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In light of the transitional context within Iraq from humanitarian to development and with the agreement of proceeding with the de-activation of the humanitarian coordination system, the Cash Working Group (CWG) has identified the use of Cash and Voucher Assistance (CVA) beyond the humanitarian response and the strategy and role of the transitioned CWG to support key priority areas in 2023.
The CWG in Iraq was established in 2014 as a technical working group to support CVA programming through strategic and technical guidance to its humanitarian members. Chaired by the World Food Programme (WFP) and co-chaired by People in Need (PIN), some 50 partners are actively participating at different levels. CVA is playing a key role in the humanitarian response, and it is recognized as a successful method to support vulnerable populations. In other contexts, CVA has been also proven to be effective not only in emergency situations but also in recovery and development contexts, as well as part of shock preparedness and linking with Social Protection. It is expected that the use of CVA in Iraq will continue after the broader humanitarian coordination structure concludes.
CVA is a modality of assistance consisting of eco-systems of several activities that support its use, rather than being a specific activity. When feasible and relevant, it can be used to achieve different programmatic objectives. To date, the CWG has developed and coordinated a number of technical guidance, such as an inter-agency referral mechanism, the use of CVA for health outcomes, the design of a targeting model based on Proxy Means Testing (PMT) or the design of a Survival Minimum Expenditure Basket (SMEB) to calculate the value of the CVA transfers. The CWG also supports cross-cutting activities such as the facilitation of debates on digital Financial Service Providers(FSPs), the collection and analysis of markets and prices, the use of research to inform decisions based on evidence, and promotes gender, age and diversity inclusion and accountability to affected populations.
The CWG also provides regular capacity building on priority topics based on a gap analysis and planning. The continuous efforts during the past years have proven a quality and efficient delivery of assistance ensuring that populations can have access to cash assistance in a safe and dignified manner, and the results and impact of the programmes have been very satisfactory. The good experience in Iraq has also been a reference for other countries.
At this crucial moment, sustainable solutions must be sought. The transitional context encompasses the remaining humanitarian needs combined with more longer-term solutions across all the country to ensure a better future and avoid falling back to previous critical vulnerable situations. In this context, CVA can be used to address needs in the development space. However, there are few experiences on this area in the country, and coordination plays a key role to ensure the continuation of the quality, efficiency, and good practices.
For these reasons, the CWG recommends its continuation in the form of a CVA Technical Coordination Group that supports all kind of stakeholders using CVA: NNGOs, INGOs, the UN and in particular the UNSDCF, the Durable Solutions mechanism, government actors engaged in social protection, donors, private sector and more. Engaging with everyone will ensure a comprehensive coordination and continuation of CVA programming in all areas. For this reason, a transitioned CWG should not sit in a specific coordination forum but being coordinated by 2 organizations and formed by all interested stakeholders as members of the group.
The CWG has identified for 2023 the following priority areas (but not limited to):
➢ Provision of technical support and coordination:
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Sector specific CVA will continue being used to address Livelihoods, Shelter or Protection needs among others and this will be provided by different actors. The strategic and technical approach might be adjusted to the current needs and an umbrella to discuss and share practices will be beneficial.
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The impacts of Climate Change in Iraq continue to be increasingly evident. lraq is the 5th worst vulnerable country in terms of the impacts of climate change. CVA can be used to address these impacts as well as for climate change adaptation. As a new topic, specific feasibility assessments, technical tools and response modalities should be developed.
➢ Engaging with Government-led Social Protection: This becomes key to ensure government responses for sustainability.
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Cash-Based schemes: There is a number of programs delivered with CVA. The Social Assistance provided by the Ministry of Labour and Social Affairs (MoLSA) is planned to be expanded and the transitioned CWG could contribute with technical expertise on certain topics.
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Shock-Responsive Social Protection (SRSP): Iraq is a volatile country facing continuous crisis since the past decades. The development of a SRSP can help the government in strengthening their capacities and preparedness to respond when a crisis occurs.
The continuation of the CWG is important to avail of the opportunity of leveraging the experience obtained during the past years and transfer it to the new actors that are now taking over the support to people, communities and systems in Iraq. It is extremely important to ensure the engagement and collaboration between different actors and the good coordination for the effectiveness and quality of the delivery. CVA has a multiplier effect, contributing to sustaining livelihoods, local markets and economies. Thus, the continuation of CVA programming and its robust coordination will increase the chances of recovery and will contribute to addressing emerging challenges.