China's Ambitious Steps Toward a Birth-Friendly Society: Insights from Nomura
China's Response to Low Fertility Rates
In a bid to combat the nation’s declining fertility rates, the State Council of China has announced initiatives aimed at establishing a birth-friendly society. These initiatives include enhancing medical benefits, increasing housing loan limits, and introducing a new childbirth subsidy system to support families.
Key Features of the New Policy Package
- Supportive Measures for Families
- Expanded income tax deductions for parents
- Inclusion of assisted reproductive services into the national insurance scheme
- Higher public housing loan limits for families with multiple children
Economists at Nomura estimate that the central government could allocate a substantial budget of up to 500 billion yuan per year to fuel these initiatives. With China’s overall fertility rate plummeting to 1.09 in 2022, the urgent implementation of these supportive measures is paramount.
Challenges Ahead for Birth Promotion
Despite these ambitious initiatives, experts like Yuan Xin from Nankai University caution that these measures may not yield immediate results due to various economic and social factors affecting the nation's willingness to have children.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.