Cover: How effective are CCTs in low income settings?

How effective are CCTs in low income settings?

A review exploring factors impacting on programme outcomes in Honduras and Nicaragua

Published Nov 6, 2012

by Stephanie Diepeveen, Christian Van Stolk

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Through ESRC/DFID Award RES-167-25-0563, a two-year grant from the UK Economic Social Research Council (ESRC) and Department for International Development (DFID), RAND Europe and the Institute for Fiscal Studies (IFS) are assessing the effectiveness of CCTs in use in low- and middle-income countries. By analysing the impact of external conditions at the institutional and household level on CCT programme effectiveness, this paper aims to start addressing some of the gaps in understanding of the effectiveness of CCTs, and to contribute to more effective and efficient government programmes to alleviate short- and long-term poverty. This paper contributes to this wider body of work being conducted with this grant by examining existing evidence on CCTs in low-income settings. Since the initial flagship CCTs in Brazil and Mexico, programmes are being implemented in a wide range of political and socioeconomic contexts, including areas with high levels of extreme poverty, poor education and health indicators, and limited public administration infrastructure and capacity. The aim of the paper is to comment on the evidence on what affects programme outcomes in settings where infrastructure and capacity for delivery might be low, and that have high levels of poverty at baseline. This will help to guide questioning and hypotheses for further research into effect variability in such settings.

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