Description
Cash Consortium of Sudan Research and Learning: Understanding Protection, Inclusion, and Risk Implications of Multi-Purpose Cash Assistance (MPCA) via Proxy in SudanBackground:Mercy Corps is a leading global organization powered by the belief that a better world is possible. In disaster, in hardship, in more than 40 countries around the world, we partner to put bold solutions into action โ helping people triumph over adversity and build stronger communities from within. The Cash Consortium of Sudan (CCS), a collaborative platform to advance a progressive vision of the potential of cash and markets assistance to transform humanitarian response and recovery in partnership with vulnerable conflict-affected populations in Sudan. CCS leverages common programmatic approaches as well as M&E for harmonized and scaled delivery and learning. The core intervention areas for the CCS include cash assistance for basic needs (Multi-Purpose Cash Assistance (MPCA) and Group Cash Transfers), Market strengthening interventions, capacity strengthening and the generation of evidence to inform refinements to program design as well as the broader response. The CCS is a multi-donor platform with an anticipated initial funding base of $50M USD to enable a nationwide response, though the majority of resources have so far been focused on famine prevention and response in the Greater Darfur Region, as well as Greater Kordofan Region and Khartoum. It is led by Mercy Corps, building on its extensive global experience as Consortium lead agency, with cash coordination, and breadth of technical resources. The partnership includes eight international NGOs, each of which bring strong cash and complementary technical competencies, as well as expansive operational coverage in Sudan. The CCS also includes eleven Sudanese NGOs as partners in alignment with global aid sector commitments to enhance the prominence of local actors in driving humanitarian response and recovery. Purpose / Project Description:Since the conflict broke out in Sudan, it has faced severe liquidity challenges alongside currency devaluation, inflation on essential goods, and limited access to both physical and digital financial infrastructure. These factors โ exacerbated by the Central Bank of Sudanโs (CBoS) November 2024 announcement to withdraw certain banknotes and introduce new ones โ have deeply constrained cash programming. The resulting operational barriers include:
- strict cash withdrawal limits for individuals, organizations, and companies;
- shortages and delays in cash availability for distributions;
- denial or restriction of cash-in-hand assistance by local authorities;
- safety and security risks in physical cash transport;
- limited digital and banking inclusion; and
- lack of clarity on currency legitimacy across areas of control.Against this backdrop, the CCS is pursuing a diversified MPCA delivery strategy to hedge against blockages and maintain assistance continuity. Alongside pilots using vouchers, NFC cards, cryptocurrency, and common contracting, CCS members are also working flexibly within existing digital infrastructure โ most notably the Bank of Khartoumโs โBankakโ application, which has become a primary tool for household-to-household and household-to-vendor transactions in many functioning markets.However, a significant portion of MPCA target households โ particularly displaced and marginalized populations โ lack access to bank accounts, smartphones, identification, or internet connectivity. To ensure inclusion, partners are increasingly using a โdelegateโ or proxy mechanism, whereby a trusted individual receives funds on behalf of a beneficiary and delivers the equivalent value (in cash or goods) within a defined timeframe.While these systems help maintain reach and continuity, they introduce complicated layers of protection, inclusion, ethical and compliance risk. The Consortium seeks a research consultancy firm/company to support understanding and managing these risks โ to safeguard beneficiaries, ensure fiduciary integrity, and align with humanitarian principles. Note: Research focus will be agreed with the selected consultant before commencement. Potential research questions to explore include: 1. Context and Functioning of Proxy Mechanisms
- How are proxy or Delegate systems currently functioning across CCS partners (INGO and NNGO) and operational areas?
- What are the key drivers behind their use (liquidity, access, trust, authority, social capital)?
- 2. Protection, Inclusion, and Power Relations
- What risks do proxy mechanisms pose to beneficiary safety, dignity, and equitable access (e.g. coercion, exploitation, gender-based risks, gatekeeping)?
- What are the prevailing characteristics of a delegate and the nature of their ties to the intended beneficiary (e.g. family, friend, local leader, trader etc.)
- How do gender, group, displacement status, literacy, and documentation affect who is appointed or who acts as a delegate?
- What social ties, incentives, norms, or sanctions govern trust and accountability between delegates and beneficiaries?
- Are there identifiable patterns of exclusion or abuse within proxy systems, and how do they intersect with local hierarchies?
- What risks might proxies themselves be exposed to, if any? 3. Compliance, Fiduciary, and Do No Harm Considerations
- To what extent do proxy mechanisms expose humanitarian actors to diversion, complicity or gatekeeping risks โ particularly where delegates are not a family relation โ i.e. traders, local elites, or politically connected?
- In the case of a non-familial proxy โ what are the incentive structures that motivate their participation?
- How should incurred cash-out or matching fees be handled within proxy distribution programs?
- How can humanitarian principles and counter-terrorism, sanctions, and AML compliance requirements be maintained in proxy transactions? Particularly in the case of a proxy acting for multiple households.
- What might constitute appropriate verification, recordkeeping, and compliance mechanisms under these conditions? 4. Accountability and Monitoring
- What systems can ensure that beneficiaries receive their full entitlements safely and transparently?
- How can feedback and complaints mechanisms operate effectively in proxy contexts, especially where beneficiaries may fear retribution?
- What indicators should be monitored to detect emerging gatekeeping, coercion, or diversion patterns? 5. Operational Recommendations
- Should CCS continue use of proxies and to what extent can the use of delegated be expanded and what key are the key recommendations on use of proxies?
- What operational considerations do CCS partners need to make in use of proxies?
- What minimum standards, eligibility checks, and documentation should govern delegate selection and oversight?
- How can CCS partners build safe inclusion pathways for individuals without IDs or devices, while maintaining compliance?
- What adaptations to targeting, transfer confirmation, or follow-up verification would reduce harm and enhance trust? Consultancy Objectives:
- Analyse the emerging use and functioning of proxy mechanisms (delegates) within CCS MPCA delivery across operational areas in Sudan.
- Identify and assess protection, inclusion, and do no harm risks, including potential exploitation, coercion, exclusion, and abuse of trust.
- Examine compliance, fiduciary, and diversion risks associated with proxy systems and their interface with digital and physical liquidity networks.
- Recommend practical risk mitigation, monitoring, and accountability measures that balance inclusion and integrity.
- Strengthen the CCS risk management framework and finalize working guidance for proxy-based MPCA. Consultant Activities:The Consultant will:
- Review relevant global, Sudan-specific, and CCS-specific literature & documentation on proxy-based or third-party cash delivery - 2 days
- Desk review, consultation and mapping of current proxy practices among CCS partners โ 3 days
- Synthesize findings and establish key analysis questions/ framework for consultancy with input from CCS - 2 days
- Develop analytical framework and data collection tools โ 2 days
- Training with data collection leads - 2 days
- Coordinate and manage data collection with selected stakeholders and community members โ 10 days
- Synthesize findings - 5 days
- Initial presentation and discussion of findings with CCS partners and key stakeholders - 1 day
- Amend and finalize existing CCS draft guidance for implementing proxy distributions โ 3 days
- Document analysis within a brief report oriented toward practitioners, including recommended actions for humanitarian actors on how to strengthen practices to ensure principled and inclusive proxy programming - 5 days Consultant Deliverables:The Consultant will deliver:
- Brief Literature review (2-5 pages)
- Key analysis questions and analytical framework
- Draft methodology and data collection tools
- Training, support, coordination & management of data collection
- Program-specific risk matrix
- Practitioner brief report