Africa: Breaking the Cycle of Poverty in Angola Through Cash Transfers

The first experience, when travelling to Catanha Bandi, located about 35 km from the municipality of Chituto in Huila province, was roads drenched from the heavy rains that had swept through the region, setting a slow but steady pace for our journey to the village. As we got closer to the village, we heard rhythmic chants and melodies in the air. This music stood out against the poverty and hunger that had affected the community in recent years. Like many southern provinces of Angola, Catanha Bandi faced severe drought, making life harder for its residents. However, a lively mini-fair featured fresh agricultural produce and processed goods, showing that the community was starting to move away from its previous reliance on humanitarian aid.

Thanks to the Strengthening the National Social Protection System Project, which supports Kwenda, Angola's first cash transfer program, many locals have managed to get back on their feet and are now supporting themselves.

"Kwenda saved my relationship with my husband and brought peace to our home. Before Kwenda, there was a lot of conflict in our household with my husband and daughters because we had very little and struggled with hunger. I felt helpless, and the little my husband brought in wasn't enough for food, clothes, healthcare, and sending our children to school. Thanks to Kwenda, I now have my own farm where I produce food. I'm also part of a cooperative and a community savings scheme. I've already received 200,000 kwanzas from the fund, which I used to expand my farm, buy clothes for the children, and cover our other household needs. As a result, there is more harmony in the family." -- Joana Katchisapa, 38, a mother of five from Catanha Bandi.

Kwenda's benefits extend beyond its target population. For instance, with funds earned from the increase in production, members of the Catanha Bandi cooperative acquired a mill that enables them to grind maize, soybeans, and sorghum for both their members and residents of neighboring villages. Previously, villagers had to walk up to two hours to the center of the municipality to grind their grain. At times, they spent long hours grinding by hand. The purchase of the mill has also created jobs. Domingos Tchova, 29, now works as a mill operator.

"Every day, we grind five or six tubs of corn, soybeans, or sorghum. Members of the cooperative pay a lower fee, while non-members pay a slightly higher price. The funds collected are used to cover my salary, purchase fuel, and maintain the mill," he explained.

Conceição Sapi da Silva, 41, a mother of six, shared how Kwenda has transformed her life and that of the members of the Cusseteca cooperative in Cacula, Huila. The cooperative was formed after the women in her community received training in cooperativism, savings, and managing income-generating activities. This enhancement to their skills has spurred new work and the creation of jobs.

"Our cooperative has 38 members, and we initially received a start-up fund from Kwenda, along with support for an improved seed bank. With these seeds, we are now producing our own food. We have created a bakery that makes 1000 loaves daily from maize and sorghum, and we also operate a canteen that sells various products. With the money I've earned, I have been able to pay for my daughter's schooling at a college in Lubango. Our cooperative has hired five people," said Conceição.

Similar testimonies, like those of Conceição, who received support through productive inclusion, and Joana, who benefited from cash transfers, were shared by other Kwenda beneficiaries in the provinces of Cunene, Kwanza Sul, Bie, Malanje, Bengo, and Huambo.

Kwenda, which is implemented by the Local Development Institute (FAS/IDL), benefits its target group in three ways: Cash transfers, productive inclusion, and human development services. Through direct cash transfers, more than 1.3 million households (70% led by women) have benefited from the program. Approximately 53,000 households have received support through the Productive Inclusion component of the project-a package that includes skills training, business grants, and coaching aimed at promoting income-generating activities among cash transfer beneficiaries and helping them build sustainable livelihoods.

A Way Forward

The second phase of Kwenda is getting underway, supported by the Enhancing the Social Protection System for Human Capital and Resilience Project, which aims to build on past achievements and add more benefits, introducing strategies to improve child development, maternal health, and the uptake of essential services such as nutrition, immunization, and education among vulnerable households. This effort is particularly urgent given the widespread issue of malnutrition that is affecting children across both urban and rural areas in Angola. The issues to be addressed are due to inadequate diets, poor breastfeeding practices, and limited access to nutritious food--leading to high rates of acute malnutrition and stunting that severely impair children's health, cognitive development, and long-term human capital.

"Addressing malnutrition in young children and pregnant women is like planting seeds in a garden. If you provide the right nutrients and care, those seeds will grow into strong, healthy plants that bear fruit in the future. Similarly, by investing in proper nutrition now, we can nurture a generation that will thrive and contribute positively to society later on," said Emma Monsalve, Senior Specialist for Social Protection at the World Bank and leader of the Enhancing the Social Protection System for Human Capital and Resilience Project.

Key interventions will build on and expand the evidence generated by the European Union-supported CRESCER Project under FRESAN, an operational research project aimed at evaluating the effectiveness of nutrition-specific and nutrition-sensitive interventions. Conducted across municipalities in Cunene, Namibe, and Huíla, the research aims to reduce malnutrition and child mortality by identifying impactful, scalable strategies for long-term implementation.

In the village of Otchinjau, located in the municipality of Cahama in Cunene, Kwenda beneficiaries had access to Crescer interventions as well and are more empowered to take better care of their children's health. There is a significant disparity between children who have received food supplements and nutrients and those who have not.

Rosa Nitia, a 32-year-old mother of five, shared how health awareness and education efforts have positively impacted her children's health.

"In the past, my home was plagued by illness--sometimes it would be diarrhea, other times vomiting, stomach aches, or malaria--and I was unable to work on my farm. Now, I have learned how to treat drinking water and take care of the environment. My children are receiving the help they need to eat well and are growing healthy," she said.

Kwenda will collaborate closely with the health sector to ensure the holistic development of children, as well as the overall well-being of families. The program will leverage the support of its extensive network of approximately more than 3,000 Community and Health Development Agents (ADECOS), who work at the community level throughout the country. The ADECOS will play a crucial role in conducting household sensitization and education, as well as monitoring the uptake of services among beneficiaries and coordinating with other human development sectors.

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