Livelihood, cash Transfer, and graduation approaches: How do they compare in terms of cost, impact, and targeting?

Abstract

Social protection initiatives in Africa increasingly aim to institutionalize systems that guarantee assistance for the poor and protect the vulnerable against livelihood risks. Through direct and indirect income effects, social protection programs can also play an instrumental role in promoting agricultural development and, more broadly, economic growth.

The 2017-2018 Annual Trends and Outlook Report (ATOR) takes an in-depth look at social protection in rural Africa to address these three questions, which are particularly relevant as Africa embarks on the implementation of the Malabo Declaration commitments and the African Union’s Agenda 2063. First, the contributed chapters summarize and synthesize the available evidence on successful implementation of social protection programs in rural Africa. Second, the report fills in knowledge gaps on how to maximize the role of social protection in reducing vulnerability and increasing resilience of rural households. Third, the report highlights policy implications to guide the design and roll-out of national social protection programs for rural Africa.

Chapter 8 provides a comparative analysis of 48 graduation, livelihood, and cash transfer programs. Using income and consumption as the primary metrics of impact and focusing on long-term outcomes, the author assesses the sustainability of impact of these programs and compares both costs and impacts across the three types of approaches.