HONG KONG - China’s Hohhot, the capital of Inner Mongolia, announced a slew of childcare subsidies in March and promised to “care” for new mothers by giving them a daily cup of free milk, as local provinces strive to boost the country’s flagging population.
More than 20 provincial-level administrations across China have started offering childcare subsidies, the official Xinhua news agency said on March 17. Such subsidies have emerged as a key focus for policymakers as they try to encourage young couples to get married and have children.
China’s population [fell for a third consecutive year in 2024](https://www.straitstimes.com/asia/east-asia/chinas-population-falls-for-a-third-consecutive-year), as marriages plummeted by a fifth, the biggest drop on record.
The country is facing an unprecedented demographic downturn, largely due to China’s one-child policy imposed between 1980 and 2015, rapid urbanisation and the high cost of raising a family.
Couples have been allowed to have as many as three children since 2021.
Earlier in March at the annual meeting of China’s Parliament, Premier Li Qiang announced childcare subsidies and free pre-school education to try and boost the birth rate.
An action plan to boost domestic consumption released on March 16 said that the authorities should “study and establish a childcare subsidy system”.
Hohhot, a bustling northern city surrounded by verdant grasslands, said couples will receive a 10,000 yuan (S$1,800) one-off payment for their first child, and 10,000 yuan a year for a second baby until the child reaches the age of five.
A third child will receive an annual subsidy of 10,000 yuan until he turns 10, a total figure roughly twice the annual income of local residents.
Hohhot also issued what it called the “milk fertility care action for mothers” with a cup of milk available for free each day for any women who give birth after March 1.
They will also be entitled to an e-voucher worth 3,000 yuan from dairy companies Yili and China Mengniu Dairy. REUTERS
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