Feasibility Study

on Cash and Voucher Assistance

Programming in Amhara and
Gambella regions of Ethiopia
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2
FEASIBILITY STUDY ON CASH AND VOUCHER
ASSISTANCE PROGRAMMING IN AMHARA
AND GAMBELLA REGIONS OF ETHIOPIA

Syed Mohammed Aftab Alam

Cash and Vouchers Specialist (Global lead)
Plan International, Global Hub

December 2021

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 TABLE OF CONTENTS
Cover page…….................................….……………………..........…………………......…….1
Title Page..............................................................................................................................2
Table of Contents………...................……….........................……….……....…………………4
Executive Summary.......................…….……………………………...............................................5
Abbreviations…..………………….................................…..…..….........................................6
Context…………………………………….........……...............................................................6
Objective of the Study.…....................................……………………....................................7
Specific objectives.........................................................................................................7
Methodology of the Study…………………..........................................................................7
Limitation of the Study…………..........................................................................................7
Key Findings.........................................................................................................................8
General cash and voucher assistance environment in the country................................8
Validation of needs........................................................................................................8
Market assessment and analysis……………………………................................................9
Number and type of shops............................................................................................9
Access to market - Buyers based on gender and priorities........................................10
Prices of commodities in the 3 markets......................................................................10
Seasonality of basic commodities...............................................................................11
Percentage increase from the source.........................................................................12
Source of product........................................................................................................13
Storage facilities..........................................................................................................13
Who sets the market price..........................................................................................13
Display of prices/labels...............................................................................................14
Catchment area of the markets...................................................................................14
Traders’ willingness to participate in CVA...................................................................14
Challenges in the market............................................................................................14
Focus Group Discussion...................................................................................................15
Key Findings: Debark Camp......................................................................................15
Key Observations from Refugee’s Perspective in Gambella Camp...........................16
Meeting with Women and Child Development (WCD) Department, Bahirdar..............18
Financial Service Providers (FSP)...................................................................................19
Commercial Bank (CB)..............................................................................................19
Awash Bank...............................................................................................................20
Ethio Telecom (Tele Birr)............................................................................................21
Humanitarian donor/peer agencies and their CVA in the area......................................22
CVA Risk and Mitigation....................................................................................................23
Plan International’s CVA implementation capability.......................................................24
Feasibility of cash/voucher programming - Cash/voucher/in-kind? Why?..................24
Conclusion..........................................................................................................................25
Recommendations.............................................................................................................26
Recommendations on Cash and Voucher Assistance (CVA) modalities...................26
Recommendations on Protection, MHM and Education Objectives..........................27
Recommendation on livelihood activities...................................................................27
Recommendation on Financial Service Provider.......................................................28
Recommendations for gender/cross-cutting issues...................................................28
Annexes...............................................................................................................................30

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 EXECUTIVE SUMMARY
The situation in Northern Ethiopia remains highly unpredictable and dynamic, with a severe impact on Civilians. Ethiopia faces
significant internal displacement and recorded the third-highest number of new displacements worldwide, with 3,191,000
internally displaced persons (IDPs) identified. A significant portion of these displacements is conflict-induced, largely related to
the current Tigray People Liberation Front (TPLF) and the Government of Ethiopia.

Military confrontations between federal and regional forces in the Northern Part of Ethiopia are underway. The overall security
and access situation remain complex and fluid, hindering effective support to the most affected populations. Fresh
displacement from fighting in Ethiopia’s Amhara and Afar regions has been recorded as the conflict spreads beyond the Tigray
region. In addition to some 2.1 million internally displaced people in Tigray, thousands of people in the Amhara and Afar region
are internally displaced according to the local authorities and the UN Office for Coordination of Humanitarian Affairs (OCHA). Of
particular concern is the safety and wellbeing of thousands of women, girls, and children in the three regions.

With an aim of supporting the most vulnerable households affected by conflict (particularly Gender Based Violence survivors)
through community infrastructures on child protection, promoting inclusive and adapted educational opportunities and
contributing to meet the basic needs; Plan International Ethiopia is implementing and also in the design phase of several project
proposals with context specific Cash and Voucher Assistance (CVA) modalities to support the target beneficiaries.

A rapid feasibility study was conducted in the regions of Amhara and Gambella evaluating the different enabling parameters
(preconditions) as to understand the suitability of CVA in relation to protection, education, MHM and livelihood outcomes.

The study adopted a mix of both quantitative and qualitative methodologies to gather data across two regions in Ethiopia
especially the Northern region of Amhara affected by the conflict and the ongoing response for South Sudanese refugees in
Gambella for this study. Primary data were collected through Focus Group Discussions; individual interviews with traders; Key
Informant Interviews (KII) with local authorities and community leaders including transect walk along the markets. The study
was led by Plan International’s global lead on Cash and Voucher Assistance and CVA focal point form Plan Ethiopia. Inputs were
received from child protection, gender based violence, education, livelihood, food security, nutrition, cash; information
technology focal points from the country team.

The following key determinants, which guide whether the cash and /or voucher modalities in particular areas are feasible or not
were carefully assessed, analyzed and thereby reached to a conclusion.

• General CVA environment in the country and acceptance of cash and voucher by the government and the communities
• Functional market with adequate stock to absorb increased demand, robust supply chain, relatively stable price of the
commodities.
• Willingness of the traders to participate in the CVA intervention.
• Availability of financial service providers and their willingness to collaborate with the program.
• Coordination with peer agencies to harmonize CVA approaches and avoid potential duplication.
• Project implementation capacity of the organization and implementing partners.
• Favourable security situation in the project areas with appropriate risk assessment in place.

The feasibility study found cash and/or voucher to be highly feasible for the project interventions to achieve the protection,
education and livelihoods outcomes in Ethiopia. Humanitarian agencies have been undertaking CVA covering multiple needs
of the affected population. There is a positive appetite for CVA by all stakeholder including the communities, humanitarian
agencies, donors, financial service providers and authorities. The use of Cash/Voucher modality differs with the context such as
Cash/voucher is feasible in the IDP (Internal Displaced Person) context while voucher modality is limited to refugee context in
Gambella due to the status of people (refugees) and also preferred by the host government. The extent to which CVA has
already been used in past and current humanitarian response is a strong indicator of the feasibility of using the modality in
future emergencies.

The study also explored existing and potential livelihood activities, opportunities with an aim
of linking relief, rehabilitation and development and nexus approach and made a set of
recommendations. It is clear that the approach to use cash/voucher in humanitarian response
in Ethiopia is evolving from “adhoc” to a “standard” modality of response. However, there are
large rooms for improvement where the approach can be strengthened, harmonised in terms
of transfer value in accordance with Minimum Expenditure Baskets (MEBs) of different sectors
and made uniform through larger coordination among the humanitarian agencies or a cash
coordination mechanism at both national and regional levels.

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ABBREVIATIONS
ACSI Amhara Credit and Savings Institution
CaLP Cash Learning Partnership
CFW Cash for Work
CVA Cash and Voucher Assistance
IDP Internal Displaced Person
FGD Focus Group Discussion
FSP Financial Service Provider
KII Key Informant Interviews
KYC Know Your Customer
MEB Minimum Expenditure Basket
MPCG Multi-Purpose Cash Grant
PDM Post Distribution Monitoring
TPLF Tigray People Liberation Front
UCT Unconditional Cash Transfer
WCD Women and Child Department
VSLA Village Savings and Lending Association

CONTEXT
The situation in Northern Ethiopia remains highly unpredictable and dynamic, with a severe impact
on civilians. Ethiopia faces significant internal displacement and recorded the third-highest number of
new displacements worldwide, with 3,191,000 internally displaced persons (IDPs) identified. A
significant portion of these displacements is conflict-induced, largely related to the current Tigray
Liberation Front (TPLF) and the Government of Ethiopia.

Military confrontations between federal and regional forces in the Northern Part of Ethiopia are
underway. The overall security and access situation remain complex and fluid, hindering effective
support to the most affected populations. Fresh displacement from fighting in Ethiopia’s Amhara and
Afar regions has been recorded as the conflict spreads beyond the Tigray region. In addition to some
2.1 million internally displaced people in Tigray, thousands of people in the Amhara and Afar region
are internally displaced according to the local authorities and the UN Office for Coordination of
Humanitarian Affairs (OCHA). Of particular concern is the safety and wellbeing of thousands of
women, girls, and children in the three regions.

The feasibility assessment addresses the needs of the following groups, directly affected by the
conflict as target beneficiaries in the two regions namely Amhara and Gambella in Ethiopia.
• Girls and boys of pre-school and primary school age
• Pregnant and lactating women, children under 5 years old.
• Youth, Women, survivors of GBV
• Community protection and education structures
• Public authorities responsible for education and child protection.
• Refugees and host communities

A rapid feasibility study, has thus been conducted to appreciate enabling parameters (preconditions)
to ascertain suitability of CVA interventions for achieving intended sectoral outcomes/impact, and this
report is the outcome of the exercise.

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OBJECTIVES OF THE STUDY
To assess the feasibility of the use of CVA modality to meet the
emergency needs with respect to Food security, Protection, Education
and Livelihoods of the affected communities in Amhara (Northern Crisis)
and Gambella regions of Ethiopia.

SPECIFIC OBJECTIVES
Analyse the acceptability of cash and voucher assistance by the communities.
Assess the functionality of markets in three communities, physical and financial access to
the market.
Analyse current and possible livelihood strategies and options for the local people;
recommend suitable interventions linking them with cash and voucher assistance.
Analyse the risks associated with CVA and identification of Financial Service Providers.

METHODOLOGY OF THE STUDY

The study adopted a mix of quantitative and qualitative methodologies to gather data across 3
communities across two regions. Primary data were collected through Focus Group Discussions
(limited to one FGD per community); individual interviews with traders (sample size 20 percent);
Key Informant Interviews (KII) with local authorities, trainers, market committee and community leaders
including transect walk along the markets. The study was led by Plan International’s global lead on
CVA with support from Plan International Ethiopia staff. Inputs were received from operations, thematic
team, livelihood, food security and nutrition, cash and information technology focal points from the
country team.

FGD was undertaken with adolescent girls and boys; women and men above 35 years to understand
their priority needs and preferences. Individual interviews were conducted with traders/entrepreneurs
(at least one with each of the occupation) to understand the scope of particular occupation and scope
of their training. Meeting was held with the WCD department and United Nations staff on deputation
to the department in Bahirdar to understand the various humanitarian needs and the potential gaps.
Interactions were held with existing and potential FSPs including Commercial Bank, Awash Bank,
Ethio Telecom, micro finance agency called ACSI, local vendors and agents to understand their
possible engagement in cash and/or voucher distributions. The cash focal point of PIE was inducted
on the different tools before venturing into field.

Meetings were held with peer agencies such as Cash Working Group (CWG), DGECHO, Save the
Children, Action Aid, People in Need and Islamic Relief to understand their role and strategies for
scaling up CVA. The CWG had developed a Minimum Expenditure Basket of for Tigray but it remains to
be endorsed by stakeholders (highlighting the essential/priority items and the corresponding
minimum value of support), while the MEB for Amhara remains to be designed in future.

LIMITATIONS OF THE STUDY

The study, initiallly planned for 4 communities of Gondar, Bahirdar and Gambella while the the
market assessment for Bahirdar was not undertaken due to time constraints and also the market was
fully functional and integrated. Meeting with some peer agencies and CWG was undertaken virtually
due to COVID-19 restrictions.

Meeting with donor DGECHO was organised face to face while other donors were unavailable due to
the deterioratuing situation in the country at the time of the study.

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KEY FINDINGS
General cash and voucher assistance environment in
the country
The CVA environment is Ethiopia is generally favourable as many humanitarian agencies including the
UN are already pursuing this approach. There is an active CWG at national (Addis Ababa) and regional
(Amhara) level led/co-led by IOM/CashCap/OCHA/SCI and the Terms of Reference of Amhara CWG
was in the process of finalisation. CWG meet every month/regular intervals to discuss the technical
issues and to harmonize good practices. To quote Country Director of Plan International Ethiopia, “Plan
International, though is new to CVA but considering
its experience in CVA and the interest from donors, Plan International, though is new to CVA
it is seen as one of the fast emerging actor in Ethi- but considering its experience in CVA and
opia”. WFP is the largest single agency following
the interest from donors, it is seen as one
CVA approach (but at present in the northern region
including Tigray, Amhara, Cash assistance is facing of the fast emerging actor in Ethiopia.
some challenge due to insecurity). The CWG has
developed some tools including Market Assessment, FGD, KII and MEB which are being used by
different agencies and CWG jointly. ECWG has developed MEB for Tigray in March 2021 and it
remians to be endorsed by the key stakeholders. Interactions with key stakeholders including ECWG,
peer agencies, communties in the IDP camps and refugee camps of Gambella indicate a strong
appetite for CVA intervention as a modality to achieve protection, education, livelihood, food security
and other sectoral outcomes.

The following key determinants, were used to arrive at a conclusion if the CVA modality will be feasible
to achive the set outcomes to privide integrated humanitariain assistance to the conflict affected
communities in the project area.

• General CVA environment in the country and acceptance of cash and voucher by the
government and the communities
• Functional market with adequate stock to absorb increased demand, robust supply chain,
relatively stable price of the commodities.
• Willingness of the traders to participate in the CVA intervention
• Availability of FSPs and their willingness to collaborate with the program.
• Coordination with peer agencies to harmonize CVA approaches and avoid potential duplication.
• Project implementation capacity of the Plan International and the implementing partners.
• Favourable security situation in the project areas with appropriate risk assessment in place.

VALIDATION OF NEEDS
The needs-validation exercise revealed the
following priority needs, which are in
conformity with different project documents
in the designing and implementation phase.

1. Food Security and livelihoods

2. Child protection, education and Menstrual
Health Management

All these sectors can be delivered through

CVA modality.

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MARKET ASSESSMENT
AND ANALYSIS
1. NUMBER AND TYPE OF SHOPS
In the 3 markets assessed, Gambella has the highest
number of shops with a total of 130 compared to
Debark and Tarfa with only 73 and 30 respectively.
Gambella and Debark are both primary markets
while Tarfa is a secondary market for Gambella
with most of its supplies coming primarily from
Gambella. Most of the shops are selling food
items followed by WASH/NFI and with the
least are shops offering education materials.
All the 3 markets assessed were fully functional
and integrated with robust supply chain system
in place. The assessment found more than 75%
of the shops were well stocked. The highest
number of shops were in Gambella in all sectors
with food topping the list followed by WASH/NFI,
MHM and education items across all the markets
followed by Debark and Tarfa.

Gambella is a big market catering to all the markets in the region followed
by Debark and Tarfa. There is good access to transport and the roads are being
widened/repaired by Chinese and Ethiopian contractors. The Debark roads were
poorly maintained but it strategically connects to Sudan and Gambella road to South Sudan.

Shops by Sector
50
40
40 35

30 25
18 18
20 15 14
9 10 10
10 5 5 7 6 5
4 4 3
0
Food WASH/NFI MHM/Dignity Mattress and Protection Education
kit blanket (NFI)

Debark Gambell a Tarfa

Graph 1

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2. Access to market - buyers based on gender and priorities
The highest recorded number of buyers combined in Debark per
day for food items numbered around 2,500 compared to Tarfa and
Gambella with only 1000 to 250 respectively. The trend was
consistent with the 3 markets in terms of WASH/NFI items with the
second highest number of buyers followed by MHM/dignity kits,
mattress and blanket and with the least priority on education
materials. The trend could be attributed to the peak and lean
seasons for the food items and education materials. According to
the vendors interviewed, peak season for education materials start
from Aug and peak in Oct while for food items peak season start
from December to February the following year.
Interestingly, when it comes to gender priorities, women were buyers of food, WASH items and MHM/
dignity kits compared to men. This indicates the females are more responsible for food and kitchen
while males are responsible for managing education, shelter and hygiene items. This indicates the
division of gender roles in the communities i.e the outdoor activities are largely dealt by men and indoor
by women. This is a big gender role difference between the Syrian refugees in Egypt where women are
largely responsible for education and protection of children compared to the South Sudan refugee and
IDP women in Ethiopia. However, both men and women were prioritizing education materials
mattresses and blanket and protection NFIs as shown in the Graph 2 below:

Buyers traffic gender wise and priorities

3000 120%

2500 100%

2000 80%

1500 60%

1000 40%

500 20%

0 0%
Food WASH/NFI MHM/Dignity kit Mattress and Protection (NFI) Education
blanket

Debark Tarfa Gambell a Male% Female%

Graph 2

3. PRICES OF COMMODITIES IN THE 3 MARKETS

Based on the result of the study, prices of food, non-food items, WASH,
MHM and education items, jerry cans varies slightly in the 3 markets
assessed.

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 Price of Commodities in different markets
Pencil/Eraser/Sharpner
Bags
Notebooks
Jerr y Can
Under Garment
Sanitary Pad
Soap Bath/laundary
Cabbage
Tomato
Onion
VEG: Potato
Lentil
Chick Peas
Cereals :Beans
Sal t
Oil (5 l it)
Maize
Wheat
Teff

0 100 200 300 400 500 600 700

Tarfa Gambell a Bebar k

Graph 3

Graph-3 clearly indicates the common people have easy access to food with an average price per
day between 1-100 Birr (€ 0.018 to €1.8.) including Teff, wheat, maize and vegetables. The average
price of maize, wheat, Teff and vegetables varies from 1-50 Birr (€ 0.018 to € 0.91) thus affordable to
common people. This also indicates the income level of common people which is corresponding
with the food habits. While cooking oil for 5 lit is approximately 550 Birr or 110 Birr per litre (€ 2.7)
which is on the higher side and difficult to afford by the common people. The price of MHM materials
including sanitary pads and undergarments and education /scholastic materials are is within 100 Birr
(€ 1.81) except school bags which is approximately 400 Birr (€ 7.25) but challenging to afford due to
lack of availability of cash with the target girls, boys, women and men.

4. seasonality of basic commodities

Based on the Graph 4 below, demand for food generally increases
during December, January and February due to food production season while the lean months were
noted starting from July to August prior to the harvesting period. There are some commodities which
remains uniform throughout the seasons due to its normal frequency of consumption such as oil and
salt as recorded in the 3 markets including beans like lintels, chick peas, potatoes and vegetables.
The same with the other NFIs except for education materials which is peak during August to October.

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 Seasonality of products
70

60

50

40

30

20

10

0
Jan Feb March April May June July Aug Sept Oct Nov Dec

Debark Food Debark WASH/NFI Debark Education

Gambella Food Gambella WASH/NFI Gambella Education
Tarfa Food Tarfa WASH/NFI Tarfa Education

Graph 4

5. percentage increase from the source

Percentage Increase from the Source

4%

3%

2%

1%

0%
Food WASH/NFI MHM/Dignity Mattress and Protection Education
kit blanket (NFI)

Debark Gambella Tarfa

Graph 5

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Graph-5 indicates that Gambella has the highest increase on basic commodities compared to markets
in Debark and Tarfa. Stocks of Gambella mainly sourced from Addis Ababa while Tarfa, as a
secondary market, sourced-out their products from Gambella and Debark from Gondar. The lowest
mark-up was noted in the food products. According to the traders, the government is likely to regulate
the prices of food. In addition, some of the agricultural products like cereal came from the local
producers or from local farmers such as in the case of Debark traders.

6. source of product
The source of the products are Sector/Items Debark Gambella Tarfa
clearly visible in the table Food Gondar Addis Ababa Gambella
alongside. WASH/NFI Gondar Addis Ababa Gambella
MHM/Dignity kit Gondar Addis Ababa Gambella
Mattress and blanket Gondar Addis Ababa Gambella
Protection (NFI) Gondar Addis Ababa Gambella
Education Gondar Addis Ababa Gambella

7. storage facilities
Sector/Items Debark Gambella Tarfa Only shops from Gambella have storage
facilities compared to Debark and Tarfa.
Food No Yes No
Presence of storage facilities implies the
WASH/NFI No Yes No capacity to meet additional demand as a
MHM/Dignity kit No Yes No result of CVA programming without much
Mattress and blanket No Yes No impact on prices. Interaction with Tarfa
Protection (NFI) No Yes No and Debark traders indicate that they have
capacity to meet the increased demand and
Education No Yes No
should there be a sudden spike in demand
they would be able to meet within 2-3 days of advance notice. Also the traders were flexible to reach
out to the IDP/Refugee camps should the communities have issues in accessing the markets or use
cash. Traders were also willing to cater the needs to the people through voucher should access to
liquid cash be an issue both for IDPs and refugees. The essential commodities were adequately
stocked and the supply chain of these commodities were well maintained without any seasonal
disruption. Some of the traders had previous experience with voucher system and thus were confident
to express that there will be no inflation if the cash/voucher is injected in the market.

8. who sets the market price?

Sector/Items Debark Gambella Tarfa
Food Gov’t & owner Gov’t & owner Gov’t & owner
WASH/NFI Owner Gov’t & owner Gov’t & owner
MHM/Dignity kit Owner Gov’t & owner Gov’t & owner
Mattress and blanket Owner Gov’t & owner Gov’t & owner
Protection (NFI) Owner Gov’t & owner Gov’t & owner
Education Owner Gov’t & owner Gov’t & owner

For Gambella and Tarfa, the government regulates prices of commodities. In Debark on the other hand,
only food items were regulated by government while the owner were free to set the price of other
commodities including WASH, dignity/MHM kits. NFIs and education/Scholastic materials.

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9. display of prices/labels
Display prices? Debark Gambella Tarfa Most of the traders do not bother
displaying prices since according
Food Yes, for some Yes, if required No
to them price changes a lot, so it
WASH/NFI No Yes, if required No doesn’t make sense to put price tag
MHM/Dignity kit No Yes, if required No if they need to change it regularly.
Mattress and blanket No Yes, if required No For Gambella traders, they would
Protection (NFI) No Yes, if required No follow government regulation if
required to put a price tag.
Education No Yes, if required No

In Debark, traders only display prices for basic commodities like food where the government common-
ly regulates the prices. While for others it is not a practice.

10. catchment area of the markets

The assessed markets serve as the central markets for the targeted beneficiaries. Distance to
the market for the people ranges from 0 to 5 km. People travel to the markets either on foot
or by local taxi and the time consumed is varies from 10-30 minutes. Feeder road to/from the
markets are mostly earthen. Public transport between those markets is very poor with limited
buses but the people mostly use the local taxis. Considering the proposed project locations
are generally within a short periphery of these markets (0-5 km), the target beneficiaries will
have easy physical access to these markets to meet their basic needs. However, in Debark
it was noted that some of the IDPs face abuse by the host population while the refugees in
Gambella are officially not allowed to leave the camps and thus the traders would be needed
to come down to the camps and in this case they are willing to do it.

11. Traders’willingness to participate in cva

All the interviewed traders expressed their willingness to participate in the CVA. Some traders in
Debark, Tarfa and Gambella were aware and had experience of voucher modality by certain peer agen-
cies including Action Against Hunger, Helpage International, Dan Church Aid, WFP and expressed their
capacity to supply any items as per need with a lead time (2-3 weeks). The traders also expressed their
commitment that there would be no inflation in price in case of any increased demand as there are gen-
erally good number of well stocked shops in the markets with good competition and steady supply.
Further, about 80% traders expressed to have a good access to credit facilities from their supplier while
remaining 20% traders expressed having adequate capital on themselves to meet an increased
demand.

12. challenges in the market

• Poor road conditions in some communities and markets
such as Debark and Tarfa are the major challenge for the
market infrastructure development and equally lack of
storage systems in the markets which thus has negative
impact on the supply chain and instability in the pricing of
commodities.
• Poor public transport systems result in limited access
to the market- more time consuming and expensive.
• Limited employment and income opportunities result in
limited access to cash and thus limited contribution to
the markets.

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FOCUS GROUP DISCUSSION
Focus Group Discussions (FGD) was undertaken with women and men above 35 years;
adolescent girls and boys to understand their priority needs and preferences in Debark
camp especially.

KEY FINDINGS: DEBARK CAMP

1 There were around 400 number of young
Unaccompanied children (girls and boys)
and 28 out of 576 families had men with
5 The data from Debark indicate 70% of live-
lihood interest for women and men above
35 years was largely related to
them while the men from remaining on-farm activities such as agriculture,
families stayed back in the place of origin Pisciculture, livestock.
and engaged in the prevailing situation.

2 Women and men were largely interested to

sustain their traditional livelihoods i.e. from
the farms.
6 The assessments revealed some
interesting findings on current and
possible livelihood activities in the areas.
Women (above 35 years) have been
pursuing and interested in on-farm

3 Some of the challenges faced by the IDPs

was lack of access to land for agriculture
activities (e.g. maize, Pisciculture,
vegetable farming, small livestock such
due to their status. This is good opportunity as poultry, duck and goat rearing). While
for container food gardening for short term the adolescent girls and boys are
vegetable crops for consumption. This can interested for off-farm livelihood such as
also support the community kitchen. Inputs petty trade, animal husbandry etc.
can be provided through CVA.

4 Girls, boys, women and men identified the following needs including Food Security, Protection,
Education and MHM/SRHR.

15
7 There were evidence of selling aid products
by IDPs in the nearby market such as
Palmolien oil, food grains such as lentils,
10 Red Cross had distributed MPCG of 8,000
Birr (€ 145) and 95% communities
received and were very happy since it
Corn Soya Blend, NFI kits and this was provided them Choice, Flexibility and
normal since they didn’t have access to Dignity. This value was in accordance
liquid cash to meet their unmet needs in the with the existing Social Protection
market place. programme and not the current MEB.

8 Market was at 500 meters from the camp

and observed to be fully integrated and
functional.
11 Authorities were fine with cash modality
which was evident from implementing
CFW to construct a community kitchen
by an agency and there was no
opposition to the cash distribution by
9 Traders were willing to participate and
also can come to IDP camps should there
be a need.
Red Cross Society in the camp in
November amounting to 8000 Birr/HH.

KEY observations from refugee’s

perspective in gambella camp

The situation in the camp was The teachers and children were
relatively better than the IDP camp consulted and there is a clear need of
with Plan International Ethiopia’s classic increasing the facilities under education
implementation of activities under including provision of scholastic materials
education and protection. through voucher support though “cash”
seems to be a challenge especially due to the
status of the community being “refugees.”

There is also need on

replenishing of protection related
activities such as play materials and The voucher is feasible and evidence/
referral mechanism and this is also precedence is available through provision
feasible through voucher modality. of fresh food vouchers implemented by Action
Against Hunger and also by DCA.

The vendors in Gambella and

Tarfa markets are also willing The South Sudan refugees were overall
to provide materials at the camps satisfied and happy with the positive
through voucher support. attitude and acceptance by the host
population. There has been peace and better
social cohesion with the host communities
compared to their own country where “social
cohesion” was missing.

16
 Refugees including teachers and There is a need to plan an integrated
incentive teachers, adolescent girls approach to respond to the overall
and boys were interviewed and they were needs under livelihood lens through CVA
very happy to opt for a modality of cash or modality. This will provide them with skills,
voucher to meet the priority needs since it source of income and also to cover some
will provide them choice, dignity and of the key needs such as education and
flexibility. protection. Plus it will also equip them to
return back with skills to South Sudan
whenever they wish to.

An impact assessment by PI’s Global

CVA lead on a DGECHO funded “Cash
Multipurpose Cash Grants (MPCG):
for Education project for Syrian refugees
The key advantage for using MPCG is
and Egyptian host community,
allowing beneficiaries, especially in
implemented by Plan International Egypt
vulnerable conditions, the freedom to
indicated 75% of beneficiary families with
choose on how to spend, and what needs
livelihood grants support were able to
are a priority to address, thus ensuring
cover education expenses of their children
supporting with dignity. When need
through a sustainable livelihood income
assessments are undertaken with key
while 25% of respondents receiving only
needs identified and cash as a modality of
“cash for education grants” struggled to
response then it does not have to
cover education expenses due to lack of
necessarily be spent on the targeted need
sustainable livelihood and thus tried to
but beneficiaries being the best judge can
re-invest the cash in small livelihood with
manage their own needs responsibly to
an expectation of enhanced return in a
achieve the end results. For example, a
short period of time which can cover both
Syrian mother in Alexandria, recipient of
education and their basic needs as well.
cash grants for education said, she used
This was both an innovative use of cash as
partial cash grant to pay instalment of
well as a calculated risk taken by
school fees for her two daughters, while
beneficiaries in the interest of their
the remaining cash was used to buy some
children’s education and livelihood. The
materials and tools for making soap, there-
same observation was reflected in the
by making some small profit to cover other
current visit to Gambella camp and the
HH needs as well as pay the school fees.
respondents were vocal to request either
Thus the discussion on MPCG should
a livelihood grant attached with education
continue both internally and externally with
support or an enhanced value of cash
key stakeholders including donors and
grant or multi-purpose cash/voucher grant
partners. Should cash not be feasible in the
to achieve multi-sectoral outcomes.
Gambella camp, Multi-Purpose Voucher
Grant is recommended.

17
meeting with women
and child development
Department, bahirdar
The meeting happened with colleagues from UNICEF and
UNWOMEN deputed to WCD.

Market assessment of different markets and MEB of Bahirdar

was yet to be done but the market in Bahirdar city (capital of
Amhara region) was observed to be fully functional and
integrated.

The adhoc CWG of Amhara (in the process of being endorsed

and TOR under finalisation) recommends cash transfer amount
of 800 Birr (€ 14.5) per capita and limited to 4000 Birr /HH
(€ 72.5) maximum in accordance with the PSNP (Productive
Safety Net programme) for all emergency response until the
MEB is finalised. This is a good linkage of humanitarian cash
with government of Ethiopia’s Social Protection programme.

Red Cross has aligned its cash transfer value to the above
PSNP structure which is appreciated. However, it is to be noted
that the transfer value of 800 Birr (€ 14.5) is from 2005 and it
needs to be revised based on the inflation in the last 16 years.
Once the MEB is established, the transfer value is expected
to increase by at least 60-80% and agencies would need to
align their cash transfer values accordingly in the ongoing and
future programmes.

RECOMMENDATION
It is recommended Plan International Ethiopia (PIE) aligns its cash transfer value
for MPCTs to 800 Birr (€ 14.5) per capita and 4000 Birr /HH (€ 72.5) maximum
per HH until the revised MEB is established. Also PIE needs to put a
contingency plan in place for increasing the transfer value in accordance
with the foreseen MEB and keep donors informed in the respective proposals.
Should the MEB be not revised during the implementation phase of a
programme then the same amount can be used to reach out to more
beneficiaries or top-up cash transfer to the same beneficiaries.

18
financial service
providers
There are several of FSPs available in Ethiopia such as Awash Bank ,Commercial Bank, Oromo Bank,
Abyssinia Bank, Ethio Telecom and ACSI (Amhara Credit and Savings Institution). The assessment
team had meetings with the following and key points of discussion are as follows:

commercial bank
CB is the government of Ethiopia’s largest commercial bank/FSP and has
the maximum outreach with more than 1800 branches pan Ethiopia.

It has the following types of platforms such as:

1. USSD code for qwerty mobile phone
2. App based- from play store for smart mobile phone
3. Online banking

CB being the government agency assures to have has appropriate

security and control at each level of transaction with encrypted data
and maximum access over private entities.

CB has limited access in the northern areas (conflict zone) with limited
liquidity access of 2 Million Birr per transaction.

KYC (Know your Customer) Compliance: It would require the identity

document of the beneficiary/customer. In the absence of any valid
document, negotiations are possible to accept Plan International identity
cards/undertaking by the community leader for KYC compliance.

Cash facilitation is available until Mekele in Tigray while in the

non-branch locations, the bank staff can disburse cash at a location
close to the community.

Real time monitoring reports will be available and a dedicated user ID

can be issued to Plan.

Service charge- it is expected to be nominal but the exact amount is

negotiable on partnership values and will be communicated to Plan
subsequently.

Plan Ethiopia had worked earlier with CB thus a competitive/nil service

charge is potentially negotiable.

RECOMMENDATION
CB has the maximum outreach in the country. The security and control system
seems good. It is recommended Plan Ethiopia signs an agreement with CB as
soon as possible. This will create a multiple option for transfer of cash for Plan
Ethiopia either through CB or Awash Bank whichever works in the area better.

19
 Awash bank
Awash Bank is relatively young with 27 years of experience in
banking and has also customised products for CVA.

It has the following types of platforms such as:

1. USSD code for qwerty mobile phone
2. App based- from play store for smart mobile phone
3. Online banking – account to account (with zero balance
facility)

Its value proposition is they do not charge any service

charge for cash transfer irrespectitve of the location
and there are no hidden cost involved at any stage.

KYC compliance: They accept Plan beneficiary card for the KYC
compliance in the absence of formal identity cards with a
recommendation from Woreda Chief.

Financial reports will be available after each transaction and

also on real time basis except the Northern restricted regions.

Awash Bank has access in Afar, Amhara (except north and south
Zuella) and Tigray (Mekele and offline service with help of
NGOs)

RECOMMENDATION
CB has the maximum outreach and Awash Bank relatively significant outreach in
the country and also the service charge is NIL. The security and control system
seems good. Considering Awash Bank’s flexibility and commitment it is
recommended Plan Ethiopia signs an agreement with Awash Bank as soon as
possible. This will create a multiple option for transfer of cash for Plan Ethiopia
either through Awash Bank or Commercial Bank whichever works in the area
better.

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ethio telecom
Tele Birr is the government of Ethiopia’s exclusive Telecommunication
platform and has the network coverage up to 85% pan Ethiopia. It has
more than 3,000 outlets and more than 35,000 agents.

Tele Birr is relatively new to CVA.

It has the following types of platforms such as:

1. USSD code for qwerty mobile phone
2. Online banking

App based- from play store for smart mobile phone- mobile financial
services are expected to launch soon.

Tele Birr being the government agency assures to have has appropriate
security and control at each level of transaction with encrypted data and
maximum access over private entities.

It has limited access the northern areas (conflict zone).

KYC (Know your Customer Compliance): It would require the identity

document of the beneficiary/customer. In the absence of any valid
document, negotiations are possible to accept Plan International identity
cards/undertaking by the community leader for KYC compliance.

21
Humanitarian
donor/peer
agencies
and their CVA
in the area
DGECHO recommends strongly the CVA modality wherever feasible with
an integrated and innovative approach.

Peer agencies including Action Against Hunger, Red Cross, DCA have
been undertaking activities both through cash /voucher wherever
appropriate.

Meetings with Action Aid, People in Need and Islamic Relief indicate
strong appetite to opt for CVA modality wherever appropriate and feasi-
ble.

Ethiopia Cash Working Group (ECWG): co-chaired by IOM, Save the

Children International with active support from Cash cap and UNOCHA
recommend strongly to adopt CVA wherever feasible and appropriate.
The MEB transfer value has been drafted for Tigray for different sectors
but it is yet to be endorsed by stakeholders. ECWG encourages agencies
to lead MEB exercise in different regions and help different agencies in
adopting it for their responses.

RECOMMENDATION
It is recommended Plan International Ethiopia aligns its cash transfer value for
MPCTs to 800 Birr (€ 14.5) per capita and 4000 Birr /HH (€ 72.5) maximum per HH
until the revised MEB is established.

22
CVA RISK AND MITIGATION
The study team identified the following risks and possible mitigation measures:

Risk Likelihood Impact on Mitigation Measures

Program
Targeting might be High Medium • Develop thorough selection criteria.
difficult as IDPs, • Pursue participatory and transparent
refugees and host approach
population will be • Set community-led complaint &
willing to receive feedback mechanisms
assistance
Traders might spike the Medium High • Reassess the price in the market
price of the and negotiate accordingly
commodities during
implementation
Drop out by the trainee Medium High • Close and frequent monitoring of the
if not compensated by trainees
the apprentice support • Develop contingency plan in case of
a drop out
Security situation might High High • Maintain close coordination with
deteriorate Security Manager and follow his
advice
• Maintain low profile in the community
• Plan International staff should not
carry the cash and distribute by
themselves
• There might be a need to adapt the
programming
Current recommended Medium High • Plan needs to put a contingency
MPCGs to 800 Birr (€ plan in place for increasing the
14.5) per capita and transfer value in accordance with
4000 Birr /HH (€ 72.5) the foreseen MEB and keep donors
maximum per HH until informed in the respective proposals.
the revised MEB is Should the MEB be not revised
established. during the implementation phase of a
programme then the same amount
can be used to reach out to more
beneficiaries or top-up cash transfer
to the same beneficiaries.
Distribution of cash by High High • High life risk for staff to handle liquid
Plan staff cash. It should be the last option in
the absence of any FSP with
appropriate insurance of cash and
staff.
• PIE to transfer the risk to the FSP
and avoid handling of liquid cash.

23
PLAN INTERNATIONAL’S
CVA IMPLEMENTATION
CAPABILITY
Plan International started CVA as a preferred modality of response by 2011. Over the period, its
portfolio grew rapidly. By December 2021, its global cumulative portfolio reached to 150 million
USD with over 250 trained human resources across different country offices.

While PIE Office started CVA only in 2016, its growth is impressive-with a portfolio of 5 million USD
with two trained human resources. Plan International Ethiopia is now the emerging CVA player in
Plan international MEESA region of Plan International. It has now the good program design and
implementation capacity as well as have a strong interest to grow its CVA portfolio. PIE has also
recruited a dedicated female CVA Specialist - a strong indicator of gender equity and importance of
CVA as a reference modality in all response.

Feasibility of cash/
voucher programming
Cash/voucher/in-kind? Why?
Understanding whether or not CVA is feasible and appropriate means by which to respond to needs
in a given context relies on a number of critical factors. For example, if cash transfers are to be an
effective way of meeting the needs of people affected by crisis:

• It is critical that markets are able to supply the goods and services that people need, that people
can afford them and people are able to access those markets. In this scenario, markets are fully
functional and integrated.
• To ensure that programmes are efficient, safe and accountable, it is important that an appropriate
means of delivery can be identified. Here there are multiple options such as Mobile, Banks, Post
Office and Micro Finance delivery mechanism. The best possible option to be considered based
on the context and situation.
• Given the increasing use of CVA globally and multiple benefits cash can provide over
commodity-based transfers (under the right conditions), this study sought to consider the
feasibility and appropriateness of cash/voucher transfers in emergencies due to crisis in the
northern region and its impact in different parts of Ethiopia. The study considered contextual
factors, including the levels of acceptance by stakeholders, and pre-existing or crisis-related
socio-economic vulnerability.
• To understand concerns about feasibility in the region, markets and financial services were
explored in some depth.

24
• Thorough discussions with adolescent girls, boys, women and men from refugees and host
communities indicate the strong preference for cash/voucher programming as the modality of
response.
• Discussion with humanitarian agencies including CWG, FSPs, WCD, Government agencies and key
humanitarian agencies are of the strong opinion to go ahead with CVA as the preferred modality of
response.

conclusion
1 The feasibility study found cash and/or voucher or even mix modality to be
highly feasible in the areas.

2 Humanitarian agencies have been undertaking CVA covering multiple needs of the
affected population.

3 There is a very positive appetite for CVA by all stakeholders including communities,
humanitarian agencies, donors, FSPs and authorities.

4 The extent to which CVA has already been used in past and current
humanitarian response is a strong indicator of the feasibility of using the
modality in future emergencies.

5 It is clear that the approach to using cash in humanitarian response in Ethiopia is

evolving from “adhoc” to a “formalized” modality of response. However, there are
large rooms for improvement where the approach can be uniform through larger
coordination among the humanitarian agencies or a cash coordination mechanism.

25
RECOMMENDATIONS
Based on the findings of the study, Plan International Ethiopia is recommended to
implement the project with CVA modality in the proposed locations. Here below are some
specific recommendations:

RECOMMENDATIONs on cash and

voucher assistance (CVA) modalities

1 It is recommended Plan International Ethiopia (PIE) aligns its cash transfer

value for MPCGs to 800 Birr (€ 14.5) per capita and 4000 Birr /HH (€ 72.5)
maximum per HH until the revised MEB is established. Also PIE should put a
contingency plan in place for increasing the cash/voucher transfer value in
accordance with the foreseen revised MEB value and keep donors informed in
the respective proposals. Should the MEB be not revised during the
implementation phase of a programme then the same amount can be used to
reach out to more beneficiaries or top-up cash transfer to the same
beneficiaries.

2 Cash for livelihoods - Projects should prioritise providing cash as start-up grants to
establish enterprise, workshop and also to purchase the livelihood kits.

3 Commodity voucher- Commodity voucher is recommended for activities when the

cash transfer doesn’t work or not permitted by authorities or there is a speculation that
the particular deliverable will not be achieved with cash transfer.

4 Cash for Work CFW: should be undertaken for rehabilitation of public assets such as in
schools for cleaning and levelling the ground, the classrooms and toilets, construction
of Child Friendly Space and Education Centres.

5 Post Distribution Monitoring (PDM) should be conducted within two weeks of cash or
voucher distribution.

26
 RECOMMENDATIONs on protection,
mhm and education objectives
Plan International Ethiopia is highly encouraged and recommended to
undertake CVA modality for activities under Protection. MHM and Education
objectives. There are several avenues such as the project can provide cash/
1 voucher support instead of “material support” to help beneficiaries meet the
quality requirements associated with caring for survivors of GBV and child
protection cases; providing cash to teachers, providing scholastic materials
through vouchers in the camp settings, providing MHM materials such as
under garments, sanitary pads through CVA and many more. These have been
validated by the market assessment findings. The team has been briefed on
this and they are most welcome to consult GH CVA team for any technical
support.

RECOMMENDATIONs on livelihood
activities

1 On farm activities if promoted well will not only be a source of income for the poor
people but will also help to address food insecurity and under nutrition issues. Thus,
on-farm activities should be encouraged.

2 There will be different types of potential livelihood activities with corresponding

training duration, costs and start-up grants. Identified potential trainings for On/Off
farm livelihoods should follow the prescribed training modules of corresponding
ministry or other authorised institutes. Also courses should be adapted and
contextualised in consultation with the potential beneficiaries. The trade/vocation
selected should fit with the available value chain to ensure consistent income.

3 At the end of the training, the trained beneficiaries should be supported with start-up
grants through cash or vouchers coupled with the necessary livelihood kits to kick
start their micro enterprises.

4 There are capable suppliers for the livelihood kits (as start-up support) in most of the
markets assessed in Gambella and Debark. The wholesalers/suppliers have sufficient
capacity and commitment to supply at any location in the assessed areas to the
beneficiaries through cash or vouchers. The project team should coordinate with
them well in advance for their necessary preparation.

27
 5 When small livestock are provided, there is a risk that people may consume them. Care
should be taken that they are not provided during festival time. Adequate commitment
is required to establish monitoring mechanism (such as peer to peer monitoring).

6 Improved quality seeds (such as vegetable seeds) are not available in all markets.
When there is an interest for vegetable production, seeds should be distributed in-kind
or through voucher modality to ensure quality.

7 Usually there are savings group in all communities and these groups can be sensitised
and capacitated as per the principles VSLA and some projects can be designed to
implement different activities through community level VSLAs. The livelihood benefi-
ciaries should be linked with the existing VSLAs to promote saving credit activities to
further promote their enterprises.

RECOMMENDATIONs on financial
service providers

1 Commercial Bank, Awash Bank have the maximum outreach in the country. The
security and control system seems good and the service charge is very less.

2 ACSI is the micro finance organisation which has discrete access in some communities
and UN agencies such as FAO have been working with them.

3 Considering the above options, PIE is recommended to invite Expression of Interest

from different FSPs and sign advance agreements with them. This will create a
multiple option for transfer of cash for Plan Ethiopia either of the FSPs whichever
works in the area better.

RECOMMENDATIONs for gender/

cross-cutting issues

1 In some contexts, women reported cases of domestic violence when they resist to the
attempt of their male relatives to control the cash given to them. In order to mitigate
such risks and ensure we “Do No Harm” through our intervention.

28
 Plan International Ethiopia should:

2 Conduct gender and risk analysis to understand the power dynamics potential risks of
GBV induced by the cash/voucher programming. Engaging the affected communities’
males and females in the identification of the beneficiaries, pre-distribution sensitization
of all genders will hence be necessary as also setting up of robust feedback response
mechanism for addressing safeguarding, protection and quality concerns.

3 tEnsure CVA distribution mechanisms take gender considerations on location, time and
safety issues, ease of access and minimise overburdening beneficiaries.

4 Establish safeguarding and accountability mechanisms including complaints

procedures. Ensure that both women and men staff represent the complaints/grievance
section so that different members of the community feel comfortable in reporting.

5 Ensure women beneficiaries as much as possible but not less than 50% of the total
participants.

6 The CVA Specialist of PIE should remain in close coordination with the Global CVA team
and request for technical support as and when required.

29
 annexes

• No of people with disability access critical market systems in crisis and non-crisis time?
• How do people with disability access critical market systems in crisis and non-crisis time?
• Catchment areas of the market including distances (km)?

30
 Peak and Low commodity marketing months/ seasons

Current price levels

31
Supply chain system (across different themes)-spatial and temporal both. Any challenges

What percentage in terms of price is different compared the source?

Who sets the prices at which traders in the markets (gov, big traders, each trader, etc)?

Storage facilities in the market

Do traders display the prices in markets?

• Are the displayed market prices easily readable by girls, boys, women and men?
• Do traders price-discriminate by charging different prices to consumers?
• Are there any traders associations in the markets?
• What are the likely barriers to entry and exit (challenges) in the markets?
• General or specific risks and uncertainties observed in the market related to security,
environment, political, civil strife and other risks/uncertainties

32
Are traders willing to participate in voucher programming? Give details.

• Are they able to meet increased demand? How?

Time needed for meeting increased demand

• Are you able to get credit for stock from your supplier? If not, can you manage increase
demand? How?

• Other cash transfer programs in which the market is situated? By whom, challenges,
experiences, address of the challenges?

• Existing banking and financial services infrastructure (List all banks, microfinance, post office,
cooperatives, VLSA, mobile platform, security company). Give details of interaction

• Requirements and challenges for use of banks by participants

• Mobile network coverage infrastructure (list operators, requirement and challenges)

33
 List of name and contacts of all people interviewed in the market

34
PLAN INTERNATIONAL RAPID ASSESSMENT Focus Group Discussion (FGD)
GUIDE ADULTS

35
36
37
38
39
 Feasibility study on cash and voucher
assistance programming in the amhara and
gambella regions of ethiopia

40