"Real Money" Incentives for Childbirth: Fewer Than Five Babies Born Per Month in Gansu’s Subei County

Photo: On March 12, 2020, a nurse wearing a mask cares for a newborn at a private maternity hospital in Wuhan, Hubei Province, China. (Photo by Getty Images)

[People News] Recently, Subei County in Gansu Province introduced a policy aimed at boosting the birthrate by offering cash subsidies of up to 100,000 yuan to eligible families with a second or third child. This announcement has drawn significant public attention.

According to a report by Radio Free Asia, Subei County is the largest county in Gansu Province, accounting for one-sixth of the province’s total area. However, its sparse population and continuously declining birthrate present a severe challenge.

Government data shows that by the end of 2023, Subei’s registered population was only 12,657, with negative population growth recorded for the first time last year. So far this year, the county has averaged fewer than five newborns per month, making the birthrate an urgent issue for local authorities.

Gansu scholar Mr. Yue, in an interview with Radio Free Asia on Tuesday (19th), stated that Subei County is located in a remote area where many locals migrate to cities for work, leaving behind mostly elderly residents. This is a common phenomenon in rural China and has contributed to the decline in the number of newborns in rural areas.

He said: "Subei is a pastoral area with the Yugur ethnic group, making it a typical border minority region. The birthrate there is different from central, eastern, northern, and southern China, where the data reflects more normal trends."

Maximum Subsidy of 100,000 Yuan to Ease Childbirth Costs

To address the issues of population decline and aging, the local government recently introduced the Subei County Policy to Optimize Fertility and Promote Population Growth. Under this policy, families with Subei household registration who have a second or third child can receive monthly subsidies of up to 1,700 yuan and 3,300 yuan, respectively, for up to three years, with the total amount capped at 100,000 yuan. Additionally, these families are entitled to medical expense coverage, maternity leave allowances, and other support. Families moving to Subei and having their first child there are also eligible for a one-time bonus of 10,000 yuan, designed to attract new residents.

Chinese media outlet Red Star News reported on Tuesday that Subei County has a permanent population of approximately 15,000. The local government introduced the Incentive and Subsidy Measures mainly due to the county’s extremely low population and declining birthrate, which turned negative last year. Current data shows that the county averages fewer than five newborns per month. Local authorities stated that the core aim of this policy is to alleviate the cost of childbirth through financial incentives, thereby encouraging residents to have more children. Additionally, families who move to Subei and have their first child there are eligible for an extra 10,000-yuan reward to attract more population inflow.

In response, Mr. Yue expressed skepticism about the credibility of such promises. He remarked:
"The peak of childbirth has passed. After the Cultural Revolution, the birthrate stabilized for only a few years before they implemented 'family planning,' essentially banning childbirth. Back then, they said the policy wouldn’t change for 100 years, and we had to fill out family planning application forms even before having children. Now they’re talking about childbirth subsidies. Can you believe it? At that time, they told us the state would take care of our retirement. I’ve lived through it—I don’t believe it."

Ms. Lu, a resident of Shandong Province, told the outlet that birthrates in her area are also declining this year: "If people can’t even support themselves, do you think having children will make life any better? Nowadays, much of the farmland is abandoned because young people have moved to the cities. Their way of living is entirely different from that of the older generation. Farmers rely on nature for their livelihood, but the money they earn from farming is far from enough to sustain their lives."

Policy Still in the Promotion Phase, but Inquiries Have Begun

As of now, the policy remains in the promotion stage, with no formal applications received yet, though some residents have started inquiring about the details.

In recent years, various local governments across China have introduced policies to encourage childbirth, such as cash subsidies, extended maternity leave, and childcare allowances. However, many of these policies, despite strong promotional efforts, have struggled with "much talk, little action" challenges in actual implementation.

Ms. Lu commented: "On one hand, the financial burden of fulfilling these promises is significant, and local governments may find it difficult to sustain. On the other hand, the lack of transparency and effective oversight in policy implementation means that some promises remain unfulfilled for a long time. These 'empty promises' not only erode public trust in the policies but may also further dampen young people’s willingness to have children, significantly reducing the effectiveness of the policies. The government itself is facing operational challenges. These subsidies are just a gimmick to stimulate births. Ordinary people hear about them but don’t take them seriously."