Abstract
The prevalence of depression remains high in low-income contexts, particularly those affected by conflict. This paper reports on a randomized controlled trial conducted in rural Ethiopia assessing the effects of group Problem Management Plus (gPM+), a psychological intervention (group therapy) delivered by non-specialist health staff to address multiple mental health challenges, as well as a large one-time cash transfer delivered post-therapy. The trial includes three experimental arms comparing gPM+, cash, and both jointly to a status quo control within a sample of individuals reporting some depressive symptoms or functional impairment at baseline. The study occurred between 2022 and 2024, during a period of active armed conflict. Primary findings show that sixteen months post-baseline, there are no persistent effects of gPM+ alone, and persistent effects of cash alone only on economic outcomes. gPM+ and cash jointly improve mental health and economic outcomes, but only in areas not locally affected by conflict.