Determinants Of The Effectiveness Of Cash Transfer Programmes On The Livelihood Status Of The Urban Poor: A Case Of Korogocho Slums, Nairobi County, Kenya
Kenya faces a number of pressing challenges, including lack of peace and security, high unemployment, and recurrent drought, which puts millions of Kenyans at risk of hunger. Due to a combination of factors, including consecutive droughts, post-election violence, low food grain production, and global food price hikes there has been a significant increase in food prices in Kenya, sparking a food crisis in 2008–9. In January 2009, the government of Kenya declared the country‟s food crisis to be a national disaster where according to government statistics, an estimated 9.5 million people were at risk of starvation, with 4.1 million of these living in urban informal settlements. The Korogocho slum is the fourth largest informal settlement in Nairobi, after Kibera, Mathare Valley, and Mukuru Kwa Njenga. It is made up of 8 villages, Grogan A, Grogan B, Gitathuru, Highridge, Korogocho A, Korogocho B, Kisumu Ndogo and Nyayo and is located in the Kasarani Division, in eastern Nairobi, approximately 11 kilometres from the central business district. Cash Transfer programmes advance an exciting new vision of social justice in Kenya which recognizes that caring for society‟s most vulnerable members is a collective responsibility to be shared by a country‟s government, local citizens, and the international community. This has led to a steady increase in the government‟s budget allocation to CT programmes. The programme in the area under study however does not guarantee an improvement in the livelihood status of the beneficiaries as its effectiveness is determined by a number of factors. The purpose of the study was to analyse various determinants of the effectiveness of the Cash Transfer Programmes with Korogocho as the case. The objectives of the study were to establish how the gender of the recipient, establish how the level of education of the recipient, determine how the size of the household and determine how the number of income earners in a household determine the effectiveness of the programme on the livelihood status of the urban poor. It is hoped that the results of the study will inform the design of future Cash Transfer Programmes and gender sensitive projects. A descriptive survey research design was used on a sample of 322 household heads arrived at using Krejcie and Morgan‟s sample size estimation table and who were selected through stratified random sampling from a target population of 2000 households. Data collection was done by the use of questionnaires and interviews were conducted. The data was analyzed by the aid of Microsoft Excel and Statistical Package of Social Scientists Program (SPSS). The following statistical measures were used to draw inference from the responses of the respondents: percentages, frequency counts, correlation coefficient, and chi-square tests. The study had a response rate of 84%. The findings of the study revealed that gender of the recipient, size of the household, and the number of income earners within a household has a bearing on the use of the cash. The level of education was found to not play a big role since the amount did not offer much flexibility in spending choices and also because the recipients were pretty much faced by similar situations. The study established that the beneficiaries felt that the cash transfers had to a great extent improved the household wellbeing. The study recommends for the transfer amount to be increased due to the high inflation and increases in food prices. Additionally, it is recommended that the amount be conditioned on its use whereby if one does not use the transfer for the benefit of the household as a whole, they then are removed from the programme. It would also help if the transfer amount was indexed on the size and the level of vulnerability of the household.