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FAO Policy on Cash-Based Transfers

2012 — By FAO

This document articulates FAO’s roles with respect to supporting and implementing CTs linked to agriculture and food security in line with the Organization’s mandate and comparative advantages. It is based on FAO’s experience and expertise in supporting CT programming and details various CT mechanisms that are suited to the twin‐track approach and are in line with the Organization’s commitment to a common programme that integrates humanitarian, development and investment efforts. This policy establishes a corporate accountability framework for the Organization’s use of specific CT mechanisms to support addressing hunger, malnutrition and food insecurity.

The document first presents the policy rationale, along with the objectives and guiding principles of CT programmes. An overview of CTs in the context of FAO’s core programmatic areas is then introduced, with a strategy for determining the feasibility and appropriateness of CT interventions in place of, or in combination with, in‐kind assistance. This is followed by a summary of the main CT modalities including how each relates to FAO’s comparative advantages. Pertinent thematic issues related to CTs – including transfer technologies and delivery mechanisms, cost‐effectiveness and efficiency, risks and strategic partnerships – are then discussed.