When the coronavirus initially came to the shores of the US, many experts predicted a baby boom with families quarantined and shelter in place orders were the norm, however, studies show just the opposite. The Brookings Institute recently reported a projected 300,000 fewer births in 2021 across the United States. Parents are concerned with job loss, health and safety during the unprecedented time and many are choosing to delay plans to expand their family.
In light of the decline, however, Singapore has recently offered an incentive payment, encouraging families to have babies. BBC News reports Singapore has had one of the lowest birth rates in the world and has worked to raise them for many years. The pandemic has only hindered their efforts, and so the Deputy Prime Minister Heng Swee Keat announced a plan to encourage pregnancy with financial benefits. “We have received feedback that Covid-19 has caused some aspiring parents to postpone their parenthood plans,” Keat said.
Currently, the country has a baby bonus system, granting up to $10,000 in benefits to eligible parents, payable in five installments over the infant’s first 18 months through a Baby Bonus program but the new plan will come with an additional financial incentive. According to Today, the government is prepared to offer a one-off Baby Support Grant of $3,000 for those that deliver a baby from Oct. 1, 2020 through Sept. 30, 2022.
When established pregnancy incentives, new grants and cash-like benefits are added up, parents stand to be well supported throughout the process. The new Baby Support Grant would give parents $21,000 in cash or cash-like benefits for the birth of their first child and up to $35,000 for five or more children. These funds are in addition to parental leave, subsidized preschool and healthcare benefits.
For example, families currently receive $8,000 in Baby Bonus cash gift for their first-born, $6,000 in contributions to the Child Development Account (a savings account) and $4,000 in the Central Provident Fund’s MediSave grant. With the latest incentive, parents would have access to $21,000 for their first child and more for subsequent children.
Singapore reached an eight-year low in fertility rates in 2018 with 1.14 births per woman. Other countries have faced similar issues in the past year. China’s birth rate fell in 2020 to its lowest point since the 1950s. On the other hand, some countries are experiencing a huge spike in pregnancies. The Philippines are expecting unintended pregnancies to grow by at least half a million. “An epidemic in itself,” according to Aimee Santos, a spokesperson for UN agency in the Philippines.
Indranee Rajah, Singapore Minister responsible for population issues in the country, said the incentive aims to ease financial concerns for couples. “The Covid-19 pandemic has affected lives and livelihoods and some Singaporeans are delaying their marriage and parenthood plans as a result of insecurity about jobs and incomes,” Rajah said.
Expecting parents are thrilled with the news and are happy to have the help during a time of uncertainty. Others are upset because they had a child before Oct. 1 and are not eligible. Hours after the announcement a petition on change.org was asking parents to sign in support of the grant being extended to all parents who had a child in 2020 and 2021.