Reduce Rural Poverty

Impacts of the Child Grant Programme (Cgp) on the local economy in Zambia

Published:
Brochures: Info-Note

Local economy-wide impact evaluation (LEWIE) simulation methods are used to assess the likely impacts of cash transfers on the local economy. When the Child Grant Programme (CGP) gives money to beneficiary households, they spend it to buy goods and services. As this cash circulates within wards and districts it also creates benefits for non-recipient households that can provide the goods and services purchased by beneficiary households. The LEWIE model simulations show that the CGP has a potential total income multiplier of ZMK 1.79 in nominal terms, with a 90% confidence interval (CI) of 1.73–1.85.