Myanmar Humanitarian Needs and Response Plan 2025 / Part 2: Humanitarian Response Plan

2.7 Cost of the Response

As in past years, unit- or activity-based costing has been used for the 2025 Myanmar HNRP, with each cluster determining an average per-person cost for each of its activities to be factored against the number of people targeted for humanitarian assistance.

As in the 2024 HNRP, each cluster added 5 to 7 per cent on top of its activity costs as a dedicated component for enabling the adequate resourcing of protection mainstreaming. Furthermore, an additional loading was added to enable the efforts of the humanitarian community in Myanmar to meet its commitments under the HCT Localization Strategy. For 2025, the HNRP cluster activity costs also integrate for the first time another 5 per cent to support risk sharing and duty of care for local partners.

A further $11 million has also been incorporated in the cluster costings to equitably cover the core operating costs of the revised Myanmar coordination architecture, including expanded local presence through, inter alia, sub-national coordinators and information management staff. These coordination requirements appear in the individual cluster costs, not coordination and common services.

A key consideration in the costing of the HNRP is the continuing deterioration of the economic situation in Myanmar, particularly the sharp inflation in the prices of basic goods and fuel, and the devaluation of the Myanmar kyat. While inflation is affecting the availability and costs of transport and procuring goods and services in local markets, the weakening of the local currency is applying similar cost pressures to international procurement. In both cases, the unpredictability undermines the ability of clusters to precisely forecast the budgets required to meet the cost of the response. To accommodate this, each cluster applied inflation projections to their costings based on their specific operating, procurement and logistics processes and requirements, with rates ranging up to 30 per cent.

Cluster-specific costing methodologies can be found in the cluster pages in Part 3.

Average cost-per-person assisted (US$)