Evaluating the Economic Impacts of Burkina Faso’s Social Safety Net Program : A LEWIE Approach

Overview & Synopsis

Social safety net programs are increasingly recognized as critical policy tools in Sub-Saharan Africa, offering direct support to poor households and the potential to stimulate broader economic benefits through local market linkages. In Burkina Faso, as in other countries, these programs aim to reduce poverty and build resilience among vulnerable populations. Yet questions remain about their wider impacts on local economies, particularly in terms of production, employment, and income generation. This study applies the Local Economy-Wide Impact Evaluation (LEWIE) methodology to evaluate the economic effects of social safety nets in Burkina Faso. While traditional impact evaluations often focus solely on beneficiary households, LEWIE provides a more comprehensive perspective by capturing both direct and indirect (spillover) effects across the entire local economy. In doing so, it sheds light on how transfers to poor households can generate income multipliers, influence labor markets, and affect nonbeneficiaries through market interactions.