Raising a Confident Child

http://www.parents.com/preschoolers/socializing/social-growth/secrets-of-confident-kids-/

While it may sound counterintuitive, it seems that the best advice for raising a confident child is not to focus too heavily on self-esteem with compliments and assurances, but instead to focus on teaching competence. Familiarity with a variety of circumstances will reduce anxiety, and learning to cope with being uncomfortable or with strange situations will help your child "keep cool" when new challenges appear.

Parents.com has a great article describing the ways that you can promote competence and instill confidence in your child. The article above details their 9 Secrets of Confident Kids:

1. Consider your compliments
   
2. Don't rescue your child
   
3. Let him make decisions
   
4. Focus on the glass half full
   
5. Nurture his special interests
   
6. Promote problem solving
   
7. Look for ways to help others
   
8. Find opportunities for her to spend more time with adults
   
9. Fantasize about the future