World: Show Me the Money: Efficiency and Effectiveness in Humanitarian Response

Country: World Source: CALP Network Please refer to the attached file. Executive Summary The humanitarian sector has reached a critical turning point. Resources are shrinking, while needs are skyrocketing. Between 2024 and 2025, funding per person in need fell by 35%. To navigate this reality, the sector must fundamentally rethink how it maximizes the impact of available resources by embedding Value for Money (VfM) analysis as a strategic tool for cost-effective and accountable stewardship of resources. This study used a three-pillar approach to assess VfM in humanitarian assistance. A desk review synthesized existing evidence on costefficiency and effectiveness. A qualitative review examined how VfM is applied in decision-making, exploring incentives, governance, data use, and organizational capacity through surveys and interviews with donors and agencies. Finally, the quantitative analysis drew on a cross-agency dataset covering 1, 203 programs implemented between 2014 and 2025, with a total value of USD $11. 4 billion. It compared the efficiency of transfer modalities and delivery approaches across Cash and Voucher Assistance (CVA) and in-kind food assistance, examining how program design and contextual factors influence the share of resources that ultimately reach people.

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