Liberia Bellmon Update 2016

The initiative is designed to improve the resilience of rural households and enhance the overall food security situation in the country. The program is being implemented by the United States Agency for International Development's (USAID) Office of Food for Peace (FFP) in collaboration with local partners. The assessment conducted by USAID staff in October 2015 revealed that the basic structural nature of food markets in Liberia has not changed despite the devastation and disruption caused by the Ebola epidemic. The assessment found that local markets are relatively competitive and well integrated, especially for important staples such as rice. However, the rainy season poses a challenge to the movement of goods, particularly in rural areas outside of the main corridors. The assessment also highlighted the high reliance of rural households on purchases for nearly 75% of their food. Daily and weekly markets are open and operating normally throughout the country, but market activity was still down by 20-30% in October 2015 compared to pre-Ebola levels. The depreciation of the Liberian dollar against the US dollar and a decline in household income due to after-effects of Ebola deaths, quarantines, market and border closures, and the general macro-economic downturn are the two most important factors affecting market activity. The upcoming FFP development food assistance program is not expected to involve direct distribution or monetization of Title II food. Instead, the program will be funded through Community Development Funds (CDF), and therefore, there are no Bellmon concerns associated with the upcoming new FFP development program. The program will focus on improving the resilience of rural households and enhancing the overall food security situation in the country. FFP continues to provide Title II food assistance to Ivoirian refugees in several camps in Liberia. This assistance is expected to decrease as repatriation continues. USAID staff monitor this assistance, and have no reason to believe these transfers are having a negative distortionary effect on local markets. FFP also continues to support emergency food assistance in the form of cash transfers and agricultural input vouchers for households affected by Ebola with Emergency Food Security Program (EFSP) resources. These programs are expected to end prior to the start-up of the new FFP development program. Effective targeting of food assistance is crucial to ensure that local markets are not inadvertently harmed in the process of assisting those who require it. Potential partners are expected to fully understand the operating context, including any consumption, production, and trade patterns that influence the effectiveness of any transfers. Effective targeting of food assistance, including who receives what food assistance, when, and in what form, ensures that local markets are not harmed in the process of assisting those who require it.