Japan: A 420,000 yen Childbirth and Childcare Lump-Sum Grant is now being given to new parents in Japan following the birth of their child
The Ministry of Health, Labor, and Welfare in Japan is hoping that the promise of some more money in the bank would encourage more people to add a kid to their family. Japan has been attempting to boost its low and decreasing birth rate for some time
Japan’s health minister Katsunobu Kato said that the country wants to increase this amount to 500,000 yen as he met with the prime minister, Fumio Kishida, last week to discuss the proposal. The move is anticipated to be approved and implemented for the 2023 fiscal year
Despite the name “Childbirth and Childcare Lump-Sum Grant” one of the main reasons people do not want to have kids in Japan has been the increasing costs. Child birth fees have to be covered out of pocket even if the award is supported by Japan’s public medical insurance system. The national average for delivery costs is around 473,000 yen, it has been reported.
Thus, even if the grant were increased, parents would still only have, on average, 30,000 yen left over when they returned home from the hospital, which is less than the amount Asahi Breweries is giving its employees to spend on holiday meals. That won’t go very far toward the overall costs of raising a child to self-sufficient adulthood, and it’s unlikely that an extra 80,000 yen would push anyone over their “have a baby or not” threshold
All things considered, new parents would be grateful for a little additional money as their family grows, and the 80,000 yen increase would be the highest ever for the Childbirth and Childcare Lump-Sum Grant and its first since 2009.
