how can blockchain help to end hunger? · food basket can be composed of rice, lentils, oil etc. or...

How can Blockchain help

to end hunger?

@WFPInnovation

@giovanni_pio1

Giovanni PioHead of Global Change ManagementUnited Nations World Food Programme (WFP)

The challenge of global hunger

1990

1.0 bn

2000

926 m

2015

795 m

1990

1.0 bn

2000

926 m

2015

795 m

2017

815 m

Climate Change 1

In-Kind

Food

Direct delivery of food to beneficiaries when

local markets are disrupted.

Food basket can be composed of rice, lentils, oil etc. or super

nutrient food such as high energy biscuits, fortified rice etc

Cash Based

Transfer

(CBT)

By delivering cash for food, WFP is addressing hunger in

places where there is food in the markets but poor people

cannot afford to buy it.

“Cash” for WFP involves physical bank notes, vouchers, or

electronic funds being given to beneficiaries to

spend directly.

Benefits:

• Boosts the local economy

• Empowers beneficiaries

• Increased dignity for

beneficiaries

• Cost effective

• Supported by donors

Challenges:

• High banking fees

• Financial risk of insolvency

• Sharing beneficiaries data

• Reliance on vendor and lack

of direct control

60119

183

507

844

680

880

1100Estimation

2010 2011 2012 2013 2014 2015 2016 2017

Mill

ion

USD

Axis Title

Cash Based

Transfer

(CBT)

# of refugees: ~10.5K

# of transactions: ~140k

(May/June)

Value transferred: ~USD 1.1M

Banking fees reduction: 98%

Funds advanced: 0%

Beneficiary data shared: 0%

Initial Pilot in Jordan

Azraq refugee camp

10,000

100,000

500,000

January May December May

Us

ers

So far we have served over

500,000 users

through the Blockchain

system

2017 2018

Tangible Benefits

Blockchain makes cash

transfers more efficient,

secure and transparent

• Reduction of transaction costs

• More secure transactions

• No need to share beneficiaries

data

• Boosting digital financial

inclusion

• Inter-agency operability

• Scale up in Jordan

• Enter 5 new countries

• Interoperate with one other agency

WFP is also exploring new ways of leveraging Blockchain especially

in the are of digital identity managementand supply chain

2020

2018

2019

• Scale up globally

• Work with multiple agencies

Thank you!

INNOVATIONACCELERATOR

giovanni.pio@wfp.org