The MultiPurpose Grant UNDP OCHA Joint proposal of

The Multi-Purpose Grant UNDP – OCHA Joint proposal of the transfer value Yadira Diaz 07 -Feb-2017

The MPG Objective: Contribute towards the meeting of the basic needs of the most deprived and vulnerable, crisis-affected population in the Sud and Grand’Anse departments.

The transfer value Methodology to set the transfer value per household: • It will be based on information available in the country with regards to the Minimum expenditure basket. • It will take into account departmental differences when possible. • The selection of the transfer value is proposed in accordance to the alternatives available in the country to update this value taking into account the fluctuations of the prices.

The transfer value The Minimum Expenditure Basket: Non-food items Food basket Minimum Expenditure Basket

The transfer value The Minimum Expenditure Basket: We have available: • A minimum expenditure basket analysis done by the world Bank and the UOPES, using the 2012 ECVMAS. This analysis comprises a food basket and a total minimum expenditure basket at the national level. • The ECVMAS 2012, which comprises information representative by department on household’s income and consumption. • The CNSA food basket, which is available at the national level and that is updated monthly by the fluctuations of the prices.

The transfer value The Minimum Expenditure Basket: We have available: • A minimum expenditure basket analysis done by the world Bank and the UOPES, using the 2012 ECVMAS. This analysis comprises a food basket and a total minimum expenditure basket at the national level. • The ECVMAS 2012, which comprises information representative by department on household’s income and consumption. • The CNSA food basket, which is available at the national level and that is updated monthly by the fluctuations of the prices.

The transfer value The Minimum Expenditure Basket: The CNSA food basket 1, 160 HGD person per month • It represents 1979 kilocalories consumed person per day • Consists of 6 products: 1. Rice, 2. Wheat flour, 3. Maize, 4. Beans, 5. Sugar and 6. Vegetable oil.

The transfer value The Engel Coefficient by department 80, 0% 70, 0% 60, 0% 50, 0% 40, 0% 30, 0% 20, 0% 10, 0% Source: ECVMAS, 2012 Grand'Anse Sud-Est Nippes Nord-Ouest Sud Centre Nord-Est Artibonite Nord Ouest 0, 0%

The transfer value We focus on: • The population of households in the departments of Grand’Anse and Sud • And that comprise the 20 to 60 percentile of consumption distribution of population of households Source: ECVMAS, 2012

The transfer value We focus on: • The population of households in the departments of Grand’Anse and Sud • And that comprise the 20 to 60 percentile of consumption distribution of population of households The Engel coefficient for the 20 - 60 consumption percentile households in Grand Anse and the Sud department Source: ECVMAS, 2012 67. 8%

The transfer value (+) The CNSA food basket (+) Non-food items Total Minimum Expenditure Basket (HGD) 1, 160 552 1, 712 (-) Percentage of consumption in rent 4. 6% (-) Percentage of household income from transfers 18. 2% Total proposed per capita value (HGD) 1, 322

The transfer value Households of different size and composition have different needs

The transfer value Distribution of households by composition in the Sud and Grand’Anse department 7+ persons 23% 4 -6 persons 45% 1 -3 persons 32%

The transfer value Households of different size and composition have different needs Proposed grant value per month per household Household Composition HGD USD 1 -3 persons 2, 643 40 4 -6 persons 6, 608 100 7+ persons 10, 573 160

Proposed guidelines to keep up to date the transfer value • Monitor monthly variation in prices in the food basket using the CNSA study. • As CNSA tracks only the food basket prices, assume the prices of the nonfood items vary at the same rate as the food items. • Keep the MPG transfer value fix and update the value every six months according to the cumulative variation in the food basket prices for the past six months. • However, if the food basket price increases more than 5%, update the value of the grant as per the observed variation.

The Multi-Purpose Grant UNDP – OCHA Joint proposal of the transfer value Yadira Diaz 07 -Feb-2017