[In-Depth Look] How Did France Succeed in Its Low Birthrate Policy?

"The future of France's population is no longer guaranteed." This was emphasized by Fran?ois Bayrou, chairman of the National Planning Council, last May. He diagnosed that the family policy, which has maintained the foundation of French society, is facing a crisis, and officially requested a review of population policies, including immigration policy, to respond to the changed environment caused by the COVID-19 pandemic.

France's total fertility rate was 1.86 in 2020, the highest among OECD countries. Citizens take pride in the fact that France is often discussed when it comes to pro-natal policies. However, over the past six years, the total fertility rate has dropped by 0.02, and population growth in 2019 was only 140,000. Although the decrease is slight numerically, France is taking it seriously.

France's pro-natal policies have a long history. In the 1930s, the Third Republic was suffering from the impact of the Great Depression and chronic political instability. However, there was a social consensus that strong population policies were necessary for national continuity, resulting in the Family Code (code de la famille) in 1939. Since then, French parents have had almost no burden for child-rearing costs, maintaining a stable fertility rate around 2.5.

However, from the 1980s, economic difficulties increased due to currency instability and globalization, causing the total fertility rate to fall to 1.7 in 1993. At that time, France accepted the phenomenon that providing jobs for women increased fertility rates, shifting from cash-based support policies to adding women's employment policies. Finally, the Family Code was revised in 1993 to gradually increase the family policy budget to 5% of GDP, and policies to balance home and work life were fully promoted to encourage women's economic activity.

What national challenges do we face now? Addressing low fertility is the most urgent. The low birthrate phenomenon greatly affects education, national defense, pensions, and the overall society, shaking the intergenerational equity that is the operating principle of modern states. At the end of last year, our country's total fertility rate recorded 0.84, setting a new world low record with no sign of rebound. This phenomenon is more severe in large cities; Seoul's rate is below 0.6.

The government finalized the "4th Basic Plan for Low Fertility and Aging Society" (2021?2025) last December. The announced budget for low fertility response will reach a total of 196 trillion won by 2025. The government has invested about 200 trillion won in low fertility measures over 15 years from 2006 to last year, but the results are dismal. The budget is mainly spent on pregnancy and childbirth support, childcare allowances, and daycare support, but the scale is too small, so the individual burden of child-rearing costs remains large.

The core of France's pro-natal policy started from the community consciousness that citizens are the foundation of the nation. Thanks to this, the phenomenon of not having children due to worries about child-rearing costs is almost nonexistent. The most important reason for the success of France's pro-natal policy is the belief that the era of children will be happier than now. The government should find solutions in creating hope that children can live better lives than their parents, rather than simple support, even if it takes time.

Kim Young-woo, Research Fellow, Institute for Shared Growth