How Effective are Cash Transfers in Mitigating Shocks for Vulnerable Children? Evidence on the impact of the Lesotho Child Grant Programme on multidimensional deprivation

Families can be pressured into negative coping strategies when they have experienced shocks. This has a significant negative effect on children’s lives and development, especially for children who are at greater risk of falling into a poverty trap due to living in disadvantaged households. By using two waves of data, this paper investigates whether or not unconditional cash transfers can be useful in protecting children against unexpected negative life events.