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Government of Malawi's unconditional cash transfer improves youth mental health

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  • Angeles, Gustavo
  • de Hoop, Jacobus
  • Handa, Sudhanshu
  • Kilburn, Kelly
  • Milazzo, Annamaria
  • Peterman, Amber

Abstract

We explore the impacts of Malawi's national unconditional cash transfer program targeting ultra-poor households on youth mental health. Experimental findings show that the program significantly improved mental health outcomes. Among girls in particular, the program reduces indications of depression by about 15 percentage points. We investigate the contribution of different possible pathways to the overall program impact, including education, health, consumption, caregiver's stress levels and life satisfaction, perceived social support, and participation in hard and unpleasant work. The pathways explain from 46 to 65 percent of the program impact, advancing our understanding of how economic interventions can affect mental health of youth in resource-poor settings. The findings underline that unconditional cash grants, which are used on an increasingly large scale as part of national social protection systems in Sub-Saharan Africa, have the potential to improve youth mental wellbeing and thus may help break the vicious cycle of poverty and poor mental health.

Suggested Citation

  • Angeles, Gustavo & de Hoop, Jacobus & Handa, Sudhanshu & Kilburn, Kelly & Milazzo, Annamaria & Peterman, Amber, 2019. "Government of Malawi's unconditional cash transfer improves youth mental health," Social Science & Medicine, Elsevier, vol. 225(C), pages 108-119.
  • Handle: RePEc:eee:socmed:v:225:y:2019:i:c:p:108-119
    DOI: 10.1016/j.socscimed.2019.01.037
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    References listed on IDEAS

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    10. Kelly Kilburn & Lucia Ferrone & Audrey Pettifor & Ryan Wagner & F. Xavier Gómez-Olivé & Kathy Kahn, 2020. "The Impact of a Conditional Cash Transfer on Multidimensional Deprivation of Young Women: Evidence from South Africa’s HTPN 068," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 151(3), pages 865-895, October.
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    13. Haushofer, Johannes & Chemin, Matthieu & Jang, Chaning & Abraham, Justin, 2020. "Economic and psychological effects of health insurance and cash transfers: Evidence from a randomized experiment in Kenya," Journal of Development Economics, Elsevier, vol. 144(C).
    14. Roelen, Keetie & Saha, Amrita, 2021. "Pathways to stronger futures? The role of social protection in reducing psychological risk factors for child development in Haiti," World Development, Elsevier, vol. 142(C).
    15. McGuire, Joel & Kaiser, Caspar & Bach-Mortensen, Anders, 2020. "The impact of cash transfers on subjective well-being and mental health in low- and middle- income countries: A systematic review and meta-analysis," SocArXiv ydr54, Center for Open Science.
    16. Nawaz, Saima & Iqbal, Nasir, 2021. "How cash transfers program affects environmental poverty among ultra-poor? Insights from the BISP in Pakistan," Energy Policy, Elsevier, vol. 148(PB).
    17. Smriti Sharma & Saurabh Singhal & Finn Tarp, 2020. "Corruption and mental health," Working Papers 296967914, Lancaster University Management School, Economics Department.
    18. Clotilde Mahé & Philipp Hessel, 2022. "School-age exposure to conditional cash transfers and adult mental health: Evidence from Mexico’s Progresa," Documentos de trabajo 20155, Escuela de Gobierno - Universidad de los Andes.
    19. Awaworyi Churchill, Sefa & Iqbal, Nasir & Nawaz, Saima & Yew, Siew Ling, 2024. "Unconditional cash transfers, health and savings," Economics & Human Biology, Elsevier, vol. 53(C).
    20. Kathryn L Falb & Alexandra H Blackwell & Julianne Stennes & Jeannie Annan, 2020. "Cash assistance programming and changes over time in ability to meet basic needs, food insecurity and depressive symptoms in Raqqa Governorate, Syria: Evidence from a mixed methods, pre-posttest," PLOS ONE, Public Library of Science, vol. 15(5), pages 1-15, May.

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