Tuesday
August 11
2020

Analysis: Why Cash Transfers Are an Efficient Method of Reducing Food Insecurity

By Martha Bande

As governments across the globe continue to grapple with the economic effects of COVID-19, many are faced with the additional burden of guaranteeing food security for millions of their citizens. Restrictions in movement and other social distancing measures adopted to contain the spread of the virus have put a significant strain on food supply chains, both at production and distribution links. As a result of this, millions have been pushed to the brink of hunger. The United Nations estimates that up to 265 million people will face acute food shortage by December 2020, a sharp increase from earlier predictions of 135 million people. A disproportionate share of these people live in low- and middle-income countries where shock-responsive social safety nets are inadequate or poorly managed.

In Kenya, long before the World Health Organisation (WHO) declared COVID-19 a global pandemic, an estimated 1.3 million Kenyans were already facing acute food shortage as a result of prolonged droughts, extended long rains well into the harvesting season and a locust infestation not witnessed in a decade.

Photo courtesy of Internews Europe.

Source: The Elephant (link opens in a new window)

Categories
Agriculture, Coronavirus, Finance
Tags
agriculture, cash transfers, coronavirus, digital payments, disaster relief, emerging markets, fintech, food security, food systems, LMICs, WHO