- Africa is increasingly turning to the mechanism of digital cash transfers to provide social welfare relief for its citizens
- According to data compiled by the Milken Institute’s Covid-19 Africa Watch more than 40 African countries have introduced or expanded social welfare programs since the pandemic
Africa is increasingly turning to the mechanism of digital cash transfers to provide social welfare relief for its citizens. The Novissi program, of Togo which was launched in April, is cited as a successful example of using digital cash transfers. The Program bridged the social welfare gaps as the government tried to support informal workers whose livelihoods were disrupted by the pandemic and the lockdown. More than 1 million citizens of Togo signed up in its first week. About 65% of the eligible beneficiaries were women.
According to data compiled by the Milken Institute’s Covid-19 Africa Watch more than 40 African countries have introduced or expanded social welfare programs since the pandemic. The significance of these programs is that except in the case of emergencies and conflicts, few of these countries had substantial social welfare programs in place before Covid-19. The digital technology is supporting these countries to overcome some of the biggest challenges with cash transfers, particularly with communications, recruiting new citizens, digital ID, screening for eligibility, and delivering payments.As of now, 36 African countries have offered cash transfers to eligible citizens while around 15 countries provide food assistance.
.
A study by the Washington based Center for Global Development highlights the role of digital technology in enabling efficient “G2P” (government to person) social assistance. It points out that the Covid-19 will spur further growth of digital mechanisms to deliver social protection.
