HomeWORLDChina Adds Perks to Encourage Families to Have More Babies

China Adds Perks to Encourage Families to Have More Babies

China announced a barrage of new perks on Tuesday, all part of a new campaign to encourage families to have more babies. This is a stark contrast to the old rule in China that only allowed families to have one baby. The decision comes as birth rates hit a record low and officials warned that the population will start to shrink by 2025.

The country with the world’s largest population has been grappling with an oncoming demographic crisis as it faces a rapidly aging workforce, a slowing economy, and its weakest population growth in decades.

The National Health Commission Tuesday urged both the central and provincial governments to increase spending on reproductive health and improve childcare services all over the nation.

Richer Chinese cities have been doling out tax and housing credits, educational benefits, and even cash incentives to encourage women to have more children, and the latest guidelines strive to push all provinces to roll out such measures.

China’s birth rate slipped to 7.52 births per 1,000 people last year. This is the lowest since records began in 1949.

Higher costs of living and a cultural shift as people grow used to smaller families have been cited as reasons behind the lower number of babies.

China’s population will begin to shrink by 2025, health officials warned earlier this month.

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