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Cash Assistance as a Lifeline for Humanitarian Crisis

by Tore-Ofe Oguntolu



Abstract:

This study examines the impact of cash transfer programming during humanitarian crises

through a case of the 2011 famine in Somalia, a period of severe drought, conflict, and market disruption. Using calculations for the Basket of Goods and Consumer Price Index, the data analysis evaluates fluctuations in staple food prices. It assesses the responsiveness of supply networks under crisis conditions. The evaluation shows how cash transfers increase household consumption, sustain demand for essentials, and allow flexibility in fragile markets. While criticism persists regarding the risk of dependency and corruption, the evidence highlights cash programming as a practical tool for immediate relief and stabilization, raising questions about implementing permanent aid distribution methods to ensure long-term elasticity.

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