Singapore is offering families $55,000 to have a child
The Singapore government plans to provide parents with financial assistance of more than $55,000 per child. The funds will be distributed in installments until the child turns 17.
Singapore offers families $55,000 to have children.
The Singaporean government has developed a new package of incentives to increase the birth rate. According to it, parents will be provided with financial assistance of more than $55,000 for each child, the Financial Times reported.
Prime Minister Lawrence Wong announced in his address to parliament on August 23 that the system of payments and parental leave for families with children will be reviewed. He noted that the government wants to provide additional opportunities for Singaporeans who want to have children to make it easier to start a family and raise children.
Singapore has a population of just over 6 million. In 2025, the country's birth rate will reach its lowest level in history - an average of 0.87 children per woman. In 2024, this figure was 0.97. The world's worst fertility rate is in South Korea, at 0.8.
Demographers say that to maintain a stable population without net immigration, the fertility rate needs to be at least 2.1.
A combination of a declining birth rate and improved life expectancy, driven by advances in medicine, is making Singapore one of the world's "super-aged" societies. The UN defines a country as one in which more than 21 percent of the population is over 65. By 2030, one in four Singaporeans is expected to be over that age.
"We want every family to know that if you decide to have children, the government is with you. We will provide even more support for many more years," Wong said.
He said the government will provide families with direct financial assistance of about S$70,000 ($55,150) per child until they turn 17.
This includes a S$10,000 birth grant and another S$10,000 for their child's education.
Childcare benefits will also be expanded. In particular, more support will be provided to families with many children. The government will reimburse employers for most of the costs. The process of buying a first home for families with children will also be simplified.