Egypt Refugee Appeal For Refugees from Africa, Iraq and Yemen 2018 | Page 47

Egypt Response Plan 2018 9 BASIC NEEDS & LIVELIHOODS SECTOR RESPONSE UNHCR is working with the following partners in the basic needs and livelihood sector: the World Food Programme (WFP), Caritas Egypt, Catholic Relief Services (CRS) and Plan International. While WFP, CRS and UNHCR jointly appeal for support of the basic needs and livelihood sector in this document, Caritas Egypt and Plan International will implement UNHCR’s basic needs and livelihood projects in 2018. CURRENT SITUATION Economic and financial reforms at the end of 2016 pushed inflation to a historic peak in June 2017, leading to increased pressures on households to meet their basic needs. With more than quarter of the population living under the national poverty line coupled with an unemployment rate at 12.5 per cent, jobs and better economic conditions remain priorities for Egypt’s future. Although there are evident improvements in the economy, Egypt continues to face major challenges that include poverty, food insecurity, malnutrition, spatial and social disparity, gender-based inequality, and environmental degradation. Rising inflation in food and non-food prices, fluctuations in foreign currency reserves and deterioration of exchange rates remain a risk to food accessibility for vulnerable people as Egypt is a net food importer. The Food Security Index developed by the Economist Intelligence Unit (EIU) shows that Egypt is moderately food secure, while the national Demographic and Health Survey (DHS) shows that 15.9 percent of the population have poor access to food. 10 To respond to these challenges, the Government implements a large social protection system that provides food subsidies to vulnerable members of the population, including pregnant and lactating women, school children, people with disabilities and the elderly. However, national safety nets are overstreteched after more than three years of economic slowdown and do for now not allow refugees and asylum-seekers to be included under the national social protection schemes. Nevertheless, there are encouraging signs of economic recovery in Egypt including an increase in overseas exports, a resurgence in the tourism sector, reflecting an expected increase of the gross domestic product by 5 per cent in 2018. 11 UNHCR provides unconditional multi-purpose cash assistance to the most vulnerable sub-Saharan African, Iraqi, and Yemeni refugee families, in efforts to mitigate against negative coping mechanisms. Those selected have very low or no sources of income, lack 10 11 adequate social or communal support and have specific vulnerabilities such as female-headed households, unaccompanied children, elderly people, and people living with serious medical conditions or disabilities. Due to insufficient funding, UNHCR has been constrained to limit the provision of unconditional cash grants to a monthly average of 3,500 vulnerable refugee and asylum-seeker families, covering 9,100 people in 2017. Households supported with cash grants represent the most vulnerable, prioritized from an already deprived population. The need for cash assistance is much greater than the available funding. The funds disbursed range from EGP 600 to 1,800, depending on the size and level of vulnerability of the family, and only cover approximately 40 per cent of their basic nee