Taipei: Taiwan's government has refrained from establishing a timeline or specific targets for the newly introduced measures aimed at reversing the country's declining birth rate. These measures were unveiled by President Lai Ching-te in an effort to encourage population growth. The government intends to review these policies "on a rolling basis."
According to Focus Taiwan, President Lai announced a comprehensive package of proposals designed to boost Taiwan's birth rate. These include monthly subsidies of NT$5,000 (approximately US$160) for children up to the age of 17, financial support for assisted reproduction treatments, a reduction of 1 percentage point in student loan interest rates, and a one-year delay in repayment deadlines. The initiative is projected to cost around NT$380 billion annually, which is about 1 percent of Taiwan's GDP. Lai highlighted that South Korea has spent a similar proportion of its GDP on efforts to increase its birth rate.
Recent statistics from the Ministry of the Interior revealed that Taiwan's birth rate was 0.69 last year, placing it among the lowest in the world. During a weekly Cabinet news conference, National Development Council Minister Yeh Chun-hsien emphasized the unpredictable nature of the results of such population policies, stating that they largely depend on individuals' willingness to start families. Consequently, Yeh declined to commit to a specific timeline or target for the birth rate increase.
Yeh reiterated that the government's measures are intended to communicate strong support to the younger generation considering marriage and parenthood. He noted that a Cabinet-level task force would oversee the implementation and effectiveness of these measures. Effective policies will be expanded, while those found lacking will be adjusted accordingly.
In preparation for the financial implications of these proposals, Premier Cho Jung-tai has directed relevant agencies to allocate funding within the general budget for the fiscal year 2027, according to Cabinet spokesperson Michelle Lee. Addressing questions about the funding sources, Chen Shu-ping from the Directorate-General of Budget, Accounting and Statistics assured that the country's robust economic performance and increased tax revenues would suffice to fund the proposed policies. Taiwan's GDP growth was 8.68 percent in 2025, with expectations of continued growth this year, backed by a 13.69 percent GDP growth recorded in the first quarter.