Introduction
Poverty, defined based on a range of social and economic indicators that capture multiple forms of deprivation,1 2 affects approximately 663 million3 children and young people in low/middle-income countries (LMICs), with potential detrimental effects on their physical and mental health.4–8 Existing frameworks suggest that there is a ‘vicious cycle’ whereby poverty increases the risk of mental illness, while mental illness increases the risk of future poverty.9 Since the late 1990s, cash transfer programmes emerged as a promising approach to reduce poverty, by providing financial resources to alleviate poverty in households, while at the same time stimulating behavioural change and human capital investment.10–12 Cash transfers may be unconditional, which refer to money transfers without any actions required from beneficiaries; or conditional, where money is transferred to beneficiaries that meet specific behavioural requirements. As both conditional and unconditional cash transfer programmes became widespread in many LMICs,13 studies have been conducted to examine their effects on multiple outcomes, such as education, health and nutrition, with some studies showing positive effects,10 12 while others show null or negative effects.14 15
Cash transfer programmes aim to improve outcomes associated with poverty, such as education, health and nutrition.10 16 Although not explicitly designed to improve mental health, there are several mechanisms through which they may also impact the mental health of children and young people living in poverty. Cash transfers increase household income and may thus directly reduce financial strain and increase economic security. They may reduce family conflict associated with poverty and financial stress, thus reducing mental health risks for all family members. Cash transfers may also reduce child labour and related exposures that place young people at risk of mental health disorders. On the other hand, these programmes often involve relatively small cash benefits, which may be insufficient to generate changes in mental health. Improvements in the financial situation of the household may not translate into quality of life improvements for children and young people, thus having limited effects on their mental health. In addition, conditional cash transfers may increase family stress associated with the pressure to meet conditionalities.
Studies on the impact of cash transfers have typically focused on key targeted outcomes such as educational attainment and healthcare use.10 16 Only recently, studies have started to examine the impact of cash transfers on mental health, but the evidence has so far been mixed.8 17 18 While some studies suggest that conditional cash transfers increase psychological distress,19 other studies suggest that they may have positive effects on mental health,20 by increasing social support, reducing exposure to domestic violence and improving physical health. Few studies have assessed their impact on the mental health of children and young people (ages 0–24 years), with most studies focusing on adults.21 Focusing on young people is important because most mental health problems have their origin in adolescence or early adulthood.22 In addition, an extensive literature suggests that mental health problems during adolescence may have profound negative impacts on their educational, social and economic outcomes as they reach adulthood.23 24 Therefore, cash transfers during this period may be critical to breaking the cycle of poverty and mental health that emerges later in life.
A review by Lund and colleagues in 201118 identified only five studies from 2007 to 2009 and concluded that their effect on mental health was mixed. Pega and colleagues concluded that there was insufficient evidence to state that unconditional cash transfers had an impact on depression among children and adults in LMICs.25 However, this review was restricted to studies that measured depressive symptoms only and had the main goal to assess broader results on health services use and health outcomes, rather than mental health specifically. In a recent review of 37 studies, McGuire and colleagues26 reported a positive impact of cash transfers on mental health and well-being, while Ridley and colleagues9 reported positive effects on mental health in a review of 12 cash transfer studies. However, these reviews focused mostly on adults, and no recent review has focused on children and young people in LMICs.
This systematic review and meta-analysis was conducted as part of the CHANCES-6 study, which focuses on understanding the relationship between poverty interventions, mental health and the life chances of children and young people in six LMICs.27 The primary objective of this study was to review the literature on the effect of cash transfers programmes on the mental health of children and young people (0–24 years old) in LMICs. The secondary objective was to understand whether different types of cash transfer programmes have different effects on children and young people’s mental health.