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Local Economy-wide Impact Evaluation (LEWIE) of Ghana’s Livelihood Empowerment Against Poverty (LEAP) programme

Resource Type: Publication
Published: 02/05/2014

The Livelihood Empowerment Against Poverty (LEAP) programme provides cash and health insurance to extremely poor households with the goal of alleviating short-term poverty and encouraging long-term human capital development. The LEAP provides a significant infusion of cash into Ghana’s rural economy. When beneficiaries spend the cash transfer they transmit the impact to others inside and outside the local economy, more often to households not eligible for the cash transfer who tend to own most of the local businesses. The impact on the local economy was simulated using a LEWIE (Local Economy Wide Impact Evaluation) model, focusing on the communities in seven districts included in the LEAP impact evaluation. The LEWIE model for the LEAP programme found that the transfers could lead to relatively large income multipliers of GHS 2.50.