Why China is now paying families to have children
China has announced a nationwide childcare funding program to support families with young children.
The country is introducing this as part of major efforts to address its falling birth rate.
Parents will receive about US$500 every year for each child under three years old, who was born on or after January 2025.
This is the first time the central government has rolled out such a scheme across the entire country, after years of smaller local efforts that did little to stop the drop in population.
Children born before 2025 but still under the age of three will also get support, though the amount will depend on how many months remain before their third birthday.
The payments are part of Beijing’s wider campaign to encourage more people to have children after decades of strict birth limits and a rapidly ageing population.
China’s population has been decreasing for three years in a row.
Even though there was a slight rise in births in 2024, many couples are still unsure about starting families, with concerns over high living costs, job security, and the pressures of raising children.
These worries have kept birth numbers low, despite earlier policies such as tax breaks, longer parental leave, and cash rewards in some cities.
A sharp drop in marriage registrations last year has also contributed to the country’s problems.
This story is written and edited by the Global South World team, you can contact us here.
