China will start paying for children

District Linja in the province of Gansu in the West of China will begin to provide cash subsidies to couples so that they start children. According to Bloomberg, the districts of the district will give 5,000 yuan (774 dollars) at the birth of a third child, and will also pay 10 thousand yuan ($ 1548) a year until it turns three years.

Families with one or two children will be able to receive subsidies in a smaller size, and the authorities promised financially to help payments and buying a house. Such measures were required, because the number of permanent residents of the district was significantly reduced, and the government seeks to increase the number of local people by nine percent by 2030.

other regions of China are confronted with demographic problems. So, for example, the first city that began a monetary to encourage childbear, became Panzhihua in the southwestern province of Sichuan.

The authorities take more and more active steps to slow down the birth rate. In April, the People’s Bank of China (analogue of the Central Bank) called on citizens to give birth to children so that the country was not lagging behind the United States against the background of the aging of the population. In May, families were allowed to have three children, although since 2016 parents had to pay a fine if more than two children appeared in the family. Before that, since 1979, the policy was operating “One Family – One Child”.

Measures to increase fertility are related to the fact that, according to forecasts, China’s population will decline in the coming years. The demographic crisis threatens the economy of the country. The number of the working-age population to which people refer from 16 to 59 years have fallen in 2020 by 890 thousand people. If the birth rate continues to decline, in China there will be a lack of labor market, and then the state will lose an economic advantage both before the United States and in front of other Western countries.

/Media reports.