Building community resilience and fighting poverty in Angola through cash transfers

The foggy morning and intense cold in the village of Seles, Kwanza Sul, posed significant challenges for anyone wanting to venture out. Yet, these natural barriers didn't deter Fatima Domingas, a 38-year-old widow and mother of five, from seeking help at the Integrated Social Action Center (CASI) for her children's identity documents (ID). Despite the constitutional right of all Angolan citizens (over the age of 6) to have an ID, many still lack them. The daily struggle to provide for her children had left Fatima with no time to obtain their documents.

Fatima's luck turned around when she was selected as a beneficiary of the Kwenda Program. Kwenda, Angola's first cash transfer program, is part of the Strengthening the National Social Protection System Project, and is financed by the World Bank with $320 million and $100 million from the Government of Angola. It is implemented by the government's FAS/Local Development Institute (FAS-IDL) and aims to reach 1.6 million poor households nationwide. About 70% of cash transfer recipients are women. The World Bank Poverty Assessment estimates Angola's poverty rate to be nearly 33% or 10.1 million Angolans.

Whether it's supporting human capital related services such as IDs and education (as in the case of Fatima and her children) or creating or expanding a secure source of income, the Kwenda beneficiaries we interviewed told us the program has changed their lives, for the better.

With the support of the Kwenda Program, Fatima's life took a positive turn. Over two payment cycles, she was able to purchase essential household items and start her own farm. This newfound independence reduced her reliance on odd jobs, and the food she produced on her farm significantly improved her family's living conditions. These changes instill hope for a brighter future, demonstrating the transformative power of Kwenda.

"I am a widow and a single parent to my children. Before owning my own farm, I had no day off and used to search for odd jobs every day to ensure that my family had something to eat. However, on days when I couldn't find any work, we had to go to bed hungry. I had no time to think about anything else. My children had no identity documents but I could not do anything. Fortunately, with the help and support I received from Kwenda, I was able to gain some independence. That´s why today I was able to come here with my children to get their IDs and when we go home will have something to eat." - Fatima Domingos

The benefits of Fatima's farm extend beyond providing her with a livelihood; it allows her children to focus on their education. Laura Ventura, who is 15 years old and the eldest child of Fatima, no longer has to accompany her mother in search of odd jobs. This has allowed her to reignite her dream of becoming a nurse. Similarly, her younger brother Gerónimo Ventura, who is 10 years old, aspires to become a teacher. IDs are essential for students transitioning to secondary school, as without them, school certificates cannot be issued. Therefore, the assistance Fatima's children receive through the CASI is an important step to helping them achieve their dreams.

Fátima Domingos and four of her children showing their newly obtained birth certificates.

The impact of cash transfers to fight hunger

With a child on her back, 22-year-old Regina Nhambimbe, mother of three, from the village of Sailundo Novo, in the municipality of Bailundo, 560km from Luanda, prepares the evening meal. Gone are the days when she used to sit sadly in hiding and cry because she couldn't provide enough food for her children. Everything changed when the investments she made in her farm field with the money she received from Kwenda paid off. With her first payment, she bought a mattress and a table with chairs. She invested the rest in buying seeds and expanding her farm, where she planted potatoes, beans, and maize. For the harvest scheduled for the third quarter of 2024, Regina plans to take all her produce to the markets in Luanda to get an even bigger dividend. With the money she will make from her produce, she plans to buy goods from Luanda that she will take to Bailundo´s market to make some profit. Trade will be her new bet, thus diversifying her source of income beyond farming.

"My husband has another family and lives in another community. He doesn't always come here, and when he does, he usually brings nothing, so I work hard so that we don't starve. This year the rain was good and my fields have yielded very well." - Regina Nhambimbe

Regina Nhambimbe at the door of her house with her three children. Photo: Wilson Piassa/World Bank

The difference in the number of meals that poor households eat daily is one of the most striking indicators among Kwenda beneficiaries after they receive their payment compared to before. For example, in communities that have already benefited from payments, such as Regina's, households have more meals than those waiting for the payments to reach their communities. This is the reality found in the Fatima Calomete neighborhood in the village of Bailundo, where many poor households struggle daily to feed themselves.

The impact of adding productive inclusion initiatives to cash transfers

Rosélia Navenda, 42, the mother of six children, Inês Nachitembo, 50, the mother of 7 children, and Precinta Nhaca, 47, the mother of 8 children, all demonstrate examples of how productive inclusion has been changing the lives of female heads of households in Angola. Their households now have three diversified and balanced meals a day, thanks to the income they earn from farming. The three women are members of the Nikila Village Seed Bank Association, which comprises 52 members, 30 of whom are women. In the beginning, each member was given eight kilos of beans, which they planted in their fields. Although their products were affected by the drought, the production of their crops was satisfactory. At harvest time, Rosélia got 70 kg, Inês 101kg and Precinta 80kg. Each of the ladies returned 16kg of their harvest to the seed bank, so that more community members could benefit from their yield.

The association members were aware that they should not sell or eat up their entire harvest. So, instead of eight kilos, the women tripled the quantity of seeds to be planted, thus increasing the size of the fields. In the second harvest, the results were even better than the first.

With the 101 kg I got from the first harvest, I sold 20 kg, planted 20 kg, gave back 16 kg to the seedbank and kept 20 kg for consumption. I sent 25 kg of seeds to my relatives in Benguela for them to plant in their fields. In the second harvest, I got a yield of 400 kg. I sold some of the produce and used the money to buy mattresses, chairs, and a table, and to improve the house. I also bought a motorcycle with my sister, who is also a beneficiary of Kwenda. Now, I've extended my field further and hope that I'll have an even bigger harvest in November. Two of my older children are attending university in Kuito, and one is in primary school here." - Ines Nachitembo

Inês Nachitembo (in the grey sweater) with three of her seven children. Photo: Wilson Piassa/World Bank

The mathematics of development are impressive. The Nikila Association Seed Bank, which started with an initial stock of 400 kg of bean seed supplied by Kwenda, at the end of the first harvest had a return of more than 600 kg. In the second year, the total was 2,005 kg of bean seeds. With this large stock, members could access quantities of seeds according to their own needs and farm's strength. Some obtained up to 50 kg of seeds. As the seed bank has grown, villagers who are not members of the association have also been able to access the seed credit, thus making the seed bank a support resource for the whole village and not just the association members.

While agriculture is the primary economic activity in the areas visited, Kwenda beneficiaries have demonstrated creativity by implementing other income-generating initiatives.

In the commune of Calucinga, we encountered a group of men, women, and teenagers who were actively involved in digging a large pond on the edge of a stream. They are part of the Associação Muda Meu Mundo (Change My World Association), which consists of 30 Kwenda beneficiaries who have decided to pool the money they received to expand beyond farming to dedicate themselves to raising and selling fish. Currently, the association has two 300m2 ponds where they have raised fish for six months. In December last year, the association sold nearly 1.5 tons of fish to local residents during the festive season.

"In 2021, my daughters, my son-in-law, and I came up with the idea for this fish farming project. However, we lacked the funds to build the ponds, buy fish, and feed. Fortunately, with support from Kwenda, we were able to kickstart the project. We invited our neighbors and relatives from the village to join us, and what you see here is the result. We also received training on cooperativism and teamwork. Currently, each member has a small fish pond on their farm. The ponds you see here are owned by the cooperative, and the members gather once a week to work on them," said Francisca Kussessiya, 69, president of the cooperative.

Francisca Kussessiya of the fish farming cooperative in front of one of the ponds. Photo: Wilson Piassa/World Bank

"These stories demonstrate the relevance and transformative role of social protection investments in Angola. However, for the country to fully realize the potential of social protection, it is key that these investments are long-term and also that critical complementary investments are made in related sectors, including human capital, financial inclusion, and digitization," says Boban Varghese Paul, World Bank Task Team Leader for the project.

The Kwenda Program has already benefited 1 million households in 64 municipalities in 196 communes, in 8,396 neighborhoods and villages of Angola.

"Kwenda is a great example of how the World Bank is supporting transformative change in Angola. The World Bank has recently approved a new phase of financing to consolidate and deepen these impacts on Kwenda beneficiaries," says Juan Carlos Alvarez, Country Manager, Angola and Sao Tome & Principe.

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