 Augustin Orengo OCHA Associate Humanitarian Officer in Field Coordination Unit & Co chair of the CWG orengo@un.org 6 Elias Negera WVE Food Assistance Manager Elias_Negera@wvi.org 7 Praemeenah Poobalan WFP Cash Coordinator 8 Dereje Megersa FH Knowledge Management adviser 9 Tasfaye Abebe SCI EFSL Specialist 10 M.Berhanu Wold Mechael PSNP Director for Food Security Coordination Directorate 11 Joanna Olsen CRS Deputy Chief of Party for the JEOP joanna.olsen@crs.org 12 Tasfaye Tilahun WB tbd tbd 13 Craig Jaggers FH Country Director