Cash transfers can bring dignity to decision-making for those impacted by crisis. Here’s how it works!

How it works: Cash transfers

  • Niki Clark
  • Sep 17, 2024

Often the immediate days, weeks and months following disasters or conflicts are filled with chaos and people on the move, making it hard to reach people when they need it most. Evidence shows cash transfers can be an efficient and accountable way to get help into people’s hands quicker and can help kickstart local economies. Most importantly, cash transfers put the dignity of decision-making back into the hands of people impacted by crises. Your constant generosity ensures we can respond in these types of situations and helps neighbors around the globe make the best choices for their families when it comes to their needs. 

HERE’S HOW THE PROCESS WORKS: 

CRISIS 

The earthquake in Türkiye decimated thousands of buildings, and left survivors devastated.

There’s been a catastrophic disaster or conflict, and thousands of people are left devastated and in severe need. Goods such as food, medical supplies and clean water are desperately needed but can sometimes take a while to get into the hands of those affected. Cash can be a great option when time is of the essence. 

ASSESSMENT 

A Lutheran World Relief Staff member talks to our neighbors affected by the earthquake in Nepal.

First things first. What ARE the needs? Is there a local economy to support cash purchases? Or do physical goods make more sense? In crisis, our team comes in and makes sure that what we are delivering to our affected neighbors aligns with their needs. 

IDENTIFICATION 

A Ukrainian refugee scans fingerprints as a form of identification during a cash distribution in Poland. 

Next, the team identifies who is eligible. Sometimes the focus is on local farmers whose crops have been affected by drought or extreme weather. During distribution, those who are eligible must bring some sort of identification. Then they sign for their payment to acknowledge receipt. 

DISTRIBUTION 

Our neighbors in Yemen queue during a cash distribution.

Payments can be made in one lump sum or in smaller payments made on a regular basis. Some cash, like in Yemen, is distributed in person while in places like Ukraine, electronic payment systems are used, and people receive funds via mobile phones, prepaid debit cards or a voucher system. It all depends on what’s best for the people in need! 

SPENDING 

Cash transfers can empower our neighbors to make decisions based on their needs, including school fees for this student in Sierra Leone.

People are free to use their money on the essentials of their choosing. Some people use it toward temporary living expenses, while others prefer to use the funds for health care needs, food or schooling for their children. People in crisis have unique personal situations and by distributing cash, they are empowered to make those decisions that work best for themselves and their families. 

Want to support our neighbors in crisis? Share your blessings today!
CREATED BY
Niki Clark, Sep 17, 2024 email

 

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