The use of Cash Transfer Programming (CTP) to provide humanitarian assistance so that people may access
the goods and services they need before, during and following a crisis has been gaining momentum over the
past decade. Despite the considerable use of cash and vouchers by government and non-state actors in major
emergencies in Asia, the use of CTP in humanitarian response in the South Pacific islands has been relatively
small-scale, and limited to only a few countries.
As one of the most disaster-prone regions in the world, Pacific Island Countries (PICs) are under growing pressure
to ensure that when disasters strike, humanitarian response is efficient, effective and helps build resilience. Four
PICs (#1 Vanuatu; #2 Tonga; #5 Solomon Islands; and #9 Papua New Guinea) are amongst the top 10 countries
that are most at risk worldwide.1
Earthquakes, floods, storms and droughts cause both human and capital
losses throughout the region every year. The World Bank estimates that in an average year, natural disasters cost
countries in the South Pacific US$284m.2
Furthermore, the dependence of many PICs on external markets for
commodities and services makes the region highly vulnerable to supply volatility and price inflation.