Ethiopia CGAP-Ford Foundation Graduation Pilot

Implementers: Relief Society of Tigray (REST)

Pilot Overview

REST launched the CGAP-Ford Foundation Graduation Program in 2010 to reach the poorest recipients of the Government of Ethiopia’s Productive Safety Net Program (PNSP) in 10 sub-districts in Wukro, Tigray.  REST selected program villages on the basis on the high number of PNSP beneficiaries, agro-ecological diversity, and accessibility to the main field office in Wukro.

For more information on this pilot contact: rest@ethionet.et

Implementing Organization Overview

The Relief Society of Tigray (REST) was established in Tigray in 1978 to provide emergency relief to refugees returning from Sudan. In the 1980’s, REST’s work shifted from emergency response to long-term improvement of food production through agricultural rehabilitation and disaster prevention. Since the 1990s, REST’s programs also include household-level and integrated watershed development programs.

Targeting: REST engaged with the Community Food Security Task Force (under the government’s safety net program) in order for the communities to identify ultra-poor households. In order to join the pilot project, the household must have no assets such large livestock (e.g. oxen), be without access to land (owning less than less than regional averages, or owning poor quality land), and a high dependency-to-income ratio. The pilot excludes households receiving direct support from the PSNP (those identified as unable to work), currently accessing a microfinance loan, or receiving remittances.

Consumption support: REST uses the PSNP’s “food-for-work” transfer as consumption support. The transfer is comprised of a mix of cash and in-kind support equivalent to 15kg of wheat per month for three months and US$2.4 (ETB 40) a month in cash for three additional months. This consumption support is provided for the duration of the program as long as the participant continues to engage in the PSNP’s food-for-work program.

Livelihoods: REST provided participants with a choice of four livelihoods to engage in: goat and sheep farming, cattle farming, honey production, and small trade. These livelihood options were developed based on value chain analysis conducted by the Emerging Market Group Ltd., funded by USAID. The asset value per participant is US$350.

Financial service: Participants access individual deposit accounts at the Dedebit and Credit Savings Institute (DECSI) . Saving is mandatory and all participants must save the equivalent 75 percent of asset value within two years.

Additional services: Participants access REST’s water-security, health, and education programs.

Research: Qualitative research is conducted by the BRAC Development Institute, and funded by MasterCard Foundation while a randomized control trial (at the household level) is conducted by research firm Innovations for Poverty Action, funded by the US Agency for International Development (USAID).

Graduation criteria: At the completion of twenty-four months (the duration of the program), the pilot plans to evaluate each participant along criteria that are still to be determined.

Graduation rate: Graduation is expected in 2012.

Scale up: Plans for scale up are yet to be determined.