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The Impacts of a Comprehensive Microfinance Intervention on Depression levels of AIDS-Orphaned Children in Uganda Image

Promoting Inclusive Markets and Financial Systems

The Impacts of a Comprehensive Microfinance Intervention on Depression levels of AIDS-Orphaned Children in Uganda

Summary

By adversely affecting family functioning and stability, poverty constitutes an important risk factor for children's poor mental health functioning. This study examines the impact of a comprehensive microfinance intervention, designed to reduce the risk of poverty, on depression among AIDS-orphaned youth.

Children from 15 comparable primary schools in Rakai District of Uganda, one of those hardest hit by HIV/AIDs in the country, were randomly assigned to control or treatment conditions. Children in the treatment condition received a comprehensive microfinance intervention comprising matched savings accounts, financial management workshops, and mentorship. This was in addition to traditional services provided for all school-going orphaned adolescents (counseling and school supplies). Data were collected at wave 1 (baseline), wave 2 (ten months after intervention), and wave 3 (20 months after intervention). We used multilevel growth models to examine the trajectory of depression in treatment and control conditions, measured yousing Children's Depression Inventory (Kovacs). 

Children in the treatment group exhibited a significant decrease in depression, whereas their control group counterparts showed no change in depression.

The findings indicate that over and above traditional psychosocial approaches used to address mental health functioning among orphaned children in sub-Saharan Africa, incorporating poverty alleviation-focused approaches, such as this comprehensive microfinance interventio, has the potential to improve psychosocial functioning of these children.



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