Schoolteacher Loice Anyango Ocholla, 24, of Amudho, Kenya, received a cash grant through a new development program. (Photo: Jacob Kushner)
The Western Kenyan village of Nyawita is a dry, sparse place. In the mornings, wives tend to small plots of corn or cassava near their mud-wall homes. Husbands shepherd their few cows around, searching for patches of grass. Children attend a local school if their parents can afford to send them.
Victor Ochieng has spent almost his entire 39 years here farming corn, tomatoes, and other crops. Until recently, it was all the father of six could do to scratch out a living for his family. He wanted to buy pumps and pipes to irrigate his crops with water from his well but couldn’t afford it.
“Farming has so many challenges, and one of the biggest is that rains disappear,” he said. “I wanted to farm even during the times of drought, so I could take my crops to the market while the price is high.”
One day last year, a couple of out-of-towners showed up in his village. They walked from house to house, chatting with the locals. When the visitors, Kenyans like Ochieng, arrived at his home, they told him something astonishing: Some Americans he’d never met wanted to give him and nearly all his neighbors a fortune. Not a loan, a giveaway. With no strings attached.
Read the full story at TakePart.com
Source: Give Directly
Foreign Aid is broken. Can giving cash directly to the poor help fix it?
Just give money to the poor: That’s the essence of GiveDirectly’s strategy for global good. It sounds way too simple to work. What about trainings and empowerment and oversight?
But initial studies suggest it works very well indeed — and that GiveDirectly could jumpstart an entirely new way of easing global poverty.
In western Kenya, GiveDirectly grants recipient families about $1,000 over the six to nine months, more than doubling their annual incomes, on average. Recipients can spend the money however they want. So far, it seems, they’re making investments with long-term returns: sturdy tin roofs that, unlike thatched ones, don’t require constant repairs; school fees for their children; and livestock and land.
One internal study of the cash transfers found that families saw their personal assets increase an average of 58 percent over a year, while monthly incomes rose an average of 28 percent, thanks to returns on investments made with GiveDirectly cash. (The study was conducted by a researcher at MIT’s Poverty Action Lab and a co-founder of GiveDirectly.) Just across Kenya’s western border in Uganda, a three-year government cash-transfer program had similar success.
Could the GiveDirectly approach rescue development?
Read the full article: Just Give Money Directly to the Poor: GiveDirectly | Fast forward | OZY
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For several years now, the charity GiveDirectly has experimented with different ways of deciding who among Western Kenya’s rural poor should receive cash transfers. It’s an important consideration, because $1,000 means a lot to the families that receive it—and it can mean a lot of disappointment to the families that don’t. Last month I traveled to Western Kenya to speak with both lots, and I found that the discrepancy did not go unnoticed in their communities.
Read the full article as it appeared at GiveWell.
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