The Algorand Foundation announced recently that UNHCR, the UN Refugee Agency, has expanded its use of the blockchain-powered HesabPay payment platform in Afghanistan, supporting more than 625,000 refugee returnees and 17,500 internally displaced people with over $35 million in humanitarian assistance.
The update comes as the Humanitarian Payments Council meets this week in Washington, D.C., where humanitarian organizations, financial institutions, fintech companies and policymakers are discussing the role of digital payment infrastructure in humanitarian aid delivery.
Blockchain Payments Move Beyond Pilot Programs
According to the Algorand Foundation, UNHCR's expanded deployment of HesabPay marks a transition from pilot testing to broader operational use in Afghanistan, where access to conventional banking services remains limited in many regions.
The platform enables aid recipients to receive assistance through reloadable payment cards, providing a digital payment mechanism in areas with constrained financial infrastructure.
UNHCR said the system is intended to improve the efficiency and traceability of humanitarian cash assistance while expanding access to financial services for displaced populations.
Humanitarian Payments Council Focuses on Digital Aid Infrastructure
The operational update coincides with the Humanitarian Payments Council's meeting in Washington, following its previous gathering in Berlin.
Council participants are examining frameworks for deploying blockchain-based payment systems in humanitarian operations, particularly in regions where conventional financial infrastructure is unavailable or underdeveloped.
The discussions include representatives from humanitarian agencies, financial institutions, fintech providers and policymakers exploring the use of digital payment technologies for cross-border aid distribution.
UNHCR Highlights Transparency and Financial Access
Carmen Hett, Corporate Treasurer at UNHCR, said blockchain-based payment infrastructure could strengthen humanitarian assistance by supporting traceable and compliant payment systems while improving financial access for displaced communities.
She emphasized continued collaboration to expand digital financial ecosystems that can facilitate more secure and transparent aid distribution.
Growing Interest in Digital Humanitarian Payments
The expansion reflects broader interest among humanitarian organizations in digital payment technologies as alternatives to traditional cash-disbursement systems.
While blockchain-based aid platforms have been tested in multiple humanitarian programs over recent years, large-scale institutional deployments remain relatively limited. The Afghanistan program represents one of the larger reported implementations using blockchain-supported payment infrastructure.
Why It Matters
Humanitarian agencies are increasingly evaluating digital payment networks to improve the speed, transparency and accountability of aid distribution, particularly in regions with weak or disrupted banking systems.
As stablecoins, tokenized assets and blockchain-based payment infrastructure continue to mature, humanitarian organizations are assessing whether these technologies can complement existing financial systems while meeting regulatory, operational and compliance requirements.
