Children and COVID-19 Research Library

Compounding the COVID-19 pandemic is a looming debt crisis for low- and middle-income countries where a growing debt burden threatens to crowd out social spending for children.

This policy brief explores whether the current support from the international community is enough to maintain spending on basic services during COVID-19. It highlights countries that are most at risk due to high levels of poverty, as well as those less likely to benefit from the G20 Debt Standstill (DSSI). It concludes that a new international debt restructuring architecture, which encompasses the needs of poorer countries, is crucial to protecting children’s rights in the wake of COVID-19. 

Compounding the COVID-19 pandemic is a looming debt crisis for low- and middle-income countries where a growing debt burden threatens to crowd out social spending for children.

This policy brief explores whether the current support from the international community is enough to maintain spending on basic services during COVID-19. It highlights countries that are most at risk due to high levels of poverty, as well as those less likely to benefit from the G20 Debt Standstill (DSSI). It concludes that a new international debt restructuring architecture, which encompasses the needs of poorer countries, is crucial to protecting children’s rights in the wake of COVID-19. 

COVID-19 constitutes the greatest crisis that high-income countries have seen in many generations. While many high-income countries experienced the global financial crisis of 2007–2008, or have had national recessions, the COVID-19 pandemic is much more than that. COVID-19 is a social and economic crisis, sparked by a protracted health crisis.

High-income countries have very limited experience of dealing with health crises, having their health and human services stretched beyond capacity, restricting the travel of their populations or having to close workplaces and schools – let alone experience of all of these things combined. These unique conditions create new and serious challenges for the economies and societies of all high-income countries. As these challenges evolve, children – as dependants – are among those at greatest risk of seeing their living standards fall and their personal well-being decline.

This new UNICEF Innocenti report explores how the social and economic impact of the pandemic is likely to affect children; the initial government responses to the crisis; and how future public policies could be optimized to better support children. 

COVID-19 constitutes the greatest crisis that high-income countries have seen in many generations. While many high-income countries experienced the global financial crisis of 2007–2008, or have had national recessions, the COVID-19 pandemic is much more than that. COVID-19 is a social and economic crisis, sparked by a protracted health crisis.

High-income countries have very limited experience of dealing with health crises, having their health and human services stretched beyond capacity, restricting the travel of their populations or having to close workplaces and schools – let alone experience of all of these things combined. These unique conditions create new and serious challenges for the economies and societies of all high-income countries. As these challenges evolve, children – as dependants – are among those at greatest risk of seeing their living standards fall and their personal well-being decline.

This new UNICEF Innocenti report explores how the social and economic impact of the pandemic is likely to affect children; the initial government responses to the crisis; and how future public policies could be optimized to better support children. 

Millions of children around the world, particularly in low- and middle-income countries, live in households that receive money and other forms of support from a family member who has moved abroad, or to another part of the same country, to work. This form of assistance, or ‘remittances’, can alleviate household poverty and is often a key support for children’s development. In times of global economic uncertainty, however, remittances can be an unstable source of income for families. The COVID-19 pandemic is disproportionately affecting migrant workers’ job security, making it more difficult to send remittances. At the same time, families receiving remittances are facing their own economic and health challenges, meaning that the continuation of remittances is vital to keep them from slipping into poverty. This briefing paper outlines the potential risks of reduction in remittances due to the pandemic for children in households receiving remittances and what can be done to minimize these risks.