Abstract:
Considerable policy consensus concerning cash remittance as an operational
model in the household food security policy dialogue has been established, yet,
little knowledge base exists with regard to food remittances and its effect on food
security. In view of this, the study focused on food remittance against the
backdrop of remittance and food security. Specifically, the study examined
spatial variability in food security outcomes across districts in Ghana, the impact
of food remittance on household food security and the relative effect of food and
cash remittance on household food security. Using the seventh round of the
Ghana Living Standard Survey, the study employed spatial autocorrelation
techniques to analyse the spatial dependence of food security outcomes,
Propensity Score Matching, Endogenous Switching Regression and Instrumental
Variable estimation to account for the issue of endogeneity associated with food
remittance. The study disclosed significant spatial dependence and clustering of
food security outcomes and revealed that aside most districts in northern Ghana
experiencing high levels of food insecurity, some districts in the food dominance
zone of the country relatively have high food insecurity outcome. The study
revealed a significant positive impact of food remittance on food security. Again,
an additional amount of food received reduces food insecurity by a greater
magnitude relative to the effect from a cedi increase in the amount of cash
received. In addition, food remittance was vital for food insecurity reduction in
rural than in urban areas. The study recommended that policies targeted at
remittance should be broadened to include strategies that enrich food transfers.
Also, food transfers should be targeted at food insecure districts, particularly
rural areas in such districts
