IDEAS home Printed from https://ideas.repec.org/a/ags/ajaees/402806.html

Conditional Cash Transfer and Vulnerability to Poverty in Rural Southwestern Nigeria

Author

Listed:
  • Alabi, A. F.
  • Oyesola, O. B.
  • Ajuwon, I.O.

Abstract

Conditional Cash Transfer (CCT) schemes have become a key policy tool for reducing rural poverty and strengthening household resilience in Nigeria. This study investigated conditional cash transfer and vulnerability to poverty in rural Southwestern Nigeria. The objective of the study encompasses purposes for which households use the provided cash resources, participation in CCT activities and vulnerability to poverty of rural households. The research design for this study was a mixed method design. The study employed an extensive six-stage sampling approach to collect data from 242 household beneficiaries and 242 non-beneficiaries of CCTs. Data were analyzed using descriptive and inferential statistic at p =0.05. The findings reveal that a majority of CCT beneficiaries (99.2%) allocate their cash stipends towards essential needs such as food and cooperative savings. Additionally, 75.2% of beneficiaries use the funds for educational expenses while only 48.4% of beneficiaries invest in agricultural activities. Participation in CCT activities, particularly in life skills training and empowerment programs, was strong, with 76.4% of beneficiaries actively engaged. The study identified a significant correlation between beneficiaries' participation in CCT activities and reduced vulnerability to poverty, as beneficiaries experience a lower rate of poverty-related challenges compared to non-beneficiaries (r=-0.257**, p≤0.05) and a statistically significant difference in poverty vulnerability between beneficiaries and non-beneficiaries, underscoring the effectiveness of CCT in reducing household poverty (t=7.312*, p<0.05). However, while CCT has contributed to immediate poverty alleviation, challenges remain in sustaining long-term improvements, particularly in agriculture and debt repayment. The study recommends expanding CCT coverage to non-beneficiaries, enhancing agricultural support, and strengthening educational and health-related components to ensure sustainable poverty reduction.

Suggested Citation

  • Alabi, A. F. & Oyesola, O. B. & Ajuwon, I.O., 2025. "Conditional Cash Transfer and Vulnerability to Poverty in Rural Southwestern Nigeria," Asian Journal of Agricultural Extension, Economics & Sociology, Asian Journal of Agricultural Extension, Economics & Sociology, vol. 43(12).
    • Handle: RePEc:ags:ajaees:402806
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/402806/files/Alabi43122025AJAEES150198.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Fisher, Eleanor & Attah, Ramlatu & Barca, Valentina & O'Brien, Clare & Brook, Simon & Holland, Jeremy & Kardan, Andrew & Pavanello, Sara & Pozarny, Pamela, 2017. "The Livelihood Impacts of Cash Transfers in Sub-Saharan Africa: Beneficiary Perspectives from Six Countries," World Development, Elsevier, vol. 99(C), pages 299-319.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sudhanshu Handa & Silvio Daidone & Amber Peterman & Benjamin Davis & Audrey Pereira & Tia Palermo & Jennifer Yablonski, 2018. "Myth-Busting? Confronting Six Common Perceptions about Unconditional Cash Transfers as a Poverty Reduction Strategy in Africa," The World Bank Research Observer, World Bank, vol. 33(2), pages 259-298.
    2. Silvio Daidone & Benjamin Davis & Sudhanshu Handa & Paul Winters, 2019. "The Household and Individual-Level Productive Impacts of Cash Transfer Programs in Sub-Saharan Africa," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 101(5), pages 1401-1431.
    3. Pace, Noemi & Sebastian, Ashwini & Daidone, Silvio & Dela O Campos, Ana Paula & Prifti, Ervin & Davis, Benjamin, 2022. "Cash transfers’ role in improving livelihood diversification strategies and well-being: short- and medium-term evidence from Zimbabwe," World Development, Elsevier, vol. 154(C).
    4. Maria Klara Kuss & Franziska Gassmann & Firminus Mugumya, 2022. "How Inclusive are the Local Economic Impacts of Social Protection in Uganda?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(5), pages 2156-2178, October.
    5. Brian Warby & Barbara Kijewska, 2025. "Do Women in Power Empower Poor Women? Explaining the Adoption of Cash Transfers Through Parliamentary Gender Ratios," Journal of Developing Societies, , vol. 41(3), pages 366-382, September.
    6. McGuire, Joel & Kaiser, Caspar & Bach-Mortensen, Anders, 2020. "The impact of cash transfers on subjective well-being and mental health in low- and middle- income countries: A systematic review and meta-analysis," SocArXiv ydr54, Center for Open Science.
    7. Dagim Dawit Gonsamo & Herman Hay Ming Lo & Ko Ling Chan, 2021. "The Role of Stomach Infrastructures on Children’s Work and Child Labour in Africa: Systematic Review," IJERPH, MDPI, vol. 18(16), pages 1-26, August.
    8. Muhammad Faisal & Azhar Abbas & Yi Cai & Abdelrahman Ali & Muhammad Amir Shahzad & Shoaib Akhtar & Muhammad Haseeb Raza & Muhammad Arslan Ajmal & Chunping Xia & Syed Abdul Sattar & Zahira Batool, 2021. "Perceptions, Vulnerability and Adaptation Strategies for Mitigating Climate Change Effects among Small Livestock Herders in Punjab, Pakistan," IJERPH, MDPI, vol. 18(20), pages 1-21, October.
    9. Sophie PLAGERSON & Senzelwe MTHEMBU & Thandi SIMELANE & Khuliso MATIDZA & Anita MWANDA, 2023. "The local economic development effects of income transfers in South Africa. The Social Relief of Distress grant," Working Paper 32d74b80-0ef5-416c-aa00-d, Agence française de développement.
    10. de Milliano, Marlous & Barrington, Clare & Angeles, Gustavo & Gbedemah, Christiana, 2021. "Crowding-out or crowding-in? Effects of LEAP 1000 unconditional cash transfer program on household and community support among women in rural Ghana," World Development, Elsevier, vol. 143(C).
    11. Peiying Dang & Linjing Ren & Jie Li, 2024. "Does rural tourism reduce relative poverty? Evidence from household surveys in western China," Tourism Economics, , vol. 30(2), pages 498-521, March.
    12. Gautam, Yograj, 2019. "“Food aid is killing Himalayan farms”. Debunking the false dependency narrative in Karnali, Nepal," World Development, Elsevier, vol. 116(C), pages 54-65.
    13. Ebenezer Owusu‐Addo & Andre M. N. Renzaho & Paul Sarfo‐Mensah & Yaw A. Sarpong & William Niyuni & Ben J. Smith, 2023. "Sustainability of cash transfer programs: A realist case study," Poverty & Public Policy, John Wiley & Sons, vol. 15(2), pages 173-198, June.
    14. Hajdu, Flora & Granlund, Stefan & Neves, David & Hochfeld, Tessa & Amuakwa-Mensah, Franklin & Sandström, Emil, 2020. "Cash transfers for sustainable rural livelihoods? Examining the long-term productive effects of the Child Support Grant in South Africa," World Development Perspectives, Elsevier, vol. 19(C).
    15. Michael Rogan & Caroline Skinner, 2022. "The COVID-19 crisis and the South African informal economy: A stalled recovery," WIDER Working Paper Series wp-2022-40, World Institute for Development Economic Research (UNU-WIDER).
    16. Wendy Olsen, 2019. "Bridging to Action Requires Mixed Methods, Not Only Randomised Control Trials," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(2), pages 139-162, April.
    17. Chakrabarti, Averi & Handa, Sudhanshu & Angeles, Gustavo & Seidenfeld, David, 2020. "A cash plus program reduces youth exposure to physical violence in Zimbabwe," World Development, Elsevier, vol. 134(C).
    18. Ekpeyong, Paul, 2024. "Public Policy Strategies for Poverty Alleviation in Sub-Saharan Africa: An Inclusive Approach," MPRA Paper 121728, University Library of Munich, Germany.
    19. Chibuikem Nnaeme & Leila Patel & Sophie Plagerson, 2021. "Assets, cash transfers and urban livelihoods in South Africa," Journal of International Development, John Wiley & Sons, Ltd., vol. 33(2), pages 382-395, March.
    20. Ana Maria Loboguerrero & Bruce M. Campbell & Peter J. M. Cooper & James W. Hansen & Todd Rosenstock & Eva Wollenberg, 2019. "Food and Earth Systems: Priorities for Climate Change Adaptation and Mitigation for Agriculture and Food Systems," Sustainability, MDPI, vol. 11(5), pages 1-26, March.

    More about this item

    Keywords

    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ajaees:402806. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://journalajaees.com/index.php/AJAEES/index .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.