Economic Support for Pregnant Women to Address Low Birthrate
Coupons Issued Instead of Cash... Restricted to Purchasing Childbirth and Childcare Items
The Japanese government is promoting the establishment of a childbirth preparation fund to address the low birthrate issue. The photo is not related to the specific content of the article. Photo by Pixabay
[Asia Economy Reporter Sumi Hwang] The Japanese government plans to introduce a new childbirth promotion policy to address the low birthrate issue. According to the Yomiuri Shimbun on the 15th, the Japanese government is pushing forward with a plan to establish a 'Childbirth Preparation Fund.' This fund will be provided to all women who submit a pregnancy notification form to local governments and receive a mother-child health handbook. It is expected to be given in the form of coupons worth 100,000 yen (approximately 970,000 KRW) per child.
This payment method is interpreted as an attempt to restrict purchases to goods and services related to childbirth and childcare. According to the newspaper, these coupons can be used to buy diapers, strollers, and other items before and after childbirth, or to receive postpartum care. The Japanese government also announced plans to create a system where healthcare workers provide one-on-one consultations with women who have given birth.
Previously, Japan had implemented various policies to encourage childbirth. A representative example is the 'Lump-sum Childbirth and Childcare Allowance' system, which provides 420,000 yen (approximately 4.07 million KRW) per child when a woman gives birth. Additionally, after childbirth, parents can receive about 50-70% of their salary during childcare leave until the child turns one year old.
This is due to the continuous decline in the number of births in Japan. Last year, the number of births in Japan was 811,604, marking the lowest ever recorded since related statistics began. This is a decrease of 29,231 compared to 2020.
Japan's total fertility rate also fell to 1.30 last year, marking six consecutive years of decline. The total fertility rate is an indicator representing the average number of children a woman is expected to have during her childbearing years. According to the Organization for Economic Cooperation and Development (OECD) standards, a total fertility rate below 2.1 is classified as low birthrate, and below 1.3 as ultra-low birthrate.
Moreover, the number of children desired by unmarried Japanese women who intend to marry has fallen below two for the first time since related surveys began, further heightening concerns about the low birthrate issue.
Regarding Japan’s rapid population decline, Elon Musk, CEO of Tesla, pointed out, "If a change where the birthrate exceeds the death rate does not occur, Japan will eventually disappear."
The Yomiuri Shimbun also noted, "The population decline is occurring 10 years faster than the trends announced by the National Institute of Population and Social Security Research in 2017," and warned, "If the economic burden of raising children is not reduced, the economically active population will also decrease."
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