Vritti March 2020 | Page 12

12 vritti March 2020 Changing Lives Post Disaster Payments and Fund Collection The most direct use of mobile money is to facilitate post disaster payments. Mobile money can be used by governments and NGOs to quickly and cost-effectively disburse money to the people affected by the disaster. It can also be used to quickly pool funds from people during emergencies. Social cash transfer to drought- stricken Households - airtel money, malawi Between 2014 and 2016, over 2 million Malawians faced food shortages due to droughts and erratic rains that destroyed crops. The INGO consortium, in collaboration with Airtel Malawi ran an emergency social cash transfer program with an aim to mitigate the impact of famine. Under the program, the INGO consortium provided financial aid to hunger-stricken households via the Airtel Money service. In 2016, they disbursed more than MWK 40 billion ($54 million), enabling 250,000 Malawians to buy food and meet their nutritional requirements. By transferring funds monthly to the beneficiaries, cash transfers not only meet the immediate needs of households, but also enable people to spend money and make purchases, simultaneously injecting growth into local economies. Pooling relief funds for cyclone-hit people – EcoCash, Zimbabwe Cyclone Idai hit Zimbabwe on March 15, 2019; bringing heavy rains that led to floods, killing 344 people and impacting 270,000. EcoCash crowd-funded and collected donations from Zimbabweans citizens and the Diaspora. Within hours of hitting of cyclone on March 15, EcoCash created a digital wallet for the relief fund with Biller Code 320041 and launched it on next day March 16. The relief fund was created as a biller in the system and Zimbabweans can donate using this Biller Code just like they pay a bill. Zimbabwean Diaspora could donate though EcoCash Diaspora (international remittance) service. For this EcoCash created a relief fund digital wallet with mobile number +263786321671. Consumers can send money instantly to this number in the same simple and familiar way they remit money to their family and friends. RTGS$ 239,643 was collected by EcoCash crowd-funding. The money was used for search and rescue operations and the purchase of food supplies for the impacted.