Somalia - Market Feasibility Study: Beletweyne (August 2020)



The number of internally displaced people (IDPs) in Somalia has been increasing for the last several years. As of 2020, 2.6 million IDPs live in 2,000 sites across Somalia, the majority of whom were found to be in need of humanitarian assistance and protection.

In May 2020, intense rains in Ethiopia and Somalia triggered flash flooding in several regions, especially along the Juba and Shabelle rivers. Beletweyne has been reported as the most affected district, with 85% of the town and 25 riverine villages inundated. The flooding caused the displacement of about 240,000 people, according to the district flood taskforce.

Along other major urban centres along the Shabelle and the Juba river basins like Baidoa and Mogadishu,
Beletweyne concentrates a large number of IDP sites. However, floods such as the one in May 2020 are unfortunately not uncommon in the region, with hundreds of thousands displaced in Beletweyne in 2019 and 2018 from similar events.4 In addition, the outbreak of COVID-19 and the subsequent measures are likely to negatively impact the access to livelihoods of already-vulnerable people, further aggravating their humanitarian needs.

Within this context, REACH conducted a market feasibility study in Beletweyne, in consultation with the Somalia Cash Working Group (CWG), aiming at understanding IDP household (HH) needs and preferences in relation to the host community (HC), as well as vendor capacity in the main markets in Beletweyne. Through assessing HHs' market needs and preferences and vendor expansion capacities, the assessment aims to support cash actors in Beletweyne to make evidence-based decisions related to the viability of cash and voucher assistance (CVA) and market based programming (MBP).

Household findings are based on surveys with 119 IDP HHs and 101 HC HHs, representative at the Beletweyne level with a 95% confidence level and a 10% margin of error. Findings relating to a subset of this sample might have a lower confidence level and a wider margin of error. Market findings are based on 90 structured key informant interviews with market vendors, and are indicative only. For a detailed overview of the methodology, please refer to page 3.