CTs and Early Childhood Development

Indirect impact

  • Cash Transfer
  • Indirect Impact
  • Early Childhood

CTs have the potential to indirectly improve early childhood development outcomes through several channels, including the increase in household income; increase in female bargaining power when cash is transferred to females (and possible increase through participation in sensitization seminars); and the influence of peers whose attitudes toward early childhood-related practices may also change as a result of the CT.

More specifically, cash can alleviate economic constraints that may cause deterioration in the home environment due to stress and anxiety; lead to worse care for children; and result in underinvestment in children’s health, nutrition, and education, and worse prenatal care and nutrition. Cash also can improve future outcomes, for instance, by allowing households to purchase or grow a larger variety of foods or take on increased risk that increase future income streams.

  • Increased income
  • Increased female bargaining power
  • Peer effects
  • Proper Nutrition, Appropriate Health Practices
  • Early Stimulation
  • Healthy Relationships and Interaction with Others