Cash and voucher assistance: when and how
When cash and voucher assistance (CVA) is the right choice, how to decide between cash, vouchers and in-kind aid, and the steps of a CVA programme.
Short answer
Cash and voucher assistance (CVA) gives people money or vouchers to buy what they need. It suits situations where people prefer it, markets work and are safe to reach, delivery is safe and reliable, and the community and authorities accept it. Decide using needs, market, operational and acceptance checks, then design transfer value, targeting and monitoring.
Key points
- Four checks decide if CVA fits: needs and preferences, markets, operations, acceptance.
- Cash gives choice and dignity; vouchers add control; in-kind helps when markets fail.
- A mix of modalities is often best.
- Set the transfer value from the gap between needs and what households can cover.
- Plan feedback, monitoring and an exit strategy from the start.
What is cash and voucher assistance?
The CALP Network, the global network on cash and voucher assistance (CVA), says the purpose of humanitarian CVA is to support people affected by a crisis. It allows people to decide how to provide for themselves and supports their autonomy in recovery. One family may need medicine for a sick grandparent, another a special diet for a child.
CVA comes in several forms. CALP gives these examples:
- Unconditional cash to help rebuild a business after a disaster.
- Conditional cash to encourage people to attend antenatal screening.
- Vouchers to encourage purchase of nutritious foods.
- Cash for work to pay people to clear debris and improve access.
When is CVA appropriate?
CALP names four factors for deciding whether CVA fits.
| Factor | Question |
|---|---|
| Needs and preferences | What do people need, and do they prefer cash, goods, or both? |
| Market conditions | Are there safe, accessible, functioning markets with enough stock and variety? |
| Operational conditions | Can CVA be delivered safely, with reliable payment systems and a trusted way to identify recipients? Does it offer value for money? Do we have the skills? |
| Community and political acceptance | Do local authorities, leaders and people support the approach? |
CALP also says that CVA is not always the best aid, for example if markets have collapsed. A market check is therefore part of the response analysis. In an emergency a rapid check can be simple: visit the market, talk to traders and compare prices and stock with needs.
Cash, vouchers or in-kind: how do I choose?
CALP gives these pointers.
- Use cash when people prefer it, the items are available locally, markets are safe and easy to reach, delivery is safe, payment systems are reliable and the community accepts it.
- Use vouchers when you want to support specific traders, when you need sector-specific assistance such as food or shelter, when a specific item quality is required, or when security concerns make cash difficult but you need more choice than in-kind aid offers.
- Use in-kind goods when markets are not regularly supplied, there is no support for CVA from the community or state, or you cannot set up CVA in time.
Many responses use a mix. For example, you might give cash for food and in-kind roofing sheets, if the market does not stock them. Our guide on needs assessment shows how to gather the facts you need for this choice.
What are the steps of a CVA programme?
CALP describes a typical CVA programme cycle. In practice:
- Prepare. Build skills and systems. Identify payment options, service providers, partners and targeting options before a crisis.
- Assess and analyse. Study needs, preferences, markets, payment options and operational feasibility. This feeds the response analysis.
- Design and set up. Plan registration, targeting, transfer value, payment method, monitoring and accountability. Work with financial service providers and with any Cash Working Group to keep the response coordinated.
- Distribute and monitor. Register recipients, deliver, and track feedback and market prices. Use the data to adjust.
- Exit. Plan the exit during programme design, not at the end.
How is the transfer value set?
CALP outlines these steps for working out the transfer value:
- Assess needs, overall and unmet.
- Quantify the priority needs, using tools such as the Minimum Expenditure Basket.
- Estimate what households can cover themselves, including other support.
- Find the gap: total need minus household capacity.
- Check market prices and trends, and recalculate if prices change.
- Add costs that recipients might bear to get the assistance, such as transport or fees.
- Coordinate with the Cash Working Group, authorities and local organisations so values are consistent.
Be clear with communities about the amount, the duration and who qualifies, and publish a way to give feedback. See targeting criteria for help with selection.
What should I watch out for?
Risks include fraud, safety on collection days, price rises and tension between groups. We cover them in managing risks in cash programmes. In places with unstable banking, limited mobile networks or cash shortages, test the payment method in a small pilot before scaling. Keep the community informed about any delay.
How EMPO can help
EMPO is a reliable, Myanmar-based training and consultancy provider and one of the country's leading names in practical NGO training, with 1,200+ people trained and 15 partner organisations. Cash & Voucher Assistance (CVA) is one of our training topics, offered online over Zoom or in person, in English and Burmese. See our services or contact us.
Sources
- Cash & Voucher Assistance Design and Delivery — CALP Network
- Cash, Vouchers and In-Kind Goods and Services — CALP Network, 2024
Questions people ask
What is the difference between cash and vouchers?
Cash can be spent on anything. Vouchers are exchanged for set goods or services, or at selected traders. Vouchers give the agency more control over use and can support targeted businesses.
Is cash always better than in-kind aid?
No. CALP notes that most people prefer cash, but not always, and that in-kind aid can be best when markets are not supplied or have collapsed.
How is the transfer amount decided?
Teams usually identify the priority needs, estimate what households can cover themselves, and take the gap. They check market prices and any costs of reaching the money, and coordinate with other actors.