Canva founders Melanie Perkins and Cliff Obrecht have committed $150 million to expand an ambitious cash transfer programme in Malawi, backing what is now the largest unconditional cash transfer initiative ever implemented in a low-income country.
The programme, delivered in partnership with the nonprofit GiveDirectly, provides about $550 directly to every adult living in extreme poverty within targeted communities, allowing recipients to decide for themselves how best to improve their lives rather than receiving aid tied to specific conditions or spending requirements.
The latest commitment builds on a partnership that began in 2021, when Perkins and Obrecht launched an initial pilot through the Canva Foundation. After encouraging early results, they expanded the initiative with a $100 million anchor commitment announced in 2025, bringing their total pledge to $150 million. The programme is expected to reach approximately 185,000 people across Malawi’s Chiradzulu District by early 2027.
Unlike many traditional poverty reduction programmes that provide food, agricultural inputs or training, GiveDirectly’s model is based on a simple premise: people living in poverty are often best placed to decide what they need most. Funds are transferred directly, with no conditions attached, enabling households to spend on food, healthcare, education, housing, farming or small businesses according to their own priorities. The approach that Canva is employing has generated growing interest among economists and development organisations because of its measurable impact.
Data from the earlier Khongoni pilot found that about 90% of recipients rose above the international extreme poverty line within three months of receiving the transfers. Researchers also recorded significant reductions in child mortality and illness, alongside higher school enrolment and improved household wellbeing. The programme has also challenged one of the most common criticisms of large-scale cash transfers: that injecting substantial amounts of money into poor communities inevitably fuels inflation.
Research conducted during previous GiveDirectly programmes found little evidence of sustained price increases. Instead, increased household spending stimulated local businesses, creating wider economic benefits. In similar large-scale cash transfer programmes, economists found that every $1,000 transferred generated approximately $2,400 in local economic activity, as recipients purchased goods and services from nearby businesses, creating ripple effects throughout local economies.
For Malawi, one of the world’s poorest countries, the programme comes at a critical time. The southern African nation continues to grapple with high poverty rates, food insecurity, climate-related shocks and limited employment opportunities. According to the World Bank, the majority of Malawians survive on very low incomes, making poverty reduction one of the country’s most pressing development priorities. The initiative also reflects a broader philanthropic vision shared by Perkins and Obrecht.
The couple have pledged to dedicate much of their personal wealth to addressing global challenges through “Two-Step Plan” by Canva: first, build one of the world’s most valuable companies; second, use that success to do as much good as possible. Poverty reduction has become one of the flagship pillars of that mission, alongside investments in education, environmental conservation and nonprofit support.
Beyond its immediate impact on Malawi, the programme is drawing international attention because it is testing whether direct cash transfers can become a scalable tool for tackling extreme poverty at a national level. The latest phase includes what GiveDirectly describes as the largest-ever randomised controlled trial of unconditional cash transfers, conducted in partnership with researchers to measure long-term effects on poverty, economic growth, health, education and local markets.
For decades, debates over development assistance have often centred on what poor communities should receive. Malawi’s cash transfer programme by Canva is helping shift that conversation toward a different question: what happens when people are trusted to make those decisions themselves? The answer could influence how governments, philanthropists and development institutions approach poverty reduction far beyond Malawi’s borders.
