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cash transfers

Cash it out? Why food-based programs exist, and how to improve them

Ugo Gentilini's picture
© Dominic Chavez/World Bank
© Dominic Chavez/World Bank

India’s state of Chhattisgarh faced a daunting challenge in the mid-2000s. About half of its public food distribution was leaked, meaning that it never reached the intended beneficiaries. By 2012, however, Chhattisgarh had nearly eliminated leakages, doubled the coverage of the scheme, and reduced exclusion errors to low single digits.
 
How did they do it? 

The next frontier for social safety nets

Michal Rutkowski's picture
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There has been a doubling in the number of developing countries that provide social safety programs to their citizens. What is causing this shift? Photo: Mohammad Al-Arief/World Bank

Social safety nets – predictable cash grants to poor households often in exchange for children going to school or going for regular health check-ups – have become one of the most effective poverty reduction strategies, helping the poor and vulnerable cope with crises and shocks.  Each year, safety net programs in developing countries lift an estimated 69 million people living in absolute poverty and uplifting some 97 million people from the bottom 20 percent – a substantial contribution in the global fight against poverty.