PSNP Plus and GRAD: Graduating poor out of food Insecurity

1. PSNP Plus and GRAD: Graduating poor out of food Insecurity

2. Ethiopia: Country Context • Food Insecurity: • Chronically food insecure: 8 million people. (1.5 million HHs) • HIV/AIDS, OVCS: • HIV Prevalence • Adult: 1.2 million • Children: 80 K • OVCs: • Orphaned by HIV/AIDS – 1 Million • Total Orphans – 4.6 Million

3. PSNP Plus GOAL Livelihood Assets Increased Resiliency Enhanced Graduation from food aid (70% of target) PSNP HOUSEHOLDS 50,000 Services Access to Microfinance (Financial assets increased) Access to Markets (Engaged in functioning markets) Access to Water, Sanitation (Health &productivity improved) Learning and Sharing (Enabling environment created PSNP FOOD Support

4. PSNP Plus Causal Model PULL Mainstream credit and Business services – small loans, insurance Sustainably Graduated HHs Food Secure Stable Household Economy PROMOTOPN Agricultural extension services Linkages Vulnerable To Food Insecurity P+ Graduated Households Business training PROTECTION Financial literacy training Productivity training and support Productive asset transfer Chronically Food Insecure Farmers’ associations P+ Target Households PROVISION Saving & lending groups PUSH PSNP SUPPORT 1/7/2020 4

5. Did it work? • Project consisted of a longitudinal impact assessment component implemented by Tufts University. These assessments showed improvements in assets, sources of income, etc. (can be found in Tufts’ webpage) • The studies also showed that some interventions were more effective than others, e.g. VSLA, Honey VC. • Various qualitative analysis such as focus groups, case studies showed significant improvements. • No quantitative assessment to determine the % of HHs graduating from food insecurity was conducted. • Among the HHS graduated by the food security task forces from targeted woradas the ratio of PSNP Plus HHs was over 70%. • Food security task forces in different woradas determined graduation based on HH assets as well as other factors such as budget available, etc.

6. Group Exercise • Taking the above into account, how would redesign this project? Focus your discussion on: • Targeting • Services (direct and indirect) • Strategies to reach most vulnerable such as HIV/AIDS affected; women headed HHs and widows.

7. Lessons learned • Resiliency strategies –Climate change, nutrition, women empowerment, aspirations • Multiple value chains and off-farm IG activities (manage risks) • Targeting – include lead/model farmers also • VSLAs were effective, but needed a coordinated approach (of VSLA, Cooperatives, MFIs and Commercial Banks) to meet the need for finance • Less labor intensive VCs for HIV affected HHs – honey, poultry

8. GRAD GOAL * Assets increased, * HH income raised by $365/yr. * Resiliency enhanced * Graduate 50K PSNP HHs * Develop Pathways for Graduation Work with 65K PSNP HHs & 10K Model Farmers Interventions Enhance Livelihood Options for CFI Households in Highland Areas Improve Household and Community Resilience Strengthen Enabling Environment to Promote Scale and Sustainability

9. GRAD Causal Model

10. GRAD Services Services to be delivered to Food secure (6,000 HHS), - (Deepen resiliency) • Organize into Marketing Cooperatives; Training on product quality and market requirements; Linkage with formal financial service providers; Market linkage with high value markets Services to be delivered to Food Sufficient (4,000 HHS) - (Accumulate assets, manage risks better) • Transition PMAs to marketing cooperatives or SMEs, diversify income; Linkage with formal financial service providers for savings, bigger loan and insurance; Linkage with private sector to provide embedded services; Access to market information; Support groups to engage in value addition business; Strengthen extension services Services to be delivered to Chronically Food Insecure (58,500 HHS) - (Increase income, manage risks) • Technical training on production to increase productivity; Support on- and off-farm enterprise selection; Access to loan to engage in VC through MFIs and RUSACCOs ( individually or as a group); Training on Business skill and business planning; Linkage with input suppliers; Access to technology and inputs; Strengthen/establish PMAs linkage with private sector to provide embedded services; Access to market information; Strengthen extension services; Awareness raising on gender, nutrition, climate change and graduation Services to be delivered to Ultra Poor (6,500 HHS) - (Provide productive skills and assets) • Promote saving and internal lending; Asset transfer; Financial literacy; Training on simple business skill to facilitate selection of IGA; Group formation/ strengthening;