Abstract:
Climatic events and other natural-related disasters experienced in the arid and semi-arid counties of northern Kenya negatively affect livestock-based livelihoods. The effects of unfavourable climatic conditions expose households to poverty and increase their vulnerability to weather-related shocks. Addressing vulnerability to climate shocks among pastoral communities of Kenya’s Arid and Semi-lands (ASALs) presents a persistent challenge. This has motivated the national government of Kenya to invest in the provision of unconditional cash transfers and in-kind transfers targeting poor and vulnerable households. This study contributes towards understanding the role of cash transfers in household resilience and building sustainable livelihoods in arid and semi-arid counties. This study targeted Mandera Turkana Wajir and Marsabit counties under the cash transfer program (the hunger safety net program). The study was guided by three specific objectives: To determine the effects of cash transfers on household food expenditure patterns, to determine the effects of cash transfers on household resilience, and to examine household preference between cash transfers and in-kind transfers. The study utilized panel data for 2346 households collected between 2009 and 2012. The study used panel fixed effects to determine the effects of cash transfers on household food expenditure. The Working Lesser model was used to determine the effects of cash transfers on food expenditure patterns. The study adopted the RIMA-II framework to construct a resilience index, after which panel fixed effects was used to analyse the effects of cash transfer on household resilience. The findings indicated that households increased their food expenditure significantly. The findings show that cash transfers had a positive influence on household food spending patterns. The results also revealed that cash transfers have significant effects on household resilience. Majority of the households preferred cash transfers to other modalities about 72% of the beneficiaries. This study recommends cash transfers provided to improve household resilience to climate shocks should have some requirements that are geared towards improving the pillars of resilience. This study recommends that the choice of transfer modality should be informed by beneficiary preferences, program implementers' objectives, needs assessment and the effectiveness of the transfer modality.
