TAILIEUCHUNG - Economic Update: Countries’ Evolving Vulnerability from a Child’s Perspective

on the heels of the unprecedented food and fuel price increases in 2007-08, global economic activity is expected to contract for the first time since the WWii . in combination, these events are likely to have a serious impact on the well-being of children in lower-income households around the world. An important step towards identifying appropriate policy responses is the frequent assessment of how and to what extent a country is being adversely affected. While it is difficult to rapidly measure the direct impact of the crisis on children, child vulnerabilities can be indirectly assessed by monitoring developments. | SOCIAL AND ECONOMIC POLICY WORKING BRIEFS JUNE 2009 UNICEF POLICY AND PRACTICE Economic Update Countries Evolving Vulnerability from a Child s Perspective Local food prices and household earning prospects are among the key factors affecting the well-being of children A sizable number of low-income countries continue to face high and rising food prices at local levels Combined with weakening growth and job prospects high and rising food prices are severely eroding households purchasing power in these countries especially among the poor Existing child nutrition health and survival conditions are weak in most of these countries implying that a large share of their populations are entering this crisis with limited coping capacity INTRODUCTION On the heels of the unprecedented food and fuel price increases in 2007-08 global economic activity is expected to contract for the first time since the WWII1. In combination these events are likely to have a serious impact on the well-being of children in lower-income households around the An important step towards identifying appropriate policy responses is the frequent assessment of how and to what extent a country is being adversely affected. While it is difficult to rapidly measure the direct impact of the crisis on children child vulnerabilities can be indirectly assessed by monitoring developments in areas that are closely related to child well-being and for which timely data is available. Children are particularly affected by changes in local food prices not only as there are a greater number of children living in poorer households but under-nutrition - even for short periods - can have long term consequences for As such changes in local food prices give important insights into how household budgets and in turn provisions for children s nutrition and health are being squeezed. Furthermore as poorer households generally have fewer assets and limited access to credit their coping capacity depends .

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