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Guidelines for cash transfer programming - International Federation ...

Guidelines for cash transfer programming - International Federation ...

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60 International Red Cross and Red Crescent Movement Guidelines for cash transfer programming In conflict settings, consider the heightened risks linked to resource delivery and distribution and possible disruption to market supply chains. Plan in advance to ensure that recipients can continue to be assisted in the event of increased tension (which may require reflecting on switching to in-kind distributions if markets are severely disrupted). Steps to minimize risks to the recipient ■ Decentralize distribution so that smaller amounts of money are transported to different locations and recipients have a shorter distance to walk home. ■ Ensure that payments are completed in time for recipients to reach their homes in daylight. ■ Establish safeguards for smart card activation such as biometric matching techniques. ■ An abundance of weapons in war-torn and post-conflict societies may present increased risks. Additionally, markets can be targets in some conflict situations. Carefully assess the risk associated with these situations. Steps to minimize risks to recipient and deliverer ■ Undertake small, frequent cash distributions. ■ Inform the public of the consequences of any security incidents, i.e., the programme will be stopped. ■ Involve the community when deciding where the safest distribution venue is. Case study 7 Developing a security/cash programme in Niger, 2006 In 2006, the British Red Cross implemented a cash distribution programme for 5,250 households in conjunction with the Niger Red Cross. Particularly challenging was the distribution of cash to nomadic populations. Although security in the province was generally good, there was a risk of attack by organized, armed and coordinated groups of professional bandits. At particular risk, given the relatively large amounts of cash and the remote rural locations involved, were the cash distribution convoys and the Red Cross compounds where cash was stored between delivery and distribution. In response to this, a detailed security plan was developed, beginning with safety implications of and recommended responses to ‘worst-case scenarios’, and working backwards to establish the risks inherent in all stages of the distribution operation and the measures to be taken to minimize the threat. Once the security plan was agreed upon, all staff received appropriate training. Of particular interest was the establishment of a central ‘security committee’, composed of local authority representatives, British and Niger Red Cross managers and delegates, and chiefs of the local police and the Garde républicaine. While the British Red Cross planned and communicated the strategy, the security committee met weekly to discuss and coordinate practicalities such as communications, transport, scheduling and security measures. Local security committees composed of local officials and clan leaders (both male and female) at each of the 16 distribution centres monitored local security risks and relayed information back to the central committee – this also ensured stakeholder participation in the distribution process. The establishment of security committees at central and local levels proved to be an effective approach for ensuring ownership and responsibility for the programme by the local authorities.

Guidelines for cash transfer programming Implementing cash programmes Case study 8 Risk management in a community cash transfer programme The Indonesian Red Cross and the International Federation developed the following actions to minimize the risk of leakage or abuse in a community cash transfer programme in response to the 2006 Yogyakarta earthquake: ■ Develop clear and simple selection criteria through a community-based approach. ■ Allow communities to select their own finance officers to manage the cash account and cash transfer on behalf of the community. ■ Use community processes to identify goods desired for purchase by the community. ■ Erect notice boards and other forms of communication to disseminate agreed use of funds, and amounts to be provided to individual households. ■ Pay the cash transfer in instalments with successive tranches being subject to proven agreed use of funds. ■ Provide the funds through a system with which the community is familiar. ■ Provide transport costs for community representatives to go to market and purchase the goods. ■ Discuss pricing with local suppliers to ensure that goods are not overpriced. ■ Help communities to procure goods from other markets if suppliers do not respect fair pricing principles. ■ Be clear about the limits to the assistance provided. ■ Use embedded or local Movement volunteers. ■ Frequently assess progress. Distribution and delivery A.7 61

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