Research Insights: Does the Method of Delivery Matter for Cash Transfers?

Offering conditional cash transfer (CCT) recipients the option of receiving cash transfers in bank accounts, rather than in cash, does not significantly impact total savings or other long-term outcomes such as assets and trust. However, those with no previous balances experience a significant increase in their savings and transactional account balances after receiving the grants. This evidence suggests that transferring subsidies to bank accounts can be an effective means of incentivizing savings for people with no prior formal savings.