Ensuring the efficient, transparent, and secure distribution of cash transfers poses significant challenges, especially in regions with limited infrastructure and vulnerable populations. The World Food Programme (WFP) sought to explore blockchain technology as a solution to authenticate and register transactions in the Sindh province, Pakistan. However, establishing a reliable blockchain system for cash transfers required overcoming technical complexities and addressing potential scalability issues.
Solution
WFP engaged Applied Blockchain to conduct a comprehensive review of the architecture and code of their Building Blocks platform. Applied Blockchain provided expert insights and recommendations to enhance the platform's capabilities and ensure its alignment with WFP's objectives.Drawing from this analysis, WFP implemented a more robust blockchain system tailored to the unique needs of refugee camps in Jordan.
Outcome
Since October 2018, over 100,000 individuals residing in refugee camps have benefitted from WFP-provided assistance through the blockchain-based system. The deployment of blockchain technology has significantly improved the efficiency, transparency, and security of cash transfers, allowing vulnerable populations to access essential resources with greater ease and dignity.As the humanitarian sector’s largest blockchain-based cash distribution system, the project has successfully completed its life cycle with the WFP Innovation Accelerator, supporting over 1 million people each month across four active countries (Bangladesh, Jordan, Lebanon, and Ukraine). It has provided US$ 325 million in assistance and processed US$ 555 million in cash-based transfers to date. Additionally, the project has saved US$ 3.5 million in bank fees, contributing to more efficient aid delivery.
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#09 - Houman Haddad from United Nations: Reducing Costs for UN’s World Food Programme
