In recent years, conditional cash transfer (CCT) programs have gained unprecedented popularity in the fight against poverty, and can now be found across the globe. Experience is most long-standing and widespread in Latin America, with almost every country in the region running a CCT program.
CCT programs aim to break the intergenerational cycle of poverty by making cash transfers conditional upon certain requirements that promote human capital development. Conditions largely pertain to education, health, and nutrition for children and include school enrollment and attendance, immunization and regular health check-ups, and weight monitoring.
Programs have been widely applauded for their positive effects on various outcomes for children and short- to medium-term poverty. They are considered particularly appropriate in a context with demand barriers that limit or provide unequal access to services such as education and health care.