Beyond the wage channel: Climate-smart public works programmes and household resilience in Malawi

One of the main arguments for implementing public works programmes (PWPs) instead of other social protection schemes such as cash transfers is that the assets created through these programmes themselves can generate medium- to long-term benefits. This is particularly important as the costs for supervision and the construction materials can account for up to 70 per cent of programme budgets. Despite this, there is scarce empirical evidence on PWPs' effects through the "asset channel": indeed; most studies have focused solely on the traditional "wage channel". To bridge this gap, this paper examines whether and how assets created under Malawi's Climate-Smart Enhanced Public Works Programme (CS-EPWP) - a programme recently implemented by the government of Malawi and funded by the World Bank - strengthen the resilience of households to climate shocks such as droughts and floods. The paper relies on case study analysis using primary qualitative data based on focus group discussions and key informant interviews with different stakeholders at the national, district and community levels. Interviews were conducted during fieldwork in September 2024 in two southern districts of Malawi highly affected by climate change. The analysis is complemented by site visits and quantitative survey data on asset quality. By combining these methods, we find that the CS-EPWP generates durable, community-maintained assets, which in turn enhance households' capacity to cope with and adapt to climate shocks. In particular, land-based assets provide multiple benefits for both households and communities, while forest-based interventions are expected to generate similar long-term gains, though further research is needed to confirm their (long-term) impacts. To maximise the impact of climate-smart public works programmes, policymakers and donors should align asset creation with climate objectives and adopt participatory approaches to ensure their relevance, maintenance and long-term sustainability.