Taiwan’s government says it will increase childcare subsidies as part of its effort to raise the country’s stubbornly low fertility rate. The Cabinet said on Thursday that it will raise allowances for parents with children in two key age groups. Those groups are zero to two years old, and two to six years old.
Taiwan’s fertility rate is currently around 1.2 children per woman. That’s well below the 2.1 that experts say is necessary to keep the population level stable.
President Tsai Ing-wen has welcomed the news in a post on Facebook. She says that the government is ready to share the burden of childcare and help raise Taiwan’s next generation.
The rise in allowances will take place in two steps over the next two years. First, in August this year, subsidies for children in both age groups will rise by NT$1000 (US$36) per month. Next, in August 2022, those subsidies will rise by another NT$1500 (US$54).
The announcement follows a campaign promise by Tsai before the 2020 election to raise state childcare subsidies for children under six years old. In the last five years, government spending on this age group has more than tripled.