Romania Cash Localisation Pilot
Strengthening Local Capacity for Effective Cash Assistance: CCD Network's 'Collective Initiatives' Programme in Response to the Ukraine Crisis
Background
Since Russia's full-scale invasion of Ukraine in February 2022, over 5 million people have sought refuge in neighbouring countries. This mass displacement, coupled with ongoing destruction in Ukraine, has created a critical need for humanitarian assistance for those arriving in new territories.
In response to the ongoing crisis in Ukraine, the Collaborative Cash Delivery (CCD) Network launched the 'Collective Initiatives' programme, funded by the Disasters Emergency Committee (DEC). The programme aims to bolster the capacity of local actors in Ukraine and Romania to provide effective Cash and Voucher Assistance (CVA) to vulnerable communities through a series of pilot projects.
Why Romania?
The focus on Romania is crucial due to its significant role as a host country for Ukrainian refugees. Since February 24, 2022, over 3.7 million Ukrainian refugees have crossed into Romania. Currently, over 75,000 of these refugees remain in the country, with more than 4,000 seeking cash assistance.
Romania's response to the refugee crisis has included community and volunteer involvement as well as some governmental support.
However, international interest in Romania has waned, and institutional funding for support remains limited.
Cash Localisation Pilot
Action Against Hunger (AAH), with support from CCD, led a cash localisation pilot focused on building the capacity of national organisations to deliver and implement CVA programming.
Using a cascading approach, AAH strengthened the institutional and technical cash capabilities of Biroul Regional pentru Cooperare Transfrontalieră (BRCT), a non-profit dedicated to the sustainable development of the Romanian-Ukrainian border regions.
BRCT then trained and mentored three small Romanian NGOs along the Ukrainian border to effectively administer Multi-Purpose Cash Assistance (MPCA) to Ukrainian refugees.
These NGOs were strategically chosen based on the concentration of refugees and the growing gap in assistance in their regions.
Who are the Three Local NGOs?
The Fundația Ucrainenilor Huțuli din România (FUHR) is an organisation dedicated to supporting the Ukrainian Hutsul community in Romania. The foundation is actively involved in cultural preservation and, more recently, humanitarian aid, particularly in response to the needs of Ukrainian refugees. Their efforts include collaboration with the Ukrainian Orthodox Vicariate in Romania and participation in various humanitarian campaigns to assist those affected by the ongoing conflict in Ukraine.
The Bucovina Institute is an NGO dedicated to promoting sustainable development in communities across Northeastern Romania and Southwestern Ukraine, and the entire Republic of Moldova. Currently, one of the organisation's key initiatives focuses on assisting Ukrainian refugees affected by the ongoing conflict.
ASOCIATIA Din Suflet la Zambet (ADSLZ) is an NGO dedicated to providing every child facing hardship, disadvantage, or abandonment with a chance to lead a better life. They support the most vulnerable in their community, including those from minority backgrounds, and those facing financial hardship in the Southeast region of Tulcea, Romania.
The selected NGOs had very little to no prior knowledge of CVA programming or working with refugees.
The objectives of this programme were:
1. Local humanitarian actors have strengthened institutional capacities to lead the humanitarian response with a focus on cash programming.
2. Partners have the knowledge, skills and abilities to deliver locally-led, quality cash programming.
Learning by Doing
The cash localisation pilot used a learning-by-doing approach, providing workshops and training on cash technical capacity, organisational strengthening, and direct funding for CVA implementation. With the support of AAH and the CCD Global Cash Trainer of Trainers (ToT), BRCT was initially trained in MPCA and then trained 25 staff from the three local NGOs to design and implement cash assistance programmes.
In stage one (April to August 2023), BRCT coordinated activities and helped partners identify eligible households and disburse MPCA grants, supporting a total of 699 beneficiaries.
In stage two (December 2023 to March 2024), the partners took full responsibility for managing cash activities and used a targeted approach to identify eligible households and reached 589 beneficiaries.
AAH and the CCD Global Cash ToT provided ongoing training and support throughout the project, including developing Standard Operating Procedures (SoPs) and working on Partner Capacity Assessment Tools (PCATs). Additionally, in August 2023, AAH involved Concordia, a non-profit organisation focusing on social services and humanitarian aid, to conduct an institutional capacity assessment of the NGOs, resulting in a tailored capacity-building plan and training sessions.
Based on partner feedback and from their own experience, AAH found that the cascading structure could be adjusted in the future to ensure clear and well-defined roles and responsibilities. Local partners expressed some confusion about project coordination, especially when they took on more responsibility.
However, AAH recommends continuing a capacity-building approach where the organisation coordinating the project offers technical support to local partners, using a practical, hands-on method for learning.
Challenges & Barriers
Insufficient Initial Model Detail: The project design lacked adequate detail. During implementation, staff turnover led to gaps, with new team members lacking the necessary background and time to further develop the localisation models.
Staff Turnover and Recruitment Delays: High staff turnover and delayed recruitment led to inconsistencies in understanding the project and model. Staggered recruitment prevented a comprehensive project kick-off, hindering alignment among all team members.
Resistance to Change: There was difficulty in adopting new approaches due to entrenched systems, mindsets, and assumptions favouring traditional methods and "business as usual".
Time Constraints and Availability Issues: Limited availability of local NGO staff and in-country cash trainers impacted the project's capacity-building efforts.
Lack of Local NGO Involvement in Design: Local NGOs were not sufficiently involved in the project design phase, resulting in a lack of full understanding and engagement with the project's goals and methods.
Lost Capacity Building Time: Recruitment delays reduced the time available for building the capacity and training the in-country cash trainers, affecting the project's effectiveness in strengthening local skills and knowledge.
Impact
Capacity Change
Increased Knowledge, Skills and Ability in Cash Programming: Cash Capacity Assessments were conducted at the project's onset by AAH and at its conclusion by BRCT staff, who received training in the new Harmonised Cash Capacity Assessment tool from the CCD Global Cash ToT. These assessments, along with collected feedback and observations, highlighted significant progress in the technical cash capacity of local partners, showcasing their enhanced knowledge, skills, and ability to effectively deliver cash programming.
Progress in Capacity: Initially, all four partners had limited experience in humanitarian cash programming. However, by the endline assessment, all partners showed noticeable improvements in capacity, particularly in staff development with an average combined score of 75%.
Localisation and Ownership: The Cash ToT model and localisation pilot helped avoid reverting to default practices, ensuring a balance between rapid cash disbursement and capacity building. This approach fostered a significant shift in working methods, with NGOs taking on more project elements and integrating capacity building into each project phase.
Strategic Shift: The partners noted that Concordia's support has helped them shift their mindset from a first-responder approach to a more strategic and future-oriented perspective. AAH's subsequent capacity-building sessions have enabled the partners to situate their activities within a broader project cycle and gain experience with the larger-scale functioning of the humanitarian sector.
"I enjoyed the last two days more because [they] were more interactive due to [the] discussion related to social work and the explanation of every step from targeting to monitoring! Also, I understand better the whole process, why we do what we do, and how we can improve as a team in future projects!"
Project Implementation and Impact on Beneficiaries
MPCA Project Execution: Each partner completed an MPCA project, involving all steps of implementation. A total of 1,288 individuals in 388 households received MPCA due to this project.
Feedback and Complaint Response Mechanism (FCRM) System Awareness: The percentage of beneficiaries aware of the FCRM project system increased significantly, rising from 37% to 70%. This demonstrates the enhanced project communication and transparency achieved through the localisation model.
Development of Standard Operating Procedures (SOPs): All four NGOs developed high-quality MPCA SOPs, which are crucial for maintaining consistency and quality in project implementation. These SOPs are ready for use in future projects to ensure continued quality implementation, providing a standardised framework that enhances efficiency, compliance, and team coordination.
"Overall, the experience helped me grow. I learned so much about myself. The last three months have been filled with so many trainings, but I liked them because they took me out of my box. It was difficult, but it made me strong. I am excited for whatever comes in the future."
Lena Lauruc
Social Worker, FUHR
"As we know from the PDM (Post Distributing Monitoring) results, the beneficiaries are very satisfied. In the last months, we have seen their desperation because there are no more helpers, and they cannot find work for various reasons. But thanks to the help of Action Against Hunger, they hope to survive the next months.
My opinion of MPCA programming has evolved positively since participating in this project. Through first-hand experience and exposure to the principles and methodologies of MPCA programming, I have gained a deeper understanding of its potential benefits and effectiveness in addressing the needs of vulnerable communities. As long as the war continues, there will be a need for this help.”
Aliona Kabanova
Coordinator, Bucovina Institute
"It was great because we learned so many things collaborating with partners. We know great, professional people who have helped us often with decisions and indecisions. I think it was one of the best partnerships that this organisation has had. I think we have more faith in ourselves to start new projects because we have gathered experience and would like to gather (even) more experience and more partnerships and projects.”
“It was a great opportunity to work with such great organisations, starting from local partners to AAH and CCD and the donor. Now I am confident I can do more than I could before."
Corina Janina Selaru & Viorel Babaian
President and Support Officer, ADSLZ
“This project showed that if you are brave enough to take on a challenge, it can be a win-win situation. It started with a phone call from Action Against Hunger, to see if we were open to discussing a possible collaboration. Today, we have successfully implemented a huge project for many beneficiaries, it’s sustainable, and we have achieved huge results in less than two years.”
Cezar Grozavu, (Centre)
Regional Director, BRCT (with Igor Babaian, left & Bogdan Tanasa, right).
Key Recommendations
Avoid Overburdening: Providing continuous technical training, coaching, and mentoring is effective but requires significant time. It's essential to allocate ample time for these activities before, during, and after the cash operationalisation phase to maximise impact and avoid overburdening local NGO staff.
Integrated Approach for Capacity Development: The combination of strengthening technical capacity in cash, developing organisational capacity, and implementing cash operations is beneficial. However, better coordination and synchronisation of these components are needed. This includes ensuring that key staff are in place from the start of the project and holding a detailed planning meeting to align logistics and implementation. A longer inception period is recommended for thorough preparation.
Focused Organisational Capacity Development: While it's important to align with local NGO priorities, it's also crucial to focus on areas that directly impact the quality of cash assistance. This includes developing knowledge and policies related to accountability to affected populations, financial management, human resources, Monitoring, Evaluation, Accountability, and Learning (MEAL), safeguarding, and Preventing Sexual Exploitation and Abuse (PSEA).
Flexible but Clear Capacity Strengthening: The flexible approach in providing cash capacity strengthening is positive but needs clearer expectations. Finding a balance between structured, pre-existing materials and ad hoc support is crucial, and this should be clearly communicated during the planning process to set appropriate time commitments.
Clear Communication and Commitment: Ensure that all parties, including international and local NGOs understand and commit to the project's aims, commitments, and objectives. Clear communication about the additional workload and resource requirements is necessary to allow adequate planning and resource allocation by the local NGOs.
Dedicated Human Resources: There should be dedicated in-country human resources for cash capacity strengthening activities, ideally including at least one full-time cash trainer. This role should be adequately supported and trained by the Global Cash ToT to avoid overburdening staff and to effectively build capacity.