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Market Functionality Index (MFI)

Market Functionality Index (MFI)
The Market Functionality Index (MFI) is designed by WFP’s Research, Assessment & Monitoring and Supply Chain divisions and is part of the new Business Process Model for cash-based transfers. It is made to support the ‘Market assessment and risk identification’ and 'Market situation monitoring' processes of cash-based assistance operations. The full package will help WFP make informed transfer modality decisions and detect changes in market functionality over time.

Technical guidance: This document provides the rationale for the MFI and describes the key dimensions that a market assessment should tackle: 1) Assortment of essential goods, 2) Availability, 3) Price, 4) Resilience of supply chains, 5) Market competition, 6) Infrastructure, 7) Services, 8) Food quality, and 9) Access and protection. It also describes the procedure to calculate the index.

 

Practical guidance: This document provides simple steps for conducting a market assessment using the MFI package, including the questionnaires in several languages and other tools for data management and data exchange.

 

Sampling guidance: This document provides guidance on the sampling methods and related practical decisions in a trader survey.

 

Frequently Asked Questions (FAQs): The FAQ document includes answers to the most frequently asked questions and is organized in eight thematic areas: a) MFI package, b) goals and use; c) trader survey; d) goods relevant for the assessment; e) sampling; f) data collection; g) end-to-end data pipeline, and h) responsibilities.