The World Bank will test, in the second phase of the “Kwenda” cash transfer program, its implementation in some urban areas of the provinces of Luanda and Cabinda, the financial institution announced on Friday.
The second phase of the Social Protection Strengthening Program “Kwenda”, in effect since May this year until 2029, is supported by $400 million in World Bank financing (around €339.5 million), of which 25% has already been disbursed. The program is expected to benefit 1.6 million households.
The World Bank representative for Angola and São Tomé and Príncipe, Juan Carlos, stated that the Kwenda program was originally created to support poor and vulnerable families in rural areas, but the Bank will launch a pilot project for its expansion into urban and peri-urban zones, to mitigate the impact of fuel subsidy removal.
Speaking at a World Bank meeting with journalists on Friday, Juan Carlos emphasized that the program was designed for rural areas and needs to be adapted to urban areas, which have completely different characteristics.
“Based on the results of this pilot experience, we can then see how we can recommend [to the Government] adjustments to expand the program to urban areas,” he stressed, highlighting that “the social dynamics in urban areas are totally different from those in rural areas.”
He noted that in rural areas, people use Kwenda support, for example, to buy seeds and cultivate — something that will not happen in urban settings.
The World Bank representative for Angola and São Tomé also underlined that the Kwenda program, implemented by the Social Support Fund (FAS), is not only intended to cushion the impact of subsidy reforms currently being implemented by the Angolan government, despite that being a common perception.
Source: Lusa
