Contribution of TASAF-III Program on Poverty Reduction among Female-Headed Households in Kasulu District Council, Tanzania

Tanzania has made notable progress in reducing poverty, yet challenges persist, especially among vulnerable groups like Female-Headed Households (FHH). This study investigates the impact of the Tanzania Social Action Fund (TASAF III) on poverty alleviation for FHH in Kasulu District, utilizing primary data collected from a sample of 120 mixed respondents, 117 respondents from the treatment group, and 101 respondents from the control group. The research aims to assess changes in annual income levels before and after cash transfers, determine the proportion of FHH that escaped poverty through the program, and identify barriers to accessing benefits. The novelty of this study lies in employing a mixed-methods approach, including Ordinary Least Squares (OLS), Difference-in-Difference (DiD) estimation, and descriptive statistical methods for analysis. The results indicate that all independent variables, except housing financing, significantly impact household income, with an increase of about 4.3% due to the program, enhancing consumption capabilities. However, beneficiaries reported that cash transfers received are inadequate to cater for rising living costs, particularly education expenses. Key barriers include a lack of institutional support, difficulties in accessing financial resources, long distances to registration offices, and delays in fund disbursement. Despite these challenges, about 78% of FHH reported improved living conditions post-intervention, enabling better family support. The study underscores the need for supplementary policy strategies, such as training programs and microloans, to ensure sustainable improvements of FHH. While TASAF III has positively impacted income and consumption, addressing identified barriers is essential for further empowerment of FHH in Kasulu District, Tanzania.