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How $19 Payments Changed Support and Solidarity During Colombia's COVID Crisis

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📌 What this study examines

A nationwide unconditional cash transfer (UCT) rolled out in Colombia in March 2020 is evaluated to understand how emergency cash affected households during the COVID-19 pandemic. The program delivered US$19 per payment (PPP US$55.6) to 1 million households in poverty, with payments occurring every five to eight weeks.

📊 How the program and evaluation were measured

  • Randomized control trial design linking administrative records and household survey data.
  • Program details documented: 1 million beneficiary households, payment size US$19 (PPP US$55.6), payment frequency every 5–8 weeks, and unconditional eligibility for households in poverty.

🔑 Key findings

  • Positive, though modest, improvements in household well-being, including measures of financial health and food access.
  • Increased public support for emergency assistance targeted at both households and firms during the crisis.
  • Evidence that the UCT promoted social cooperation within communities.

⚠️ What was learned about digital payments during a crisis

  • The evaluation explores bottlenecks encountered when attempting to expand mobile money delivery during a pandemic.

📎 Why this matters

  • Even relatively small, frequent cash transfers can reduce hardship and influence public attitudes toward crisis relief.
  • Findings highlight both the potential of emergency UCTs to support well-being and social cohesion and the practical challenges of scaling digital payment systems in an acute emergency.
Article card for article: The Impact of Emergency Cash Assistance in a Pandemic: Experimental Evidence from Colombia
The Impact of Emergency Cash Assistance in a Pandemic: Experimental Evidence from Colombia was authored by Juliana Londono-Velez and Pablo Querubin. It was published by MIT Press in RESTAT in 2022.
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