Productive Safety Net Program and its Effects on Household Food Security in Rural Areas of Amhara Region, Ethiopia

Abstract

The Productive Safety Net Program (PSNP) was launched in 2005 in rural Ethiopia to tackle chronic food shortages in Ethiopia. The goal of PSNP is to assist households facing food insecurity by providing them with either cash or food support. The idea is to prevent these families from losing their assets and also to boost resources at the community level. Several studies have been conducted to examine the impact of PSNP on food security level of households. Nevertheless, their findings are inconclusive calling for further researches. Against this backdrop, the objective of this study is to examine how PSNP impacts household food security. The study randomly selected 383 households (280 beneficiary and 103 non-beneficiary households) in Shebel Berenta. To get a comprehensive view, key informant interviews and focus group discussions were conducted with experts managing the program and community members. By using a treatment effects model, the study found that PSNP significantly improves the food situation for the families enrolled in the program. More specifically, a range of analytical techniques—Regression Adjustment, Inverse Probability Weighting (IPW), IPW with Regression Adjustment, and Propensity Score Matching (psmatch2)—were employed to assess the impact of the program. All of the models revealed a statistically significant reduction in food insecurity. IPW and Propensity Score Matching showed a significant impact at a 10% significance level, while regression adjustment shows a significant impact at 1% level. These coefficients and significance levels indicate that the PSNP program contributes to decreasing household food insecurity, particularly evident through the negative HFIAS scores. This research adds valuable knowledge about how effective PSNP is in enhancing food security for households in this particular area. Essentially, it contributes to our understanding of how social safety net programs like PSNP impact households’ access to food. In conclusion, this research underscores the significant positive impact of the PSNP on household food security in rural Ethiopia, recommending further implementation and expansion of such social safety net programs in similar contexts.